Fuel Cost Comparison
Switching from electricity to natural gas is good for your business.
Cost Comparison Chart - Natural Gas vs. Electricity*
May 2012
|
$/MMbtu |
cents/kWh |
| Natural Gas |
$2.20 |
|
| vs. |
|
|
| Electric |
|
|
| Watt Hour |
$31.61 |
10.79 |
| Small Load (Less than 100 kW) |
$25.73 |
8.78 |
Medium Load
(Greater than 99 kW but less than 400 kW) |
$26.05 |
8.89 |
Large Load
(Greater than 399 kW but less than 1,000 kW) |
$32.70 |
11.16 |
| Very Large Load (Greater than 999 kW) |
$32.64 |
11.14 |
* Comparison based on the May 2012 Fuel Price Survey. Bundled tariff electric rate comparison calculated by Nicor Gas Business Customer Support.
Cost Comparison Chart - Natural Gas vs. Other Fossil Fuels*
May 2012
| |
$/MMbtu |
$/Gallon |
$/Therm |
| Natural Gas |
$2.20 |
|
.22 |
| vs. |
|
|
|
| Propane |
$31.30 |
$2.87 |
|
| #2 Fuel Oil |
$29.30 |
$4.07 |
|
* May 2012 survey of fuel suppliers, selected customers and wholesale price indices by Nicor Gas Business Customer Support.
Benefits of Natural Gas:
- Generally costs less than electricity
- Provides high energy content
- Can be used to generate electricity onsite
- Can provide thermal efficiencies over 80 percent in CHP applications
- Supplies are very reliable
- Equipment is very reliable when properly maintained
Disadvantages of Utility-Supplied Electricity:
- Higher operating cost
- Supply interruptions are common
- Equipment can be more expensive to install when allowances are made for transformers, motor controls, etc.
- Very expensive for bulk heating
- Equipment is difficult to keep clean without damage or expensive protection