Propane prices on par with oil now

Staff Writer

Mainers looking for alternatives to expensive oil heat have an unexpected option: propane.

In a rare instance during a Maine winter, the cost of heating with propane is roughly equal to burning oil.

Propane heat typically is more costly than oil, and fewer than 7 percent of Maine homes are warmed by it, according to 2010 census figures. But the run-up in global crude prices has pushed heating oil to new winter records, while the boom in domestic natural gas drilling has stablized and even cut wholesale propane prices.

Natural gas remains much cheaper than oil or propane, and state government is promoting the development of new pipelines for industry in Maine. However, natural gas heats only 5 percent of Maine homes, and getting distribution lines to a significant number of homes and small businesses could take decades.

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