EIA data · MN
Minnesota: what each way of heating costs
The short answer
In Minnesota, electricity averaged 16.28¢/kWh (1.8¢ below the US average). That puts mini-split heat at about $16 per million BTU at rated efficiency, versus $11 for natural gas. A heat pump loses on fuel cost at rated efficiency, and loses at 5°F.
Fuel prices are EIA SEDS 2024 residential averages per million BTU of fuel, divided by 90% furnace/boiler efficiency. Electricity is the EIA trailing-twelve-month residential average. Heat pump efficiency: ENERGY STAR median cold-climate system, HSPF2 10 (COP 2.93) rated, COP 2 at 5°F.
Cities in Minnesota
| City | 99% design temp | Heat pump $/yr | Gas $/yr | Oil $/yr | Propane $/yr |
|---|---|---|---|---|---|
| Minneapolis | -6°F | $1,224 | $689 | $1,793 | $1,368 |
| Duluth | -11°F | $1,342 | $747 | $1,945 | $1,483 |
| Rochester | -8°F | $1,197 | $675 | $1,756 | $1,339 |
Keep going
- Cost-to-heat calculator: put in a ZIP for your own number instead of a state average.
- All city estimates, sizing by design temperature and incentives.
- States with a similar electricity price: Colorado, Washington, Ohio, Wisconsin.
Questions people ask
What is the electricity price in Minnesota?
EIA reports a residential average of 16.28¢/kWh for Minnesota over September 2025 to August 2026; the latest month, August 2026, was 17.20¢/kWh. The US average over the same twelve months was 18.04¢/kWh.
Is a heat pump cheaper than natural gas in Minnesota?
Per million BTU of delivered heat, a heat pump at its rated HSPF2 costs about $16 versus $11 for natural gas at 90% efficiency. At 5°F, when efficiency is lowest, the heat pump costs about $24 per million BTU.