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| Square Footage | Furnace BTU |
|---|---|
| 1,000-1,200 sq. ft. Home | 40,000 - 60,000 BTU |
| 1,200-1,500 sq. ft. Home | 60,000 BTU |
| 1,500-1,800 sq. ft. Home | 60,000 - 80,000 BTU |
| 1,800-2,500 sq. ft. Home | 80,000 - 100,000 BTU |
| 2,500-3,500 sq. ft. Home | 100,000 to 120,000 BTU |

An oil to gas furnace conversion is one of the most effective ways for Canadian homeowners to lower heating costs, reduce emissions, and upgrade to a more efficient heating system. Whether you currently use oil or electricity, switching to natural gas or propane can significantly improve comfort, reliability, and long-term savings. This guide explains the benefits, costs, steps, safety considerations, and everything else you need to know before starting an oil to gas furnace conversion in Canada.
Modern natural gas and propane furnaces offer 90%–98% AFUE efficiency, which is much higher than older oil-based systems. An oil to gas furnace conversion not only reduces wasted fuel but also lowers greenhouse gas emissions and improves indoor air quality.
Oil deliveries require large, costly tank refills. Natural gas and propane systems allow for predictable billing, monthly budgeting, and often lower operating costs. Many utilities also offer equalized billing plans, making expenses easier to manage year-round.
Homes that complete an oil to gas furnace conversion typically see higher resale value. Buyers prefer clean, efficient, low-maintenance heating systems—making this upgrade an attractive investment.
Oil tanks and older oil furnaces take up significant room. A new gas furnace is compact and frees up storage space in the utility area.
Natural gas is often the cheapest heating fuel in Canada. Propane costs more per litre but burns hotter and is available in rural areas. Both options generally outperform oil and electric furnaces in long-term efficiency.
Many provinces periodically offer rebates for replacing older oil systems with high-efficiency alternatives. These incentives can make an oil to gas furnace conversion more affordable.
Choosing between natural gas and propane depends mostly on your location.
✔ Lowest cost per BTU
✔ No storage tank required
✔ Continuous supply through gas lines
✔ Available anywhere
✔ Burns hotter than natural gas
✔ Great option when gas lines aren’t available
An oil to gas furnace conversion varies depending on your current heating system.
If You Have a Forced-Air Furnace
This is the simplest conversion. Existing ductwork and ventilation may already be compatible.
Typical costs: $3,500–$8,000, including:
This is more complex since ductwork must be installed from scratch.
The process may include:
Costs can exceed $10,000.
In some cases, a ductless heat pump may be a better fit.
If your neighbourhood has natural gas lines, utilities often extend them to your property at little or no charge.
The gas provider typically:
Ideal for rural areas with no gas infrastructure.
You will need:
Fuel cost: approx. $0.60–$1.20 per litre
Propane burns extremely efficiently and is a reliable heating option across Canada.
An oil to gas furnace conversion involves mechanical, electrical, and safety components. A licensed HVAC technician ensures:
✔ Safe removal of old oil tanks
✔ Proper venting and gas line installation
✔ Compliance with local building codes
✔ Correct furnace sizing
✔ Maximized efficiency
✔ Full manufacturer warranty protection
A DIY oil to gas furnace conversion is unsafe and voids warranties—always hire a pro.
Most homeowners spend $5,000–$15,000 depending on:
Although the upfront cost is significant, an oil to gas furnace conversion often saves $1,000–$1,500 per year in heating costs.
Key hazards include:
Professionals ensure:
✔ CO-safe venting
✔ Gas pressure testing
✔ Compliance with CSA and local regulations
✔ Safe removal of old oil equipment
Homeowners should always maintain working carbon monoxide detectors.
An oil-to-gas furnace conversion results in:
While natural gas and propane are still fossil fuels, they burn significantly cleaner than oil.
To keep your new system efficient:
Routine care extends furnace life and reduces energy waste.
Yes—most homeowners find it a valuable upgrade. An oil to gas furnace conversion provides:
✔ Lower heating bills
✔ Cleaner, more efficient heating
✔ Improved home value
✔ Predictable energy costs
✔ Safer, quieter operation
If you’re ready to explore your options, start by getting multiple quotes from certified HVAC contractors to find the best solution for your home.
Some models can be modified with a conversion kit, but most older systems are better replaced entirely. Always consult a licensed HVAC technician.
Yes, but regulations vary. For example, Quebec restricts fuel-switching from oil to other fossil fuels. Always confirm with local authorities or your HVAC professional.
FurnacePrices.com offers expert guides and access to certified local contractors. Visit our site to compare furnace options or request a free, no-obligation quote for your home.
At FurnacePrices.com, we bridge the gap between homeowners and reliable, vetted HVAC contractors—whether you’re installing a new furnace, upgrading your air conditioner, or replacing your full home comfort system.
Tell us your installation timeline, and we’ll match you with the most suitable HVAC professionals in your area:
🔥 Need an urgent installation? (Next 2–3 days)
⏳ Planning your upgrade in the coming weeks?
🤔 Still comparing brands, prices, or contractor quotes?
👉 Request personalized furnace or AC quotes based on your timeline and Ontario location.
FurnacePrices.com helps homeowners across Ontario compare heating and cooling systems, estimate installation costs, and connect with trustworthy contractors.
Frequently supported service areas include:
Our network covers most major and mid-sized regions in Ontario, ensuring expert assistance whether you’re replacing an older furnace/AC or upgrading to a high-efficiency model.
👉 See the full list of Ontario service regions
Many companies in our contractor network are active members of respected national and provincial HVAC organisations, such as:
These affiliations indicate strong training standards, code compliance, and reliable installation practices.
Installation costs vary depending on:
Understanding these factors helps you plan your installation budget more accurately.
Compare furnace or AC quotes from trusted, local HVAC professionals—quick, easy, and with zero pressure.
👉 Get fast, no-obligation heating & cooling quotes today