Buyers UP!

February 13, 2006

TO:   Buyers Up Members & Friends
FR: Bill Wilson, Program Manager
RE: Buyers Up Discontinued

As you may have heard, the Buyers Up program has been discontinued.   While Buyers Up had many years of success, it had become apparent that we could no longer remain competitive or continue to offer our traditional level of customer service in the increasingly volatile market of home heating fuel. The decision came after several years of internal discussion and was only coincidental to the recent price hikes.

In the past few years, we attempted to simplify some of our work (e.g., we dropped furnace maintenance contracts from coverage), but the responsibilities continued to grow. Increasingly, fulfilling Buyers Up tasks required curtailing other work of the parent organization, Public Citizen. It’s important to note that Buyers Up has always been a direct service. This is very different from the main mission of Public Citizen—public policy research and advocacy, where our real strengths lie. In an increasingly difficult political environment, it is this public policy work that now requires our full attention. (Please write the address at the top, or visit www.citizen.org, for more information about Public Citizen.)

While the final decision was made last August, we had hoped to negotiate some price and service guarantees with the different suppliers. Some of the issues are still pending, but we do not have any information at this time. Nevertheless, if you have been satisfied with your service, you may want to continue with your supplier. Some may offer incentives (independent of a contract with our office), which you may consider based on your experience with the suppliers.

What you can do now:

Regularly discuss the price you pay with family, friends, and neighbors who also use oil or kerosene to heat. But keep in mind that most prices change from day to day. If you are satisfied with delivery (and if your supplier has been helpful during the past shortages), do not consider a couple cents difference per gallon on any single day as cause for worry. But if you suspect a pattern, don’t hesitate to check with other suppliers. As with all business relationships, past experience is a guide, but only a guide—not a guarantee for future performance.

When checking with other suppliers, be alert to specials they may offer. Always ask if the price is for a “regular customer” or a “new customer.” New customers may get a good price, but you will want to know how the supplier sets prices in the long run. Note, also, that new pricing models are being used—much different from when Buyers Up first started. For example, some suppliers offer guaranteed price limits if a customer commits to the supplier through the season. These programs offer risks and benefits you may want to explore with your dealer.

Be alert to the total costs. Home heating fuel is expensive, but so is furnace maintenance. Does your supplier do both? Is the advantage of the fuel offset by the cost of the maintenance? Does the supplier even provide service in your area? Some suppliers may provide fuel and no service, while others may require you to purchase their maintenance service in order to obtain their fuel price.

If you have access to the Internet, check if a supplier is on the Web and able to provide replies to your email inquiries. Also, the federal government monitors consumer oil prices (and other information) on a state-by-state basis. Although prices may vary by area within a particular state, this can still be useful in evaluating what you should expect to pay. Visit:

Energy Information Administration (US Dept of Energy)

http://www.eia.doe.gov.

Follow the links from PETROLEUM to MORE PRICE DATA (under “prices”) to WEEKLY HEATING OIL & PROPANE PRICES.

• Select the AREA option, which will show price changes each Monday by state (and DC). There’s a great deal of other information provided as well.

For those with limited income, the Low-Income Home Energy Assistance Program (LIHEAP) continues to provide assistance. For more information:

Washington DC: 202-673-6750
Website: www.dcenergy.org/programs/fuel.htm

Maryland: 800-352-1446 (immediately press prompts 1, 2, 5)
Website: www.dhr.state.md.us/meap

Virginia: contact your local city or county Dept. of Social Services
Website: www.dhcd.virginia.gov/housing/hee/liheap.htm

While Buyers Up has come to an end, we are proud of the advantages we provided thousands of consumers over two decades of service. We hope the information above is helpful.

more resources

Because Public Citizen does not accept funds from corporations, professional associations or government agencies, we can remain independent and follow the truth wherever it may lead. But that means we depend on the generosity of concerned citizens like you for the resources to fight on behalf of the public interest. If you would like to help us in our fight, click here.