DOE: Natural gas significantly more affordable than electricity

© Shutterstock

On Monday, the U.S. Department of Energy (DOE) said its new report has found that natural gas is 3.3 times more affordable that several other residential energy sources.

As part of its 2023 Representative Average Unit Costs of Five Residential Energy Sources, the DOE found that natural gas costs $13.97 per million British Thermal Units, compared to $28.36 for heating oil, $32.62 for propane, $33.52 for kerosene and $46.19 for electricity.

“America’s natural gas is critical to American and global energy security,” said American Gas Association (AGA) President and CEO Karen Harbert. “DOE’s analysis confirms the very clear and substantial cost-advantage of natural gas. Our nation’s domestic abundance of natural gas means American customers pay a fraction of what customers pay for other energy sources here at home and see significant savings compared to energy costs globally. Our industry invests $91 million every day to ensure our vast modern delivery infrastructure provides the reliability Americans expect.”

According to AGA, households using natural gas for heating, cooking and clothes drying save an average of $1,068 per year compared to homes using electricity. Additionally, natural gas in projected to be between half and one-third the cost of other fuels through 2050. AGA attributed the affordability to successes in energy efficiency, and improvements in building technology.

“DOE’s findings underscore why it’s essential that consumers have the choice to select natural gas as their energy source,” Harbert continued. “Natural gas is not only a low-cost option but also the lowest-emissions resource for most consumers today. The infrastructure that delivers it continues to drive down emissions across the country, and continual innovations in renewable fuel supplies and energy efficiency will provide even more solutions for consumers looking to reduce their emissions in a cost-effective manner.”