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Report: Winter surge in heating costs expected

By Jeff Kanan Originally Published: 09/30/08 9:11pm Modified: 09/30/08 10:22pm No comments

Students who find coal in their stockings might be considered lucky this winter, as heating costs for natural gas are expected to increase by as much as 21 percent.

A Michigan Public Service Commission report released Monday said natural gas, used in 79 percent of Michigan homes for space heating, will see a significant price hike this winter, which means more money out of students’ pockets.

“I live in a house with six big guys, and it’s going to be pretty expensive,” food industry management junior Brian Guido said. “I purchased a space heater to help keep heating costs down.”

Michigan residents can expect their heating bills to be close to $922 from November through March, according to the commission.

The increase in natural gas prices is the result of price spikes in the oil market and general industry trends, commission spokeswoman Judy Palnau said.

“One of the major reasons is that the price has been rising for several years,” Palnau said. “And the other thing is the natural gas market mirrors what’s going on for the oil market, and our utilities buy gas in July when usually prices are cheaper, but this year they spiked.”

On campus, more than 550,000 cubic feet of natural gas was burned by the Simon Power Plant last year, which also has been affected by fuel increases, Physical Plant engineer Lynda Boomer said.

“Students should be sure to turn off lights and computers when they leave rooms,” Boomer said. “We’re already doing good, but we need to do better.”

MSU ranks first in the Big Ten for the lowest electrical consumption per square foot, according to the Office of Campus Sustainability.

Although students should turn appliances off when they’re finished using them, on-campus residents are limited in their sustainability efforts because they don’t have significant heat control in their rooms, Boomer said.

Business owners said increasing natural gas costs add more strain during tough economic times.

“It’s already a little tough and having that just adds to it,” said Erin Horton, a co-owner of California Juice Company, 549 E. Grand River Ave.

Horton said the business would consider using space heaters if costs spiked high enough.

Richard Liscombe, owner of Footgear, 108 Division St., said he had to replace a $5,000 air-conditioning unit on the roof for a more efficient one in the store after energy costs rose during the summer.

“We saw energy costs for air conditioning go up 20 percent, and any additional cost will affect small businesses,” Liscombe said.


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