Oil Vs. Propane Fuel Calculator

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• Hi,

  We need to replace our oil furnace. It is about 14 years old.

  We have two choices for fuel, propane and oil.

  I know that propane furnaces have higher efficiency than oil (approximately 95% vs 85%) is what I've been told.

  Can you help with the decision? What do we need to consider?
  Cost is obviously a factor but I assume not the only one. For instance, is there a difference in the reliability of propane vs oil furnaces? Maintenance? Safety?

  How can I obtain a copy of your Excel calculator, which will show the cost difference?

  Thanks,
  Gary W. Prutchick

  • @ Gary - There are many issues to consider. But, at the end of the day, both systems are very comparable with respect to cost. For instance, do you want propane so you can use it to cook with? or to add a gas fireplace at a future date? With propane you can bury a tank outside and eliminate an oil tank inside your home. My decision was easy, I didn't want an oil tank in my home, we wanted gas to cook with and we have a gas fireplace. The costs end up being a wash over time as propane and oil prices fluctuate. I'll email you the calculator.

    • Also tank wise a good oil tank will cost around three to five hundred dollars as to where a five hundred gallon propane tank brand new will cost you twelve hundred dollars if you plan on owning your tank which is what I would do if you decide to go with propane that way your not tied up with the propane company and have the advantage to shop around. If you get in with one company and decide you don't like them after a while you can ditch them and find someone else an not worry.

  • Gary if you really want a good furnace and you don't plan on adding a fireplace or range that runs off of gas than I would go with a oil furnace. Considering that they actually go up to 95 percent in efficiency and they have more btu's than propane does. That is oil has 140,000 vs propane having 91,500 btu's. So its obvious which is a warmer heat. Also oil furnace have a longer life span than propane furnaces. Oil having thirty years with proper maint. and propane having eighteen years with proper maint. Also another big advantage with oil is that if your running low and the truck can't get out there right away you can always go to the nearest fueling stating and get a couple cans of diesel or kerosene which is what a residential oil furnace runs on.

• Although your info is from several years ago, hopefully you are still available. We have a fuel oil boiler - weismann - and are thinking of converting to a propane burner. Are your numbers based on a propane furnace? Does it make a difference just changing burners? With the lower BTU content, do you get the same level of heat in the water system - we use hot water for heating - or does it take longer to get the same level of comfort?

  Thanks.

  • @ Jim - You can re-create the same numbers if you find out what the efficiency of your new burner will be. I see now performance issues it's really just about the amount of fuel needed to heat to a certain temperature.

• Todd,

  We recently had to get a heating system replaced. With a lot of factors involved, I stupidly agreed to a heat pump with electric backup. Living in Delaware, it is not cutting it and is cutting into our budget. The company is coming out to "fit" our utility area for either a hybrid propane/heat pump or oil system. Not a lot of room in the utility area so I was told our choice might be limited. Can you forward your calculator as I would like to consider the oil if I am able. Any knowledge of this hybrid system them mentioned?
  Thanks kindly, Jay

  • @ Jay - We don't have many heat pumps up here because it's just too cold. I'll email the calculator to you.

• I could use some advice.. I have a new "OIL" Burner in my home. It's the System 2000 which is very energy efficient. It has the capability to switch to propane by switching the burner element. I'm thinking about doing this because in the next couple of years I plan to redo my kitchen and thinking of the switch it to gas.
  Also, my oil tank is old and needs to be replaced.
  Does the system 2000 run even better on propane? How about the costs?
  Wondering cost and efficacy oil vs. propane working on the system 2000

  • @ Steven - You can run the numbers using the calculator and the specs on the furnace. Typically it's a wash depending on pricing of each fuel. Your boiler should have efficiency numbers for both oil and propane and you can also call and get current pricing on both fuels.

• I bought my new england house (CT) in Sept 2008. Had the house inspected etc.... then refined in 2009 had the home inspected by a different co. Then feb 2010 the forced hot air oil furnce started spiting out soot and we have the local fire co insure there was not Co in the house. They told me I had a propane hot water tank and an oil furnace both using the same brick chimmey (which they also told me was a major no no) They sugest I switch over to a Propane furnace. what make model do you sugest?

  • @ Ian - There are several good manufacturers on the market. I suggest you get three estimates from reputable local heating contractors and then compare those brands. I tend to like Weil MacLain and NTI. The best approach though is getting a quality boiler from a company that knows how to service them.

• Hi,
  I just subscribed and am having trouble accessing your Oil vs Propane Fuel Calculator. Could you please e-mail it to me.
  Thanks,
  Barbara

• Hi, I am also trying to to make the decision of propane or oil. I haven't done extensive research the concenses is go propane for the many benefits it offers. Better is always relative with cost of operation being big factor in the decision. But if it burns cleaner, doesn't require a chimney, is easier on the equipment extending the life of the product then it appears to be a wininng choice. Are these benefits backed up with study's? I was not able to find any scientific studies. I look forward to your reply.
  -Mark

  • Mark - From my experience I can say that Propane typically exceeds oil in those categories on a regular basis. It really is a personal decision however, propane really does stack up better than oil when you compare all the pro's and con's.

• Todd: What are the home insurance implications? Is there a premium charged for having an underground propane tank on site? An insurance agency I spoke to stated that they did not underwrite home insurance for underground propane tanks unless the tank was "encased". What does that imply?

  • Nick - First off I think your insurance agent is probably confused/mis-informed. Buried propane tanks are extremely safe for a couple reasons. First off the tank is filled with liquid propane which is quite stable and safe. Secondly, I think the agent may be confusing a buried oil tank with propane. Buried oil tanks often have to have a double layer tank along with some type of containment.

    I've dealt with dozens of buried tanks on both residential and commercial projects and I've never heard this before. I'd start with your propane supplier and mention the insurance companies concerns. I think you can resolve this quickly.

    Good luck.

• Like many others on this thread, I'm evaluating whether to replace my 26 year old furnace with another oil one or a propane system. One thing I am looking into is whether the tax credit would apply to any oil furnaces. I believe they need to be 90%+ efficient and I haven't seen anything out there along those lines. I'm thinking that a highly efficient propane system coupled with a tax credit may be the way to go and the credit should cover the tank burial. Any feedback would be appreciated.

  Thanks

• I live in an all electric home - supplemented by pellets. I am looking into propane or oil to make life easier. Problem - I don't want to make heating my home more expensive! Do you think switching to propane or oil would be cheaper? Please send me your oil/propane calculator!

  Thanks.

  • Denise - There is a link in the article to the Excel spreadsheet. The calculator will only help you compare the cost of oil vs propane, not electric and pellets vs oil or propane.