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American River Gas Co.
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Heating & appliances

Propane vs a heat pump in the foothills

A heat pump moves heat instead of burning fuel, so it is very efficient and also cools the house in summer, while a propane furnace gives strong, steady heat on the coldest nights from fuel stored on your own land. For many foothill homes the practical answer is both: a dual-fuel system that runs the heat pump most of the year and hands off to propane in a cold snap, plus a plan for power shutoffs.

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How each system makes heat

An air-source heat pump is an air conditioner that can run in reverse. In winter it pulls heat out of the outdoor air and pumps it inside. ENERGY STAR says a certified air-source heat pump can deliver up to three times more heat energy to a home than the electricity it uses, because it moves heat rather than making it.

A propane furnace works the old-fashioned way. It burns propane in a sealed chamber, a blower pushes house air across the hot heat exchanger, and the exhaust leaves through a vent. Its efficiency is shown as AFUE, and it puts out the same hot air whether it is 45 degrees outside or 25.

Percentage gauge under the dome of a propane tank

What cold weather does to each one

A heat pump has to work harder as the outdoor air gets colder, because there is less heat out there to collect. Newer models have closed much of that gap. ENERGY STAR notes that many new certified heat pumps heat well even in cold climates thanks to better compressors and refrigerants, and it advises anyone whose winters regularly dip below freezing to pick a unit suited to that climate with a contractor's help.

Foothill weather is not one number. A house near the valley edge and a house higher up a ridge can see very different winter lows, and a drafty older home loses heat faster than a tight new one. Ask your HVAC contractor for a Manual J load calculation for your own house, the sizing method ENERGY STAR recommends, rather than a rule of thumb.

Dual fuel: letting each do what it does best

A dual-fuel (hybrid) system pairs a heat pump with a propane furnace on the same ductwork. The heat pump carries the load in spring, fall and mild winter days. When the outdoor temperature drops past a point the installer sets, the furnace takes over. ENERGY STAR describes dual fuel as a way to use each system where it works best, and the Propane Education & Research Council promotes the same pairing for comfort and lower energy costs when temperatures drop.

If you already have a propane furnace in good shape and your air conditioner is the part that is failing, a heat pump in place of the old AC is often the least disruptive way to get there. You keep the furnace, gain efficient heating for mild days, and still have a flame on the coldest nights.

American River Gas driver filling a residential propane tank

Power shutoffs change the comparison

PG&E can turn off power during high fire danger through its Public Safety Power Shutoff program. A heat pump runs on electricity, so it stops when the lines are off. A propane furnace also stops, because its blower, igniter and controls need power. Neither one heats the house through an outage on its own.

The difference is what you can do about it. Some propane fireplaces and vented wall heaters work with no electricity at all, which makes them useful backup heat in either kind of house. A heat pump compressor draws much more power, so it will not run in an outage without a battery or other backup system big enough to carry it.

Running costs, rebates and what we will not guess

Propane and electricity prices both move, and your bill depends on your house, your thermostat and your rate plan, so we do not publish a one-size savings figure. ENERGY STAR's own position is that switching from electric resistance heat, propane or oil to a heat pump can lower energy bills. Run the numbers with your own bills and a contractor's written quote before you decide.

Incentives can change the math on the heat pump side. ENERGY STAR keeps a rebate finder that lists partner rebates on certified heat pumps by ZIP code, so check what applies at your address before comparing quotes.

Residential propane tank set on a lawn under an oak tree

What usually stays on propane either way

Heat is only one of several jobs gas does in a foothill home. Many households that add a heat pump still keep propane for the water heater, range, clothes dryer and fireplace. Propane is common here: in the Census Bureau's American Community Survey 2020-2024 estimates, 32.1% of Nevada County households and 27.4% of El Dorado County households heat with bottled, tank or LP gas, against 7.8% in Placer County, where more homes sit on natural gas mains.

If you move your main heat to a heat pump, tell our office. Keep Full deliveries are timed from outdoor temperatures and your past use, so a big change in what the tank feeds belongs on your account.

Questions to settle before you choose

  • How cold does your spot actually get, and how often?
  • Is your current furnace young enough to keep as the backup half of a dual-fuel system?
  • Do you want central air? A heat pump gives you cooling in the same box.
  • What has to keep running during a power shutoff, and how will you power it?
  • Which other appliances in the house run on propane, and will your tank size still fit after the change?

Questions

Straight answers

Is a heat pump or a propane furnace better in the Sierra foothills?

It depends on how cold your spot gets, how tight the house is and what you want during outages. Many foothill homes do best with dual fuel: a heat pump for most days and propane for cold snaps.

Does a heat pump work during a PG&E power shutoff?

No. It needs electricity, so it stops when the power is off unless a battery or other backup system big enough to run it is in place. A propane furnace also needs power for its blower and controls.

Can I add a heat pump and keep my propane furnace?

Yes. That is a dual-fuel system. The heat pump replaces the air conditioner, and the furnace takes over when it gets cold outside. Your HVAC contractor sets the switch-over point.

Will a heat pump change my propane deliveries?

It can. If propane heats less of the house, you will use less. Call the office at (530) 888-7438 so your delivery schedule reflects the new setup.

All questions →  ·  Propane guides →

Sources: ENERGY STAR: air-source heat pumps (efficiency, dual fuel, cold climates, Manual J sizing) (opens in a new tab) · Propane Education & Research Council: hybrid heat pump solution (opens in a new tab) · PG&E: Public Safety Power Shutoffs (opens in a new tab) · U.S. Census Bureau: ACS 2020-2024 5-year estimates, table B25040 (House Heating Fuel) (opens in a new tab)

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