Troubleshooting Tips for a Leaking Water Heater

October 25, 2022

Dual Fuel Heat Pump: How Does it Work?

January 6, 2023

Published by Iurii at November 28, 2022

Tags

Are you in the market for a new furnace soon? If your home isn’t heating the way it should be, it might be time to explore your options when it comes to furnace installation in Toronto. In the GTA, homes are typically heated by natural gas but some still use oil to keep the occupants inside nice and warm all winter long.

While gas and oil are both fine options, there are advantages and disadvantages to each one and there are a few factors to consider when making your decision for what type of furnace to install in your home. Let’s talk about oil vs gas heat. You need to think about efficiency ratings and the cost of the appliance depending on your budget and what type of home you are trying to heat.

In this article by the HVAC experts at ThermEnergy, we’ll look at oil heat vs gas heat. We’ll go over the major differences between oil and gas furnaces so you can make an informed choice when the time comes.

Table of Contents

What is a gas furnace?

A gas furnace burns natural gas to heat cold air and blow hot air into your home.
They are very good at heating your home efficiently and the fuel costs are relatively inexpensive, but the trick is you have to have a gas supply available. This usually isn’t a problem in the city.
While quieter and cleaner than oil furnaces, gas furnaces are much more expensive to purchase.
Furnaces require very little maintenance, except cleaning once a year to make sure that it’s operating at peak efficiency.
Check with your municipality or region to see if rebates are offered for the installation of a new, high-efficiency gas-burning furnace.

What is an oil furnace?

Oil furnaces themselves cost less to buy than gas furnaces, but oil furnaces are not as efficient
Fuel costs more for oil furnaces
You have to get your oil tank filled once a year whereas, with a gas furnace, you have a continuous supply going right to your home. You will never run out.
You need to have a service contract to get your oil furnace filled and inspected regularly.
The storage tanks take up a lot of space and it’s hard to dispose of if you ever decide to switch to natural gas.

Efficiency of a Furnace

When looking to buy a new furnace, you need to consider its Annual Fuel Utilization Efficiency or AFUE. A higher rating means a higher efficiency because this rating is looking at the efficiency of a furnace’s combustion.

For example, an oil furnace’s AFUE rating tops out at about 90% whereas a natural gas furnace can go as high as 98% when it comes to combustion efficiency. And that’s why gas furnaces are so much more expensive than oil furnaces, as much as 25% more if you’re comparing similar types of furnaces.

Furnaces are getting more efficient all the time. A furnace made just 10 years ago is already up to 30% less efficient than a standard model of a gas furnace that you could buy today.

Cost of Fuel

If you’re looking purely at the cost of fuel prices to power your furnace, then gas will win every time in Canada. Natural gas is much less expensive than oil which is tied to global market trends and can vary wildly.

And for this reason alone, over time, gas furnace owners have certainly become the majority as there are many more of those than oil furnaces across the Greater Toronto Area.

Oil Furnaces

Is oil heat expensive? In most cases, yes. Oil furnaces can end up costing the homeowner about $150 per month depending on where you like to keep your thermostat.

Gas Furnaces

Gas furnaces fall in the range of approximately $100 per month, depending on where you like to keep the thermostat and the weather conditions where you are located.

Contact the Pros

Now that you know the gas and oil heating pros and cons, it’s time for you to make a choice. But if you’re still not sure what to choose, you can trust the home heating and cooling experts at ThermEnergy to help you. Our experienced technicians will come to your home for a free consultation and determine what make and model and fuel type for your furnace is the right appliance to pick. Contact us now to book your appointment. We’re here for all your furnace maintenance and furnace installation needs.