It’s true!
Natural gas is 3.3 times more affordable than electricity

The U.S. Department of Energy (DOE) announced that natural gas is 3.3 times more affordable than electricity and significantly more affordable than several other residential energy sources for the same amount of energy delivered.

Read the news release & report

Natural Gas vs. Electric Rates​:
YOU SAVE 49% with NATURAL GAS!

The cost for a therm of natural gas using local kWh equivalents (1000 kWh ON Peak Fuel Charge) $3.82 while the cost of a therm of natural gas from Okaloosa Gas using an 85% energy efficiency factor is $1.96. Natural Gas is $1.86 less expensive per energy unit than electricity.

The energy cost comparison was formulated on the cost per 100,000 BTU's output of a fuel type. Utility Rate X Amount Required for 100,000 BTU's X Efficiency Factor = Cost per 100,000 BTU's. The efficiency factor for electric is 100% and for natural gas appliances is 85%. To calculate the efficiency factor: Example:  1 ÷ .85 = 1.176. The costs are based on current local utility rates. 2/01/2025.

Additional Natural Gas Savings:

• Natural Gas Homes are Lowest-Cost and Lowest-Emissions, Even Compared to Homes with Electric Cold-Climate Heat Pumps. High-efficiency natural gas appliances in homes can lower utility bills and emissions.
  • Learn more about natural gas cost and emission facts
• A natural gas tank water heater will save you $16 monthly, $198 annually, and $2,582 over a 13-year lifespan.
• A natural gas tankless water heater will save you $26 monthly, $316 annually, and $3,803 over a 13-year lifespan.
  • Learn more about natural gas water heating facts.
• Families that use natural gas to heat their homes, cook their meals, and dry their clothes save on average $1,132 every year over those who use electricity. Why is that? Gas furnaces cost less to operate than heat pumps. Residential space heating and water heating cost analyses show that natural gas costs less to use than other major home energy sources. Fertilizers used to grow crops are composed almost entirely of natural gas components, so U.S. agricultural producers rely on an affordable, stable supply of natural gas.​Source: American Gas Association
  • Source: American Gas Association​
• Natural gas utilities do not earn a profit on the natural gas they deliver. They earn their revenues from the service and delivery fees they charge customers to transport the natural gas to them. This fee is directly linked to the volume of natural gas consumed, rather than the price of natural gas being delivered.
  • Source: American Gas Association
• The low cost of natural gas has saved families a total of $125 billion over 10 years.Source: American Gas Association
• Businesses Save $500B+ Commercial and industrial customers have saved more than half a trillion dollars over the last decade by using natural gas
  • Source: American Gas Association
• Natural gas prices for commercial customers are the lowest in any year since 1976.
  • Source: American Gas Association
• The affordability of natural gas has led to $105 billion in savings for American businesses since 2009.​
  • Source: American Gas Association
• Natural gas usage per household has decreased even as overall demand for energy has risen. The trend is due in part to installation of tighter fitting windows and doors, better insulation, utility-sponsored energy efficiency programs, and the development of increasingly more efficient natural gas appliances.
  • Source: American Gas Association
• With abundant natural gas supply, the annual cost savings to the consumer is expected to be $139.
  • Source: DOE
• Residential space heating and water heating costs compared to other energy sources show that natural gas costs less to use than other major home energy sources.
  • Source: American Gas Association