Governor Doyle: Statement of Governor Doyle on U.S. Energy Department Report

Contact:
Anne Lupardus, Office of the Governor, 608-261-2162

Federal Report Shows Midwest Heating Bills to Rise 61 Percent

The U.S. Department of Energy today released a report on expected increases in home energy costs, concluding that natural gas bills for households in the Midwest would rise by 61 percent this season. Governor Jim Doyle made the following statement:

“I am very suspicious that the big, multinational energy companies are capitalizing on natural disasters to drive up their profit margins, and this report is just the latest evidence.

“An average family in Wisconsin could pay an extra $2,000 this year because of higher gasoline and natural gas prices. This may not sound like a lot of money to George Bush, but that is a major hit on a family budget in Wisconsin. It’s also a hit on Wisconsin’s economy, because that’s $2,000 less a family can spend going out to dinner, taking a vacation, or buying clothes.

“The American people deserve a real explanation on why prices are going up by so much, and who is reaping the windfall. We are doing everything we can at the state level to help families get through the winter heating season, but the federal government needs to take strong action.

“One step the Bush Administration and Congress could take is to dramatically increase funding for low-income energy assistance, so that seniors and low-income families in the Midwest can make it through the winter. I have more than doubled the state’s commitment to these programs, but we need Washington to do the same.”

A study in the current issue of Forbes magazine finds that the recent gas price increases will cost an average two-income, two-commuter household in Milwaukee $1,334 a year. The National Energy Assistance Directors Association has estimated that winter heating costs in the Midwest – where 79 percent of homes are heated by natural gas – will go up $611 this year.

The Energy Department report is available online at: http://www.eia.doe.gov/emeu/steo/pub/contents.html

Governor Doyle recently announced his Energy Help initiative, which more than doubles state funding for low-income heating assistance, increases Wisconsin’s commitment to energy conservation, and takes other steps to help families make it through the winter. More information is available at: http://www.wisgov.state.wi.us/journal_media_detail.asp?prid=1378