5/1/2015

HowtoCompareCostsofHeatingSources

AccessEnergyCooperative
1800WestWashingtonStreetP.O.Box440
MountPleasantIA,52641319385157718662424232

HowtoCompareCostsofHeatingSources
Ourmission:AccessEnergyCooperativeisdedicatedtoexceedingmembersexpectationsfor
safe,reliable,efficientservicewhilebeingagoodcitizeninourcommunities.
Comparingthecostofheatingbetweendifferenttypesoffuelssuchaspropane,fueloil,oreven
woodisadifficulttaskforconsumers.Onereasonfortheconfusionisthateachfuelissoldina
differentunitofmeasure,aslistedbelow.

Propanebythegallon
Woodbythecord
Electricitybythekilowatthour
Kerosenebythegallon
Coalbythepound
Fueloilbythegallon
Naturalgasbythecubicfootorbythetherm(100,000BTU)

Sohowdoyouconverteachtoacommonunitthatallowsanapplestoapplescomparisonof
costs?BeginthecomparisonbyconvertinganytypeofheatingsourcetoitsequivalentCostper
millionBTU.Thismayseemlikeastrangeunitofmeasureatfirst,butonceyoulearnhowto
makethesimplecalculations,itsvalueasacomparisontooliseasytosee.Itallowsanytypeof
energy,includingelectricity,tobecomparedonitsheatoutputvs.dollarcost.

Certainlytheefficiencyoftheheatingdevicemustbetakenintoaccountinanycomparison.But
first,itsimportanttounderstandhowtodeterminethecostpermillionBTUcalculation.

Eachfuelcontainsadifferentamountofheatwhenburned,knownasitsheatcontent.Burninga
gallonoffueloilreleasesmoreBTUsofheatthanburningagallonofkeroseneoragallonof
propane.Refertothetablebelowtoseethedifference.Noticealsoourearlierpointabouttheunits
inwhichfuelsaresold(gallons,pounds,cu.feetandcords.)Usingtheheatcontentofeachfuel,
andconvertingtoacommonvalueofdollarspermillionBTU($perMMBTU)allowsaclearer
comparisonbetweenfuels.

FUELTYPE
Kerosene
#2FuelOil
Propane

HEATINGVALUE

135,000BTU/gal.
139,400BTU/gal.
91,600BTU/gal.

NaturalGas

1,000BTU/cu.ft.

http://www.accessenergycoop.com/Content/GoingGreen/LinkstoHomeImprovementIdeas/HowtoCompareCostsofHeatingSources.aspx?PF=True

1/2

5/1/2015

Biogas
Hardwood
WoodPellets(premium)
Coal(Bituminous)
Electricity(resistance)

HowtoCompareCostsofHeatingSources

600BTU/cu.ft.
24,000,000BTU/cord
8,200BTU/lb.
13,000BTU/lb.
3.412BTU/kWh

Asasimpleexample,letscomparethecostofusingkeroseneandpropane,burnedinunvented
portableheaterstothecostofanelectricheater.Unventedheatersdeliveralltheirheatof
combustionintotheroom.Ventingcombustiongassesisdonebyopeningawindowainch,
whichisalwaysrecommended.Therefore,withthisheatloss,theefficiencyofthekeroseneand
propaneheaterswillbeconsidered95%efficient.

Intermsof$perMMBTU,atapriceof$3.00pergallon,thekeroseneheaterdeliveredheatfor
thelowestcostof$13.72perMMBTU.Propanepricedat$1.76pergallondeliveredamillion
BTUsfor$20.23.Theportableelectricheater(at10perkWh)deliveredwarmthforslightlymore,
at$27.84perMMBTU.

Membersmayrealizethatbeyondprice,thereareotherconsiderationssuchasfiresafetywith
openflamedevices,airqualitywithunventedheaters,andtheneedtomanuallyrefueltanks
comparedtoelectricheatingwhichisautomatic.Also,wehavenotconsideredheatpumpsand
theirmuchhigherefficiency.Butthissimplifiedportableheaterexampleillustratestheconceptof
comparingheatingfuelsontheirequivalent$perMMBTU.

http://www.accessenergycoop.com/Content/GoingGreen/LinkstoHomeImprovementIdeas/HowtoCompareCostsofHeatingSources.aspx?PF=True

2/2