Factors that Affect Heating Oil Prices in Mystic, CT

by | Oct 25, 2018 | Oil and Gas

Heating oil is a commonly used commodity in many parts of Mystic, Connecticut. If you don’t have access to the natural gas pipelines and use a conventional heater, you will need to order the heating oil regularly in order to keep the heater running. However, people who order the oil regularly throughout the winters obviously realize that the prices continue to fluctuate considerably over the course of the month. Heating oil prices are regulated and continue to fluctuate due to a number of different factors. Sometimes, the heating oil prices might be very low, whereas other times, you might have to pay a hefty premium. Here are just some major factors that affect the prices.

International Exchange Rates

Oil, as you might know, is a globally traded commodity. The exchange rates between different companies have a major impact on how the prices vary. For instance, if the dollar exchange rate increases in relation to a country that the USA is importing the oil from, the heating oil prices in Mystic, CT will automatically increase as well. The international exchange rates obviously play a major role in the prices charged by different companies.

Distribution Costs

In some parts of the country, distribution and transportation is incredibly simple, so the costs are already low. However, if you live in a remote place, the distribution costs will obviously increase your total payable. You can visit the website Andersenoilcompany.com if you want to place an order for heating oil. You can compare the prices charged by multiple vendors in the area before you confirm your order. These are some major factors that have a direct impact on the prices that most oil distribution companies charge from their customers.

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