Compare the same comfort, not two different bills
Start with the rooms being heated, thermostat settings, occupied hours, insulation, windows and duct condition. Compare both systems against the same heating demand and weather assumptions. An unusually cold month or a change in thermostat use can hide the effect of the equipment itself.
A heat pump uses electricity to move heat, while a gas furnace burns fuel to produce it. The ENERGY STAR explains how air-source heat pumps work. Equipment efficiency matters, but the price of the energy and the way the installed system operates matter too.
Use the rates and usage from your own account
Collect electricity use in kilowatt-hours and gas use in therms for representative periods. Gas used for water heating or cooking should not all be attributed to the furnace. A seasonal baseline can help estimate the heating portion, but it remains an estimate rather than a measurement of furnace use.
Use the applicable electricity charges for the additional heating load and the gas charges that would actually be avoided. For time-of-use service, when the equipment runs affects the result. If the bill separates electricity generation and delivery, include the relevant charges once, without omitting delivery or counting generation twice. Fixed account charges may remain if other gas equipment stays.
What goes into a heating-cost comparison?
- The same estimated heating demand for the home and comparison period.
- Applicable electricity and gas rates, with time-of-use periods where relevant.
- The furnace's expected operating efficiency, not just its original label.
- The selected heat pump's expected performance at the conditions it will experience.
- Airflow, duct losses, controls, cycling and any backup-heating use.
For a simplified heat-pump estimate, electrical use equals the heat delivered divided by an appropriate average coefficient of performance, with both energy quantities in the same units. That electricity use is then priced at the applicable rates. A single rated performance point is not a reliable substitute for seasonal operation.
For a furnace, the estimate considers the gas needed to deliver that same heat at the expected efficiency, plus blower electricity. If the heat pump uses electric resistance backup, that use must be included separately. The assumptions should be shown so two proposals can be compared on the same basis.
Why electricity can rise while gas use falls
After switching to electric heating, a higher electricity bill is not by itself proof that the project is performing badly. The useful comparison includes the gas heating that stopped, any cooling changes and other household energy changes. Conversely, high equipment efficiency does not guarantee that a particular rate plan or usage pattern produces a lower total bill.
Solar can change purchased electricity, but winter production, billing arrangements and the timing of heating demand still matter. Treat solar and battery effects as separate assumptions rather than assuming all added heating electricity is free.
Should you keep gas backup?
A dual-fuel system combines a heat pump with a compatible gas furnace. Its controls decide which heat source operates under the intended conditions. Compare that approach with an all-electric design using the same comfort target, equipment compatibility, utility rates, installation scope and maintenance needs.
A dual-fuel proposal should explain the control strategy and which equipment remains. Retaining a gas furnace also means retaining the relevant gas-system and maintenance responsibilities. It is an option to evaluate, not an automatic answer for every Concord home.
Keep purchase cost separate from running cost
The installed total, possible rebates, financing terms and annual operating estimate answer different questions. Confirm rebate eligibility before installation and review electrical-panel requirements. A lower incentive-adjusted purchase price does not by itself establish the cheaper system to run.
Bring recent bills, the current equipment information and your comfort goals to the discussion. Our heat pump service page and estimate guide explain how to compare the proposed scope alongside the operating assumptions.
Common questions
Will a heat pump always be cheaper to run than a gas furnace in Concord?
No. The result depends on electricity and gas rates, the home's heating demand, the installed equipment's performance, airflow, controls and any backup heat. Compare both systems using the same comfort and weather assumptions rather than relying on a fixed savings claim.
Why might my electricity bill increase after switching to a heat pump?
The heat pump adds electric heating use while the former gas heating use may fall or stop. Compare both fuels, the same period's heating needs, and other changes in household use. An electricity-only comparison misses the gas side of the change.
What information helps make a meaningful running-cost comparison?
Use recent electricity and gas bills, the applicable rate plans, the current equipment details, thermostat habits and the proposed system's performance information. State the estimated heating demand, duct and backup-heat assumptions so the comparison can be reviewed.