ENVIRONMENTAL CENTS: Natural Gas Price Surge

Here's why, plus some energy-efficient ways to switch from gas to electric.

By Bruce Saller
COLUMNIST

Photo by KWON JUNHO on Unsplash

The price of natural gas has surged 70% in the last few months and is 18% higher than last year’s peak.

There are several reasons for this including:

1. Significant increase in electricity demand—mainly due to new Data Centers, causing utilities to use older, less efficient gas generators.

2. Delay/cancellation of wind turbines projects, which are most efficient in the winter, again increasing use of less efficient gas turbines.

3. Colder than average December temperatures in the Midwest and Northeast resulting in additional natural gas use for heating.

If your home uses natural gas, there are some energy-efficient ways to transition from gas to electricity. The efficiency of natural gas power plants has increased from about 35% in the 1990s to 64% today. So, the replacement electric appliance needs to be at least 160% more efficient than the gas appliance to reduce your natural gas consumption.

Home heating is the largest residential use of energy. If you are replacing your furnace or your air conditioner, consider installing a dual fuel heat pump. They use natural gas furnace instead of electric resistive heaters for auxiliary heat. Since the minimum efficiency of a new dual fuel furnace is 250% (HSPF of 8.5), you will be using at least 35% less gas.

A new dual fuel heat pump may be eligible for a federal tax credit of 30%, up to $2,000 (until 12/31/2025), and a rebate up to $500 from Columbia Gas.

Hot water heating is the second largest use of energy. Consider replacing your gas hot water heater with a heat pump hot water heater. They are at least 300% more efficient than gas hot water heaters, and they may be eligible for federal tax credits (until 12/31/2025) of 30% of the total cost (including installation) up to a $2000 credit. Dominion Energy is also offering a $400 rebate.

In addition to being inefficient, gas stoves are a significant health hazard. Induction cooktops are 210% more efficient that gas cooktops. If you do not want to replace your gas stove with an induction stove, consider purchasing portable induction cooktops. They start at around $45 on Amazon. You can also use the portable cooktop outside in the summer, reducing your air conditioning costs. Rebates up to $840 for induction stoves are being in the approval process. Glass, copper, and aluminum pots do not work on induction cooktops.

The energy performance measurement of a clothes dryer is their Combined Energy Factor (CEF; higher is better.) The highest CEF for a gas dryer is 3.5, 4.3 for a standard vented electric dryer, and 11 for a ventless electric heat pump dryer. Heat pump dryers do take longer to dry clothes (normally 50-80 minutes per load). They also require periodic filter cleaning. You should understand their pros and cons before buying one. Rebates up to $840 for heat pump dryers are in the approval process.

So please consider high-efficiency electric alternatives when replacing your natural gas appliances.

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