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Annual Fuel Cost Comparisons
For 12,000 kWh (41,000,000 Btu) per year
in delivered heat
Prices effective as of 1/1/10
Heating Systems
and their
Efficiency Ratings
Associated
costs
Heating System Efficiency Rating Per 100K Btu Per Year
Central Oil
$2.75 per gallon
60% AFUE* $3.27 $1,341
80% AFUE* $2.46 $1,006
Central Gas
$1.22 per therm
60% AFUE* $2.04 $835
80% AFUE* $1.53 $626
90% AFUE* $1.36 $557
95% AFUE* $1.29 $527
Central Electric
$0.0914 per kWh (1/1/10)
100% AFUE* $2.68 $1,097
Zone Electric
$0.0914 per kWh (1/1/10)
100% AFUE $2.68 $1,097
Heat Pump
$0.0914 per kWh (1/1/10)
8.0 HSPF
(235% AFUE*)
$1.14 $467
8.2 HSPF
(241% AFUE*)
$1.11 $455
8.5 HSPF
(250% AFUE*)
$1.07 $439
10 HSPF
(294% AFUE*)
$0.91 $373
10.75 HSPF
(316% AFUE*)
$0.85 $347

Terms:

AFUE - Annual Fuel Utilization Efficiency: how much usable heat is delivered from the system. Gas and oil systems are not 100% efficient because some of the heat goes up the chimney along with fumes, smoke and particulates. Heat pumps can be more than 100% efficient, because they work by extracting heat from the outside air or soil rather than burning fuel or using electrical resistance to create heat.

*AFUE does not reflect distribution losses such as what is lost when heat has to travel through ducts or pipes before it enters a living space. Poorly sealed or uninsulated ducts or pipes can result in large efficiency losses with any furnace.

Btu - British thermal unit: The amount of energy needed to raise one pound of water one degree Fahrenheit. Furnaces and heat pumps are commonly rated in Btu/hour output.

HSPF - Heating Season Performance Factor: used to rate the heating efficiency of heat pumps. To qualify for an Energy Star rating, the heat pump must have a minimum HSPF of 8.0 (8.2 for split systems).

NOTE: SEER or the Seasonal Energy Efficiency Rating measures the cooling efficiency of heat pumps.