On a nationwide average, propane costs less than electricity on a per-BTU basis. According to a U.S. Department of Energy study, electricity is nearly twice as costly as propane. This means it could cost you twice as much to operate your water heater, furnace, clothes dryer, or range with electricity than with Blossman propane gas.
Homes fueled with propane have a better resale value and, on average, cost less to run than homes with all-electric appliances. Homeowners realize even greater savings with whole-house heating systems and other propane appliances such as propane dryers, propane ranges and propane fireplaces.
For example, the U.S. Department of Energy (DOE) estimates that propane water heaters save at least $175 annually compared to electric water heaters and heat 2½ times the water with the same amount of energy. Propane gas fireplaces produce twice as much heat as wood-burning fireplaces at about one-third of the cost. The DOE estimates that propane gas fireplace systems cost 30 to 60 percent less per hour of operation than wood-burning fireplaces.
Propane gas furnaces can consistently supply air at 115°F, a comfort level unmatched by electric options such as heat pumps. Also, electric heat pumps must often be supplemented with electric strip heat, resulting in higher costs and lower efficiency.
New combined heat and power (CHP) systems can also save you energy and money by heating the air and water with one unit.