Fuel cost squeeze is on PAUL POST, The Saratogian October 08, 2000 America could be headed for another energy crisis unless major conservation efforts and alternative sources of fuel are developed, New York's U.S. Sen. Charles Schumer said recently. Sound like the 1970s?

Those who remember that decade might be forced to rekindle some energy-saving, cost-cutting measures to help get through the upcoming winter.

The price of heating oil is already around $1.50 statewide, 50 cents higher than it was this time a year ago. And it might be headed upward despite President Clinton's decision to release 30 million barrels of oil from the nation's Strategic Petroleum Reserve.

''The problem isn't supply,'' said Susan Sowek of the New York Energy Research and Development Authority. ''You'll be able to get it. You're just going to pay for it.''

Fingers are being pointed in many directions while trying to assess blame for the situation.

For everyday consumers, the challenge is reducing their costs. Last year, skyrocketing heating oil prices cost Wilton's Kevin Joyce about $300 more than expected.

''It didn't cripple us, but it made us be ready for this season,'' he said.

The Joyces have taken a threefold approach to keeping costs down while heating their 1830s Ruggles Road farmhouse. This summer, like many consumers, they locked into a budget program with their fuel oil supplier.

''We bought about 900 gallons, which should take us through the season,'' he said.

In addition, he purchased an ample supply of firewood to supplement the primary source of heat. Also, Joyce took a close look at his house in an effort to prevent heat loss through better insulation.

Increased energy costs might alter the family's dress code, too.

''We'll wear more fleece and keep the heat lower,'' he said with a laugh.

Many people locked into discount bulk contracts with fuel suppliers during the summer months. But those are no longer available, meaning people who didn't choose this strategy will be subject to rising prices this winter.

Sowek said it's difficult to gauge how much the cost of home heating oil will go up this year.

''There's no way of predicting, there's no magic ball,'' she said.

Prices last year topped out at about $2.48 per gallon, but Schumer said taking oil from the Strategic Petroleum Reserve should keep prices at less than $2 per gallon.

''Mind you it's still going to be very high,'' he said.

Natural gas

Natural gas customers are expected to feel the crunch of rising fuel prices, too. Brian Nealon, associate administrator at Wesley Health Care Center, said that facility is paying 30 percent more for natural gas now than it did under a previous contract that expired last April.

''There's a very significant increase in the cost of natural gas,'' he said.

Wesley Administrator Neil Roberts said, ''We work very hard at having our buildings be energy efficient. We just have to deal with the higher prices. There's no easy answer.''

Niagara Mohawk Power Corp. announced recently that its natural gas customers could get hit with 15- to 25-percent price hikes this winter.

''We believe there is adequate supply this winter,'' spokesman Kenneth M. Tompkins said. ''The market price is higher this year.''

An expanding U.S. economy has prompted vast residential and commercial construction, much of which relies on natural gas. But while demand has risen, there's a temporary shortage of supply because until recently the price of natural gas was quite low, making exploration for new sources a prohibitive venture.

Tompkins said NiMo has 540,000 natural gas accounts from Watertown to the greater Capital District. Most are located in cities, while rural residents typically rely on oil or other fuel sources such as coal or wood, because natural gas lines don't extend outside populated areas.

Wood stoves popular

Tim Webb, owner of Saratoga Fireplace and Stove, said business has been brisk this year because of rising oil and gas prices.

''Last year, we had the possibility of Y2K knocking on our door, which made wood stoves very attractive,'' he said. ''Now this year with rising fuel prices, wood stoves and pellet stoves are very popular again.''

Pellet stoves burn a compressed wood product made from sawdust and wood fiber.

''Everybody who walks in the door looks at a wood stove as a supplemental heat source,'' Webb said. ''But once they get it home, it becomes their primary heat source. It's a very thoroughly warming dry heat compared to your furnace.''

But even wood costs more now, anywhere from $120 to $150 per cord cut, split and delivered compared to last year when it was $85 to $110 per cord, Webb said.

''One of the problems this year is that it was so wet in April, May and June that loggers couldn't get in the woods to cut trees down,'' he said. ''There is a perceived shortage of wood. These folks simply don't have enough timber sitting on the ground.''

Also, the initial outlay for wood stoves isn't cheap. Webb said it costs from $2,500 to $3,500 for a complete setup.

''Over time, you will get your money back, but it takes several years to do so,'' he said.

Chimney safety

New York State Electric & Gas Corp. recommends that everyone have their chimneys cleaned no matter what their fuel source is.

''A blocked chimney or flue can be dangerous,'' spokesman James Salmon said. ''It can cause carbon monoxide fumes to build up inside a home or business. You cannot see, taste or smell carbon monoxide.''

Regardless of how much people prepare for winter, everyone is at the mercy of Mother Nature to help cut heating costs because the colder it is outside the more energy it takes to keep warm inside.

''The past four years in general have been warmer than normal thanks to El Nio and La Nia,'' said Carl Cerniglia of the National Weather Service in Albany. ''We've been kind of spoiled. We had four weeks of winter last year.''

A cold January with average temperatures of 20.7 degrees was followed by a mild February and March when the thermometer averaged 4.3 and 5.8 degrees warmer than normal. But this year El Nio and La Nia won't be a factor, Cerniglia said, and if history repeats itself this might be one the colder winters in recent history.

Northeast temperatures have been below normal five of the past six months, including each of the past four.

''If that type of trend continues it's going to make it seem that much worse yet,'' Cerniglia said. ''Relative to what we've had it will seem like a much colder winter.''

Low-income assistance

Fortunately, some financial assistance is available to help low-income people deal with rising energy costs. The Clinton Administration recently added $400 million to the Low Income Heating Energy Assistance Program that could provide $55 million to more than 600,000 households in New York state.

Households receiving public assistance, Supplemental Security Income or food stamps are the mostly likely to be eligible for HEAP. This federal program opens in mid-November and is available on a first-come, first-served basis to all utility customers. People who think they might qualify may call the Office for the Aging or Department of Social Services. http://www.zwire.com/site/news.cfm?newsid=945218&BRD=1169&PAG=461&dept_id=17708&rfi=6

-- Martin Thompson (mthom1927@aol.com), October 08, 2000