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

Heating costs in Montana

The cheapest way to heat a home in Montana at today's average prices is natural gas ($9.41 per million BTU of heat), then heat pump ($15.30). A heat pump costs 62.6% more to run than a gas furnace.

Propane$2.18/galOct 26, 2026 · +15.2% y/y

Natural gas$8.78/Mcfwinter 2025–26 avg. · Jul 2026: $12.40

Electricity15.6¢/kWhAugust 2026 · +9% y/y

Cheapest way to heat a home in Montana

cost of the same amount of heat

Your home's heating need per winter: 50 million BTU

Heat source	Price used	Per million BTU of heat	Per winter
Natural gas cheapest	$8.78/Mcf · winter 2025–26 avg.	$9.41	$470
Heat pump	13.0¢/kWh ÷ COP 2.5	$15.30	$765
Propane	$2.18/gal · Oct 26, 2026	$26.46	$1,323
Electric resistance	13.0¢/kWh · winter 2025–26 avg.	$38.24	$1,912

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.

Propane in Montana, winter by winter

2023–242024–252025–262026–27 (this winter)Weekly survey, Oct–Mar · hover a point for the exact price

U.S. average: $2.73/gal. Source: EIA State Heating Oil and Propane Program (residential, weekly).

Natural gas price in Montana

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 Montana

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

Questions

How much is propane in Montana?

$2.18 per gallon for homes in the EIA survey of Oct 26, 2026 (+15.2% vs. a year earlier).

Is a heat pump cheaper than gas in Montana?

Not at average prices: a heat pump (seasonal COP 2.5) costs $15.30 per million BTU of heat, 62.6% more than a 90% gas furnace at $9.41. A higher-efficiency heat pump or a lower electricity rate can change this.

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

At current average prices: natural gas $9.41, heat pump $15.30, propane $26.46, electric resistance $38.24 per million BTU of delivered heat (cheapest first).