In Iowa, you have a lot of options when it comes to energy and powering your home. There’s natural gas, electricity, propane, solar, fuel oil, kerosene, geo-thermal, and even wood. Most households in Iowa use utility gas for their home heating needs, with 59.6% of households doing so. The second-most common home heating fuel is electricity, with 24.4% of households in Iowa using this energy source.
But in third place is propane, with 13.4% of Nebraska households using propane gas as their home heating fuel. If you don’t have access to utility gas, then it’s understandable that homeowners and businesses alike often grapple with the question: Which is cheaper in Iowa, propane vs electricity?
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Propane vs electricity energy cost calculator
Both energy sources come with their unique advantages, but their cost implications for running everyday household appliances can vary significantly. Here, we have laid out a thorough comparative analysis of the costs of propane vs electricity. We’ve put together a series of detailed charts that highlight the costs associated with powering common household devices with propane vs electricity.
Whether you’re considering a switch in energy source, or simply curious about where your dollars go when the bills arrive, this comparison provides a comprehensive understanding of propane and electricity costs in Iowa and America overall.
HVAC appliances energy cost comparison
First, we’ll break down what’s usually the most costly use of energy in your home: heating systems. Why are heating systems usually the most expensive?
Because converting one form of energy — such as electrical energy or chemical energy — into heat requires a lot of power (Note: Power is measured in watts, W). More power means more money coming out of your wallet. And in Iowa, your home heating system is very important during ferocious winters. So, knowing the energy costs of propane vs electricity is essential to your budgeting.
The wattage of most home heat pumps, in the warmer months of the year, typically ranges from 545 to 4,285 watts, with an average of 2,415. In the colder months, the range is from around 1,000 to 7,500 watts. Another common generator of residential heat are space heaters. These are especially popular in places where access or usage of utility gas is limited and, not surprisingly, the same places where electrification has grown as prime home heating fuel. The number of households in Iowa that use electricity for home heating has increased by 64.2% from 2010 to 2022. However, propane grew as well over the same period.
Below is an energy cost comparison chart for a heat pump running for five months of the year during the warmer seasons, five months of the year during the colder seasons, a space heater running for five months, a 10-20 gallon water heater running for two hours per day, and a 30-80 gallon water heater running for two hours per day, in Iowa:
Appliance (W, average) | Length of Time Used | Cost per Month: Electricity | Cost per Month: Propane | Cost per Year: Electricity | Cost per Year: Propane |
Heat pump (2415 W) | 5 months during warm weather | $247.21 | $101.80 | $1,236.03 | $509.02 |
Heat pump (4250 W) | 5 months during cold weather | $435.04 | $179.16 | $2,175.21 | $895.79 |
Space heater (1500 W) | 5 months during cold weather | $153.54 | $63.23 | $767.72 | $316.16 |
Water heater (10-20 gallon – 1600 W) | 2 hours per day | $13.65 | $5.62 | $163.87 | $67.48 |
Water heater (30-80 gallon – 4500 W) | 2 hours per day | $38.39 | $15.81 | $460.89 | $189.80 |
Thus, when it comes to heating systems, using propane as a source of heat and energy is way more cost-effective than electricity in Iowa. Even though propane prices rise in winter months, the increase in energy costs is usually still less than the increase in electricity prices. Hopefully, our energy comparison and cost analysis of propane vs electricity should really make the 24.4% of Iowa households using electricity rethink their energy and heating, and check out propane providers in Iowa.
Kitchen appliances energy cost comparison
Next, we’ll break down the energy costs of common kitchen appliances, including a refrigerator, dishwasher and your oven-stove (this combo is often called a range). While you might be aware that propane can be used to fuel your oven and stove, you might not know that propane can also be used for refrigerators. Additionally, since the hot water in your dishwasher must come from a water heater, your dishwasher too can be powered by propane, because propane fuels the water heater.
To estimate how much it would cost to power these appliances per month and per year in Iowa, we assumed your:
- Refrigerator will be running all hours of the day
- Oven/stove will be run for a total of 1 hour over the course of a day
- Dishwasher will be run for 1 and a half hours per day
An important note on refrigerators: Refrigerators generally have a much lower “running” wattage than their stated average wattage. This is due to the fact they cycle on and off throughout the day. As a general rule of thumb, you can divide your refrigerator’s wattage by three to estimate its actual energy usage. So, a 550-watt refrigerator actually will use about 183 running watts.
Below is the energy comparison of the cost of propane vs electricity on a monthly and annual basis in Iowa:
Appliance (W, average) | Hours of Use per Day | Cost per Month: Electricity | Cost per Month: Propane | Cost per Year: Electricity | Cost per Year: Propane |
Refrigerator (550 W) | 24 | $18.77 | $7.73 | $225.32 | $92.79 |
Oven/stove (3500 W) | 1 | $14.93 | $6.15 | $179.23 | $73.81 |
Dishwasher (1800 W) | 1.5 | $11.52 | $4.74 | $138.27 | $56.94 |
With electricity costing an average of 14.03 cents per kilowatt-hour ($0.1403 per kWH) and Iowa propane prices averaging $1.56 per gallon, it is much cheaper to run kitchen appliances on propane vs electricity in Iowa. Fortunately for those shopping around for different energy sources, Iowa has several propane dealers across the state to choose from.
Laundry and living room appliances energy cost comparison
Third, we’ll break down the energy costs of those two mainstays of the laundry room — washers and dryers — as well as that hearth of the home — the fireplace. Non-wood fireplaces can be fueled by electricity or propane, as well as several other fuel sources. And since the hot water in your washing machine comes from your water heater, propane can be used to power your washer.
In order to estimate how much it would cost to power these appliances per month and per year, we assumed your:
- Clothes dryer will be run for approximately 4 hours total, one day per week
- Fireplace that will be running for approximately 2 hours total per day during five colder months
- Washing machine will be run for approximately 4 hours total, one day per week
Below is the energy cost of electricity versus propane on a monthly and annual basis in Iowa:
Appliance (W, average) | Hours of Use | Cost per Month: Electricity | Cost per Month: Propane | Cost per Year: Electricity | Cost per Year: Propane |
Dryer (3250 W) | 4 hours, 1 day per week | $7.93 | $3.26 | $95.10 | $39.17 |
Fireplace (1500 W) | 2 hours per day, 5 months during cold weather | $12.80 | $5.27 | $63.98 | $26.35 |
Washing machine (900 W) | 4 hours, 1 day per week | $2.19 | $0.90 | $26.34 | $10.85 |
As the table above makes clear, it is far cheaper to run laundry appliances on propane vs electricity. The average cost of electricity in Iowa is below the national average, but the average Iowa propane price is even lower compared to its respective national average. Thus, propane proves cheaper than electricity.
Advantages of propane vs electricity
In terms of cost, propane is better than electricity in Iowa. What’s more, in addition to the energy comparison breakdowns above, here are some other reasons why propane is better than electricity:
Higher heating efficiency
Propane has a higher energy content per unit compared to electricity, which means it often delivers heat more efficiently. When used in furnaces, propane reaches higher temperatures faster than electric heat pumps. This makes propane heaters more effective in colder climates where rapid heating might be essential.
Reliability and independence
Propane can be stored on-site in tanks. This allows homeowners and businesses to maintain an independent energy reserve. This contrasts with electricity, which might be subject to grid failures or blackouts. This could be crucial to your home heating in a remoter area of Iowa. Having a propane tank ensures that even in the event of power outages or disruptions, a consistent energy source remains available.
Versatility and adaptability
Propane is a versatile energy source that can be used not only for heating. It can also be used for cooking, water heating, and even refrigeration. This multifunctional capability means that homes and businesses can consolidate their energy needs under one reliable source. Plus, as technology evolves, propane appliances are also becoming more efficient and adaptable. This further enhances their appeal over electric alternatives in certain scenarios.
Economic considerations
In many areas, propane can be a more cost-effective energy source than electricity. While initial setup costs for propane might be higher due to the need for tanks and infrastructure, the ongoing costs can be lower in regions where electricity prices are high. This can result in substantial savings over time for homeowners and businesses alike.
Environmental impact
Both electricity and propane have environmental footprints. However, the source of the electricity matters a lot when it comes to carbon footprint. In regions where electricity is primarily derived from coal or other non-renewable resources, using propane might result in a lower carbon footprint. Propane burns cleaner than many other fossil fuels. It produces fewer greenhouse gasses and pollutants.
Is it cheaper to heat with propane or electricity in Iowa?
Heating a home in Iowa with a propane heating system is cheaper than an electric system. Indeed, over time, propane water heaters can cost one-third less to operate. Propane heaters also heat water twice as quickly as electric water heaters.
Should I switch from electric to propane?
If you’ve been having a tough time with rising heating and energy expenses, it might be worth contemplating a switch from electric to propane. Iowa generally has costs of living that are less than the national average overall. Propane stands out as a remarkably efficient energy alternative. It often delivers the same, if not better, results with a smaller energy input compared to electricity. This inherent efficiency means you could experience comparable or superior performance. At the same time, you’ll have a noticeable reduction in energy consumption.
Converting from electric heat to propane offers not just an energy-efficient solution. It is also a potentially cost-effective one. With propane’s capacity to heat spaces efficiently, homeowners might discover that their homes remain cozy and warm without the hefty price tag often associated with electric heating. Over time, these savings can accumulate. That makes the switch a financially smart decision for those keen on optimizing their home’s energy use and reducing monthly bills.
Can you run a whole house on propane?
In Iowa, a whole-home propane tank offers more than just an alternative heating solution. It can also serve as the fuel source for a backup generator, ensuring uninterrupted electricity supply to your residence. When unexpected power outages occur, having a propane-powered generator means your home can continue to operate seamlessly. Its capacity to effectively power an entire household sets it apart as a reliable energy contingency plan.
The resilience of propane generators is truly noteworthy, with the ability to sustain a home’s energy needs for up to five days on a single tank. This extended period can be critical during prolonged power disruptions, ensuring that vital appliances remain operational. This means that even during extended outages, homeowners can maintain the comfort of a functioning air conditioner or the safety of perishables in a refrigerator. Investing in a propane generator not only guarantees peace of mind but also ensures the continuity of essential household operations when they’re needed most.
Get quotes from up to 5 propane dealers in your area today to get the best pricing on propane delivery.
First Fuel and Propane offers delivery of propane for both residential and commercial purposes in various counties including Albany, Schenectady, Saratoga, Columbia, Dutchess, Warren, Green, Washington, Rensselaer in the state of New York, as well as Berkshire County in Massachusetts.