To calculate New York heating fees, determine the property's location within one of the state's 12 heating districts, which set base rates for natural gas, heating oil, or propane. Multiply the monthly or annual therms (gas) or gallons (oil/propane) used by the district-specific price per unit. Add applicable taxes, including a 4.5% sales tax, a $0.003 per therm Climate Action Reserve fee, and a heating oil surcharge averaging $0.03 per gallon. Low-income households may qualify for discounts through programs like the Home Energy Assistance Program (HEAP).

New York's heating fees are structured regionally due to varying infrastructure and fuel availability. Each district—such as the Con Edison zone in Manhattan or the Long Island Power Authority area—sets rates based on supply costs and local demand. For example, the average cost per therm in 2023 ranged from $1.10 to $1.50, while heating oil cost $1.80 to $2.20 per gallon, per New York State Energy Research and Development Authority (NYSERDA) data. Taxes and surcharges ensure funding for energy efficiency programs and environmental compliance. The 4.5% sales tax applies statewide, while the Climate Action Reserve fee, mandated by the Department of Environmental Conservation (DEC), supports carbon reduction initiatives. The heating oil surcharge, imposed by the Public Service Commission, offsets infrastructure upgrades. These components collectively determine the final bill. NYSERDA estimates the average annual heating cost for a typical New York household at $2,500, with higher costs in northern regions where heating demand peaks. Proper calculation ensures accurate budgeting and compliance with state regulations, emphasizing the need to reference updated rate schedules annually.