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Propane vs Electric Heat Cost: Propane Wins by 1.8x This Winter

Propane wins: $29.00 vs $53.43 per MMBtu at EIA’s winter outlook; propane was cheaper in 38 of 39 states last winter — your own two prices decide it below.

$29.00Propane, per MMBtu
$53.43Electric, per MMBtu
38 of 39states where propane won

· Source: EIA STEO September 2026, Natural Gas Monthly, SHOPP · EPM Table 5.6.A (July 2026 data) · next: EIA Winter Fuels Outlook Oct 6, weekly SHOPP prices from October

On this page: CalculatorTableHow we calculatedSources

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Prefilled with EIA's national last-winter averages for propane, electricity; the second preset switches to the forecast. Per-unit rates only; leave out the fixed monthly charge.

Advanced — efficiencies, gas unit, COP, seasonal load
Cheapest heat here: — per MMBtu delivered
—
Cost per million Btu delivered. Fuels: 10 × therm-equivalent price ÷ AFUE. Electricity: 293.07 × $/kWh ÷ COP, resistance fixed at COP 1.00. Marginal unit prices only. Estimate, not a quote.
What changes if…

Sliders scale the prefilled prices to test sensitivity; the numeric fields stay the precise inputs. Presets:

Propane (EIA outlook)
$29.00/MMBtu
Electric (EIA outlook)
$53.43/MMBtu
States compared
39 with both prices
Propane cheaper in
38 states
Electric cheaper in
1 states
Widest propane win
Massachusetts
Widest electric win
Florida
Federal credit
§25C ended 31 Dec 2025

Why this number

At EIA’s national forecast prices for October 2026–March 2027 ($2.44/gal; 18.23¢/kWh), propane is cheaper: $29.00 per million Btu delivered against $53.43 — a 46% gap. State prices change the answer: of the 39 states with published EIA figures for both, propane was cheaper in 38 and electric resistance in 1 last winter, with the widest propane advantage in Massachusetts ($40.57 vs $90.50) and the widest electric resistance advantage in Florida ($45.46 vs $55.47). The calculator below uses your own prices and shows the break-even.

Propane and electric are priced in different units, so the only comparison that means anything for this pair is dollars per million Btu delivered — price per unit, converted to heat content, divided by appliance efficiency. For propane against electric resistance that is $29.00 against $53.43 at EIA’s national outlook, then every state’s own published prices below, then yours in the calculator.

The break-even rule

Resistance heat beats propane only when ¢/kWh < 3.412 × propane $/gal ÷ (0.91452 × propane AFUE) — at $2.44/gal and 92% AFUE, that is electricity under 9.9¢/kWh, which no state averaged last winter. A heat pump multiplies that threshold by its COP: at COP 2.17, electricity under 21.5¢ beats propane.

National picture: last winter measured, this winter forecast

Propane versus electric: national cost per MMBtu delivered, last winter measured and this winter forecast
Option Last winter (EIA national average, Oct 2025–Mar 2026) This winter (EIA STEO September 2026 forecast)
Propane furnace (92% AFUE) $30.43/MMBtu $29.00/MMBtu ($2.44/gal)
Electric resistance (COP 1.00) $52.08/MMBtu $53.43/MMBtu (18.23¢/kWh)

Propane is forecast -5%. Electricity is forecast +3%.

Propane vs electric by state, last winter

Propane at the state’s SHOPP season average through a 92% AFUE furnace (regional PADD average where SHOPP has no state series, marked ‘regional’); electric resistance at the state’s winter-average electricity price (COP 1.00). States with no published EIA price for one of the two are left out rather than filled from a national number. Sorted from the widest propane advantage to the widest electric resistance advantage.

Propane versus electric heating cost per MMBtu delivered in every state with published EIA prices for both, last winter
State Propane $/MMBtu Electric $/MMBtu Cheaper Margin
Massachusetts $40.57 $90.50 Propane $49.93 (55%)
Maine $39.15 $87.36 Propane $48.21 (55%)
Rhode Island $43.13 $89.21 Propane $46.08 (52%)
New York $41.93 $81.94 Propane $40.01 (49%)
Connecticut $45.50 $82.82 Propane $37.32 (45%)
New Hampshire $42.55 $78.48 Propane $35.93 (46%)
Michigan $26.89 $58.94 Propane $32.05 (54%)
Wisconsin $22.69 $53.90 Propane $31.21 (58%)
Illinois $22.64 $52.34 Propane $29.70 (57%)
Vermont $43.83 $69.78 Propane $25.95 (37%)
Pennsylvania $34.85 $59.67 Propane $24.82 (42%)
New Jersey $43.12 $67.41 Propane $24.29 (36%)
Minnesota $23.19 $45.16 Propane $21.97 (49%)
Colorado $26.42 $48.21 Propane $21.79 (45%)
Ohio $30.65 $52.14 Propane $21.48 (41%)
Kansas $22.57 $43.67 Propane $21.10 (48%)
Indiana $29.39 $49.21 Propane $19.81 (40%)
Iowa $18.91 $38.39 Propane $19.48 (51%)
Maryland $42.61 $61.60 Propane $18.99 (31%)
South Dakota $21.28 $39.83 Propane $18.55 (47%)
Nebraska $19.09 $36.08 Propane $16.99 (47%)
North Dakota $19.37 $34.32 Propane $14.95 (44%)
Montana $24.06 $38.86 Propane $14.80 (38%)
Wyoming $26.04 (regional) $39.71 Propane $13.67 (34%)
Oklahoma $26.43 $38.63 Propane $12.19 (32%)
Missouri $24.92 $36.81 Propane $11.89 (32%)
Texas $34.93 $46.66 Propane $11.73 (25%)
Utah $27.24 $38.66 Propane $11.41 (30%)
Arkansas $27.84 $37.86 Propane $10.03 (26%)
Kentucky $31.76 $40.59 Propane $8.83 (22%)
Delaware $42.46 $51.11 Propane $8.66 (17%)
Idaho $28.09 $36.28 Propane $8.20 (23%)
Mississippi $35.89 $43.58 Propane $7.69 (18%)
Alabama $41.15 $47.98 Propane $6.83 (14%)
Virginia $41.14 $47.10 Propane $5.96 (13%)
Georgia $36.58 $42.11 Propane $5.53 (13%)
North Carolina $39.91 $42.73 Propane $2.82 (7%)
Tennessee $37.38 $39.27 Propane $1.89 (5%)
Florida $55.47 $45.46 Electric $10.01 (18%)

Reading the propane-vs-electric resistance table honestly

Three things this column cannot see for propane against electric resistance. The fixed monthly customer charge does not change the $29.00-vs-$53.43 per-unit answer, but it disappears entirely if you drop one of these fuels. Equipment is outside it: nothing here prices a new propane furnace or electric resistance, and there is no federal credit for either in 2026. And volatility: propane is priced by a dealer rather than a tariff and moved -5% in EIA’s outlook, so the state pages carry each season’s low and high.

Weighing the whole season rather than the unit price? The heat pump vs furnace calculator starts from your annual heating spend, and the winter heating hub puts all five options on one national table.

Frequently asked questions

Is propane cheaper than electric heat?

No — at EIA’s national outlook propane costs $29.00 per MMBtu delivered against $53.43 for electric; last winter propane was cheaper in 38 of the 39 states with published prices, so your own two prices decide it.

Is propane cheaper than electric resistance for heating?

At EIA’s national outlook prices for this winter, propane is cheaper: $29.00 against $53.43 per million Btu delivered. Last winter’s state averages split 38 states for propane and 1 for electric resistance, so the honest answer depends on the two prices on your own bills, which the calculator takes directly. The comparison is per unit of delivered heat and ignores the fixed monthly customer charge and equipment cost.

What efficiencies does this comparison assume?

Propane at the state’s SHOPP season average through a 92% AFUE furnace (regional PADD average where SHOPP has no state series, marked ‘regional’); electric resistance at the state’s winter-average electricity price (COP 1.00). For propane against electric resistance every efficiency is editable, and an 80% atmospheric furnace against a 97% condensing one moves this pair’s answer more than a year’s price change.

Why do the state figures use last winter rather than a forecast?

Because propane and electric resistance state prices are published by EIA only after the fact (SHOPP runs October to March; the Natural Gas Monthly lags two months) and no agency forecasts them by state. The September 2026 STEO moves the national propane price by -5% and electric resistance by +3%; the calculator’s ’this winter’ preset applies those two changes.

Does a tax credit change the propane vs electric resistance answer?

Not in 2026. The §25C credit for heat pumps, furnaces and boilers ended for property placed in service after 31 December 2025, so nothing installed for this winter qualifies federally. State and utility rebates continue and are listed on DSIRE. This page is a running-cost comparison, not tax advice.

How we calculated this

Worked for propane vs electric resistance at EIA’s outlook: propane 10 × ($2.44/gal ÷ 0.91452) ÷ 0.92 = $29.00/MMBtu; resistance 293.07 × 0.1823 $/kWh ÷ 1.00 = $53.43/MMBtu. State rows use each state’s October–March EIA average through the same conversions.

Sources: U.S. Energy Information Administration (EIA) electricity rates · DSIRE incentive records · public IRS/OBBBA guidance. Figures are modeled estimates, not quotes or tax advice. See our methodology.

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