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AGA Statement on NTSB’s Pipeline Safety Recommendations
AGA Chairman Somerhalder Speaks to New York Society of Security Analysts
AGA Statement on the Announcement that “Gasland” has been Nominated for an Oscar
President Obama Recognizes Role of Natural Gas in Clean Energy Future
AGA Commends Senators’ Introduction of Pipeline Safety Bill
New Report Finds Natural Gas Critical to a Smart Energy Future
AGA Distressed with Proposed LIHEAP Cuts
Dave McCurdy Elected President and CEO of AGA
Safety Remains Top Priority for Natural Gas Industry
AGA Hails State Utility Commissioners for Support of LIHEAP
Congress, Please Don’t Shut off the Heat
AGA Provides Industry Perspective at NTSB Hearing on San Bruno Incident
Abundant Natural Gas Supply Hits Home for Consumers
Natural Gas Costs Less, Says DOE
Task Force Finds Potential for Increased Natural Gas Price Stability
AGA Statement on President Obama’s Support of Clean Natural Gas as a Key Component of America’s Energy Security
“Call Before You Dig” in April and all Year Long
AGA Supports Secretary LaHood’s Call for Continued Focus on Pipeline Safety
AGA Applauds Introduction of the NAT GAS Act of 2011
AGA Statement regarding the crucial role of clean, domestic and efficient natural gas in our energy future
AGA Participates in U.S. Department of Transportation Pipeline Safety Forum
New Report Details Increases in Natural Gas Supply in U.S.
Natural Gas Reduces Greenhouse Gas Emissions
ANGA, AGA to Jointly Promote Natural Gas Vehicles, Infrastructure
AGA Commends U.S. Senate Committee on Commerce, Science, and Transportation on Passage of Pipeline Safety Bill
AGA Supports Bipartisan Energy Legislation
AGA Recognizes Industry Leaders in Employee Safety
Lawrence Borgard, of Integrys Energy Group, Elected First Vice Chairman of AGA Board of Directors
AGA Releases 2011 FERC Manual for Natural Gas Utilities
AGA Unveils Responsible Natural Gas Resource Development Principles
AGA Testifies at U.S. House of Representatives Pipeline Safety Oversight Hearing
AGA Releases Inaugural Natural Gas Playbook
AGA Commends U.S. House Subcommittee on Energy and Power on Passage of Pipeline Safety Bill
Members of the Natural Gas and Oil Industry Announce New Effort to Improve Pipeline System Safety
AGA Comments on the U.S. Energy Secretary’s Shale Gas Production Subcommittee Report
AGA Commends DOE’s Full-Fuel-Cycle Adoption
AGA Commends PHMSA on Pipeline Safety Efforts
AGA Comments on NTSB’s Pipeline Safety Recommendations
AGA Comments on U.S. Chamber of Commerce’s Position on Jobs Creation
AGA Welcomes New VP of Federal Affairs Luis Luna
AGA Applauds Bipartisan Pipeline Safety Bill
Natural Gas Council’s Statement and Recommendations on President Obama’s Job Plan
American Gas Foundation Study: Renewable Gas
AGA Urges Policy Makers to Endorse Recommendations of National Petroleum Council
AGA Urges Congress to Keep LIHEAP a Priority
AGA Commends House Committee Bipartisan Passage Of Pipeline Safety Bill
AGA & Multi-Industry Coalition Send Letter to Super Committee
AGA Submits Comments Reaffirming Support of the NAT GAS Act
AGA to Host 2018 World Gas Conference in Washington, D.C.
AGA Says Reliable and Stable Prices for Consumers This Winter
AGA Applauds U.S. Senate for Bipartisan Passage of Pipeline Safety Bill
AGA’s Distinguished Service Award to Douglas H. Yaeger of The Laclede Group
Lawrence T. Borgard, of Integrys Energy Group, Elected 2012 Chairman of AGA
AGA Releases Commitment to Enhancing Safety
Secretary LaHood Thanks AGA for Leading Industry Collaboration on Safety
AGA Comments on Secretary of Energy Advisory Board, Natural Gas Subcommittee Final Report
AGA Incoming Chairman, Lawrence T. Borgard, Natural Gas Has Opportunities and Challenges in 2012
Natural Gas Utilities Helped Customers Save $62 Per Household Last Year
AGA Applauds Passage Of Bipartisan House Pipeline Safety Bill
LIHEAP Preventing Families From Being Left Out In The Cold
AGA Commends Senate for Swift Passage of Pipeline Safety Bill
Natural Gas Council Statement on NERC Natural Gas-Electric Interdependency Assessment
Videos
AGA Applauds Policy Guidance on Cyber Threat Information Sharing and Antitrust
Utilities Work With Congress to Continue Safe Delivery of Natural Gas
Thomas E. Skains, Piedmont Natural Gas, Receives AGA’s Distinguished Service Award
AGA

 3/17/2011 

AGA Contacts:
Jennifer O’Shea, 202-824-7023
Jake Rubin, 202-824-7027

 Natural Gas Costs Less, Says DOE   

 
Natural Gas Is America’s Best Home Value When Compared to Other Energy Sources
 

Washington, D.C. — The American Gas Association (AGA) today announced the 2011 residential space heating and water heating costs that show natural gas will cost less to use in the coming year than other major home energy sources. The calculated operating cost comparisons between natural gas and other fuels are based on the Department of Energy’s (DOE) Office of Energy Efficiency and Renewable Energy forecast, published in the March 10, 2011 Federal Register.

“Customers who will see the steepest savings in 2011 use natural gas throughout their homes, which will result in across-the-board low operating costs,” said Dave McCurdy, president and CEO of AGA. “The cost-savings that natural gas customers will see in their utility bills are significant, especially during these difficult economic times.”

The better the annual fuel utilization efficiency (AFUE) rating of the equipment the more savings customers can realize.  For example, a 95 percent AFUE natural gas furnace provides the lowest-cost space heating option for homeowners, followed by an 80 percent AFUE natural gas furnace. Both offer significant annual operating cost savings over comparable space heating options.
In addition to these advanced space heating options, a new 40-gallon natural gas water heater provides savings of approximately 50 percent more than comparable options. 

See below for a table listing home-heating and water-heating cost comparisons.

SPACE HEATING ANALYSIS SUMMARY: The space heating analysis is based on a 2,072 square foot house located in St. Louis and represents a 5,000 Heating Degree Day location. The house meets the 2009 International Energy Conservation Code and the space heating equipment is selected from the AHRI online directory. The 95% AFUE (Annual Fuel Utilization Efficiency) natural gas furnace provides the lowest operating cost space heating option.

2011 ANNUAL SPACE HEATING COST SUMMARY


Heating Equipment Type

5000 Heating Degree Days

80% AFUE Gas Furnace

$866

95% AFUE Gas Furnace

$687

80% AFUE Propane Furnace

$2,072

95% AFUE Propane Furnace

$1,696

80% AFUE Oil Furnace

$1,827

85% AFUE Oil Furnace

$1,746

8.0 HSPF Electric Heat Pump

$1,124

Electric Resistance Furnace

$2,095

 

WATER HEATER ANALYSIS SUMMARY: The water heater analysis is based on providing the equivalent First Hour Rating (FHR) based on national average energy usage and the 2011 energy costs as defined by DOE. A natural gas fired 40-gallon and an electric 50-gallon, both conventional storage type, are chosen on this basis. The natural gas water heater would provide the lowest operating cost water heating option.

2011 ANNUAL WATER HEATING COST SUMMARY


Water Heater Type

Annual Cost

40 Gallon Natural Gas (FHR = 74 gallons)

$268

50 Gallon Electric (FHR = 67 gallons)

$541

 

COMBINATION SPACE HEATING AND WATER HEATER INSTALLATION: Based on the annual cost analysis for space heating and water heaters, the combination of a natural gas 95% AFUE furnace and water heater provides the lowest operating cost space/water heating package.

2011 SPACE HEATING AND WATER HEATER INSTALLATION


Space Heating/Water Heating Type

Annual Cost

Natural Gas: 95% AFUE Furnace & Water Heater

$955

Natural Gas  80% AFUE Furnace & Water Heater

$1,134

Electric: Heat Pump & Water Heater

$1,665

# # #
The American Gas Association, founded in 1918, represents more than 200 local energy companies that deliver clean natural gas throughout the United States. There are more than 71 million residential, commercial and industrial natural gas customers in the U.S., of which 94 percent — over 68 million customers — receive their gas from AGA members. Today, natural gas meets almost one-fourth of the United States' energy needs.

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