Heat pump vs gas heating cost in Maryland

$83 a year more to heat a typical Maryland home with a heat pump than with a gas furnace.

A typical home here burns about 405 therms of gas a year for heat, about $689 at the national average of $1.70/therm. A heat pump would use about 3,603 kWh instead, $771 at 21.41¢/kWh. Electricity would have to fall to 19.1¢/kWh, or gas rise in price, before the heat pump became the cheaper way to heat.

Prices updated October 2026 from EIA, AAA and BLS data.

How Maryland compares

Ranked by yearly saving against gas, Maryland is 36th of 51. At U.S. average figures a heat pump saves $27 a year. Maryland has the 37th cheapest residential electricity of the 50 states and DC, near the middle, at 21.41¢/kWh, 17% above the U.S. average of 18.31¢.

With an estimated 4,500 heating degree days a year, winters here are moderate, and the calculator uses a seasonal COP of 2.8.

Against propane the heat pump saves $345 a year, against heating oil it saves $916 a year, and against electric baseboard heat it saves $1,389 a year.

Heating now	Now, per year	Heat pump	Difference
Natural gas furnace	$689	$771	−$83
Propane furnace	$1,116	$772	$345
Oil furnace	$1,689	$772	$916
Electric baseboard	$2,160	$771	$1,389

Three of its five neighbors do better against gas: Delaware, Virginia and West Virginia, led by West Virginia at $131 a year saved.

State	Electricity	Saving vs gas a year
West Virginia	15.78¢	$131
Virginia	17.55¢	$51
Delaware	18.48¢	$23
Maryland	21.41¢	−$83
Pennsylvania	21.72¢	−$115
District of Columbia	25.21¢	−$205

More for Maryland

EV charging cost in Maryland vs gas: an EV saves $978 a year on fuel.
Solar payback in Maryland: a typical system pays back in 10.2 years.

What these numbers assume

A heating load estimated from about 4,500 heating degree days a year: 405 therms of gas, 443 gallons of propane, 311 gallons of oil or 10,089 kWh of baseboard heat.
Natural gas at $1.70/therm, the U.S. city average for September 2026. Gas prices vary a lot by state and utility, so enter the price per therm from your bill.
Propane at $2.52 and heating oil at $5.43 a gallon, EIA forecasts for winter 2026–27.
Furnaces 85% efficient (oil 80%), and a heat pump with a seasonal COP of 2.8.
No federal tax credit: Section 25C ended for equipment placed in service after December 31, 2025.

Change any of them in the calculator above to match your own bills. The formulas are on the main heat pump calculator.

Sources

Electricity price: EIA Electric Power Monthly, Table 5.6.A (July 2026 data).
Natural gas: BLS U.S. city average, September 2026.
Propane and heating oil: EIA Short-Term Energy Outlook winter forecast, October 2026.
Heating degree days: MeterMath rounded estimate for the state.
Tax credit status: Public Law 119-21.