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Natural Gas and LPG Compared - What are the Main Differences

If you fall into the 70% of Australian households that rely on gas, you may find yourself wondering how natural gas and LPG compare.

Whether it’s heating the house or frying up breakfast, gas plays a crucial role in our lives. But is there a difference in the performance, cost and reliability of one type over the other? Our Compare & Connect experts have the full run down on natural gas and LPG compared.

What Is Natural Gas?

Natural gas is composed primarily of methane gas that is extracted from within the earth. Natural gas is the gas delivered to your home through the mains pipe, and is responsible for powering the heating, cooking and gas appliances. 

Advantages Of Natural Gas

A key advantage of natural gas is that it dissipates more quickly in the air than LPG. This makes it a safer option, should a gas leak occur. However, i’s the practicality and convenience of natural gas that is the main attraction for most customers. Energy supply is consistent with a constant from the source to the home. In terms of environmental impacts, natural gas emits slightly less carbon dioxide than LPG.

What Is LPG?

LPG, or liquified petroleum gas, is propane gas. It is produced through refining or processing fossil fuels, or it can be extracted during the natural gas production process. As the name suggests, LPG is supplied to consumers in liquid form. Those cylinders or tanks you’ve likely have seen connected to barbeques and outdoor heaters will contain LPG.

Advantages Of LPG

As an energy source, LPG is able to burn at a higher temperature than natural gas, which makes it more efficient for cooking and outdoor heating uses. Plus, LPG does not contain sulphur, so it provides a slightly cleaner burn.

Since LPG is transported in cylinders, it is a convenient portable option for gas where no mains connection is available. From alfresco BBQ’s to camping and remote homes, LPG can provide gas wherever it may be needed.

Natural Gas and LPG Cost Compared

Of course, the question you really want the answer to: which type of gas will cost me less?

Natural gas is generally cheaper than LPG per unit. However, you’ll need to account for the supply fees that natural gas providers charge just for having gas connected to your home. This can add up to over $400 a year in supply charges.

On the other hand, LPG may be more expensive per unit, but the additional charges associated are far lower. If you use LPG, you will be charged for renting the gas cylinders, but this is often no more than $45 per year.

Looking to compare gas plans from a range of providers at once? Our simple comparison tool can help you find the perfect gas plan for your home, whether you’re after LPG or natural gas. Allow our friendly Compare and Connect experts to guide you through the process and even take care of switching you to your new provider.

Sally Writes 01 Feb 2021

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