Winter heat crisis looms, little relief seen

High fuel prices and the weak economy could make heating a luxury this winter. And the government’s low-income assistance plan may not suffice.

NEW YORK (CNNMoney.com) — Home heating bills are expected to rise dramatically this winter and there is growing concern that the government program aimed at helping poor families cope with energy costs may not be able to meet the needs of cash-strapped households.

The Low Income Home Energy Assistance Program (LIHEAP) is a federally funded program that gives money to states to help low-income households, the elderly and the disabled cope with the financial strain of high heating bills.


This year, however, the program could be squeezed by a projected 20% average increase in heating bills nationwide and an influx of people applying for assistance due to sour economic conditions, high gas prices and a weak labor market.

“This could be the worst winter ever for low-income folks,” said Jerry McKim, who oversees Iowa’s LIHEAP program for the state’s Bureau of Energy Assistance.

CNN