Compared to oil heat, natural gas is less. Just look at the stats. The federal Energy Information Administration (EIA) reports that the average American homeowner will pay only about $732 to heat their home with gas this winter season (October 1 through March 31). Compare this to a whopping $2,535 for oil heat. (Ref 1)
According to the U.S. Energy Information Administration, the average consumer pays more in a year for oil than gas. (Some bioheat oil may be quite efficient but this is not widely available).
Natural Gas is less expensive than electricity to operate: Almost everywhere in the country, natural gas heat is significantly cheaper than electricity. While gas furnaces cost more to purchase than electric ones. In addition, installation is more complex due to venting requirements. This means a gas furnace requires a larger upfront investment than an electric one. If you live in a cold climate and run your heater a lot during the winter, a gas furnace can save you money over the long run. Heat by natural gas also heats faster than electricity. (Ref 2)
Some of my Ambit Energy clients ask me who owns the natural gas pipes in their neighborhood.
Those lines are property of a company that worked with the local town zoning to place their own pipes, often years ago. This is why your natural gas provider is assigned by your address. This provider owns and maintains the pipes under the street and up to your meter.
Are wondering how another company can supply natural gas in pipes they do not own?
Federal Energy Regulatory Commission (FERC) Order No. 636, from 1992, explains the final steps towards unbundling by making pipeline unbundling a requirement. The Order states that pipelines must separate their transportation and sales services. In this way all pipeline customers have a choice in selecting their gas sales, transportation, and storage services from any provider, in any quantity.
So, pipelines must transport gas in a non-discriminatory fashion, regardless of who owns the gas.
Fortunately, FERC Order 636 fosters competition in the natural gas industry. It ensures that all natural gas suppliers compete for gas purchasers on equal footing. The goals are to enhance competition in the natural gas industry and to ensure adequate and reliable service. (Ref 3)
Ambit Energy is a supplier of the natural gas in deregulated markets, and strives to offer competitive rates and save consumers money. We are a debt-free company, the winner of numerous JD Power awards, with an A+ rating with the Better Business Bureau. Additionally, consumers benefit from travel rewards that accrue with service.