{
  "slug": "propane-vs-natural-gas-heating-cost",
  "title": "Propane vs Natural Gas Heating Cost Calculator",
  "heading": "Propane vs Natural Gas Cost Calculator",
  "category": "financial",
  "url": "https://www.revenuelab.fyi/toolbox/propane-vs-natural-gas-heating-cost",
  "summary": "Compare annual heating cost per BTU delivered between propane and natural gas.",
  "description": "Propane burns hotter per unit but costs several times more per gallon than natural gas costs per therm, and homes without a gas line have no choice — the real question is whether the higher price per BTU of propane is offset by not paying for a gas line extension. This tool compares annual heating cost using each fuel's price and BTU content, plus optional gas line hookup cost, so you can see the real total and the payback period on installing gas service.",
  "formula": "Annual Cost = Annual BTU Need / BTU per Unit × Price per Unit. Gas Line Payback = Hookup Cost / Annual Savings.",
  "dateModified": "2026-09-06",
  "run_url": "https://www.revenuelab.fyi/api/public/calc?tool=propane-vs-natural-gas-heating-cost",
  "inputs": [
    {
      "id": "annualBtu",
      "label": "Annual heating need",
      "kind": "number",
      "hint": null,
      "default": 80,
      "unit": "million BTU",
      "min": 1,
      "max": null
    },
    {
      "id": "propanePrice",
      "label": "Propane price",
      "kind": "number",
      "hint": null,
      "default": 2.6,
      "unit": "$/gallon",
      "min": 0,
      "max": null
    },
    {
      "id": "gasPrice",
      "label": "Natural gas price",
      "kind": "number",
      "hint": null,
      "default": 1.3,
      "unit": "$/therm",
      "min": 0,
      "max": null
    },
    {
      "id": "gasLineCost",
      "label": "Gas line hookup cost (if none exists)",
      "kind": "number",
      "hint": null,
      "default": 3500,
      "unit": "$",
      "min": 0,
      "max": null
    }
  ],
  "outputs": [
    {
      "id": "winner",
      "label": "Cheaper fuel",
      "format": "raw",
      "hint": null,
      "primary": true
    },
    {
      "id": "propaneCost",
      "label": "Propane annual cost",
      "format": "currency",
      "hint": null,
      "primary": false
    },
    {
      "id": "gasCost",
      "label": "Natural gas annual cost",
      "format": "currency",
      "hint": null,
      "primary": false
    },
    {
      "id": "diff",
      "label": "Annual savings",
      "format": "currency",
      "hint": null,
      "primary": false
    },
    {
      "id": "paybackYears",
      "label": "Gas line hookup payback",
      "format": "duration",
      "hint": null,
      "primary": false
    }
  ],
  "worked_example": {
    "inputs": [
      "Annual heating need: 80 million BTU",
      "Propane price: 2.6 $/gallon",
      "Natural gas price: 1.3 $/therm",
      "Gas line hookup cost (if none exists): 3500 $"
    ],
    "outputs": [
      "Cheaper fuel: Natural Gas",
      "Propane annual cost: $2,273",
      "Natural gas annual cost: $1,040",
      "Annual savings: $1,233",
      "Gas line hookup payback: 2.8"
    ]
  },
  "how_to": {
    "title": "How to use this",
    "steps": [
      "Enter annual heating need (million BTU).",
      "Enter propane price ($/gallon).",
      "Enter natural gas price ($/therm).",
      "Enter gas line hookup cost (if none exists) ($).",
      "Read your cheaper fuel on the right — it updates as you type.",
      "Hit Share to keep the scenario or send it to someone."
    ]
  },
  "scenarios": [
    {
      "name": "Conservative",
      "description": "Lower-end numbers — what if things land soft?",
      "values": {
        "annualBtu": 50,
        "propanePrice": 1.56,
        "gasPrice": 0.78,
        "gasLineCost": 2100
      }
    },
    {
      "name": "Typical",
      "description": "Defaults — the most common real-world setup.",
      "values": {
        "annualBtu": 80,
        "propanePrice": 2.6,
        "gasPrice": 1.3,
        "gasLineCost": 3500
      }
    },
    {
      "name": "Ambitious",
      "description": "Higher-end numbers — what if things really pop?",
      "values": {
        "annualBtu": 130,
        "propanePrice": 4.16,
        "gasPrice": 2.08,
        "gasLineCost": 5600
      }
    }
  ],
  "limitations": [
    "Results are estimates before tax, fees, and inflation unless an input explicitly covers them.",
    "Rates are treated as fixed for the whole period — variable-rate products will drift from this projection.",
    "This is educational maths, not financial advice. Check anything contractual with the lender or your accountant."
  ],
  "faq": [
    {
      "q": "Why is propane usually more expensive per BTU?",
      "a": "Propane must be trucked to a storage tank on your property rather than piped in continuously, adding delivery cost that natural gas utilities spread across a whole pipeline network."
    },
    {
      "q": "Does propane ever make sense?",
      "a": "Yes — in rural areas without gas lines, propane is often the only practical option, and it burns cleaner than heating oil while heating water and stoves more efficiently than electric resistance."
    },
    {
      "q": "Should I lock in a propane price contract?",
      "a": "Pre-buy or price-cap contracts before winter can protect against price spikes, but compare the locked rate to recent spot prices before committing for a full season."
    }
  ],
  "related": [
    "https://www.revenuelab.fyi/toolbox/heat-pump-vs-gas-furnace-cost",
    "https://www.revenuelab.fyi/toolbox/gas-vs-electric-water-heater-cost"
  ],
  "license": "CC-BY-4.0",
  "citation": "RevenueLab — Propane vs Natural Gas Heating Cost Calculator (https://www.revenuelab.fyi/toolbox/propane-vs-natural-gas-heating-cost)"
}