Under the Emergency Ordinance 12/2026 mechanism, in force until 31 March 2027, the household price should not exceed 0.31 lei per kWh.
The cheapest offer in Bucharest-Ilfov in July 2026, all-in. The common range: 1.27 to 1.42 lei per kWh.
When electricity costs four times as much as gas, a heat pump saves only if it produces more than four units of heat per unit of electricity, across the season.
In an illustrative calculation, a poorly insulated villa needs two and a half times the heat of a new, insulated villa. The gap between systems is much smaller.
Under the EU directive, from 1 January 2025 member states may not give financial incentives for installing stand-alone fossil fuel boilers.
Heating a villa in Romania: the short answer
As of October 2026, household gas in Romania costs about 0.31 lei per kWh, and electricity in Bucharest and Ilfov about 1.11 to 1.42 lei per kWh. Electricity is 3.6 to 4.6 times more expensive than gas. So in a new, well-insulated 180 sq m villa, the annual heating bill comes out similar with both systems, about 1,800 to 2,900 lei. A heat pump clearly wins only when it runs at high seasonal efficiency, with underfloor heating, or when it has electricity from solar panels. In a poorly insulated home, both systems are expensive.
Israelis ask me about this a lot, because in Israel most homes are heated with air conditioning, and for a winter of a month and a half that works. In Bucharest the winter is longer and colder, and the question "how much does it cost?" carries real weight. So instead of making promises, I set out the calculation here, with every assumption on the table.
Energy prices in Romania, October 2026
Gas. The old gas price cap, 0.31 lei per kWh, ended on 31 March 2026. In its place is a mechanism under Emergency Ordinance 12/2026, under which you pay the lower of the contract price and a calculated price, until 31 March 2027. According to Economica.net, commercial offers for the coming winter stand at about 0.34 lei per kWh, but the government has made clear that the price on the bill should not exceed 0.31.
Electricity. The market was liberalised on 1 July 2025. According to HotNews, which checked the price comparison tool of the energy regulator ANRE in July 2026, the cheapest offer in the Bucharest-Ilfov area was 1.11 lei per kWh all-in, and the common range 1.27 to 1.42.
| Energy | Final price for a household consumer | Note |
|---|---|---|
| Gas | about 0.31 lei per kWh | Emergency Ordinance 12/2026 mechanism, until 31.03.2027 |
| Electricity, cheapest offer | 1.11 lei per kWh | Bucharest-Ilfov, July 2026 |
| Electricity, common range | 1.27-1.42 lei per kWh | Bucharest-Ilfov, July 2026 |
When electricity costs four times as much as gas, a heat pump saves money only if it produces more than four units of heat for every unit of electricity, across the whole season.
The bill: two villas, three systems
Here is the calculation, with simple, open assumptions. A 180 sq m villa in two conditions: a new, insulated home that needs about 40 kWh of heat per sq m a year, and a poorly insulated home that needs about 100. A gas boiler at 90% efficiency. An air-to-water heat pump with a seasonal efficiency (SCOP) of 3.5, and in the best case 4.5. Exchange rate: 5.35 lei to the euro, the ECB reference rate of 7 October 2026.
| System | New, insulated home (7,200 kWh of heat) | Poorly insulated home (18,000 kWh of heat) |
|---|---|---|
| Condensing gas boiler | about 2,480 lei (about €460) | about 6,200 lei (about €1,160) |
| Heat pump, SCOP 3.5 | 2,280-2,920 lei (€430-550) | 5,710-7,300 lei (€1,070-1,360) |
| Heat pump, SCOP 4.5 | 1,780-2,270 lei (€330-420) | 4,440-5,680 lei (€830-1,060) |
The heat pump range runs from the cheapest offer (1.11) to the top of the common range (1.42). The calculation covers space heating only, without hot water, summer cooling and fixed standing charges. It is for illustration, not a price quote.
What the calculation shows
First, insulation matters more than the system. The gap between an insulated home and a poorly insulated one is two and a half times. The gap between gas and a heat pump, in the same home, is a few tens of percent at most. Anyone choosing a villa by its heating system rather than its envelope is looking at the wrong line. We wrote about how to check that a home is really efficient in our guide to an energy-efficient home.
Second, a heat pump likes lukewarm water. Its efficiency is higher when it heats water to a low temperature, as with underfloor heating, and lower when it feeds hot radiators. The same pump can sit in the SCOP 3.5 row or the 4.5 row, depending on what is connected to it.
Third, cold lowers efficiency. On a day of minus ten, an air-to-water pump produces less heat per kWh. We wrote about Bucharest's winter in our article on the weather and the seasons.
What the monthly bill leaves out
Solar panels. Anyone generating electricity on the roof lowers the effective price per kWh, and this is where the heat pump gains a real advantage. But in winter generation is low exactly when consumption is high. Details in our article on solar panels for a villa.
When electricity costs four times as much as gas, a heat pump saves money only if it produces more than four units of heat for every unit of electricity, across the whole season.
Summer cooling. An air-to-water heat pump or an air-to-air system can also cool. A gas boiler cannot. Anyone who needs summer cooling anyway should factor this in.
Connection, inspections and maintenance. A home with gas needs a network connection and periodic inspections of the system and the boiler, which we covered in our article on villa upkeep costs. A home without gas saves the connection and the inspections, but a heat pump needs its own maintenance.
Installation cost. A heat pump is more expensive to install than a gas boiler. In a new home from a developer the system is already included in the price, so the relevant question is what bill it will generate.
And what about the future
Two things are worth knowing. The effectively capped gas price is protected only until 31 March 2027, after which the price may change. And in the EU, under the Energy Performance of Buildings Directive, member states may not, from 1 January 2025, give financial incentives for installing stand-alone boilers powered by fossil fuels. The direction is clear, even if the pace is not.
Who each system suits
Gas suits: a home already connected to gas, with radiators, without solar panels, and anyone who wants the lowest bill today.
A heat pump suits: a new, insulated home, with underfloor heating, and especially with panels on the roof. Also anyone who needs summer cooling anyway, and anyone thinking about 15 years rather than the coming winter.
And what about us
I will mention this once: in the Compass on the Lake villas in Balotești, anyone who comes to a meeting can ask us for the heating system specification and the energy performance certificate, and put them into the table above. That is the calculation I recommend doing for any villa you are considering.
Frequently asked questions
How much does it cost to heat a villa in Romania in winter?
In an illustrative calculation, a new, insulated 180 sq m villa costs about 1,800 to 2,900 lei a year to heat, with gas or a heat pump. A poorly insulated villa of the same size can reach 4,400 to 7,300 lei. The main difference is the insulation.
Is a heat pump cheaper than gas in Romania?
Not always. In October 2026 household electricity costs 3.6 to 4.6 times the price of gas per kWh. A heat pump with a seasonal efficiency of 4.5, with underfloor heating, is cheaper. At an efficiency of 3.5 it is roughly equivalent to gas.
How much does household gas cost in Romania in 2026?
The old cap of 0.31 lei per kWh ended in March 2026. Under the Emergency Ordinance 12/2026 mechanism, in force until 31 March 2027, household consumers pay the lower of the contract price and a calculated price, and the government has made clear that the price should not exceed 0.31 lei.
How much does a kWh of electricity cost in Bucharest?
According to a HotNews check of the ANRE price comparison tool in July 2026, the cheapest offer in the Bucharest-Ilfov area was 1.11 lei per kWh all-in, and the common range 1.27 to 1.42 lei.
What affects the heating bill more, the system or the insulation?
The insulation. In our calculation, a poorly insulated home uses two and a half times as much heat as a new, insulated home. The gap between gas and a heat pump in the same home is much smaller.
The bottom line
In the Romania of 2026 gas is cheap and electricity is not, so a heat pump is not an automatic saving. It wins when the home is insulated, when the heating is underfloor, and when there is electricity from the roof. In any case, the first question is how much heat the home needs, and the answer is written in the energy performance certificate, not in the brochure.
If you would like to run this calculation on a specific villa, with us or anywhere else, book a 30-minute call with me. We will put in the home's data and see what your winter might cost.
Moti Azulay, Compass Group Romania
Sources and data: Economica.net, gas prices for winter 2026-2027 (24.09.2026) · HotNews, the cheapest electricity suppliers a year after liberalisation (July 2026) · Energy regulator (ANRE) (Emergency Ordinance 12/2026, price comparison tool) · ENGIE România, gas offers · European Commission, guidance on fossil fuel boilers · ECB, reference rates.
This article is for general information only and is not legal, tax or financial advice. The calculation is for illustration only and is based on simplified assumptions about heat demand, system efficiency and energy prices in October 2026. Energy prices in Romania changed substantially in 2025-2026 and may change again, especially after 31 March 2027.
Now you know more.
This article is general information, not legal, tax or financial advice. Consult local professionals before any transaction.
