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Old 05-11-2009, 07:56 AM   #1
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Oil vs Propane

I was wondering which is cheaper to heat with.
Our HVAC guy boasts how efficent the new propane boilers are.I am an electrician and remind him that electric heat is even more efficent...however much more expensive to heat with.

I just purchased a house and need to change the boiler.It is a system 2000 installed in 1994 and the house froze and I dont want to take a chance on it failing on a cold winter day.The piping to the baseboard heaters is split in many places plus I will be adding radiant in various locations.

Any input from another pro would be appreciated.

Thanks...

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Old 05-11-2009, 03:58 PM   #2
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Depends on what your per gallon rate is.

If you own your own LP tank, it may be cheaper.
if you rent the LP tank, it will could easily cost more.

Oil at $3.00 a gallon 80% efficiency still cost less to heat with then LP at $2.35 a gallon and 95% efficiency.
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Old 05-11-2009, 04:47 PM   #3
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Propane/Lng has a longer lifespan on the equipment with less maintence.
Oil has much more cleaning and repair required.

Looking at install, it smells bad to direct vent oil, and might stain the siding.Direct venting lp/lng is very easy. Plus it is useful if you decide to install a gas fireplace to supplement your hvac plan.

Depends on what is the primary fuel is in your area. Dont get propane if there are only three suppliers around and their main business is from forklifts and industrial customers.

If I build a vacation home to be used in summer, I just install electric to get by code.

All forms of heat have their place, just like many construction questions all the varables need to be looked at before you make a decision.
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Old 05-11-2009, 07:37 PM   #4
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If you've got the money, go with a water to water heat pump.
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Old 05-11-2009, 10:01 PM   #5
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Oil is about 139,000 Btu. per gallon while Propane is actually about 92,000 Btu. per gal. The factor of efficiency also needs to address variable capacity and boiler supply water temperature which can be done with the gas boiler and directly affect the use of fuel when demand is low. The best comparison I can offer is highway mileage in a small car vs a large car. When the boiler operates in low it is the most efficient, similar to the extraordinary highway mileage a smaller car can achieve over a larger. The boiler can ramp up and still provide full demand capacity when required.
Much more can be said about mixed return water and what can be done with each fuel etc. However the controls, labor, set-up and maintenance to achieve the similar savings using fixed capacity and even condensing oil equipment is so much higher that the tried and true gas equipment available today gets high marks from me right now.
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Old 05-12-2009, 08:56 AM   #6
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Thanks guys,

I dont think a heat pump will work here in north east PA.

Oil they said is about 1.90.

Propane...depends on how much you use?!!...What a rip-off.

Imagine going to a gas station with a five gallon jug and they ask what it is it for.If it is for your car that you drive every day it is the lowest price , if it is for your generator that you use twice a year it is the higher price????

Confusing...
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Old 05-12-2009, 03:02 PM   #7
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Heat pumps work anywhere in PA.

Your just hearing from people that know little to nothing about how a heat pump works.

When they said depends how much propane you use.
Thats because the tank rental fee varies with how much you use.
If you buy your own tank. Then its a more stabile price. Like oil is.
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Old 05-14-2009, 06:08 PM   #8
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I used a program on operating costs that compared all sources years ago. At the time, LP & Oil ran neck & neck but way ahead of electric in operation costs. Gas was recomended ( LP or Natural ) coupled with a Heat Pump. I installed LP gas & Heat Pump in my home when I bought it. Oil has inherent maintenace costs & diminishing efficiency as the soot builds up internally & can't be cleaned. Cost has been tit for tat versus cost & efficiency. We only installed 90+% gas furnaces compared to oil at 80+-% efficiency.

Recently I had a request for changing oil to all electric as oil was running about $3-4 per gallon & HO was convinced electric would be cheaper. She requested estimated costs of operation.

I used Carriers OpCost calculator again & to my dismay, Oil, LP Gas & Electric are about even. Heat Pump with electric backup showed tremendous savings - for me approximately $ 1300 per year. I used $3.00per gal avg for LP or Oil & .095KW for electric. which are the going rates in our area. Even taking electric to $.13 KW produced significant savings over fossil fuels.

Eventually electric will catch up due to the fuel adjustment clause but right now seems cheaper in our area because oil & LP are very volatile in price, it takes awhile for electric rates to rise.

Right now I'm in flux as to what to reccomend, I now include a cost comparison to the client & let them make the choice. Averaged out with the cost of tanks & lines, fossil fuels look like a dead deal. The only advantage is future flexibilty.

Naural gas is not an option in our market area.


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