Philadelphia-area heating costs could rise 9% this winter, but not for everyone

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After a scorching summer of cranked-up air conditioners and high electricity bills, Philadelphia-area ratepayers face the prospect of another financial hit this winter. Heating costs are projected to rise nearly 9% from last year, according to the National Energy Assistance Directors Association.

The expected increase comes amid an ongoing affordability crisis, with many households already struggling to pay their utility bills. About 400,000 Pennsylvania households experienced utility shutoffs in 2025, according to the Pennsylvania Public Utility Commission, a nearly 14% increase from the previous year.

“People are having trouble balancing how to pay their electric bill when they also have to pay for medical care and food,” said Charlotte Edelstein, a lawyer at Community Legal Services of Philadelphia.

Household spending on heating oil is projected to rise 21% this winter, more than spending on any other major heating fuel, according to the U.S. Energy Information Administration. Although only 3% of U.S. households use oil as their main heating fuel, 82% of those homes are in the Northeast.

Rising electricity costs are also expected to drive up winter utility bills, particularly in the Philadelphia region, said Sanya Carley, a professor of energy policy and city planning at the University of Pennsylvania. Electricity is the second-most commonly used type of heating fuel in the Northeast, after natural gas.

Demand for electricity is growing rapidly across the country, particularly in the 13-state region served by PJM Interconnection, which includes Pennsylvania, New Jersey and Delaware.

As more infrastructure is added to the power grid, and the need for electricity grows, utilities must upgrade and expand to accommodate it. Those investments can drive up costs for consumers. Homes relying on electricity for heating fuel are projected to see a 3% increase in their utility bill.

heat, heating, utility bills