Heating oil prices continue to slide in Maine, following the downward trajectory of global prices.

The statewide average price of oil Monday was $1.83 a gallon, ranging from a low of $1.77 a gallon in the southwestern region of the state to a high of $1.99 a gallon in northern Maine, according to the Governor’s Energy Office. Last week, the statewide average was $1.86 a gallon and it was $1.92 a gallon the week before.

FUEL PRICES IN MAINE

Here are the per gallon average heating fuel prices in Maine, as of Dec. 28.

Heating oil: $1.83

Kerosene: $2.44

Propane: $2.22

Source: Governor’s Office of Energy

When Tim Darnell of Cash Energy was delivering heating oil in 2013, it was the last of three straight winters when average prices were above $3.50 a gallon. Now they’re below $2. 2013 Press Herald file photo/Shawn Patrick Ouellette

Kerosene prices also dipped, down 2 cents a gallon from a week ago to $2.44 a gallon. Propane prices were flat from a week ago at $2.21 a gallon.

Crude oil prices have continued to decline, even as American producers have begun to cut back on drilling because the low prices don’t justify the cost of continued or increased drilling. The federal Energy Information Administration is projecting that U.S. oil output will drop by a record 570,000 barrels a day in 2016, but Iranian oil officials announced this week that they expect to begin exporting about 500,000 barrels a day when the international embargo on that country’s petroleum is lifted early next month.

With about two-thirds of Maine homes heated by oil, the savings from lower prices are expected to be significant. The EIA said the cost of oil for homes will average about $1,400 nationwide from October to March, down more than $450 from last winter.

Jamie Py, president of the Maine Energy Marketers Association, which represents fuel dealers in the state, said prices are at a decade low and most experts predict that the worldwide oil glut will likely last at least a couple of years. Barring any significant change, he said, prices should stay low.

He said a decision by Congress this week to lift a ban on exporting U.S.-produced oil might provide a small boost to oil prices in the next few months, but it’s not expected to have a significant impact.

Py said the low prices could cause some homeowners to put off plans to shift from oil burners to some other heat sources because the economics no longer justify the change. However, he suggested that homeowners continue to put money into weatherizing their homes because the benefits will pay off regardless of how the home is heated.

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