The Michigan Public Service Commission has released the 2020-2021 Winter Energy Appraisal. The report projects a rise in home heating fuel demand and a decrease in overall energy demand.
Energy use followed an unprecedented pattern in 2020, as residents worked from home and business energy use was driven down. The Michigan Public Service Commission admits “the pandemic has thrown a curveball” to their typical forecasting efforts.
The MPSC predicts a significant decline in industrial use of natural gas, but an increase in residential, as 77% of Michigan homes use natural gas for heat. Overall demand is expected to decline.
Propane prices are not moving a whole lot right now, while gasoline is down about 46 cents per gallon from this time last year. Demand for gasoline has declined for the first time since 2012.
Electricity demand is expected to decline slightly, with no reason to believe there will be shortages or excessive demand on the power grid, but individual bills may be higher as people are simply home more and using more electricity in their homes.
Reporting for WGRT- Jennie McClelland