BTU Energy Cost Calculator — Compare Fuel Costs & Savings
Calculate cost per million BTU, estimate annual heating bills, and model fuel-switch savings using 2026-style energy prices.
| Fuel | Cost per million BTU |
|---|
How We Calculate BTU Energy Cost
Cost-per-BTU analysis converts fuel pricing into a common heat-delivery basis. Natural gas is priced by the therm, electricity by the kilowatt-hour, propane and oil by the gallon, and heat pumps by effective delivered heat based on COP. The annual estimator applies a climate-sensitive heating load and adjusts by efficiency so you can compare energy bills on a fair basis.
2026 Average Fuel Price Reference
| Fuel | Typical 2026 reference price | Common unit |
|---|---|---|
| Natural gas | $1.55 | per therm |
| Electricity | $0.17 | per kWh |
| Propane | $2.90 | per gallon |
| Heating oil | $4.10 | per gallon |
| Heat pump electricity | $0.17 | per kWh equivalent |
| Cold-climate HP | lower cost/MMBTU | if COP stays high |
| Resistance heat | higher cost/MMBTU | in most markets |
| Regional best option | varies by utility tariff | compare locally |
Frequently Asked Questions
How do I calculate cost per BTU?
Divide the fuel price by the number of BTU in the billing unit, then scale the result to cost per BTU or cost per million BTU for easier comparison.
What is the cheapest heating fuel in 2026?
It depends on local utility rates, but high-efficiency heat pumps and low-cost natural gas are often the most competitive on a delivered-heat basis.
Does AFUE matter when comparing fuel cost?
Yes. Two fuels with similar raw unit prices can have very different delivered heat costs once furnace efficiency, boiler efficiency, or heat pump COP is included.
Can I estimate annual savings from switching fuel?
Yes. Compare your current annual load against the effective cost of the new fuel and system efficiency to estimate yearly savings.