Renewable liquid gas is cheaper and easier than air source heat pumps – and it's good for the environment too.

Liquid Gas UK, the trade association for the renewable liquid gas industry in the UK, whose members supply 99% of LPG, has today released a new report outlining the industry's journey to net-zero by 2050.

Many rural communities across the UK are off the gas grid, relying on other fuels to heat homes and businesses. Around 20% of off-grid properties currently use traditional LPG, but today's report highlights the transition to a renewable, lower carbon fuel known as Renewable Liquid Gas (RLG).

While the new government has been vocal in its support of electric heating alternatives like air source heat pumps, rural residents and businesses fear being left out in the cold. For a mid-size rural family home, switching to an air source heat pump could cost up to £30,000. This includes the heat pump, new plumbing, radiators, insulation, and sometimes even a new oven.

In comparison, properties using LPG are ready to go for renewable liquid gas, a lower carbon alternative that requires no extensive renovations, new radiators, or new oven – making it a cost-effective and attractive option. Even without taking account of the cost of additional renovations, the report shows that a typical detached rural home could save over £3,300 a year on renewable LPG versus an air source heat pump. A rural heritage hotel could save over £8,500 a year, and a glass manufacturer could save a whopping £3.2 million a year.

LPG is a versatile and reliable energy option for hundreds of thousands of off-grid businesses and homes, with robust supply chains ready for a seamless transition to renewable LPG.

George Webb, Chief Executive of Liquid Gas UK said: "Today's report is about achieving net-zero, which everyone wants. But for many rural families and businesses, electric alternatives just aren't the right path. With people living in rural areas more likely to be fuel poor, people can't afford the tens of thousands of pounds needed to upgrade to an air source heat pump and the associated costs to make the technology work efficiently.

"LPG is already supplied to hundreds of thousands of homes and businesses across the UK. The best transition for them is to switch to renewable liquid gas – the lower carbon alternative. It saves money and is better for the environment. We believe that more than one pathway to net-zero is needed for rural families, farmers, hospitality businesses, and industry to keep the heating on and bills down. It's a no-brainer.

"This could and should be a booming industry, but we need decision-makers at all levels to join us on this journey."

The Hobson family said: "Everyone in the countryside cares about the environment and wants net-zero, but we don't want to be left out in the cold. Not every rural family can afford the tens of thousands of pounds to switch to an air source heat pump. There are so many associated costs, but a renewable form of what we're already using means we can switch over, stay warm, help the environment, and keep bills down."

Nigel Lloyd, farmer at Hollybush Farm in Shropshire said: "'As farmers, we're facing some of the toughest challenges yet – trying to produce more for a growing population, while also reducing our impact on the environment and cutting emissions. For my farm business, I need an energy source that's affordable, low-carbon, and practical."

"It's vital that those in charge of the country's energy take farmers views into account when making net-zero plans. There isn't a one-size-fits-all situation, as every industry and every farm is different."

"Focusing solely on electric options would be short-sighted. We need reliable long-term solutions like renewable liquid gas to support British farming for the future."

The report also found that the renewable liquid gas sector could provide an economic boost to UK plc worth up to £1.3billion by 2050. 12,500 new jobs are also set to be created within the sector by 2040, according to the report, with many of these likely to be filled by those working in the oil and gas industry today.