Natural Gas Is America’s Best Home Value When Compared to Other Energy Sources
Washington, D.C . – Natural gas will cost less to use in 2009 than other major home energy sources, according to the Department of Energy’s (DOE) Office of Energy Efficiency and Renewable Energy. The DOE forecast of projected costs of natural gas, electric, propane and kerosene energy use was published in the June 3, 2009 Federal Register.
According to DOE, 1 million British thermal units (Btus) of natural gas will cost an estimated $11.12 this year – while the equivalent amount of electricity will cost families roughly three times as much ($33.41) on average. Natural gas will also cost less than heating oil and propane, which are forecast to be $16.22 and $21.02 respectively.
“Once again, we’re reminded that using natural gas in our homes and businesses can result in substantial cost savings,” said David Parker, president and CEO of the American Gas Association (AGA). “In these trying economic times, those savings are vital for hardworking Americans and their families.”
“And because natural gas appliances are more energy efficient than their electric counterparts, our customers are not only keeping money in their wallets but are also conserving vital energy resources and reducing greenhouse gases,” he said.
The least expensive way to heat a home in 2009 is with a high-efficiency (94 percent) natural gas furnace, according to an AGA analysis of DOE’s cost projections. This option will cost consumers an estimated $694 in 2009, compared with $2,050 for the most expensive home-heating option – an electric resistance system (such as electric warm air furnace heating), AGA said.
See below for a table listing home-heating and water-heating cost comparisons.
SPACE HEATING ANAYLSIS 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 ARI online directory. The 94% AFUE (Annual Fuel Utilization Efficiency) natural gas furnace provides the lowest operating cost space heating option.
2009 ANNUAL SPACE HEATING COST SUMMARY
|
Heating Equipment Type |
5000 Heating Degree Days |
|
80% AFUE Gas Furnace |
$872 |
|
94% AFUE Gas Furnace |
$694 |
|
80% AFUE Propane Furnace |
$1,588 |
|
94% AFUE Propane Furnace |
$1,300 |
|
80% AFUE Oil Furnace |
$1,236 |
|
84% AFUE Oil Furnace |
$1,175 |
|
8.0 HSPF Electric Heat Pump |
$1,053 |
|
Electric Resistance Furnace |
$2,050 |
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 2009 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.
2009 ANNUAL WATER HEATING COST SUMMARY
|
Water Heater Type |
Annual Cost |
|
40 Gallon Natural Gas (FHR = 67 gallons) |
$282 |
|
50 Gallon Electric (FHR = 62 gallons) |
$554 |
COMBINATON SPACE HEATING AND WATER HEATER INSTALLAITON: Based on the annual cost analysis for space heating and water heaters, the combination of a natural gas 94% AFUE furnace and water heater provides the lowest operating cost space/water heating package.
2009 SPACE HEATING AND WATER HEATER INSTALLATION
|
Space Heating/Water Heating Type |
Annual Cost |
|
Natural Gas: 94% AFUE Furnace & Water Heater |
$976 |
|
Electric: Heat Pump & Water Heater |
$1,607 |