Compare Cost Gas Furnace Vs. Electric Heater

Compare Cost Gas Furnace Vs. Electric Heater thumbnail
Electric furnaces tend to cost more than gas versions.

Furnaces help heat the air in homes to maintain certain atmospheric conditions. Since furnaces are a major residential expense from year to year, homeowners can pay varying amounts depending on the size and type of furnace that they have. Two of the most common versions are gas and electric. Overall, electric heaters tend to be the most expensive, but rates can vary based on location. Does this Spark an idea?

  1. Gas Furnace

    • When people speak about a gas furnace, they are usually referring to a natural gas appliance that uses gas from a main line that is installed under a street and pumped to multiple houses. The gas is then sprayed into the furnace and ignited to generate heat that is then transferred to the air. The other type of gas furnace is propane, but these are typically used in areas where natural gas is not available, and cost much more to run. Natural gas costs around $20 to use per month, if used frequently.

    Electric Furnace

    • An electric furnace uses electrical resistance to generate heat. A heating element, or highly protected metal, is attached to the furnace. As electricity runs through the element, the metal resists the flow and builds up energy, which is released as heat. It takes a lot of electricity to create enough warm to correctly run a furnace, so this tends to cost more than natural gas, around $30 per month.

    Efficiency

    • The efficiency of the furnace is an important consideration when calculating costs. A natural gas furnace that operates at 80 percent efficiency--80 percent of the energy used to run the furnace goes into warming the air--will perform better than a gas furnace rated at 70 percent. An electric furnace rated at 90 percent will be closer in cost to a gas furnace rated at 80 percent than one at 90 percent.

    Space Factors

    • Furnaces are designed to heat a certain amount of space, and residential furnaces are typically designed to heat entire homes. This means that a furnace designed for the right amount of cubic feet of air will cost less to use than a furnace that is too big or too small. An electrical space heater may save more money in one room than running the entire gas furnace to heat a small space.

    Variance

    • There is great variance in both electricity and natural gas prices, affected by changes in the market around the world. In the United States costs tend to vary a lot by state--Washington, for instance, has electrical costs several cents less per kilowatt than California. These location-based price differences can add up significantly over time.

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References

  • Photo Credit air conditioner vent image by Tammy Mobley from Fotolia.com

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