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Propane vs Electric Heat Calculator

Compare yearly heating cost for propane vs electric resistance heat using your home's BTU need and local prices.

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Typical 2,000 sq ft cold-climate home: ~60,000,000 BTU.

Modern: 90-96%. Older: 78-82%.

Resistance heat: 100%. Heat pump: 250-400% (use mini split calc instead).

Propane / yr

$2332

729 gal

Electric / yr

$2989

17585 kWh

Propane is cheaper by

$658/yr

What this means

At average national prices propane is usually cheaper per BTU than electric resistance heat, but the gap varies a lot by region. In areas with cheap hydro electricity ($0.10/kWh or less) electric can win.

Note this compares resistance electric heat. A modern cold-climate heat pump delivers 2.5-3.5× the heat per kWh, often beating both fuels — try the mini split calculator for that comparison.

How to lower this cost

  • Lock in propane in summer when prices dip 20-30%.
  • Tune your furnace yearly — a clogged burner can drop AFUE by 5-10 points.
  • Consider a heat pump for the shoulder months, with propane as backup for deep cold.
  • The cheapest BTU is the one you don't use — air seal and insulate first.

Next step

What if you switched to a mini split?

Compare heat pump cost

Results are estimates based on typical conditions. Actual costs vary by climate, utility rates, equipment efficiency, and home characteristics. Use them as a starting point — for precise figures consult a qualified energy auditor or your utility company. Estimates are not a guarantee, and any work you do on your home is at your own risk — we are not liable for installation errors or property damage. Air sealing a home with gas, oil, propane, or wood-burning appliances can cause backdrafting and carbon monoxide risk — get a combustion safety test and keep CO alarms working. See our Disclaimer.

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