What are Furnace Ratings?
We're glad you asked!
Furnaces are rated by the Annual Fuel Utilization Efficiency (AFUE):
the percent of heat produced for every dollar of fuel consumed.
Like the kilometers per litre on your car, the higher the AFUE
rating, the lower your fuel costs. All furnaces manufactured must
now meet at least 78% AFUE. If your furnace is 10 to 15 years
old, it probably falls well below the current furnace minimum
and wastes energy.
Isolated Combustion System (ICS): A New Rating

In 1989, the U.S. Department of Energy (DOE) adopted a new, fair
way to rate furnaces for AFUE Efficiency. Isolated Combustion
System, or ICS, is the industry standard that has been designed
to reflect the efficiency of a furnace installed in a home setting.
What does this Rating mean?
The AFUE rating shows the efficiency of a particular furnace.
Your contractor can determine your potential cost savings for
your fuel costs, annual usage and efficiency. The AFUE rating
provides consumers with one consistent number for comparison.
Essentially, the ICS test compares łapples to apples.˛ That is,
all furnaces are tested equally. Manufacturers determine AFUE
ratings by testing furnaces under set conditions for various lengths
of time. The conditions were determined by the DOE to simulate
an average home setting. So, even though your furnace may not
be installed in your home exactly like it is installed in the
test lab, the ICS rating is still the best way to compare furnace
efficiencies, since all manufactures must comply with the same
testing procedures.
So I can just look for a furnace with the highest AFUE
Rating, right?
Not exactly. The efficiency rating is just one factor to consider
when looking at new furnaces. Furnaces use electricity to run
fans and motors. The amount of electricity used varies greatly,
depending on the type of furnace. Be sure to check electricity
usage before making a purchase decision. You also need to consider
many other important factors, including:
- How long you plan to live in your home
- Special comfort needs
- Fuel availability
- Fuel cost
- Geographic area and climate
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