# Is a heat pump worth it in Minnesota? Compare by electric utility

> As of November 2026: of 21 Minnesota electric utilities, a heat pump comes out ahead at any quote for 4,
> it depends on quotes for 17, and like-for-like comes out ahead for 0
> (typical 1,800 sq ft home replacing both furnace and AC).

- Minnesota average residential electricity: 16.3¢/kWh (EIA, last 12 months)
- Winter gas: $1.04/therm (EIA, Nov–Mar)
- Interactive page: https://meterwise.app/mn/

## What to know about the Minnesota numbers

- **Rebates not checked yet**: We haven't checked heat pump rebates in Minnesota yet, so the numbers here leave them out. Utility and state programs can take thousands off a heat pump, so ask your utility and your contractor what's available.
- **Mostly average prices**: Only 43% of Minnesota ZIP codes here are priced on a current utility tariff. The rest use the utility's average price from the U.S. Energy Information Administration, which is about two years old and doesn't show tiers, so the winter price of extra kWh is estimated. Enter the rate from a recent bill for a closer answer.
- **Time-of-use rates**: One utility's tariff here charge different prices by time of day. We assume heating and cooling use is spread evenly across the day, which can be off if most of yours falls in peak hours.

## Utilities

"Heat pump vs. furnace + AC" is the heat pump's yearly running cost difference (− = cheaper to run).

| Utility | Price/kWh | vs. state | Default fuel | Heat pump vs. furnace + AC | Verdict |
|---|---|---|---|---|---|
| [Xcel Energy (Northern States Power Minnesota)](https://meterwise.app/mn/xcel-energy-northern-states-power-minnesota/heat-pump-vs-furnace/index.md) | 16.8¢ | +3% | gas | +$190 | depends on quotes |
| [Otter Tail Power](https://meterwise.app/mn/otter-tail-power/heat-pump-vs-furnace/index.md) | 11.3¢ | -30% | gas | −$190 | depends on quotes |
| [ALLETE, Inc.](https://meterwise.app/mn/allete-inc/heat-pump-vs-furnace/index.md) | 12.3¢ | -25% | gas | −$110 | depends on quotes |
| [Lake Country Power](https://meterwise.app/mn/lake-country-power/heat-pump-vs-furnace/index.md) | 17.9¢ | +10% | gas | +$100 | depends on quotes |
| [East Central Energy](https://meterwise.app/mn/east-central-energy/heat-pump-vs-furnace/index.md) | 16.9¢ | +4% | gas | +$30 | depends on quotes |
| [Connexus Energy](https://meterwise.app/mn/connexus-energy/heat-pump-vs-furnace/index.md) | 13.7¢ | -16% | gas | −$60 | depends on quotes |
| [Wright-Hennepin Coop Elec Assn](https://meterwise.app/mn/wright-hennepin-coop-elec-assn/heat-pump-vs-furnace/index.md) | 14.6¢ | -10% | gas | −$90 | depends on quotes |
| [Stearns Cooperative Elec Assn](https://meterwise.app/mn/stearns-cooperative-elec-assn/heat-pump-vs-furnace/index.md) | 13.9¢ | -15% | gas | −$70 | depends on quotes |
| [Crow Wing Cooperative Power & Light Comp](https://meterwise.app/mn/crow-wing-cooperative-power-and-light-comp/heat-pump-vs-furnace/index.md) | 13.3¢ | -18% | gas | −$160 | depends on quotes |
| [BENCO Electric Cooperative](https://meterwise.app/mn/benco-electric-cooperative/heat-pump-vs-furnace/index.md) | 15.0¢ | -8% | gas | −$90 | depends on quotes |
| [People's Cooperative Services](https://meterwise.app/mn/people-s-cooperative-services/heat-pump-vs-furnace/index.md) | 16.7¢ | +3% | gas | −$60 | depends on quotes |
| [Minnesota Valley Coop L&P Assn](https://meterwise.app/mn/minnesota-valley-coop-l-and-p-assn/heat-pump-vs-furnace/index.md) | 12.2¢ | -25% | gas | −$270 | depends on quotes |
| [Wild Rice Electric Coop, Inc](https://meterwise.app/mn/wild-rice-electric-coop-inc/heat-pump-vs-furnace/index.md) | 14.3¢ | -12% | gas | +$160 | depends on quotes |
| [Freeborn Mower Electric Cooperative](https://meterwise.app/mn/freeborn-mower-electric-cooperative/heat-pump-vs-furnace/index.md) | 15.2¢ | -7% | gas | −$40 | depends on quotes |
| [Beltrami Electric Coop, Inc](https://meterwise.app/mn/beltrami-electric-coop-inc/heat-pump-vs-furnace/index.md) | 14.4¢ | -12% | propane | −$1,160 | heat pump ahead at any quote |
| [Federated Rural Electric Assn](https://meterwise.app/mn/federated-rural-electric-assn/heat-pump-vs-furnace/index.md) | 11.6¢ | -29% | gas | −$280 | depends on quotes |
| [Sioux Valley SW Elec Coop](https://meterwise.app/mn/sioux-valley-sw-elec-coop/heat-pump-vs-furnace/index.md) | 12.6¢ | -23% | propane | −$1,070 | heat pump ahead at any quote |
| [Itasca-Mantrap Co-op Electrical Assn](https://meterwise.app/mn/itasca-mantrap-co-op-electrical-assn/heat-pump-vs-furnace/index.md) | 13.4¢ | -17% | propane | −$1,200 | heat pump ahead at any quote |
| [Mille Lacs Energy Cooperative](https://meterwise.app/mn/mille-lacs-energy-cooperative/heat-pump-vs-furnace/index.md) | 17.6¢ | +8% | gas | +$170 | depends on quotes |
| [Dakota Electric Association](https://meterwise.app/mn/dakota-electric-association/heat-pump-vs-furnace/index.md) | 14.0¢ | -14% | gas | −$140 | depends on quotes |
| [Heartland Power Coop](https://meterwise.app/mn/heartland-power-coop/heat-pump-vs-furnace/index.md) | 12.1¢ | -25% | propane | −$1,140 | heat pump ahead at any quote |

Data: https://meterwise.app/data/v1/utilities.json · Method: https://meterwise.app/about/index.md