Propane or oil heat what’s the best decision?

By John - Last updated: Wednesday, December 3, 2008 - Save & Share - Leave a Comment

Just read a post from a woman in Ontario

http://blog.triciaswaterdragon.com/2008/12/02/change-oil-tank-or-change-over-to-gas-heating-which-would-you-do/

Get this…  her insurance company said make a change in your oil tank or else… and the nice gas guys (and the gov) offered a nice rebate once she rolled over to gas.

Really bad move and I’ll tell you why…

Fact is gas doesn’t burn as hot as oil. The BTU’s just are not there for gas like they are with oil. So you get more actual "heat" from oil and it actually feels warmer. (more details at www.heatingoilhelp.com ).

Couple things… Gas is EXPLOSIVE oil is not. Oil is combustible but  not explosive. BIG difference.

New German study show oil burn cleaner then gas, less of a carbon footprint.

You know what your paying and you can shop around for oil. Better yet the heating oil industry is highly competitive on price. (believe it or not) You can get into the heating oil business cheap so in most cases you have lots of businesses looking for customers (lots of supply) so price is very competitive.

Just check out www.HomeHeatingOilPrices.com and you’ll see the wholesale prices these companies pay for heating oil and propane fuel. The margins on heating oil are significantly lower then the gas profits these guys are rakin’ in.

To their defense it costs big bucks to get into the gas business. It’s a great barrier of entry for the competition so once your in you’ve got a strong guarantee of a hefty profit.

Consider the gas coming into your home… Just go and try changing your gas company. GOOD LUCK!

So purely from a consumer perspective I like choice in vendors not monopolies.

The bad news is these gas companies use the old razor blade marketing ploy. Lets give you the real nice handle for free and we’ll keep selling you the blades over and over again at big time profit.

Another analogy would be printers. I have an HP. Nice printer great price. BUT they slam me on buying new ink cartridges. ( Here’s where I save 80% on ink and Get Free Shipping on all orders over $49.99)

The gas company is using the same marketing strategy so gas buyer beware. Go OIL!

Stay safe, stay warm and save money

John

P.S. this is purely if you have a choice.

In many parts of the country you’re out of luck its either electric or gas. In that case GO PROPANE cause the electric bill will eat you alive.

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