Natural gas heaters are generally cost-effective to run compared to electric heaters, offering lower fuel costs and higher efficiency for heating homes.
Natural gas heaters are generally cheaper to run than electric heaters, but actual costs depend on several factors. This guide compares operating costs, efficiency, and long-term savings to help you make an informed decision.
Natural Gas vs Electric Heating Costs
The U.S. Energy Information Agency (EIA) forecasts these average winter heating costs:
| Heating Type | Average Winter Cost (2025-25) |
|---|---|
| Natural Gas | $602 |
| Electric Resistance | $1,054 |
| Heat Pump | $527 (50% less than resistance) |
Natural gas remains the most affordable option for most homes. However, modern built-in gas heaters with high efficiency ratings can reduce costs further.
Why Natural Gas Costs Less
Three key factors make natural gas heaters cheaper to operate:
- Natural gas prices are historically stable
- Gas contains more energy per unit than electricity
- Modern gas heaters achieve 90-98% efficiency
Regional Cost Differences
Heating costs vary significantly by location. According to Massachusetts data:
| Heating Type | Cost Increase vs Last Year |
|---|---|
| Natural Gas | 24% higher |
| Electric | 6% higher |
The Midwest may see 11% higher natural gas costs this winter. Check EIA reports for your area’s specific pricing trends.
Efficiency Comparisons
Gas Heater Efficiency
Modern gas heaters like the Rinnai RL94EN achieve up to 94% efficiency. This means nearly all the gas is converted to heat with minimal waste.
Electric Options
Standard electric resistance heaters are 100% efficient but cost more to operate. Heat pumps can be 200-300% efficient by moving heat rather than generating it.
Long-Term Cost Considerations
While natural gas has lower operating costs, consider these factors:
Installation Costs
Gas heaters require gas lines and proper venting. Electric systems often have lower upfront costs but higher monthly bills.
Maintenance
Gas heaters need annual inspections for safety. Electric systems typically require less maintenance.
Future Price Trends
According to Massachusetts energy reports, gas prices may rise faster than electricity in coming years.
Tips To Reduce Natural Gas Heating Costs
- Install a programmable thermostat
- Seal air leaks around windows and doors
- Add insulation to attics and walls
- Schedule annual maintenance for your heater
- Consider zone heating for unused rooms
For supplemental heating, indoor propane space heaters can be cost-effective for small areas.
Environmental Impact
While natural gas burns cleaner than oil, it still produces greenhouse gases. Electric heat pumps powered by renewable energy offer the lowest carbon footprint.
