LUBBOCK, TX – Rural households spend a larger share of income on home energy than urban households, with heating costs creating much of the gap, according to a USDA Economic Research Service report.
The report says 26% of rural households are energy-cost burdened, meaning they spend more than 6% of income on home energy, compared with 17% of urban households. The most remote rural counties averaged 4.16% of income spent on energy versus 2.4% in the largest metropolitan counties.
USDA says rural homes are less likely to use natural gas and more likely to rely on electricity, propane or fuel oil, which generally cost more. Rural areas also experience more very cold days, increasing heating demand.
Housing type adds to the burden. Mobile homes account for about 17% of rural housing units, compared with 3% in urban areas, and cost more per square foot to heat and cool.
Low-income rural households face the greatest pressure. About 45% of rural households below 200% of the federal poverty line experienced some form of energy insecurity, including shutoff notices or forgoing other necessities.
Farm-Level Takeaway: Higher home energy costs add another financial burden for rural families already facing elevated living and operating expenses.