Kristy Hallowell had just lost her job when her energy bill unexpectedly tripled to $1,800 a month. Unable to pay, her gas and electricity were cut off and she, her two children, and her mother spent six months of last year relying on a generator to light and heat their house.
The 44-year-old is one of millions of Americans who have fallen behind on their energy bills as prices have soared over the past year. The electricity is now back on at her home in Greenwood Lake, New York, after a local non-profit helped reach an agreement with the utility to accept a partial payment. But the gas is still off and electricity bills keep mounting this winter, leaving her in fear of another shut-off. She said she now had about $3,000 in utility debt.
This has been traumatic, to say the least, she said.
Nearly one in 20 households are at risk of having their utility debt sent to collections heading into the winter months, according to a recent report. The number of households with severely overdue utility debt rose by 3.8% in the first six months of Trump's second term, the analysis of consumer credit data, compiled by the Century Foundation and Protect Borrowers, found. Residential energy bills have emerged as a key cost-of-living concern among American consumers, as many buckle under the weight of rising prices.
Electricity prices rose 6.9% from the year before - much faster than overall inflation. The White House blames former President Joe Biden and US central bank interest rates for the lingering economic pain. Energy bills are expected to steadily rise, exacerbated by increasing demand from technology companies investing heavily in AI infrastructure, straining the power grid.
With energy bills among the heaviest burdens for households, experts predict that unless innovative policies are embraced, families will continue to face financial strain amid a changing economy.
The 44-year-old is one of millions of Americans who have fallen behind on their energy bills as prices have soared over the past year. The electricity is now back on at her home in Greenwood Lake, New York, after a local non-profit helped reach an agreement with the utility to accept a partial payment. But the gas is still off and electricity bills keep mounting this winter, leaving her in fear of another shut-off. She said she now had about $3,000 in utility debt.
This has been traumatic, to say the least, she said.
Nearly one in 20 households are at risk of having their utility debt sent to collections heading into the winter months, according to a recent report. The number of households with severely overdue utility debt rose by 3.8% in the first six months of Trump's second term, the analysis of consumer credit data, compiled by the Century Foundation and Protect Borrowers, found. Residential energy bills have emerged as a key cost-of-living concern among American consumers, as many buckle under the weight of rising prices.
Electricity prices rose 6.9% from the year before - much faster than overall inflation. The White House blames former President Joe Biden and US central bank interest rates for the lingering economic pain. Energy bills are expected to steadily rise, exacerbated by increasing demand from technology companies investing heavily in AI infrastructure, straining the power grid.
With energy bills among the heaviest burdens for households, experts predict that unless innovative policies are embraced, families will continue to face financial strain amid a changing economy.
