Jul

Should I Remove or Replace My Old Oil Tank?

Should I Remove or Replace My Old Heating Oil Tank?

If you have an aging or damaged oil tank on your property, you’re probably weighing your options and asking yourself: Should I replace or remove my oil tank? This question comes up often, especially for homeowners dealing with aging systems, code violations, or rising energy costs.

Both choices carry long-term implications for your home or business, including safety, cost, and compliance with local laws.

At Superior Tank & Energy, we help property owners throughout Pennsylvania and New Jersey make informed decisions about their oil tanks. Here’s what to consider when choosing between oil tank replacement vs. removal.

When Should You Replace Your Oil Tank?

Not every old tank needs to be removed. In some cases, replacing your current tank with a modern, code-compliant unit is the safer and more cost-effective option. You might consider residential oil tank replacement if:

  • The tank is still structurally sound but outdated: Older tanks that are more than 15 to 20 years old may not meet today’s safety standards, even if they haven’t failed yet.
  • You’re still using oil for heat: If you plan to continue using heating oil, replacement ensures system reliability.
  • You’ve had minor issues like surface rust or corrosion: Small problems now may signal bigger issues down the road.

Replacing an oil tank can also help improve energy efficiency and reduce maintenance. Our experts can review professional installation options that match your fuel needs, property layout, and budget.

When Is It Better to Remove the Tank Entirely?

Sometimes, removing an old home heating oil tank is the better option, especially when the tank is no longer safe or needed. You should consider removal if:

  • You’re switching to a different fuel type: If you’re converting to natural gas, propane, or electric, the oil tank becomes obsolete.
  • The tank is leaking or too damaged to repair: A badly damaged tank poses an environmental and financial liability and is one of the most common reasons why oil tanks need replacement.
  • You’re selling the property: Buyers and inspectors often flag unused or underground oil tanks as a risk.

In many cases, underground storage tank removal is recommended to prevent hidden leaks from contaminating the soil. If you’re not sure how your tank is holding up, we recommend you schedule an inspection.

Environmental and Legal Factors to Consider

Old oil tanks, especially buried ones, can pose serious environmental hazards. Leaks may go undetected for years, contaminating the soil and groundwater.

Both New Jersey and Pennsylvania have regulations governing oil tank storage and removal:

Disclosure laws may also require you to report existing tanks when selling a property. Removing or replacing your oil tank can help you avoid fines, delays, or failed inspections.

Oil Tank Upgrade Options for Homeowners

If you decide to replace your tank, you have several oil tank upgrade options to choose from:

  • Above-ground vs. underground tanks: Above-ground tanks are easier to maintain and monitor, while underground models save yard space.
  • Steel vs. fiberglass construction: Fiberglass tanks resist corrosion, while steel tanks are more budget-friendly.
  • Single-wall vs. double-wall protection: Double-wall tanks offer extra leak protection and are often preferred in sensitive areas.

Working with a licensed professional ensures that your tank is installed to code and fits your property’s specific needs.

Cost Comparison: Replacement vs. Removal

We understand that cost is a significant consideration for homeowners facing this decision. So, which one is cheaper: heating oil tank replacement or removal? The answer depends on several factors:

  • The tank size and type you select 
  • Choosing above-ground vs. underground installation
  • The level of site preparation or remediation required

On average, removal of a standard underground tank can range from $1,000 to $3,500, according to HomeAdvisor. Replacing a residential oil tank may cost between $2,000 and $6,000, depending on the model and installation complexity, according to Angi.

Replacement may have a higher upfront cost but offers ongoing heating capabilities, while removal eliminates long-term environmental liability. Pennsylvania homeowners with underground storage tanks may also be eligible for partial reimbursement for environmental cleanup costs.

How To Decide What’s Best for Your Property

The right choice depends on your current fuel use, tank condition, and future plans. For example:

  • Are you still using oil? Replacement with a modern tank is likely the best option.
  • Are you converting to another heating source? Safe removal may be more appropriate.

The infographic below summarizes some of the key points to consider when deciding to remove or replace your tank:

an infographic comparing reasons to consider replacing or removing your oil tank

A professional tank inspection can help you assess your options. Contact Superior Tank & Energy for guidance based on your location, property type, and heating needs.

Contact Superior Tank & Energy for Professional Oil Tank Replacement or Removal

Superior Tank & Energy offers trusted solutions for residential oil tank replacement, underground oil tank removal, and new oil tank installation options. We serve locations throughout eastern PA and Central and South Jersey:

Pennsylvania

New Jersey

Contact us today to schedule an inspection or get help choosing the right path forward.

Frequently Asked Questions About Oil Tank Replacement vs. Removal

What are the signs my oil tank needs to be replaced?

Signs that your oil tank may need to be replaced include visible rust, corrosion, strong fuel odors, and frequent repair.

Is removing an old oil tank required by law?

Whether or not you need to remove an old oil tank depends on your state and municipality. In many areas, tanks must be removed if they’re no longer in use or pose a contamination risk.

Can I leave an unused oil tank buried?

Some local codes allow decommissioned tanks to remain underground, but only if they are emptied, cleaned, and properly filled. However, we often recommend removal to avoid any future liability.

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