SPRINGFIELD, Mass (WWLP) – The rising cost of fuel isn’t just an issue for drivers. Homeowners also feeling the pressure as heating oil increases in price. This might be the time of year you’d be looking into a fixed rate contract for your heating oil. However, that might be hard to find.
The people at Noonan energy said they’re actually holding off purchasing any fixed rate oil because they’re hoping to see costs go down.
According to the state’s department of energy resources, in May we saw an average of $5.89 cents per gallon for heating oil, compared to $2.85 cents last year. That’s almost a 107 percent increase.
“You have to buy a minimum of 400 gallons, you can buy more but at today’s prices 400 gallons is going to be over $2000 and that’s never been the case before,” said Tim Noonan, director of sales at Noonan Energy.
Tim said they are hoping to see prices eventually go down a bit. But I did ask him what he plans to do if that price doesn’t drop. He said the company will still buy some oil at that fixed rate
just a lot fewer gallons than previous years