How much does it cost to convert oil to gas

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How much does it cost to convert oil to gas

Oil-to-Gas Conversion

Switching Fuels May Cut Utility Expenses

According to the U.S. Energy Information Agency (EIA), it costs the average homeowner $2,087 to heat with fuel oil in 2012, but only $832 to heat the same-size house with natural gas. Since 2002, oil heat has averaged 30% to 50% more than gas every year.

The EIA predicts that oil prices will continue to increase, while the cost of natural gas should remain comparatively stable. Given these circumstances, it’s no wonder a growing number of homeowners are electing to stop burning oil and start burning natural gas.


Natural Gas Offers Lower Costs & Higher Efficiency

Is your home located close to a natural gas line? Is your oil-burning furnace or boiler more than 10 years old? If so, switching fuels can be a smart move. Natural gas is less expensive than fuel oil and likely to stay that way. It’s also a “greener” fuel, producing fewer carbon emissions than fuel oil. Because natural gas lines are buried underground, there’s less chance that you’ll run out of fuel –especially during severe weather that can disrupt oil deliveries. Finally, you may be eligible for rebates and other financial incentives if you switch fuels, or if you install new, high-efficient gas equipment.

The cost to convert from fuel oil to natural gas can vary greatly –anywhere from $4500 to over $10,000! There are several reasons for this wide price range. First of all, the cost of bringing a gas line to the house will depend on where you live, where the nearest gas main is located, and the gas company’s policy regarding new customers. Secondly, local building or health codes may require you to remove the oil tank that is no longer needed. A third factor determining conversion cost is the equipment replacement option you choose. Sometimes it’s possible to simply replace the oil burner assembly with a gas burner. In other cases, you’ll have to remove the entire oil-burning furnace or boiler and replace it with a new gas-burning appliance.


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Future-proofing your home by switching to gas heating

Among the most compelling reasons to choose gas over oil is related to the security of your investment. Oil prices continue to fluctuate, and this finite natural resource is only becoming scarcer. This means that insecurity surrounding the price of oil is likely to grow, meaning higher costs to heat your home.

In addition to this, some countries are now moving to ban the installation of new oil heating systems, in an effort to fight climate change. While this has not yet happened in North America, it is a possibility in the future.

Combined, these factors make choosing a gas heating system the best option for ensuring that your home can be heated cost-effectively in the future.

What is the process for converting from oil to gas?

While converting your home to use gas instead of oil will depend on the size of your home and its layout, there are a few broad steps within the process you should be aware of. These include:

1. Find a professional

Any conversion from oil to gas heating should be planned and estimated by a professional heating contractor. The contractor can examine your building to see if the conversion is possible and how much it's likely to cost. Any equipment that needs to be installed must conform to current safety and environmental standards. In addition to this, any installation must be carried out by an accredited HVAC professional.

2. Removing existing oil equipment

Once you have a plan and a cost estimate, the process of dismantling the existing heating system can begin. This must also be carried out by a professional, and contingencies must be put in place in case of oil spills. Additionally, old oil heating equipment must be disposed of properly at an approved facility. Finally, older flue systems must either be removed or renovated.

3. Install the gas connection and equipment

Once preliminary work has been carried out, experts can begin the process of bringing in a gas line and installing the new heating system. Again, all equipment must meet regulations and be installed by a professional contractor. However, when it comes to items like radiators, you can have more say in how they match your existing décor or home design. Also, depending on your original plan, you may want to install some underfloor or radiant heating at this stage.

4. Balance your heating system

As with any heating system, hydraulic balancing is the final step in converting from oil to gas. To do this, a heating specialist will check the radiators and ensure that the heat is distributed efficiently and evenly.

More information

For more information on switching from oil to gas heating, reach out to a qualified contractor today to discuss your options as well as how our services can help keep your system running optimally through regular maintenance.

Is it worth converting oil to gas?

The most important reason you should convert oil to gas is because of the cost. The cost of natural gas is about half the cost of home heating oil. Also, while home heating oil prices can fluctuate wildly, natural gas prices do not. Over time, that is a huge saving for your family.

How much does it cost to convert from oil to natural gas?

5 Things You Need to Know About Converting to Natural Gas (that the gas company and many HVAC contractors will not tell you): A typical conversion costs between $8,000-$12,000. Converting from oil to natural gas is much more cumbersome and expensive than people think. You are the General Contractor of the job.

How do I convert my house from oil to gas?

The actual conversion process will include contacting the natural gas utility company, handling all necessary permits, properly removing the old oil tank and installing or converting you home space heating and/or water heating equipment.

Which is cheaper to run oil or gas?

Gas is Cheaper than Oil (Fuel) When it comes to the cost of fuel, gas is cheaper than oil. Oil prices seem more volatile and subject to demand and supply, natural gas comes with a more stable supply and demand.