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Swapping Oil for Gas Growing Trend in Berks: Gas Retailer UGI and Local Heating Contractors Say They Have Seen a Significant Upswing in Customers Converting Their Home Furnaces From Oil to Natural Gas.
Thursday, October 09, 2008 10:54 AM


(Source: Reading Eagle)trackingBy Mike Urban and Jason Brudereck, Reading Eagle, Pa.

Oct. 9--Soaring oil prices over the past year have moved what may be a record number of area homeowners to switch to natural gas as a heating source. Never has UGI Utilities Inc. had as many oil-to-natural gas conversions as it had recently, according to spokeswoman Deborah Leuffen. There were 3,902 conversions between Oct. 1, 2007, the start of the company's fi scal year, and Aug. 31, the last day for which figures are available, she said. That's a 58 percent increase over the previous 11 months, when there were 2,473 conversions, she said. The main reason for so many converts is simple, according to Leuffen. "It's the high price of oil," she said. The average cost to heat a home in the Northeast with oil this coming winter is projected at $2,468, a 24.2 percent increase from last heating season, according to the Energy Information Administration. Nationally, the average is $2,388. That is almost twice the projected typical household cost for natural gas at $1,345, an 18.8 percent hike. Several of the larger heating contractors in Berks County said requests for converting to natural gas have increased 20 percent to 30 percent this year over previous years. That was the case for ServiceMark, a Reading-based heating, air conditioning and plumbing service company and subsidiary of UGI.

"It's certainly the buzz subject right now," said Charles Conlan, ServiceMark general manager. "The reason we're seeing this is people feel there is instability in the Middle East and most of our oil comes from foreign sources while most of our natural gas comes from more local (domestic) sources."

Also, high prices in the past year got customers thinking about alternatives, Conlan said.

Even some smaller heating and plumbing companies have performed conversions.

"We've got a lot of requests for it, I'd say more than ever," said Dale Kendall, owner of Lincoln Plumbing & Heating Co. Inc., Reading.

Some other companies have not seen an increase in customers changing to natural gas.

"People aren't really asking for it and I don't know if they just want to stick with a company that's been around forever or what," said Sandi Czulada, a spokeswoman for Berks Products Inc., a local heating oil supplier.

Among those who have switched is Sandra Britland of Lyons, who two months ago replaced the oil burner she had installed in her home 13 years ago.

Although she is hoping to save money this winter, she changed mainly because she believes natural gas is better for the environment than oil and cleaner to burn.

"I would have changed even if natural gas cost more," she said.




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