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Propane vs. Natural Gas vs. Heating Oil: Indiana Home Heating Fuel Comparison

Families have a choice of fuels that can be used when it comes to heating. Natural Gas is the preferred choice in Indiana, used by 2,796,352 or 52% of families. The next most popular primary heating fuel for Indiana households is Electricity, used by 1,447,260 homes (27%). The rest of the homes are heated with Heating Oil (12%), Propane (5%), Wood (2%), and Coal (1%).

Indiana County Residential Primary Home Heating Fuel (No. of Households)

YearNatural GasPropaneElectricityOilWoodSolarOther
20252,796,352282,1821,447,260663,450112,2707,20431,146
20242,785,913276,5981,396,275685,083111,4166,15532,085
20232,698,411278,6211,389,291717,601111,5406,96444,558
20222,710,114282,6251,337,240742,118105,1475,28241,959
20212,677,533267,4541,287,322760,867109,8324,86746,436
20202,656,062251,4721,254,850776,616113,9004,55441,326
20192,634,591235,4901,222,377792,365117,9694,24136,216
20182,592,386225,4761,198,450806,761128,1102,19735,172
20172,598,275222,6501,158,937790,353127,1982,22535,586
20162,551,248209,7191,133,797805,822125,5831,63934,565
20152,549,385200,7541,103,995837,082141,8352,11738,034
20142,528,694198,2961,087,741858,758148,2561,76036,886
20132,516,052195,7991,086,074870,064148,5971,40833,941
20122,530,063188,8801,046,982936,674145,0891,48431,494
20112,516,883178,3871,019,764973,749137,6251,54528,259
20102,530,446177,562997,925993,832126,07459729,423

Heating Oil (Fuel Oil) Use in Indiana

Heating oil has become less frequently used in Indiana. In the 6 years since 2019, the number of households using heating oil dropped from 792,365 to 663,450, a 16% drop.

Propane vs. Natural Gas use for home heating in Indiana

Between 2019 and today, the number of homes using propane as the primary space heating fuel increased from 235,490 to 282,182, a 20% change. Comparing 2019 and today, the number of homes using natural gas as the primary space heating fuel ramped up from 2,634,591 to 2,796,352, a 6% change.

Electricity use for home heating in Indiana

Electric heat pump systems for home heating are gaining popularity in Indiana. Since 2019, the number of homes heating with electricity grew from 1,222,377 to 1,447,260, a 18% change.

Adoption of solar home heating systems in Indiana

The most eco-friendly heating option is solar. With an “active” solar heating system, liquid flows between solar panels on a home’s roof and a heat energy storage tank (similar to a hot water heater) in the basement. Now, 7,204 homes in Indiana are heated with active solar arrays. This is a 70% gain from 2019, when 4,241 homes incorporated active solar heating.

Indiana County Heating Oil Trends

Last year, Indiana County homeowners purchased a total of 2 million gallons of heating oil.

Short Term Trends

Indiana’s overall oil consumption changes yearly depending on winter temperatures. As the temperature outside drops, homes’ HVAC systems need to burn increasing amounts of number two heating oil to maintain the temperature that the thermostat is set to. Last winter, the average outside temperature in Indiana was 29.3°F, which was 5.5°F colder than the prior winter's average outside temperature.

Indiana County Average Winter Temperature

Heating SeasonAverage Temperature
2024 - 202529.3° F
2023 - 202434.8° F

Indiana County Homeowner’s Guide to Selecting an Oil Company

For Indiana homes heating with heating oil, choosing which of the 8 heating oil companies that serve Indiana makes a big difference.

Full Service Oil Companies: Homeowners who want a “set-it-and-forget-it” heating system pick one of the 0 “full-service” oil companies that serve Indiana. Full service companies such as or offer households annual contracts which consist of a combined package of both automatic fuel oil delivery and furnace repair. With an automatic fuel oil delivery contract, the company tracks your home’s oil consumption and makes deliveries when your tank is running low. The customer does not need to monitor the level of the oil tank or place individual orders.

Discount Oil Companies: Often called “COD Fuel” or “Cash Heating Oil” companies, discount oil companies are for clients who are budget-conscious. With discount oil companies, in return for better prices, you monitor the oil level in your tank, and you place an oil order when the oil gauge dips below a quarter tank. A few of the 2 Indiana cash heating oil companies serving Indiana include Barber Oil Company and Townsend Gas & Oil Inc.

Indiana Oil Company Fast Facts: Number two heating oil Companies Serving Indiana: 8 companies .
Average Number of Indiana Houses Served per Fuel Oil company : 82931

Indiana Heating Oil Delivery Overview

663,450 families in Indiana heat their homes with heating oil. This makes oil delivery essential, especially when Indiana temperatures drop as low as 23.2° F each winter. 12.3% of Indiana households depend on oil delivery each winter.

6.1% of Indiana County Households Rely On Heating Oil Delivery Each Winter

Indiana County HouseholdsIndiana County Heating Oil Households
10.7M663,450

58 Indiana Fuel Oil Companies Go The Distance

With 507,486,889 gallons of number two heating oil delivered to Indiana residences the last heating season, the Indiana community looks to its 58 oil companies to keep their oil tanks full. Oil delivery can be summed up in two steps: First, an oil truck picks up oil at the nearest bulk fuel terminal (also known as a “rack”). In the case of Indiana, two of the closest terminals are Ergon in Newell, PA and Etmt in Blawnox, PA. Then, the truck delivers the fuel oil to homes and businesses throughout Indiana and the surrounding vicinity.