Oil to Natural Gas Conversion Costs

 The gas company recently sent homeowners on my street a notice that
they will be installing natural gas service over the next couple of
months. The timing couldn't be better from my point of view. I have a
10 year-old oil tank the insurance co. wants replaced, and a furnace
(FHA) that dates from the early 70s. I also have a rented oil-fired hot
water heater. To my mind, a gas conversion was a no-brainer since all
those things need to go away soon.

I've gotten 2 quotes so far and was astounded at the cost. The
equipment itself isn't the problem -- but in both cases the
installation costs were over $3000, in one case closer to $4000. This
for what one contractor told me was a 1-day job (for a crew of course).
This seems awfully rich, because the entire job (furnace, water heater,
elec air cleaner) is coming in between $7,000 to $8,000. I am told they
will run gas pipe to the equipment from the meter, install everything,
connect the furnace to the existing ductwork (with whatever needs to be
adapted for that), run exhaust either thru the wall or up the chimney
with a liner, and remove the old equipment. The house is a mid-50s
bungalow with an 8-foot basement where the equipment lives. The
furnaces are both 75,000 BTU hi-efficiency gas units (higher-priced was
a Lennox, the other a Tempstar).

Is this a reasonable cost or am I missing something here?

 
kp wrote:

It seems high, a state government agency in Wisconsin has estimated
$3500 for an average replacement.

You might want to omit the electronic air cleaner since your furnace
isn't going to be running all the time.

Be sure to have the furnace put on a dedicated electric circuit.

If air conditioning makes sense in your area, make it possible to add
it later.

I had the exhaust run directly through the wall. You may want to draw
outside air directly to the furnace to avoid a drafty basement (it will
require another pipe).

--
    Ron

 On 2 Aug 2006 13:23:12 -0700, someone wrote:


So get quote #3 or even #4, and see if you are still surprised.

It may just come down to, if you don't like what they are charging,
then don't do it.  But if you want the work done, that is what it
costs, no matter what you think it "should" cost.

Unless you have some plausible evidence that the first two contractors
knew each other and discussed their bids with each other, that the two
bids came in with numbers in a similar ballpark, BOTH of which were
not to your expectations, then it sugests the problem MIGHT be in your
expectations.  So go get a 3rd bid.


Reply to NG only - this e.mail address goes to a kill file.

 You know the local contractors are aware of the gas line install and
may try making a killing on the residents:(

Just for the heck of it get prices from more folks including sears home
depot and lowes.

big companies probably charge more on average but are less likely to
gouge converting residents....

 
Doesn't sound that bad to me.  It's a big job and running those
exhausts and laying pipe for the meter, etc is fairly labor intensive.

While yer at it, you might look into a high efficiency wood pellet
stove to be worked in there somehow too.  Its cost per BTU is less
than methane presently.  Or see if geothermal heat pump might be
something worth investigating for its lower long term operating costs.

The gas line you'll need anyway, but it may be worth at least
investigating some other heating options since you're sorta starting
fresh.

Best Regards,
--
Todd H.  
http://www.toddh.net/