# Heat pump vs. gas furnace and AC on Delmarva Power rates (DE)

> **Quick answer** (updated 2026-11-10): As of November 2026, for a typical 1,800 sq ft gas-heated home on Delmarva Power electricity rates in Delaware that needs a new furnace and AC: It depends on your quotes. A heat pump saves about $220 a year to run, so it comes out ahead over 15 years if its quote is no more than $3,300 above the quote for a new furnace and AC.

- Verdict: **depends on quotes**
- Heat pump yearly running cost vs. a new gas furnace and AC: $220 less
- Break-even quote gap: the heat pump wins over 15 years if its quote is no more than $3,300 above the like-for-like quote
- Interactive calculator (change size, insulation, fuel, prices, ZIP): https://meterwise.app/de/delmarva-power/heat-pump-vs-furnace/
- Machine-readable data: https://meterwise.app/data/v1/utilities/de/delmarva-power.json

## Typical home: costs by option

1,800 sq ft, average insulation, heating with gas, furnace and AC both need replacing.

| Option | Installed (typical) | Installed range | Rebates | Energy per year | 15-year total |
|---|---|---|---|---|---|
| New gas furnace + new AC | $11,630 | $9,100–$14,150 | – | $940 | $25,800 |
| Heat pump (replaces both) | $11,630 | $8,090–$15,170 | – | $720 | $22,500 |
| High-efficiency cold-climate heat pump | $15,170 | $11,120–$20,220 | – | $570 | $23,800 |

## Inputs

- Electricity: Residential Service tariff for Delmarva Power, effective 2025-05-01, from the U.S. Utility Rate Database, applied tier by tier to the extra kWh. Typical-bill price 16.2¢/kWh, -11% vs. the Delaware average of 18.1¢/kWh.
- Weather: Dover HCN, 4,195 heating and 1,334 cooling degree days a year (NOAA 1991-2020 normals).
- Gas: $1.65/therm (Delaware winter average, EIA); propane $3.79/gallon; heating oil $6.36/gallon.
- Homes in this utility's Delaware area heat with gas 42%, electricity 37%, heating oil 9%, propane 9%, other 2% (U.S. Census Bureau ACS 2019-2023).
- Installed prices: published study ranges, scaled for home size and Delaware HVAC installer wages (BLS).
- Rebates: not yet checked in Delaware, so not included.

## Common questions

**Is a heat pump worth it for Delmarva Power customers?**
As of November 2026, for a typical 1,800 sq ft gas-heated home on Delmarva Power electricity rates in Delaware that needs a new furnace and AC: It depends on your quotes. A heat pump saves about $220 a year to run, so it comes out ahead over 15 years if its quote is no more than $3,300 above the quote for a new furnace and AC.

**How much does a heat pump cost to run on Delmarva Power's rates?**
About $720 a year for heating and cooling with the Heat pump (replaces both) option, against $940 for New gas furnace + new AC.

**What electricity price does this use?**
Electricity: Residential Service tariff for Delmarva Power, effective 2025-05-01, from the U.S. Utility Rate Database, applied tier by tier to the extra kWh.

## Method

Heating and cooling need from local weather, floor area and insulation; each option's efficiency (heat pumps lose
efficiency in the cold and use backup heat in cold months) turns that into kWh and fuel; electricity is priced
through the utility's tariff; installed costs come from published ranges. Full method: https://meterwise.app/about/index.md

Estimates for a typical home, not a quote or financial advice.

## Other Delaware utilities

- [Delaware Electric Cooperative](https://meterwise.app/de/delaware-electric-cooperative/heat-pump-vs-furnace/index.md)
- [All Delaware utilities](https://meterwise.app/de/index.md)

## Cite this page

MeterWise, "Heat pump vs. gas furnace and AC on Delmarva Power rates (DE)", updated 2026-11-10, https://meterwise.app/de/delmarva-power/heat-pump-vs-furnace/. Data licensed CC BY 4.0.