Oil to Gas Conversions

Is it worth spending a few thousand dollars in conversion costs to switch to gas? Yes, usually it is. There are a few different things to take into consideration. Typically, your fuel-cost savings alone would pay you back in less than five years. Most natural gas is mined in North America, so its pricing is less volatile than oil, which is a global commodity. More importantly, the decision usually comes down to how complicated the conversion will be for your home – and how good the incentives are from Mass Save and from the utility companies.

However, the number one reason so many of our clients are converting from oil to gas is the savings! Aside from the fact that oil is more expensive than gas, natural gas systems are more energy efficient, which saves you tremendously.

Consider this:

Chances are, your current forced hot water boiler or hot air furnace is probably older than you. It’s reasonable to say it is running around 60% efficiency. That means for every $100 of energy you buy, $40 of it goes straight up and out of the chimney! If you replace it with a high efficiency system (around 95% for example), then your projected savings is about $35 per $100. If your annual bill is $2000 per year, then your total yearly savings would be about $700.00.

That is a lot of money to save every year, especially when you consider the expected lifetime of the new heating system. That means replacing your heating system is a great investment. Let’s calculate your return on investment (ROI):

ROI = First year savings / installed cost

ROI = $700 / $5500 = 12.7%

12.7% is a really good return! Plus, unlike some other investments, energy conservation investments are tax free! The best part is that as fuel prices go up, the annual savings and ROI grow.

Still, there are reasons other than money to make the switch. Gas has lower carbon emissions than oil, so it’s better for the environment. Say goodbye to that nasty oil smell in the basement. Plus, once you have a gas line, you can get that commercial-style, six-burner stove you’ve always wanted!

We specialize in hot air or hot water, oil to gas conversions.