Heating oil or propane: which heat costs less this week?
At this week's U.S. averages, oil heat costs $51 and propane heat $33 per million Btu delivered, at ENERGY STAR boiler efficiency.
Cost of one million Btu of heat in Pennsylvania
Propane, $38.43
Heating oil costs 31 % more per unit of heat delivered.
| Propane ($3.163/gal at 90 % AFUE) | $38.43 per million Btu |
| Heating oil ($6.066/gal at 87 % AFUE) | $50.34 per million Btu |
| Electric resistance (26.2 cents/kWh) | $76.75 per million Btu |
| Propane: a winter's heat (51 million Btu) | $1,961 |
| Heating oil: a winter's heat (51 million Btu) | $2,569 |
| Electric resistance: a winter's heat (51 million Btu) | $3,917 |
Btu per gallon and per kWh: EIA. Default prices: this week's EIA survey (excluding taxes) and the EIA's Northeast winter electricity forecast. Winter heat: the EIA average oil-heated home scaled to Pennsylvania's degree days.
Compiled by Radif Partners · Where the prices come from · EIA weekly survey of October 19, 2026, excluding taxes · no dealer listed
Comparing a gallon of oil with a gallon of propane misleads, because a gallon of heating oil holds 138,500 Btu and a gallon of propane 91,452, according to the EIA: oil carries 1.51 times the heat. The fair comparison is the cost of one million Btu delivered into the home, after the efficiency of the boiler or furnace. With ENERGY STAR minimum efficiencies (87 % for oil, 90 % for gas boilers) and the U.S. averages of the federal survey of October 19, 2026, oil heat costs $51 and propane heat $33 per million Btu. In 1 of the 21 states where the EIA surveys both fuels, oil is the cheaper heat this week. The calculator takes your state, your equipment's efficiency from its label and, if you want, your own prices and electricity rate.
State by state, this week
| State | Oil, per gallon | Propane, per gallon | Oil heat, per million Btu | Propane heat, per million Btu | Cheaper heat |
|---|---|---|---|---|---|
| Connecticut | $6.154 | $4.226 | $51 | $51 | Oil |
| Delaware | $6.431 | $3.755 | $53 | $46 | Propane |
| Indiana | $6.053 | $2.559 | $50 | $31 | Propane |
| Iowa | $5.817 | $1.704 | $48 | $21 | Propane |
| Kentucky | $5.890 | $2.844 | $49 | $35 | Propane |
| Maine | $6.026 | $3.709 | $50 | $45 | Propane |
| Maryland | $6.371 | $3.799 | $53 | $46 | Propane |
| Massachusetts | $6.115 | $3.659 | $51 | $44 | Propane |
| Michigan | $5.808 | $2.434 | $48 | $30 | Propane |
| Minnesota | $5.916 | $2.014 | $49 | $24 | Propane |
| Nebraska | $5.630 | $1.783 | $47 | $22 | Propane |
| New Hampshire | $6.033 | $3.843 | $50 | $47 | Propane |
| New Jersey | $6.382 | $4.075 | $53 | $50 | Propane |
| New York | $6.417 | $3.727 | $53 | $45 | Propane |
| North Carolina | $5.828 | $3.612 | $48 | $44 | Propane |
| Ohio | $6.031 | $2.647 | $50 | $32 | Propane |
| Pennsylvania | $6.066 | $3.163 | $50 | $38 | Propane |
| Rhode Island | $6.380 | $4.167 | $53 | $51 | Propane |
| Vermont | $6.097 | $3.881 | $51 | $47 | Propane |
| Virginia | $6.003 | $3.760 | $50 | $46 | Propane |
| Wisconsin | $5.786 | $1.940 | $48 | $24 | Propane |
The formula
Cost per million Btu delivered = price per unit ÷ (Btu per unit × efficiency) × 1,000,000. Btu per unit come from the EIA (British thermal units explained): 138,500 for a gallon of heating oil, 91,452 for a gallon of propane, 3,412 for a kilowatthour. Efficiency is the AFUE on the equipment label, the share of the fuel's heat that reaches the home over a season. ENERGY STAR certifies oil boilers from 87 % and gas boilers from 90 % (ENERGY STAR boilers); older equipment can be lower, so use your own label.
Break-even: propane heat costs the same as oil heat when the propane price equals the oil price × 0.683 at these efficiencies. At this week's U.S. oil price that is $4.228 a gallon of propane, against $2.689 in the survey.
Your state, your equipment
Cost of one million Btu of heat in New Hampshire
Propane, $46.69
| Propane ($3.843/gal at 90 % AFUE) | $46.69 per million Btu |
| Heating oil ($6.033/gal at 87 % AFUE) | $50.07 per million Btu |
| Electric resistance (26.2 cents/kWh) | $76.75 per million Btu |
| Propane: a winter's heat (63 million Btu) | $2,951 |
Reading the state table
The table ranks nothing; it puts the two fuels side by side state by state. This week the two heats are closest in Connecticut, where oil heat costs 1 % less than propane heat, and furthest apart in Iowa, where oil heat costs 133 % more. Change the efficiencies in the calculator to your own equipment: an old oil boiler at a low AFUE against a new condensing propane unit, or the reverse, can move the answer a long way.
Electric resistance for reference
Baseboard and other resistance heat turn every kilowatthour into 3,412 Btu in the room. At the EIA's forecast Northeast winter rate of 26.2 cents per kWh, a million Btu costs $77. The calculator adds that line with your region's forecast rate; type your own rate from your bill for a fair figure. A heat pump moves more heat than the electricity it uses, so its cost per million Btu is lower than resistance heat by its seasonal efficiency, which depends on the model and the climate and is not modeled here.
What the price comparison leaves out
- Switching costs. A new boiler or furnace, a tank, its removal or installation. Fuel savings pay them back only over several winters.
- Tank rental and fees. A leased propane tank can carry a rental or a minimum-use fee: read the contract before comparing.
- Price swings. Over the seasons on file, the national winter average of heating oil ranged from $2.201 to $4.668 a gallon, and propane from $1.977 to $3.021. This week's answer can flip in another winter; the history page shows every season.
For a whole season in your state, the winter budget gives the gallons of each fuel, and the propane table and heating oil table the prices.