Americans will pay the highest heating bill in 25 years this winter. U.S. households will face an average electric bill of $1,359 this winter, the highest since at least 1997, according to the Energy Information Administration, Bloomberg reports.

While much of the increase is due to higher natural gas costs, homes that use oil for heating, such as those in the Northeast, will be hit even harder, with an average bill of $2,354.

The prediction is based on the fact that global diesel and natural gas shortages will cause a hard winter for households around the world. In Europe, governments are developing contingency plans to provide heat and light. Higher energy costs add to historical inflationary pressures as consumers are already paying more for everything from gasoline to groceries.

In the U.S., diesel supplies are at their lowest seasonal level on record, and gas stocks are 6% below the five-year average. The energy crisis will mostly affect the northeastern U.S., which has limited pipeline capacity and uses diesel for heating.

The agency said natural gas and distillate prices, including fuel oil, will rise nearly 30 percent this winter.