In my 45 years in this business, I have never seen a heating season start with such anxiety. Natural gas, heating oil, and propane prices have gone up more than any one thought possible just a few months ago. As a country, we are entering the winter with some of the lowest inventories of heating fuel in recent memory.

I’ve talked with many of you, and I know that this is causing hardship and concern. You may not realize it, but for many reasons, it causes severe hardship for our company as well. I want you to know about some steps we are taking to ensure your family’s comfort, and to cushion you against the ridiculous prices that we are being forced to charge because of the craziness in the world energy markets.

1. Even though the price we pay for oil has gone up by over 73% since last October, we have only raised our rates by an average of 36%. I know this doesn’t change the fact that you are writing big checks. But I want you to know that just because oil prices are up, it doesn’t mean we are making more money from it.
    
2. For the first time in our history, we are allowing our customers to enroll in our Even Payment Program as late as November (usually you must start in July). If you choose this option, we will estimate your remaining winter fuel bills, and let you spread your payments over the entire heating season. You are still responsible for the oil you get at the price on the day of delivery. But even if you get two deliveries in one month, which could be a very big burden this year, you will only have to pay the monthly Even Payment bill.
   
   There is no charge for this program, however, if you want to enroll you must mail back the enclosed card, and your account must be kept current. Please be sure to contact your dealer if you want to enroll.
    
3. We have also secured special financing for customers who want to upgrade their heating system. A new, high efficiency oil heat system can cut your fuel use by up to 40%. If your heating unit is more than 20 years old, you could save a bundle, and make very low monthly payments. We are also freezing our installation prices at last year’s rates. In many cases, we can install a new system in one day.
    
4. We have put other suggestions for cutting your fuel bills on our web site.  It may seem strange that we would be encouraging you to use less fuel, since we make our money by selling you oil, what matters most to us is the relationship we have with you, and the trust we earn.

I wish I could tell you that things will get better soon. But there is a good deal of uncertainty in the energy markets. What I can tell you is we have never let our customers go without fuel. We have not speculated with price cap “deals” that could well backfire this year. And just as important, we are prepared to provide you with the kind of service that keeps your family safe and warm, no matter what the conditions. Oil prices are dominating the headlines now. But if you think back as recently as last January, frigid temperatures can wreak havoc just as well.

Of even more concern are possible shortages of heating oil for those oil dealers who do not have contracts with reliable suppliers and who have been irresponsible by offering unrealistic, lower prices to attract new customers, and they may not be able to deliver should the prices stay high. This practice is irresponsible and puts their customers in jeopardy this winter

When oil prices drop for a sustained period, we will be the first to celebrate. Until then, be assured that we are on the job, and doing all we can to take the best care of your family.

Sincerely,