Heat pump North Carolina

Heat pump vs gas heating cost in North Carolina

$159 a year saved by heating a typical North Carolina home with a heat pump instead of a gas furnace.

A typical home here burns about 306 therms of gas a year for heat, about $520 at the national average of $1.70/therm. A heat pump would use about 2,382 kWh instead, $361 at 15.16¢/kWh. Electricity would have to pass 21.8¢/kWh before gas became the cheaper way to heat.

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

How North Carolina compares

Ranked by yearly saving against gas, North Carolina is 11th of 51. At U.S. average figures a heat pump saves $27 a year. North Carolina has the 16th cheapest residential electricity of the 50 states and DC, near the middle, at 15.16¢/kWh, 17% below the U.S. average of 18.31¢.

Winters here are mild, with an estimated 3,400 heating degree days a year, so the calculator uses a seasonal COP of 3.2: each kWh of electricity delivers 3.2 kWh of heat.

Against propane the heat pump saves $483 a year, against heating oil it saves $915 a year, and against electric baseboard heat it saves $795 a year.

Heating now	Now, per year	Heat pump	Difference
Natural gas furnace	$520	$361	$159
Propane furnace	$844	$362	$483
Oil furnace	$1,276	$362	$915
Electric baseboard	$1,156	$361	$795

One of its four neighbors does better against gas: Tennessee at $211 a year saved.

State	Electricity	Saving vs gas a year
Tennessee	13.71¢	$211
North Carolina	15.16¢	$159
South Carolina	15.47¢	$112
Georgia	16.27¢	$98
Virginia	17.55¢	$51

More for North Carolina

EV charging cost in North Carolina vs gas: an EV saves $1,192 a year on fuel.
Solar payback in North Carolina: a typical system pays back in 13.8 years.

What these numbers assume

A heating load estimated from about 3,400 heating degree days a year: 306 therms of gas, 335 gallons of propane, 235 gallons of oil or 7,623 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 3.2.
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.