EIA data through August 2026 · updated 2026-10-29

Heating costs in Arizona

The cheapest way to heat a home in Arizona at today's average prices is heat pump ($18.38 per million BTU of heat), then natural gas ($19.81). A heat pump costs 7.2% less to run than a gas furnace.

Natural gas$18.49/Mcfwinter 2025–26 avg. · Jul 2026: $26.31
Electricity15.1¢/kWhAugust 2026 · -0.3% y/y

Cheapest way to heat a home in Arizona

cost of the same amount of heat
Heat sourcePrice usedPer million BTU of heatPer winter
Heat pump cheapest15.7¢/kWh ÷ COP 2.5
$18.38
$919
Natural gas$18.49/Mcf · winter 2025–26 avg.
$19.81
$991
Electric resistance15.7¢/kWh · winter 2025–26 avg.
$45.94
$2,297

How we compare: fuel price ÷ (energy content × efficiency). Assumptions — heating oil 138,500 BTU/gal at 85%, propane 91,500 BTU/gal at 90%, natural gas 1,037,000 BTU per Mcf at 90%, electric resistance 100%, heat pump seasonal COP 2.5 (lower in very cold weather). Gas and electricity use last winter's average price; oil and propane the latest weekly survey. Delivery fees, tank rental and fixed charges vary and are not included.

Natural gas price in Arizona

$14$18$22$26$30202420252026August 2023: $29.51 per thousand cubic feetSeptember 2023: $28.79 per thousand cubic feetOctober 2023: $25.59 per thousand cubic feetNovember 2023: $21.24 per thousand cubic feetDecember 2023: $19.32 per thousand cubic feetJanuary 2024: $19.30 per thousand cubic feetFebruary 2024: $19.64 per thousand cubic feetMarch 2024: $18.94 per thousand cubic feetApril 2024: $20.30 per thousand cubic feetMay 2024: $23.37 per thousand cubic feetJune 2024: $26.12 per thousand cubic feetJuly 2024: $28.60 per thousand cubic feetAugust 2024: $29.37 per thousand cubic feetSeptember 2024: $28.41 per thousand cubic feetOctober 2024: $24.86 per thousand cubic feetNovember 2024: $17.59 per thousand cubic feetDecember 2024: $16.71 per thousand cubic feetJanuary 2025: $15.84 per thousand cubic feetFebruary 2025: $16.36 per thousand cubic feetMarch 2025: $15.58 per thousand cubic feetApril 2025: $17.91 per thousand cubic feetMay 2025: $21.06 per thousand cubic feetJune 2025: $23.70 per thousand cubic feetJuly 2025: $25.84 per thousand cubic feetAugust 2025: $26.90 per thousand cubic feetSeptember 2025: $26.72 per thousand cubic feetOctober 2025: $23.74 per thousand cubic feetNovember 2025: $19.89 per thousand cubic feetDecember 2025: $17.90 per thousand cubic feetJanuary 2026: $17.24 per thousand cubic feetFebruary 2026: $17.73 per thousand cubic feetMarch 2026: $19.69 per thousand cubic feetApril 2026: $20.88 per thousand cubic feetMay 2026: $22.44 per thousand cubic feetJune 2026: $24.74 per thousand cubic feetJuly 2026: $26.31 per thousand cubic feet
$14$18$22$26$30202420252026August 2023: $29.51 per thousand cubic feetSeptember 2023: $28.79 per thousand cubic feetOctober 2023: $25.59 per thousand cubic feetNovember 2023: $21.24 per thousand cubic feetDecember 2023: $19.32 per thousand cubic feetJanuary 2024: $19.30 per thousand cubic feetFebruary 2024: $19.64 per thousand cubic feetMarch 2024: $18.94 per thousand cubic feetApril 2024: $20.30 per thousand cubic feetMay 2024: $23.37 per thousand cubic feetJune 2024: $26.12 per thousand cubic feetJuly 2024: $28.60 per thousand cubic feetAugust 2024: $29.37 per thousand cubic feetSeptember 2024: $28.41 per thousand cubic feetOctober 2024: $24.86 per thousand cubic feetNovember 2024: $17.59 per thousand cubic feetDecember 2024: $16.71 per thousand cubic feetJanuary 2025: $15.84 per thousand cubic feetFebruary 2025: $16.36 per thousand cubic feetMarch 2025: $15.58 per thousand cubic feetApril 2025: $17.91 per thousand cubic feetMay 2025: $21.06 per thousand cubic feetJune 2025: $23.70 per thousand cubic feetJuly 2025: $25.84 per thousand cubic feetAugust 2025: $26.90 per thousand cubic feetSeptember 2025: $26.72 per thousand cubic feetOctober 2025: $23.74 per thousand cubic feetNovember 2025: $19.89 per thousand cubic feetDecember 2025: $17.90 per thousand cubic feetJanuary 2026: $17.24 per thousand cubic feetFebruary 2026: $17.73 per thousand cubic feetMarch 2026: $19.69 per thousand cubic feetApril 2026: $20.88 per thousand cubic feetMay 2026: $22.44 per thousand cubic feetJune 2026: $24.74 per thousand cubic feetJuly 2026: $26.31 per thousand cubic feet
Residential natural gas, $ per McfMonthly · summer prices per Mcf run higher because fixed charges are spread over less gas

Average price paid by homes, including delivery charges. Source: EIA Natural Gas Monthly.

Electricity in Arizona

Electric heat and heat pumps run on your utility's rate. See Arizona electricity rates by utility and ZIP code →

Questions

Is a heat pump cheaper than gas in Arizona?

Yes, at average prices: a heat pump (seasonal COP 2.5) delivers heat for $18.38 per million BTU, 7.2% less than a 90% gas furnace at $19.81.

What is the cheapest way to heat a home in Arizona?

At current average prices: heat pump $18.38, natural gas $19.81, electric resistance $45.94 per million BTU of delivered heat (cheapest first).

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