Staff Reports
According to Bloomberg, at least 20 million American households, or one in every six homes, are behind on their electricity payments as the country continues to experience soaring energy costs.
According to Bloomberg, which cited data from the National Energy Assistance Directors Association, the energy crisis is pushing low-income households into a record amount of late utility payments, resulting in billions of dollars in past-due utility bills (NEADA). According to NEADA, this is the worst crisis the group has ever recorded. As a result, some power providers are cutting off power to their clients, which means that many low-income households would go without electricity during widespread heatwaves.
Inflation, rising prices for fossil fuels like natural gas, coal, and crude oil, and the high demand for electricity as people move to cool their homes in the summer have all contributed to recent spikes in electricity prices in the U.S. The overall index for all electricity costs increased by 0.7% in July, according to the Bureau of Labor Statistics.
Natural gas, which powers approximately 40% of American electricity, saw a spike in price on Tuesday, reaching its highest level since 2008. Additionally, the world's supply of fuel has decreased due to U.S. and EU sanctions on Russian energy imports following its invasion of Ukraine, increasing the cost of electricity.
As state regulators frequently allow utilities to make up their losses by charging consumers who are paying their bills more or by having taxpayers foot the tab, according to Bloomberg, the backlog of unpaid bills might even harm customers who can still afford their power payments.
The $369 billion green energy and climate package, which the Biden administration actively invested in, contains provisions that are intended to reduce rising energy costs. Although the bill aims to promote "energy security," it would impose different levies, taxes, and other limitations on the extraction of fossil fuels, which may lead to an increase in the price of power.
Additionally, the administration is preventing breakthroughs in fossil fuels and alternative energy that could lower prices.
The Daily Caller News Foundation's request for comment from the White House and NEADA was not immediately met with a response.
The preceding is a summary of an article that originally appeared on The Gateway Pundit.
