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How Much Does It Cost to Install & Operate a Gas Furnace?

How Much Does It Cost to Install & Operate a Gas Furnace? Gas furnaces have been hugely popular for decades because of their surprisingly low cost of operation compared to electric furnaces. Natural gas costs only a fraction of the price of other fuel types in most areas – around $500 to $700 per year in Calgary on average. Here’s how you can get a basic idea of how much a gas furnace will cost to operate in your home.

Average Installation Costs

Before you install a gas furnace, it’s important to contact your utility company about current gas line availability. If it’s possible to hook up to an existing gas line, installation is relatively inexpensive. However, installation may be impossible in some rural areas with no gas line.

Remember that furnaces with high Annual Fuel Utilization Efficiency (AFUE) are generally more expensive to buy, but cost considerably less to run over their lifespan. Discuss the cost of new ductwork, venting and other considerations with your HVAC contractor. These costs vary significantly between homes.

Cost of Running a Gas Furnace

Actual operating costs vary significantly by location, but two primary factors govern the price wherever you go — the local cost of gas and the efficiency of your furnace. While it takes, on average, close to 150 million BTUs to heat your Calgary home every year, the amount of gas needed to produce that heat depends heavily on your furnace’s AFUE.

Fortunately, calculating the efficiency of your gas furnace can be as simple as pressing a button. All you have to do is input the price of natural gas in your area, the square footage of your home and your furnace’s current efficiency level. An online calculator can determine your furnace’s annual operating cost and savings in just a few seconds. 

For more information on the costs associated with running a gas furnace, contact our expert team at Arpi’s Industries, Ltd. We offer comprehensive home comfort services in Calgary and the surrounding area.

Our goal is to help educate our customers in Calgary, Alberta about energy and home comfort issues (specific to HVAC systems).  For more information, download our free Home Comfort Resource guide.

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