Home Heating Oil Roller Coaster - Now What Do You Do?
Below is a reprint of an article from “The NEWS”. The weekly publication for HVAC contractors. I decided to reprint it because it does a great job of explaining the recent turbulence of the Heating Fuel Oil market as it relates to end users.
The bottom line though, is that of all the home heating fuels available (Gas, both Natural and LP, Electricity, and Fuel Oil), Fuel Oil is by far the most volatile recently and without a doubt, the most difficult in relation to making a change when the cost becomes unbearable for the budget.
Is there a solution? One possible answer, especially if the homeowner’s current equipment is getting age on it, is to change over to a more efficient Duel-Fuel or Hybrid home comfort system. The Duel-Fuel or Hybrid system incorporates the use of a high efficiency Gas Furnace and a high efficiency Heat Pump in combination. The Heat Pump starts as the primary source of heat, and operates the most efficient until outdoor temps drop into the upper 20s or low 30s. At this point, the Thermostat senses the outdoor temperature and creates a call for heat from the Gas Furnace. The two work in combination to maximize the utility costs.
As the article below explains the roller coaster effect that heating fuel oil has had on those that utilize this source of fuel, brings to mind a recent statement that I heard on the news. In comparison, the recent drop in gasoline prices has given to a concern that consumers and the government will become complacent about the need to seek new and more efficient sources of energy for our future. In the same way, just because the price of fuel oil has dropped, and yes, this gives some relief to those getting ready to go into the heating season, the bigger problem is that they are just as vulnerable as before if not more so, to a future rise in prices.
Another point to consider also, is that the Fuel Oil Furnace is a very minimal market in today’s HVAC world. This creates numerous negatives for the homeowner. First, this equipment has become very expensive just by the nature of its supply and demand. Most of the Fuel Oil furnaces being produced are now for the replacement market, where as the Gas Furnace and Heat Pump market are for a much larger scale of replacement and new construction. Also, as new HVAC technicians are brought into the field, and the older groups retire, the experience with fuel oil equipment is greatly reduced, making the resources for repair services less available.
The article below gives a good overview of the recent Fuel Oil issues that homeowners have faced this year.
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