In NSW, you could easily upgrade your electric hot water with a heat pump water heater for just $33! As low as this price seems, it could facilitate an upgrade to qualifying heat pumps from top brands like Ecogenica, Eco Alliance, Chromagen, Smart Lifestyle, etc.

Upgrading at this low price was possible as many installers claimed several rebates and energy-saving programs at the state and federal levels and passed the benefits to homeowners. 

Unfortunately, this offer is no longer available. It ceased on January 1, 2024, so you cannot claim it anymore.

If anybody convinces you otherwise, stay away from them to avoid losing your money for nothing.

We have some good news: You can explore other deals and upgrade your hot water system.

Wondering how? 

Here, we define the $33 hot water program, explain what happened to it, and then reveal the current deals you can explore for upgrading to a heat pump water heater.

Key Takeaways

A Brief History  of the $33 Heat Pump Water Heater Upgrade in NSW

The $33 hot water upgrade wasn’t a single rebate or government program. It was a product of the innovative use of several programs to incentivise residential energy efficiency. 

Installers used the available rebates, ESCs, and STCs to pay the cost of the heat pump installation and passed the savings to customers while still making their profits. The final price? In most cases, a mere $33.

This promotion was extended to houses that were already equipped with electric hot water heaters.

Installers would evaluate these homes for qualifications, and for homes that qualified, the installer would then replace these old systems with far more efficient heat pump models at a very subsidised price.

These installed heat pumps were of higher quality as they were supplied by reputable brands such as Ecogenica, Chromagen, and Smart Lifestyle.

During this time, it was a win-win case for homeowners and the environment. Consumers got more efficient systems while the planet benefited from less pollution. 

Top Brands and Their Pricing During the $33 Hot Water Upgrade in NSW

During the $33 hot water upgrade, many brands took part, and not all had the same price tag.

The brands that qualified for a $33 installation cost all met the government requirement on energy efficiency, so homeowners were assured they would cut down on water heating costs.  

Why is the $33 Hot Water Upgrade No Longer Available?  

One thing should be clear by now– that there was nothing like a single “$33 rebate.”

As we already stated earlier, this cost was caused by several installers being able to claim many state and federal government rebates and incentives and then use them to lower installation prices. 

The two most common incentives that made this possible are: 

Installers used these certificates to offset the full cost of the system and installation. They were able to keep prices low, sometimes as low as $33,  by claiming these certificates on the customer’s behalf.

However, both of these incentives are decreasing in value over time. Here’s how:

STCs (Small-Scale Technology Certificates)  

Each year, the number of STCs a homeowner can claim for a heat pump reduces by around 3 to 4 certificates. By April 2024, the value of an STC certificate was around $40. If you do the quick math, it means the STC amount you can claim for the unit is dropping by  $120 to $140 every year. 

To some, this might look like a big deal; however, it can become one for those who want to keep the upgrade costs as low as possible. 

ESCs (Energy Saving Certificates)  

ESCs are based on the energy saving offered by the new system over the previous one.  They are affected by the system’s efficiency and your climatic zone.

In April of 2023, one ESC was valued at $31.25. By April 2024, it fell to $19.75 — a 40% drop. To illustrate the difference, consider a system that qualified for 45 ESCs in 2023. That was approximately $1,406 in rebate value. Now, it is valued at about $888.

This sudden drop made it economically impossible for most of the installers to continue providing the $33 upgrade. With less revenue from rebates, they were no longer able to meet their costs while providing low costs.

There Are Still Great Deals Available  

While you might be sad now that the $33 hot water upgrade isn’t working anymore, all is not lost.

There exist other deals that allow you to grab and upgrade your hot water very affordably. So, what are they? You might ask!

STCs – Small-scale Technology Certificates

These are incentives by the federal government. When you install a heat pump, you earn a certain number of STCs depending on the system’s size and efficiency.

We will calculate the number of STCs you qualify for and then apply the discounts upfront. 

ESCs – Energy Saving Certificates

ESCs are a NSW government incentive. When you upgrade to a heat pump, you can earn ESCs based on the energy savings of your new system. We will determine the eligible ESCs and deduct them from the initial heat pump installation prices. 

Which System Should You Choose?  

Choosing the right hot water system comes down to a few key things: your household’s water usage, your existing setup, and your budget.

Most people upgrading from electric systems will find heat pumps to be the most straightforward and cost-effective choice. They work well in most NSW climates and are eligible for good rebates. 

One thing that’s worth noting is that the government did its own testing on heat pumps in the rebate scheme.

Instead of relying on manufacturers’ claims, they used the same test conditions for every unit. The result? Ecogenica came out on top for efficiency.

That means Ecogenica’s systems perform better in real-world use than many well-known brands like Rheem, iStore, Sanden, and Reclaim. It’s definitely worth keeping in mind if you’re looking for a reliable and cost-effective upgrade.

Final Thoughts  

While the $33 upgrade offer might be a thing of the past, NSW residents still have a chance to improve their hot water systems without spending a fortune. 

With the right combination of rebates and a good understanding of what’s available, you can still upgrade to an energy-efficient heat pump or solar system at a great price.

Not only will you save money on your energy bills, but you’ll also be making a solid move toward reducing your carbon footprint and improving your home’s overall energy performance.

Coming back from an exhausting day and getting those warm showers can be a relaxing moment for you, but everything changes when the hot water stops.

If you’ve ever been caught mid-shower with freezing water, you might also be in the queue of those asking, “How long does it take for hot water to come back?

This has become a general question for many homeowners—well, this article will discuss average hot water recovery times, the factors that affect recovery time, and also common problems that can slow recovery time. 

What Is the Average Time for Hot Water to Recover? 

To determine your hot water recovery time properly, it is important that you first consider the average recovery times for the different types of water heaters that are available.

In case you don’t know, recovery time is the period of time that one holds onto hot water after it has been used.

Let’s have a look at how recovery time works for an average of 50 gallons of tank:

The difference here is in the type of heating. A gas heater uses burners, which heat water much faster than electric rods used in electric water heaters.

So while you try to understand why gas heaters recover faster, consider that gas burners heat up much more quickly, which will make your water heater restore your hot water output in a shorter time.

hot water coming from shower head

What Are the Factors That Affect Hot Water Recovery Time?

Still on the question, “How long does it take for hot water to return?” In this section, you will gain a better understanding of the factors affecting hot water recovery time and how to prevent them.

1. Tank Size

The recovery time of the heater and the size of the water tank are important in this topic. The larger the tank, the longer it will take to recover because you have a larger volume of water to heat.

A residential water heater should range from 20 gallons to 100 gallons, and big tanks will need more time for the burners to heat the water again. 

If the water heater tank is almost empty of hot water, the recovery time will increase. Cooling down hot water would happen as soon as new cold water enters the tank, which will increase recovery time.

How Long Does It Take for Hot Water to Come Back? - smaller vs larger tank illustration

2. First-Hour Rating

First-hour ratings can be described as the amount of hot water your water heater can output in its first hour of operation, and these are used to compare different tank sizes, burner power, and heat sources.

The higher the first-hour rating, the faster your water heater will recover.

All you need to find your water heater’s first-hour rating is to check the Energy Guide label on your unit. This label is designed to provide useful information regarding the recovery capabilities of your tank.

3. Fuel Type

Earlier, I stated that gas water heaters heat water faster than electric water heaters. Gas water heaters are usually more energy efficient and tend to be more economical in the long run.

If you notice that your electric heater takes longer to heat water, it might be time to consider a gas unit, especially if you have a natural gas line already installed in your home.

gas vs electric water heaters

4. Temperature Rise

Your temperature rise will vary according to that internal temperature and the desired hot water temperature. The bigger the difference, the longer your water will be heated.

5. Hot Water Usage

Hot water consumption also plays an important part in determining recovery time for heaters.

If several people are using hot water at the same time, the tank can empty faster than it fills up, which will result in the recovery taking a longer time, especially if an individual heater is already nearing its capacity.

heavy hot water usage slow down recovery time

Common Problems That Can Slow Down Recovery Time

If you notice that your hot water is taking too long to come back, consider the following:

  1. Sediment Buildup: Mineral buildup at the bottom of the tank can insulate heating elements, slowing down water heating.
  2. Worn-Out Heating Elements or Gas Burners: Malfunctioning heating elements or gas burners reduce heating efficiency, which leads to increased recovery time.
  3. Broken Dip Tube: A damaged dip tube causes cold water to mix with heated water, lowering the temperature and slowing recovery.
  4. Incorrect Sizing: A water heater that’s too small for your needs will not meet the demand for hot water, causing the tank to empty quickly and take longer to recover.

Conclusion

How long does it take for hot water to come back? Well, the average recovery time will vary with several other factors, such as the type of water heater you have, the size of your tank, and your overall usage pattern.

While this article answered most of the important issues on this topic, it’s always advisable to have a professional plumber check and service your water heater if the recovery time takes longer.

Did you know that each household in Australia spends close to 23% of its total utility bills on hot water?

With the Australian Government’s YourHome sources revealing these high expenditures, homeowners are now seeking all the viable ways to bring these costs down without sacrificing daily comfort. 

One great way is to choose the right hot water tank size.

Wondering how this helps?

Consider a home that uses an oversized hot water system.

While such a family might think a larger hot water system is a sure bet to avoid running out of hot water, the reality is indeed the opposite. Heating more water than needed results in unnecessary energy use and makes higher bills an unavoidable consequence. 

Also, think about an Australian household that invests in an undersized hot water system.

This family will run out of hot water too frequently, forcing the system to keep reheating water. The frequent reheating will not only result in huge power bills but will also cause the system to wear out soon, and this will bring other replacement costs.

To avoid these costly inconveniences, you must choose a tank size that matches your household’s actual hot water needs.

The right system should balance efficiency, reliability, and long-term savings.

But now the big question is – how do you choose the right size hot water system for your household? 

Let’s find out how to get it right.

Key Considerations for Hot Water System Sizing

Different factors make it easy to determine the correct hot water system size of the required hot water system. Let’s break them down:

Household Size

The population size living in a particular house determines the number of showers or baths needed and, therefore, hot water required. A big family would need a more extensive system to satisfy all the occupants’ needs, while a small family can manage a more minor system.

Hot Water Usage

Think about the average utilization of hot water in your home. Are you a household that takes long showers or does a lot of dishes, laundry, and cleaning in hot water? If so, you might need a larger tank.

Water Usage Habits

Showers and Baths: Baths typically require 10 – 20 litres of hot water per minute. More extended or multiple showers using more product quantities will increase demand.

Appliances: Hot water provision also includes washing machines and dishwashers, increasing the total hot water demand when not incorporating water heaters.

Peak and Off-Peak Usage: If hot water is required at off-peak hours, the more extensive storage might help.

Sizing Guide Based on Household Size

Household SizeGas Storage (Litres)Gas Storage (Liters)Instantaneous (L/min) (Gas/Electric)
1-2 people25-509016-20 L/min
3-4 people125-250130-17020-24 L/min
5+ people250-400170+26+ L/min

Tip: Instantaneous systems should be sized on flow rates (L/min) rather than tanks. Make sure that flow rates correspond to peak usage in your case.

Estimate Your Household’s Hot Water Usage

The first thing that should guide you when choosing the right hot water system size is the number of occupants in your home and how frequently they use hot water.

According to hot water usage reports in Australia, it has been observed that a four-person family in Australia consumes between 200 and 300 litres of hot water daily.

That is to say, each person consumes an average of 50 to 60 litres daily. 

When determining the right hot water tank size to choose, please know the number of users and use this data to estimate the right size.

However, always keep in mind that this will not apply to the whole family, as hot water usage can never be identical. 

Households with long, frequent showers, daily use of machines like dishwashers and washing machines, or with fixed schedules for peak usage—like jumping into a shower every morning—would generally require bigger systems.

Meanwhile, homes applying good water-saving techniques, or those having fewer simultaneous users, would do well with a smaller tank.

height and capacity of different hot water tank size

Understanding Tank Sizes and System Types

After determining the number of hot water users in your household and estimating the right size you would typically need, next, know what tank sizes and systems are available in Australia.

In Australia, there are three types of hot water storage systems, and their capacities range from 50 to over 400 litres. To determine the right one, consider the following:

Electric-storage hot water systems:

These are the most widely used in Australia, and more than 50% of households use them. They are available in sizes between 125L and 400L, making them a great choice for different household sizes.

Gas storage hot water systems:

They are the next most common hot water heaters in Australia after electric hot water systems.

Gas heaters are known to be faster, so they generally come in smaller tank sizes ranging from 135L to 170L. Due to their quick water heating, they can comfortably serve a family of up to four people.

Solar hot water systems:

These operate on stored solar-heated water, which means they need to be larger to ensure adequate supply during cloudy days. Their sizes range from 250L to 400L.

Water heater sizing guide

Consider Off-Peak vs. Continuous Heating Plans

The next consideration you should make when choosing your hot water tank system is whether you will be reheating during low-tariff periods or throughout the day. 

If you intend to take advantage of low-tariff periods, you will need to choose a tank with a larger capacity. This is because off-peak heating means you will do so once per day.

So, you will need a larger tank that can serve during peak periods. The best size should be above 250 litres when this is the plan.

On the contrary, if you want to heat water throughout the day, you can get away with using a smaller tank since the system can reheat water as it’s being used. 

While this gives more flexibility in tank sizing, it’s also important to remember that heating water during peak times will cost more per kilowatt-hour.

So, if you’re on a peak electricity plan and want to avoid high bills, balance tank size carefully to reduce reheating frequency while still covering your daily needs.

Climate Considerations in Australia

Another key factor often overlooked when choosing the right hot water tank size is your local climate. The area you live in across Australia can influence how hard your system has to work, and that affects the size you’ll need.

In colder regions like Tasmania, Victoria, or the Snowy Mountains, the water entering your system starts much colder. That means the system will need to work harder—and longer—to heat the water to a usable temperature.

In such cases, larger tanks may be necessary to ensure enough hot water is available, especially in the early mornings or evenings when demand is usually highest.

On the other hand, in warmer regions such as Queensland or parts of Western Australia, the incoming water is already relatively warm.

This reduces the load on your system and, in most cases, allows for a slightly smaller tank size without sacrificing comfort or performance.

So, if you’re living in a cooler part of Australia, factor in a bit of extra capacity to avoid shortages.

In warmer climates, you might be able to opt for a smaller, more energy-efficient tank and still enjoy consistent hot water all year round.

how to choose hot water tank sizes according to climate

Energy Efficiency and Running Costs

When choosing a hot water tank, it’s crucial to consider its energy efficiency. Most hot water systems in Australia are rated using the Energy Rating System, which can help you make an informed decision.

Typically, electric storage systems have efficiency ratings between 85% and 95%.

This means that between 85% and 95% of the energy used to heat the water is effectively turned into usable hot water, with the rest lost as heat. 

Gas storage systems tend to be less efficient, usually around 60% to 75%, because they lose more energy during the heating process.

Solar hot water systems are often the most efficient, with efficiency ratings that can range between 80% and 95%, depending on the quality of the system and the climate conditions.

A higher efficiency rating means the system uses less energy to heat the same amount of water, reducing running costs over time. 

image with different types of hot water heater and text "which heaters are energy saving"

Space and Installation Considerations

Your available space at home plays a big role in deciding the right tank size.

If you have limited space, a larger tank might not be practical. In this case, you may need to opt for a smaller, more compact model that fits your space constraints.

Another important factor is the installation location. The further the tank is from your taps or showers, the more heat is lost as the water travels through the pipes.

So, a large tank installed far away from your water outlets may not be as effective. On the other hand, a smaller tank placed closer to your taps can perform better, reducing heat loss and improving energy efficiency.

Choosing the Best Hot Water System for Your Needs

hot water system size banner

Ultimately, selecting the right hot water tank size depends on several key factors, including household size, daily usage patterns, budget, and location. Each plays a critical role in ensuring that your hot water system meets your household’s needs efficiently and cost-effectively. 

If you’re unsure about the best option for your home, consulting a professional plumber or hot water expert is a great idea.

These experts can assess your household’s specific needs and recommend the most efficient and cost-effective system.

Did you notice some leaks coming from your hot water tank?

Besides being one of the most frustrating things you would deal with as a homeowner looking to maintain a comfortable indoor environment, a leaking water tank can be more than a mere problem.

For one, it can result in skyrocketing utility bills since much-heated water goes into the waste.

Secondly, it can cause water damage to your floors, walls, and surrounding structures, necessitating costly repairs. And finally, it can cause possible electric faults if the leaking water touches the electrical system.

But don’t panic; many hot water leaks are easy to fix without involving plumbers.

All you need is some basic tools and the correct steps to fix the leaks and save on hot water wastage, energy, and money.

Let’s learn how you can fix a leaking hot water tank.

Signs That Your Hot Water System Is Leaking

signs that your hot water system is leaking

Depending on the underlying issues, your hot water tank can either leak from the top or bottom. Regardless, some common indicators can assure you the tank has leaking issues: 

Hot Water System Leaking from the Top

hot water tank leaking from the top

Top leaks are quite easy to fix as they mostly involve external damage rather than internal ones. Below are some of their causes and their effective fixes: 

Loose or Unfitting Inlet and Outlet Connections

The inlet for cold water and outlet for hot water are located at the top portion of the water tank.

With time, these connections can become loose or the fittings may corrode and eventually lead to the dreaded leak.

Solution: 

NOTE: Before reinstalling any removed or replaced fittings, apply the plumber’s tape to the threads for a secure, leak-proof connection.

Leaking Temperature and Pressure (T&P) Relief Valve

The T&P valve is a safety tank component that is meant to relieve excess pressure accumulating in the hot water tank. If there’s a leak from the valve, the reason could be either excessive pressure, valve failure,/or seal failure. 

Solution:

Leaking Temperature and Pressure (T&P) Relief Valve

Damaged Anode Rod Port

The anode rod is installed to avoid the formation of rust inside the tank by drawing corrosive contaminants. Over time, the seal around the anode rod may be compromised resulting in leaks.

Solution:

Hot Water System Leaking from the Bottom

A hot water system that is leaking from the bottom could be a result of condensation, a defective drain valve, or even internal corrosion that needs the tank to be replaced.

fix a leaking hot water tank -hot water tank leaking from the bottom

Leaking Drain Valve

The drain valve is located at the bottom of the tank and serves as a way to remove sediment buildup. If this valve is not sealed well it will leak.

Solution:

Internal Tank Corrosion and Sediment Buildup

Over time, minerals from hard water accumulate in the tank and cause sediment buildup. This can weaken the tank’s internal structure and lead to leaks.

Solution:

sediment build up in a leaking hot water tank

Condensation Issues

When the water heater tank seems to leak but there is no clear drip, condensation might be forming. It typically occurs due to temperature variations between hot water and cold air.

Solution:

condensation in hot water tank

Faulty Heating Element Gasket (Electric Water Heaters Only)

For electric water heaters, the heating elements are located near the bottom. If their gaskets become worn, they can leak.

Solution:

Preventive Maintenance Tips

To avoid costly repairs and extend the life of your hot water system, follow these maintenance tips:

Fixing a Leaking Hot Water Tank: Frequently Asked Questions

Finding a reliable HVAC replacement service can feel overwhelming—especially when you need fast, professional help.

With so many options, how do you know which company will provide quality work at a fair price?

In this guide, we’ll walk you through the key factors to consider, helping you confidently choose the best HVAC replacement service near you.

Energy-efficient HVAC enhances comfort, improves air quality, and lowers utility bills. It improves the quality of life.

But the HVAC, once used for a long time, becomes less efficient, leading to higher energy consumption, frequent breakdowns and increased utility bills.

Over time, components like compressors, coils, and motors wear out, causing the system to work harder.

Such inconsistent performance, regular breakdowns, poor air quality, and increased noise could be signs that it’s time for a replacement.

Upgrading to a new system not only improves comfort but also saves you money in the long run.

Once you know it’s time to replace your HVAC, you need to find a reliable HVAC replacement party.  

Do you know that, due to technological advances, HVAC systems have been improved to be better and more intelligent with smart features? This suggests that the cost of replacing your HVAC system may differ from that of your previous system.

There are different kinds of HVAC systems, which results in differences in replacement costs. 

The main HVAC systems are split systems, duct-free systems (known as mini-split systems), hybrid systems, and packaged heating and air systems.

These systems are mostly used for residential and commercial heating and cooling. There are also portable HVAC systems.

How do I find a good HVAC replacement service near me?

HVAC replacement service crew at work

Having projected your budget and the need for HVAC replacement, you now have to find a good HVAC replacement service near you.

Let’s walk through the key factors to consider, helping you confidently choose the best HVAC replacement service near you.

Search: Online Platforms and Local Search 

Searching for a replacement for your HVAC system starts by searching for the phrase “Good HVAC Replacement Service Near Me?” in your search engine. You can also find reliable HVAC replacement technicians by searching local directories like Yellow Pages and Yelp.

Searching online for the best HVAC replacement service near me

Your search engine, Google, for instance, will sense your location, and on the first page, it will display all the HVAC replacement services around you. 

Note down the HVAC replacement services you find online.

There are also industry associations available online. Search for them, and note down the HVAC replacement services near you.

Local search involves asking around.

Some people within your community must have used HVAC replacement services.

These people can be helpful once you ask for the HVAC replacement services they use for their needs. Add the HVAC replacement companies recommended by most people to your list.

Get Specific: Look For Specific HVAC Replacement Services

Some companies specialize in particular HVAC systems.

Have you identified your needs for HVAC replacement services? Your needs are essential when placing the top HVAC replacement services.

From your list, you should eliminate HVAC replacement services that do not offer the specific services you are looking for. Whether it’s a central AC, ductless mini-split, heat pump, or furnace, find a provider experienced in replacing your specific type of system.

From here, you know you are on the right path to finding the right HVAC replacement services.

Filter: Experience and Expertise

After obtaining a list of HVAC replacement services, you must determine the company’s and its technicians’ experience.

The average cost of an HVAC system replacement is $3,820 to $9,350. You are not going to spend so much on unworthy services.

The company must have a proven track record of several years.

The technicians must also be experienced, and the HVAC replacement services should have criteria they follow to ensure they have the best technicians.

From your list, you should eliminate the HVAC replacement services that lack a proven track record and fail to convince you they have the best technicians.

Get Assured: Licenses and Insurance

Credentials are an essential way to select the exemplary service for your HVAC replacement.

The technicians are coming to your residential or commercial property to replace your HVAC system. How will you hold the HVAC replacement service accountable if something goes wrong?

License, you got it right!

The license of operation for the HVAC replacement service and the technicians must be available before your project begins.

Take it to the next level and search for an ABN or CAN to determine if it’s a legitimate business or company.

Does the company protect you and its employees? Insurance is a necessity for HVAC replacement services.

Insurance can be used to protect the properties on the site of the HVAC replacement.

It can also protect the employees; if an accident happens on your site, the HVAC replacement company will take care of medical bills for the injured technicians.

So far, does your list consist only of licensed and insured HVAC replacement services?

That’s good; we are almost there in finding the right one.

Check Reputation

Look for HVAC companies with high ratings and positive customer feedback, specifically related to replacement services rather than just repairs.

A well-reputed company hires the best technicians. With a good reputation, you are assured of excellent technicians and, thus, quality services.

A company with a good reputation is known for offering excellent HVAC replacement services.

How do you identify a well-reputed HVAC replacement service? By looking at online reviews and ratings.

Yes, you were right.

You should dig deeper to find the online reviews and ratings on the HVAC replacement service’s website and on websites that rate different HVAC replacement services based on the services they offer to clients.

Are the clients satisfied with the HVAC replacement services provided? If yes, you’ve found a well-reputed HVAC replacement service.

Look For Guarantees & Warranties

Are you planning to purchase the HVAC system you are replacing from the HVAC replacement service? Most HVAC replacement services will also provide these systems.

These systems should come with a warranty of several years.

As mentioned above, the cost is high, so spending on counterfeit products would be risky. Make a wise choice and leave an HVAC replacement service without a warranty.

A guarantee from the replacement service is essential.

The HVAC replacement service should prove that they offer the best services; if not, you should be able to get a refund or have the issue fixed immediately.

You should never compromise the quality of the HVAC systems or the replacement services.

Request Multiple Quotes

Do you remember the cost of HVAC replacement in the market, as stated above? Yes, $3,820 to $9,350.

Different HVAC replacement services vary in price.

Remember your list?

The one you have been going through, ticking off the right companies? Get quotes from the companies on that list.

At this point, the companies you have are the best.

You have considered all the necessary factors, and now it comes down to your budget.

Compare the quotes you have received with your budget. Note the HVAC replacement services that are within your budget.

Ask Questions

An image of man and woman possibly discussing issues

You might have several companies on your list as well.

It’s time to dive deeper and ask questions to get to know them better. Here, you’ll spend time understanding their process and the different types of HVAC systems they offer.

Don’t hesitate to ask questions about the process, the equipment, and potential issues.

The HVAC replacement services will guide you through the process, and based on the information, you can determine which one offers the right services.

Ask About Financing Options

Yes, you have a budget, but do you have the funds, or were you planning to use your credit card for the services?

Some companies offer financing options to make the cost of HVAC replacement more manageable.

Ask for financing options from the HVAC replacement services you are considering hiring.

The companies provide information about the financing options, interest rates, repayment duration, and the process you follow to secure financing.

You can compare these options from several HVAC replacement services.

Which one works for you or your company?

How affordable is the financing option?

Are you comfortable with the available financing option?

Is it a good idea for your financial situation right now?

Is it worth the quality of life you get in return?

Once you answer all these questions, you have chosen a financing option that works for you. This helps you identify the HVAC replacement service that you work with that fits your needs.

So, finally,

You will choose the HVAC replacement service based on two primary considerations: yours and the company you are about to hire.

On your side: You consider your specific needs regarding the HVAC system, the affordability of the HVAC system, and the financing options.

On the company’s side: You also consider the company’s reputation, insurance, and license. You consider the quality of the HVAC systems and replacement services and the experience of both the company and the technicians.

Electric water heaters have become one of the biggest power consumers in Australian family homes when it comes to heating water installations.

Homeowners are increasingly looking to replace electric water heaters with more efficient alternatives, such as heat pumps.

Electric water heaters account for major energy costs and environmental emissions. A growing number of Australians are choosing heat pumps as a sustainable and cost-effective alternative to electric water heaters.

how an average NSW household uses its energy
The average NSW household uses its energy on lighting (4%), heating/cooling (27%), hot water (29%), cooking and appliances (40%).

The above image shows that hot water accounts for 29% of energy usage in an average New South Wales (NSW) household in Australia. Hot water is the third largest energy consumer in NSW homes.

Considering the impact of hot water usage, many homeowners are urged to replace electric water heaters with heat pumps, which can significantly reduce energy consumption.

With the increasing focus on sustainability, homeowners are encouraged to replace electric water heaters with heat pumps, which can lead to significant energy savings.

This significant percentage (29%) indicates that hot water systems are a major component of household energy consumption in NSW, Australia, which likely includes uses such as showering, bathing, washing dishes, and laundry.

Heat pump water heaters extract heat from ambient air to heat water; therefore, they outperform conventional electric water heaters regarding energy usage.

Thinking about replacing your electric water heater with a more energy-efficient water heater? Here are seven powerful reasons why switching to a heat pump is a game-changer!

1. Significant Cost Savings on Energy Bills

The significant decrease in energy spending is the main reason Australians migrate to heat pumps. Heat pumps operate differently than electric water heaters through air heat extraction. Thus, they can save up to 75% in electricity costs.

chart comparing the cost efficiency of water heaters. It depict heat pumps as the most energy-efficient water heaters

An electric water heater operates at 14 kWh per day, but heat pumps consume only 4.7 kWh to generate hot water, as per the Sustainable Household Scheme for 2024. The yearly reduction in power expenditures from this system amounts to over $1000, as E-Green Electrical mentions.

The rising electrical costs in Australia will result in substantial long-term savings, reaching thousands of dollars throughout a ten-year period. Future Australian homeowners will benefit from the expected growth of renewable energy adoption since heat pumps will grow in cost-effectiveness, making them a sustainable long-term choice.

2. Government Rebates and Incentives Reduce Upfront Costs

Australia currently offers the most inexpensive opportunity to install heat pumps because of government support programs.

Heat pump energy-efficient water heater installation becomes more affordable through two governmental discounts offered through the NSW Energy Savings Scheme (ESS) and Small-Scale Technology Certificates (STCS).

For example:

a. Rebates of $1,000 exist for Victorian residents who install heat pumps.

b. Accredited suppliers in NSW offer financial incentives to residents as per the terms stated in the HEER Fact Sheet.

The provided financial incentives help minimise the expense of heat pumps so they become affordable choices for users.

Participating state programs provide households with access to low-interest funding options to reduce transition costs for these families seeking energy-efficient alternatives.  

3. Unmatched Energy Efficiency

An electric water heater’s operation reaches between 90% and 95% efficiency because it converts nearly all electricity into heat.

As the most energy-efficient water heaters, heat pumps function with a power efficiency between 300 and 400% through their capability to move heat from nearby air.

The coefficient of performance (COP) rating reaches 3–4, which enables heat pumps to produce three to four times the heating output from equal amounts of electricity compared to electric water heaters.

You obtain more hot water during usage because heat pumps operate at such high-efficiency rates.

Heat pumps currently represent the most efficient water heating system available, making them the top choice for sustainable housing.

4. Lower Carbon Footprint and Environmental Benefits

The Australian government pursues net-zero emissions, while heat pump energy-efficient water heaters represent a solution that supports this initiative.

The operation of traditional electric heaters leads to substantial greenhouse gas emissions, especially when their electricity comes from coal power generation.

By switching to a heat pump, energy-efficient water heaters:

People concerned about environmental protection alongside lower carbon emissions will find choosing heat pump energy-efficient water heaters an advantageous step.

As Australia works to transition toward renewable power sources, heat pumps will help your home embrace national sustainability goals.

illustration of heat pump impact on environment. Saves up to 1 ton of carbon emission per year

5. Consistent and Reliable Hot Water Supply

A specific feature of heat pumps allows them to deliver a uniform supply of hot water across different climate conditions.

The operating efficiency of heat pumps remains constant throughout the entire year due to their independent relationship from solar irradiation.

Modern heat pumps undergo testing in Australian cold climate conditions to achieve minimum COP values exceeding two during sub-zero temperature operation, according to the HEER Fact Sheet.

A heat pump guarantees hot water delivery at all times, regardless of your residential location.

By using modern thermodynamic controls, heat pumps provide accurate temperature control to avoid unnecessary heat release and energy waste in the process.

6. Longer Lifespan and Lower Maintenance Costs

Heat pump water heaters last for 15 years or longer, while electric water heaters typically function for 8 to 10 years.

The upkeep requirements for these systems decrease because each system has the following features:

Heat pumps create financial savings because they reduce maintenance expenses and operational expenses for an extended period.

Homeowners who decide to replace electric water heaters with modern heat pumps experience comfort because extended warranties and dependable after-sales service exist for these heat pump models.

7. Easy Installation and Compatibility with Solar Panels

The installation process of heat pump water heaters poses a minimal challenge because they function as straightforward electric water heater replacements. The units fit perfectly within standard plumbing systems and power networks.

Energy efficiency receives a boost in your home through the use of solar-generated electricity by heat pumps when you already have solar panels installed.

Solar energy usage throughout daytime hours enables homeowners to remove all costs of water heating and provides them with permanent financial benefits. 

Conclusion

Choosing heat pump water heaters instead of an electric heater represents the best choice for home improvement.

Australia will adopt heat pumps as its water heating system of the future because these units deliver substantial savings and government rebates, together with superior efficiency and eco-friendly attributes.

The current conditions make this moment ideal for pursuing the heat pump system transition due to available rebates that reduce set-up costs and future efficiency gains that produce system self-payment.

The time has arrived to embrace fiscal benefits together with decreased carbon emissions. Start evaluating various heat pump solutions in the present era!

The Australian heat pump water heater market is anticipated to achieve a staggering estimated revenue of approximately US$ 103.8 million by 2030.

This is a sign of an excellent scope for expansion in this specific market segment.

Starting from 2025 up to 2030, it is predicted that the Australian market for heat pump water heaters will record a 12.1% compound annual growth rate, representing a high growth in demand and uptake of the technologies throughout the period.

Australia heat pump water heater market, 2018-2030 (US$M)

graph for Australia heat pump water heater market 2018-2030

Australia heat pump water heater market highlights

Heat Pump Water Heater Market Data Book Summary

Market revenue in 2024USD 57.6 million
Market revenue in 2030USD 103.8 million
Growth rate12.1% (CAGR from 2025 to 2030)
Largest segmentAir to water
Fastest growing segmentAir to Water
Historical data2018 – 2023
Base year2024
Forecast period2025 – 2030
Quantitative unitsRevenue in USD million
Market segmentationAir to Water, Water Source, Geothermal

Other key industry trends

Asia Pacific Market HPWH CAGR 2024-2030

Australia heat pump water heater market outlook

Australia’s heat pump water heater market prognosis represents this market’s current and possible future situation. This guide is a definitive reference manual intended to assist individuals and institutions handling the complexities of functioning in this market.

This publication offers sufficient market statistics, encompassing various principal factors, including revenue figures and year-over-year growth rates.

It also contains the compound annual rate of increase over varying global regions, which imparts extensive awareness of market behaviour.

The market study also entails a detailed scrutiny of heat pump water heaters, which provides corporate entities and investors with the knowledge they require to establish practical strategic blueprints for their company.

In 2024, the air-to-water segment led the market with a 70.14% revenue share.

The Australia heat pump water heater market segmentation between 2018 and 2030 consists of air-to-water, water source, and geothermal segments per Horizon Databook.

The Databook functions as an extensive reference manual to help users understand this sector.

The Databook provides data about market statistics in terms of revenue alongside annual growth rates (y-o-y) and Compound Annual Growth Rates (CAGR) over the globe and its regions.

Examining the water heater market competition and opportunities enables businesses and financial investors to create effective strategic frameworks.

The gas segment achieved the largest revenue share of 45.59% during 2023.

From 2018 through 2030, Horizon Databook reports the revenue performances of each sub-segment, including electric, solar, and gas, within the Australian water heater market.

The Australian market demonstrates recovery through rising commodity prices and favourable interest rates, which should increase the demand for heating equipment, thus boosting the water heater market throughout the forecast.

The Australian Solar PV market continues to expand because of joint efforts between Chinese solar panel manufacturers and Australian technicians.

Clean Energy Regulator, Australia, reported that rooftop solar PV user numbers grew from 2.32 million in 2018 to 2.68 million in 2019, boosting the adoption of solar water heaters nationwide.

Outlook for Heat Pump Water Heater Technology in Australia (Revenue in USD Million, 2018-2030)

Application Outlook for Heat Pump Water Heaters in Australia (Revenue, USD Million, 2018-2030)

Capacity Outlook for Heat Pump Water Heaters in Australia (Revenue, USD Million, 2018-2030)

Operational Type Outlook for Heat Pump Water Heaters in Australia (Revenue, USD Million, 2018-2030)

Forecast for Australia heat pump water heater tank size (Revenue, in USD Million, 2018-2030)

Future Market Outlook & Opportunities in Australia

As part of its plan to transition from natural gas use, the ACT Government has banned new gas connections for buildings starting in 2023. It has also devised various energy efficiency schemes, including purchasing and installing heat pumps.

Under the Energy Efficiency Improvement Scheme, electricity retailers must help households and small and medium businesses save energy by supplying eligible energy-saving activities, including electric hot water, heat and electric space heating and cooling appliances.

Pumps, or for an Energy Savings Contribution (ESC) to the ACT Government. ESCS provide funding for energy efficiency programs under the leadership of the ACT Government.

The ACT Government has committed $150 million over five years for zero-interest loans through the Sustainable Household Scheme.

The scheme allows eligible households and individuals to access zero-interest loans of between $2,000 and $15,000 to undertake energy efficiency enhancements to their premises and homes by acquiring sustainable products like electric space heating and cooling equipment and electric hot water heat pumps.

Interest free loan in ACT under Sustainable Household Scheme

For qualifying homeowners who possess an Australian Government Pensioner Concession Card or Department of Veterans Affairs Gold Card, the Home Energy Support Program offers 50% or $5,000 rebates to pay the upfront installation fees for these energy-efficient appliances.

Qualifying participants can apply for the interest-free Sustainable Household Scheme loan to finance the remaining installation cost.

Likewise, the Business Energy and Water Program offers small and medium businesses rebates of as much as $5,000 to transition to water-efficient and energy-efficient technologies such as heating, cooling, and hot water.

Conclusion

Heat pump water heaters in Australia will grow significantly because of escalating energy requirements and increasing power rates, coupled with heightened consumer understanding.

Government incentives, technological advancements, and reduced competition will propel market growth despite the high initial investment. Manufacturers, retailers, and investors will find ample business opportunities to enter the renewable energy industry through this sector.

In Australia, gas hot water systems are among the most common hot water systems used in many households. They supply hot water consistently and are more energy efficient than most other alternatives like electric instantaneous heaters.

In this guide, we will outline the leading gas hot water systems for Australian households and discuss how each system operates before deciding the most suitable option.

A gas hot water system is a water heater that utilizes natural gas or LPG to heat water. Such systems are a favourite in homes and businesses since they heat water adequately and in the shortest time possible.

It is capable of heating water directly (the constant flow type) and/or heating water and storing it in a tank.

What Is a Gas Hot Water System?

There are two main types of gas hot water systems:

Storage Systems: These systems heat water and allow it to be stored in a tank to be used when the quantity in use is low.

Continuous Flow Systems (also called on-demand systems): They heat water only when you turn the water on, and you have an endless supply of hot water without a storage tank.

Gas hot water systems have a special feature: They can work even when the power goes out. This is because they often don’t need electricity to start. This feature makes them very useful in places where power cuts are common.

Gas hot water systems also have safety features like temperature controls and flame sensors. Overall, gas hot water systems are a good choice for Australian homes. They are efficient, last a long time, and are good for the environment.

10 Best Gas Hot Water Systems in Australia

1. Rinnai Infinity 26 

image for Rinnai Infinity 26 Best Gas Hot Water Systems

The Rinnai Infinity 26 is one of Australia’s most efficient continuous flow systems, delivering hot water on demand. It’s equipped with precise temperature control, compact dimensions, and a 6-star energy rating, making it an excellent choice for larger families or homes with multiple bathrooms.

2. Bosch 26e

image for Bosch 26e heat gas heater

Bosch’s 26e combines reliability with energy efficiency. It offers a sleek and compact design, with features like electronic ignition and consistent water temperature control, perfect for Australian households.

3. Dux Prodigy 5

image for Dux Prodigy 5 water  heater

Designed for durability and cost-efficiency, the Dux Prodigy 5 is a reliable storage water heater that ensures consistent performance while catering to medium-sized families.

4. Vulcan Freeloader 135L 

image for Vulcan Freeloader 135L 

Vulcan Freeloader 135L is dependable for those seeking an affordable solution without compromising quality. Its robust construction ensures long-term performance.

5. Aquamax G270SS

Image for Aquamax G270SS water heater

This large-capacity system boasts a stainless steel tank, reducing maintenance needs while offering an extended warranty. Perfect for big households with significant hot water requirements.

6. Thermann C7

image for Thermann C7 gas water heater

The Thermann C7 stands out for its high efficiency and low running costs, offering a balance of affordability and environmental friendliness.

7. Rheem Stellar 330

Rheem Stellar 330 gas water heater

With its rapid recovery rate, the Rheem Stellar 330 ensures consistent hot water availability, even during peak usage periods, making it ideal for active families.

8. Bosch Highflow 21L

Bosch Highflow 21L gas water heater

Designed for smaller households, the Bosch Highflow 21L is compact yet powerful, delivering reliable hot water with consistent temperature control.

 9. Everhot 170L 

Everhot 170L gas water heater

The Everhot 170L offers an economical solution for families, ensuring consistent water heating without breaking the bank.

10. Rinnai B26 

 Rinnai B26 gas water heater

The Rinnai B26 is a robust and efficient hot water system designed to handle the demands of large families with ease while offering installation flexibility.

These systems cover various household needs and budgets, ensuring you can find the perfect hot water system for your home.

Who Needs Gas Hot Water Systems?

Gas hot water systems are ideal for:

1. Areas with regular power outages

Gas systems continue to function without electrical supplies. Gas hot water systems are suitable for any home and many circumstances. Here’s a closer look at who benefits most from these systems:

2. Large Families

Again, many people in our families require hot water, particularly in the morning and evening. Continuous flow gas systems mean a constant hot water supply, and people won’t be forced to shower with cold water.

3. Dwelling with High Hot water Consumption

If your household requires hot water regularly for things such as washing, bathing, cleaning utensils, or washing clothes, then a gas hot water system will do the trick. These water heating systems warm water faster and sustain a continuing temperature ideal for much use.

4. Areas with Gas Supply

Gas hot water systems are ideal for homes with natural gas or LPG connections. With a pre-existing gas connection, expensive requirements for heating sources such as electricity or solar are not necessary.

5. Energy-Conscious Users

Using gas hot water systems instead of traditional electric water heaters is more efficient. They use less energy, which means customers pay less on their bills, and the impact they have on the environment is minimal. This makes them popular with people with a green conscience because they are environmentally friendly.

6. Cold Climate Regions

This is because, in Australia’s winter season, the installation of solar water heaters may not be effective since light is low. Gas systems are not influenced by weather, and a user is assured of hot water at times.

7. Houses occupied by Fewer People and Require Extra Space

Gas hot water systems are best used in relatively small houses or apartments. Such systems take up little space and are installed on walls, which is more advantageous in terms of space than storage tanks.

8. Rental Properties

Heated by gas is quite popular among landlords, mainly due to its durability and a lack of need for frequent service. Tenants also rate the efficiency of using gas for heating very high.

9. Businesses and Commercial Use

Traders in small businesses, restaurants, and other commercial places that need continuous hot water suppliers should go for the gas hot water systems. 

10. Emergency Replacements

If your old water heater has developed a leaking problem and you need a new one out quickly, gas hot water systems are good to go. It is easy to obtain and, in most cases, takes a relatively short time to replace.

Benefits of Gas Hot Water Systems

Frequently Asked Questions

What is the life expectancy of a gas hot water system?

Most systems have a specific expected life span, which is between 10 and 15 years with appropriate care.

Can I switch from an electric system to a gas system?

Yes, but it may require additional installation, like connecting to gas lines.

Are gas hot water systems safe?

Yes, modern systems are safe and include safety features like temperature controls and overheat protection.

Do gas systems work during power outages?

Yes, most do, especially those with pilot lights instead of electronic ignition.

How often should I service my gas hot water system?

It’s recommended to be serviced every 2-3 years to ensure efficiency and safety.

What is the difference between natural gas and LPG systems?

Natural gas is piped directly to homes, while LPG comes in refillable bottles.

Are gas hot water systems expensive to install?

Installation costs vary but are generally affordable, especially for continuous flow systems.

Can I install a gas hot water system myself?

No, you need a licensed plumber or gas fitter.

What size system do I need?

It depends on your household size and water usage. Small households need 16-20L/min, while larger ones may need 26L/min or more.

What maintenance does a gas hot water system need?

Regular servicing, checking for leaks, and flushing storage tanks to remove sediment.

Gas hot water systems are effective, efficient, and energy-wise and ideal for Australian home use. There are all sizes of continuous flow systems for a small showering need and reserve tanks for larger families with all sorts of showers. Follow this guide and have a great time making a good decision to ensure you have hot water all year round.

There are several types of hot water systems but electric hot water systems are amongst the most common in Australia.

They are dependable, convenient, and relatively affordable, making them the best choice for most households.

Below, we will go through our list of the top 10 best electric hot water systems you can purchase in Australia. Moreover, this article will define what an electric hot water system is as well as the category of consumers for whom these systems are most appropriate.

Also, you will learn the criteria to follow while selecting the best system, plus the answers to frequently asked questions.

Is a Heat Pump Water Heater Better than an Electric Instant Water Heater for Australian Homes? 

What is an Electric Hot Water System?

An electric hot water system is a system that operates with electricity to provide hot water. Such systems can heat water in an available storage tank or offer hot water at the point of use without storing it.   

Electrical hot water systems are common because they are easy to install.

These systems are ideal for locations without access to gas or solar power.

They come in two types and have a range of capacities to suit the needs of different households. They are especially popular in homes where installing solar or gas facilities is not feasible.

There are two main types of electric hot water systems:

Who Should Choose an Electric Hot Water System?

Electric hot water systems are most suitable for:

1. Small Households: Instantaneous systems are ideal for single-person or couple households that frequently use hot water and have low energy consumption.

2. Medium to Large Households: High-capacity tank storage systems can help provide adequate hot water requirements for a large family.

3. Homes Without Gas Supply: If you have no access to natural gas, electric systems are ready options in such a situation.

4. Apartments and Small Spaces: You can easily install portable electric heaters in houses and apartments with limited space.

5. Budget-Conscious Buyers: Electric systems are usually cheaper and easier to install than gas or solar systems of power.

6. Flexible Installations: Electric systems are very flexible and can be positioned in nearly any setting; whether or not there are plumbing issues or the situation available is ideal.

8. Temporary or Rental Properties: Electric systems are convenient to work with as their installation and dismantling during the arrangement process does not take much time.

9. People looking for minimal options: Such systems are simple to install and operate in everyday practice.

How to Choose the Right Electric Hot Water System

Choosing the right electric hot water system depends on several factors such as:

Household Size:

Energy Efficiency:

Budget:

Space:

Warranty:

It is good to check for a warranty for the system you buy.

9 Best Electric Hot Water Systems in Australia


1. Rheem 491250G7 Electric Storage Hot Water System

Rheem 250L Electric Water Heater

This model is designed for medium households, offering flexibility with single or twin-element options and a long-lasting enamel tank. Its compact design ensures easy installation for both indoor and outdoor use

Link to the product: Rheem 491250G7 Electric Storage

2. Dux Proflo 80L Electric Storage Hot Water System

80L ELECTRIC STORAGE Water Heater

The Dux Proflo is perfect for small households, with a durable build and space-efficient design. It ensures a reliable hot water supply without occupying much space.

Link to the product: Dux Proflo 80L Electric Storage

3. Aquamax 315L Electric Storage Hot Water System

Aquamax 315L Electric Storage Hot Water System

This is one of the best electric hot Water systems. This system is tailored for larger families, offering energy-efficient performance and peace of mind with a robust 10-year tank warranty.

Link to the product: Aquamax 315L Electric Storage

4. Stiebel Eltron DEL Instantaneous Water Heater

Stiebel Eltron DEL Instantaneous Water Heater

The Stiebel Eltron DEL is sleek and compact, giving you hot water immediately while you can easily control the temperature for users residing in new small homes.

Link to the product: Stiebel Eltron DEL Instantaneous Water Heater

5. Thermann 50L Electric Storage Hot Water System

Thermann 50L Electric Storage Hot Water System

A cost-effective choice for tiny homes, the Thermann 50L model is known for its simplicity and reliability.

Link to the product: Thermann 50L Electric Storage Hot Water System

6. Bosch Tronic 6000C Electric Hot Water System

Bosch Tronic 6000C Electric Hot Water System

The Bosch Tronic 6000C offers efficiency and performance in a sleek, compact design, making it ideal for households aiming to reduce energy costs.

Link to the product: Bosch Tronic 6000C Electric Hot Water System

7. Everhot 125L Electric Storage Water Heater

Everhot 125L Electric Storage Water Heater

Known for its reliability, the Everhot 125L is a cost-effective solution that caters to medium households with consistent hot water needs.

Link to the product: Everhot 125L Electric Storage Water Heater

8. Rinnai Infinity 16 Electric Continuous Flow

Rinnai Infinity 16 Electric Continuous Flow system

This model ensures an uninterrupted hot water supply with advanced temperature control and a modern design suitable for tight spaces.

Link to the product: Rinnai Infinity 16 Electric Continuous Flow

9. Vulcan 250L Electric Storage Water Heater

Vulcan 250L electric water heater

A durable and economical choice, the Vulcan 250L system caters to medium and large families with its robust performance and value.

Link to the product: Vulcan 250L Electric Storage Water Heater

Pros and Cons of Electric Hot Water Systems


Pros:

Convenient for houses without access to gas lines.

Easy Installation: Easy to set up and does not require gas connections and other complicated water installations to connect to it.

Affordable Upfront Cost: In the large sense, they tend to cost less to purchase than gas or solar systems.

Versatile Placement: This may be fitted either inside or outside a building or in narrow regions that other models may not fit.

Reliable Hot Water Supply: The reliability of the performance makes it possible to have hot water any time, any time.

Suitable for All Areas: Easily operate in homes where no gas or solar network connectivity is available.

Low Maintenance: It is comparatively easy to maintain when compared with all other systems.

Instantaneous Options: The tankless models again supply hot water as and when required without using energy to store the hot water in a tank.

Compatible with renewable energy: It can be combined with solar panels to yield a motion reduction running cost.

Cons:

Higher Running Costs: Again, electricity is likely to be more costly than gas, meaning the customers are likely to incur high charges.

Dependent on Power Supply: Failure of systems may occur during a power outage, which may be a disadvantage.

Environmental Impact: Voltage source technologies can cause more carbon emissions than gas or solar-based electricity technologies.

Limited Efficiency for Large Households: Except for very small families, they may lack the capacity to produce adequate hot water as required without having a large storage tank.

Slower Recovery Time: As for capacity storage tanks, they may take longer to heat up than the gas systems in use.

Best Electric Hot Water Systems: Frequently Asked Questions


1. What is the lifespan of an electric hot water system?

A typical system should last for eight to 12 years, provided it is well maintained.

2. How costly are electric hot water systems to use?

Electric hot water systems can be relatively costly to use, primarily due to the high energy consumption of electric heating elements. On average, electric systems are less energy-efficient than alternatives like heat pumps or gas systems.

However, they have lower upfront costs, making them a popular choice for smaller households or regions with lower electricity prices. Opting for off-peak tariffs or installing energy-efficient models can help reduce running costs.

3. How frequently should I do servicing on my hot water system?

You can service your electric water heater every two or three years, depending on how often you use it.

4. Is it possible for one to install the electric hot water system on their own?

We don’t recommend that. You have to make it with the help of a licensed plumber or electrician to make sure everything is done the right way.

5. Are electrical installations eco-friendly?

Although they consume more energy than the solar or gas systems, if used as a renewable electric power source, are relatively eco-friendly.

6. What size system is right for a family of four?

You can usually manage with a 125-250L storage tank or an instant hot water system of a similar size.

7. Does an electric hot water system function in a power failure?

It is not possible as they are operated by using electricity.

8. Can I switch my gas hot water system to an electric one?

Yes, but it entails changing your home’s electrical system in certain ways if they are not appropriate for your house.

9. Can you get rebates for purchasing electric hot water systems?

Many states have implemented rebates on heat pump systems or energy-efficient types of heat pump brands.

10. What important distinction separates storage from instant systems?

Storage water heaters heat water and store it while instant water heaters heat water on demand or as called for.

11. What size hot water system do I need?

The size of the water system depends on your household size. A rough idea can be like this:
1-2 people: 50L–100L
3-4 people: 250L–300L
5+ people: 300L+

12. Are electric hot water systems environmentally friendly?

Electric hot water systems can be less environmentally friendly compared to alternatives, especially if they rely on electricity generated from fossil fuels. However, their environmental impact depends on the energy source used. If powered by renewable energy, such as solar or wind, they become a much greener option.

13. How do I maintain my system?

You should be aware of anything not going correctly. Regularly check for leaks, flush the tank, and replace the anode every 3–5 years.

14. What is off-peak electricity?

It refers to cheaper electricity rates during non-peak hours, typically at night.

Key Takeaways on Water Heater Replacement Costs

  1. Heat Pump Water Heaters
    • Heat Pump Water Heater Replacement costs: $3,000 to $6,000
    • Despite high upfront costs, they offer long-term energy savings
    • Government rebates can help offset initial expenses
  2. Electric Water Heaters
    • Electric Water Heater Replacement costs: $1,200 to $3,000
    • Costs vary based on:
      • Heater size
      • Brand
      • Type (tank or tankless)
      • Installation complexity
    • Lower initial cost, but higher long-term operating expenses
  3. Gas Water Heaters
    • Gas Water Heater Replacement costs: $1,000 to $3,000
    • Factors affecting cost:
      • Size of unit
      • Type (storage or continuous flow)
      • Installation difficulty
      • Location
    • Additional costs may include old unit removal and pipe upgrades
  4. Solar Water Heaters
    • Solar Water Heater Replacement costs: $3,000 to $7,000
    • Costs influenced by:
      • System size
      • System type (flat plate or evac tube)
      • Brand
      • Installation complexity
    • Small-Scale Tech Certificates (STCs) can significantly reduce initial costs.
    • Requires backup gas or electric booster system

General Considerations


With Australian Department of Energy reports showing water heating can consume up to 30% of household energy, picking the correct water heater can make a huge difference. It can help you save on utility bills and enjoy the convenience of hot water throughout the seasons.

To know which would best serve you, read and compare Australia’s top four standard water heaters. Let’s discuss them. 

1. Heat Pump Water Heater

emerald planet heat pump hot water system

Heat pump water heaters are among the most energy-efficient options. They function by extracting heat from the surrounding air, even in cold conditions, and transferring that heat to the water.

This is achieved using a refrigerant that captures heat, gets compressed to raise its temperature further, and then transfers the heat to the water. 

One good thing about heat pumps is that they don’t consume electricity for heat generation. Instead, they use electricity to move heat, thus helping you save significantly.

Of all the water heaters in Australia, heat pumps are gaining popularity at a higher rate, and it’s expected that they will serve more homes in the future than any other heater. 

Pros

Cons

Heat Pump Water Heater Replacement Costs

In Australia, swapping a heat pump water heater normally costs from $3,000 to $6,000. The cost changes based on brand, size, and ease of fitting. Though the start-up price seems big, heat pumps use less energy, which lowers monthly power bills over time. Homeowners can also get help from the government, as they give back money for energy-saving changes.

2. Electric Water Heaters

Rheem electric hot water system

Electric water heaters are the most common in Australia, and they serve about 50% of Australian households, according to the Australian Department of Energy

The heaters exist in two categories. The first type is an electric storage water heater, which has heating elements in a water tank. It heats the water, which is then stored for usage as needed. 

The second type is electric instant water heaters or tankless/on-demand heaters. These heat water right away as it passes the electric heating elements. They are a great option in that you don’t have to wait for hot water. 

Pros

Cons

Electric Water Heater Replacement Costs

The cost of switching an electric water heater in Australia can change for many reasons. The heater size, brand, type (tank or tankless), and how tough it is to set up all play a part. On average, swapping costs range between $1,200 and $3,000.

Smaller systems for apartments or one-person homes are a bit cheaper than bigger systems or fancy brands. Other things like removing the old unit, upgrading pipes, or meeting new rules can add more to the cost. It’s key to talk to a licensed plumber or water heat expert for a detailed price that fits your needs.

3. Gas Water Heaters

illustration for a gas water heater

According to the Australian government reports, gas water heaters are installed in 40% of all households in Australia. Thus, they are the second most common type after electric heaters. 

Similar to electric heaters, gas water heaters can be instantaneous or storage models. However, they are either powered by either natural gas or LPG. 

Instantaneous models heat the water directly when required, using a gas burner that automatically ignites when any tap draws water to ensure a continuous supply of hot water. Storage models heat the water and store it in a tank to supply it whenever needed.

Pros

Cons

Gas Water Heater Replacement Costs

Switching out a gas water heater in Australia can have different costs. This depends on the size, type of unit, how well it works, and how hard it is to install. The place where you live also matters. Most homeowners will pay between $1,000 and $3,000.

This covers the cost of the new unit and having it set up by a pro. Storage gas water heaters often cost less compared to continuous flow models. However, in a continuous flow, one uses less energy and saves money over time. Extra charges might come up for things like getting rid of the old unit, updating pipes or gas lines, or adding things like temperature controls.

4. Solar Water Heaters

image for solar water heater on article "Water Heater Replacement Costs"

Solar water heaters are one of the most suggested systems for parts of Australia that get ample sunlight all through the year. 

These water heaters use solar panels that collect sunlight, which is then transformed into heat to be transferred to water stored in tanks.

Although they harness free heat from the sun, they require a backup system, either gas or electric boosters. These help to maintain a constant supply of hot water on days with limited sunlight.

Solar water heaters are gaining popularity due to their seeming ability to lower energy bills. Recent statistics from the Australian Bureau of Statistics show they serve around 10% of Australian households.

Pros

Cons

Solar Water Heater Replacement Costs

Changing a solar hot water system in Australia can cost a range of prices. The cost could change based on things like the size of the system, system type (flat plate or evac tube), brand, how hard it is to install, and if you can get money from the government.

On average, the cost to change it is between $3,000 and $7,000, including putting it in. But, some government help, like Small-Scale Tech Certificates (STCs), can cut down the first costs a lot, making it cheaper for homes to move to smart energy ways.

Conclusion 

Each type of the above water heater has points for and against it, and that depends on the purpose and your local climate. As the water heater replacement costs vary, so does efficiency. Therefore, it would be best if you understood them before making the best decision for your house.

Solar Hot Water System Price – Key Takeaways

Price Range: $2,000 – $7,500 total (including installation)

Regional Price Variations:

Melbourne: Slightly higher due to weather conditions

Major Brand Pricing:

Price Influencing Factors:


Australia has abundant solar energy, making it ideal for efficiently operating solar hot water systems.

The sun’s heating energy is the only power source for these systems. Solar water heaters raise water temperatures by several degrees and are used for home or commercial applications.

The technology involved in transferring solar energy into water is simplistic, renewable, and sustainable compared to electric and gas heating techniques.

There are many solar water heater brands in Australia. To buy one, you must understand the types and configurations of various solar water heaters available in the Australian market.

The types, locations, regional grants, and rebates influence the cost of these devices. This article details what to consider when installing a solar water heater.

Overview of Solar Hot Water Systems

Solar hot water systems have several components, including a storage tank, steel or plastic pipes, solar collectors, and fittings. The collector is exposed to sunlight; it receives solar energy and concentrates the heat on a pipe containing water. The heat is transferred onto the water, increasing the temperature by several degrees.

The heated water can then be supplied in buildings or stored in suitable storage for future use. 

To effectively supply hot water, it has to flow through the collector with either a pump or the force of gravity. A collector can be a flat plate or an evacuated tube.

The flat plate collector has a basic design and is the most affordable, with an installation price between $2,000 and $4,000. Due to their concave shape, evacuated tubes are more complex in design and are more expensive, costing around $4,000 to $7,000.

Types of Solar Hot Solar Water System

There are two main types of solar water heaters. The first is the active system, which requires a pump to drive the water flow through the collector. Using this type of collector can add to your energy bill because the pump requires power.

The second type is the passive system. They rely on gravity and do not require a pump to flow water. These systems are cheaper to run.

Price Range for Solar Hot Water Systems in Australia

Based on the types and categories of solar hot water systems discussed, the price range is between $2,000 and $7,000. Several factors, including the system size, type of collector, installation costs, etc., determine prices.

The bigger the system, the more you should be willing to pay because the prices increase. Professional installers also charge anywhere from  $300 to $1,500, depending on your location and the complexity of the installation. The following section presents a detailed cost breakdown based on system type.

Cost Breakdown

The prices of different types of solar hot water systems and their installation fees vary. Flat plate collector systems cost between $2,000 and $4,000, while evacuated tube collectors cost between $4,000 and $7,000. Additional installation fees may cost between $300 and $1,500, bringing the estimated cost of acquiring a hot solar system to between $3,000 and $7,500.

Regional Variations in Pricing

The prices of solar hot water systems vary remarkably in Australia’s regions. Prices are dictated by the difference in climatic conditions from the south to the north of the country. Government incentives and rebates also exist in some states.

In Perth, for instance, a solar water heater costs between $3,500 and $5,500. That city is ideal for water heating because of its sunny weather. For Brisbane, it still is below a low of between $3,200 and $5,200. Of course, the cost may be cheaper due to the usual sunlight.

Adelaide prices range from $3,300 to $5,400, which is also competitive. The climatic condition favours solar heating in this region. Lastly, Melbourne’s unpredictable weather patterns call for solar systems to work harder, so prices may be slightly higher.

Factors Influencing Regional Prices

When considering the cost of solar water heaters, your location is not the only factor that determines what you pay; climatic conditions, local regulations, and the availability of installers are also factors.

Climate Conditions

An ideal climate for a solar water heater to work efficiently is one with consistent sunlight. If you live in a region that fits this description, your collector’s surface area will be smaller than that required in colder climates.

You can get the details from the manufacturer or obtain information from a consultant. This can help with significant savings, especially when on a budget. Those in colder climates need solar hot water systems with larger surface areas to achieve appreciable heating efficiencies.

Local Regulations

Every state has regulations for solar water heaters that are peculiar to them. The amount you must pay on value-added tax may vary from place to place. Also, your state may have standards that will make overall prices higher or lower.

Availability of Local Installers

You need to consider the availability of skilled installers in your vicinity.

While experienced professionals may make you incur more expenses, they are reliable, and you may only need to spend occasionally on maintenance down the line. You can also look for installers from companies that offer bonuses and excellent after-sales services.

Top Five Solar Water Heaters in Australia

Due to its sunny climate, Australia is a great place to install solar water heaters, with various configurations and sizes to fit all demands and purchasing strengths. Here are a few of the solar hot water systems that are available in Australia

1. Rinnai

Rinnai hot water solar

The top brand to consider is Rinnai. The company offers various easy-to-install and efficient solar hot water systems. It also provides gas or electric boosters for cold climatic regions and periods of low solar intensity.

One of their exemplary models is the Sunmaster range, which comprises close-coupled, flat plate, and evacuated tube systems. Also, Rinnai’s Prestige Solar Water Heater is designed to reduce electricity consumption by two-thirds when replacing an electric storage heater.

It is an eco-friendly option that does not compromise performance.

The company also makes a 250-litre solar hot water system, which can cost around $38.90 per week over three years for a single-storey residential building, while a 315-litre system is approximately $39.90 per week for the same period.

If you are considering a more extensive 400-litre split system, you can expect to budget about $41.90 per week.

Rinnai solar water heaters in Australia typically range from $3,000 to $7,000, depending on the model and system configuration. The price can vary based on the type of solar collector, tank size, and whether the system is active or passive. Passive systems, which are simpler and less expensive, usually fall between $3,000 and $5,500​. Active systems, which are more efficient, generally cost between $4,000 and $7,000.

2. Dux

Dux hot water solar

Dux is synonymous with solar hot water systems in the Australian market. It is also a trustworthy brand that provides various solutions for local conditions. For every homeowner, there is an ideal Dux brand that will meet his hot water needs.

Among their spectacular products is the Dux Sunpro Solar Hot Water System, whose prices vary between $3,700 and $4,400.

The products appeal to those willing to transition from conventional heating sources like gas and electricity to solar heating technology. Investing in this system will give you peace of mind, save money, and help protect the environment because it does not contribute to gas emissions or environmental degradation.

The Dux brand is unique because it is committed to providing solutions for solar hot water all year round, no matter the weather. Some of its models come with gas or electric boosters to support inadequate solar intensity on cloudy days.

Dux Ecosmart 400L 2-Panel Electric Boosted Solar Water System: Priced around AUD 5,490, this system includes high-performance solar collectors and is designed for larger households. Dux Ecosmart 315L 2-Panel Electric Boosted System: Typically suited for 3-5 people, this model costs around AUD 4,500, offering substantial savings on energy bills.

3. Apricus

Apricus hot water solar

Apricus specialises in producing evacuated tube solar hot water systems effective in cooler climates. The systems are designed to maximise heat absorption and provide hot water continuously, even on days with low solar intensities.

The Apricus products are versatile and can be installed in various configurations, depending on the configuration of homes or buildings. Their solar hot water systems are generally priced between $4,000 and $4,700. 

A 250L tank with 22 evacuated tubes costs around $3,260​. Larger systems or models with added features, like gas or electric boosters, can increase in price, with typical ranges between $3,000 and $6,500 depending on capacity and installation requirements

4. Rheem 

Rheem hot water solar

Another famous brand in the Australian solar hot water system market is Rheem. They offer a wide range of reliable solar water heaters designed to satisfy every user’s needs, no matter your expectations, through innovation.

These systems include the Loline® and Hiline® series.

They feature roof-mounted collectors that efficiently capture heat from the sun. The heat energy is then transferred to stored water at the roof or ground level. Based on the natural thermosiphon phenomenon, hot water rises effortlessly from the collectors to the storage tank.

Rheem makes it easy for many families to invest in solar technology. For instance, the 250-litre Rheem Solar Hot Water Heater (Loline) costs around $39.90 per week over three years for a single-storey home.

The 315-litre Split System is about $41.50 per week.

The larger 400-litre Rheem Split Solar Hot Water Heater costs approximately $44.50 weekly, making it ideal for bigger households.

Rheem Loline 160L Solar Water Heater: Suitable for 2-4 people, this split-system design features a ground-level tank and roof-mounted solar collectors. It includes a gas booster and basic frost protection. Prices typically range from $3,500 to $5,500, depending on installation costs and the number of collectors​. Rheem Premier Loline 270L Solar Water Heater: This model, designed for cooler climates with complete frost protection and a larger 270L capacity, is ideal for 3-4 people. The price generally falls between $5,500 and $7,500, again depending on installation specifics and rebates.​

5. The Solahart

Solahart hot water system solar

Solahart has over 70 years of experience providing solutions for solar energy. The company specialises in manufacturing resistant, efficient, and reliable systems for solar hot water. Their L Series models can save up to 65% on energy used to heat water, ensuring a relatively lower utility bill. They work well in most of Australia.

Solahart 302L Solar Hot Water System: This system is designed for households with medium to high solar gain and costs approximately $4,000 to $5,000, not including installation costs. This price may vary based on available government rebates and your specific region​. Solahart Streamline Solar-Ready System: This system, which allows upgrading from an electric to a solar water heater, typically starts at around $3,500 to $4,500, depending on the tank size (250L or 315L) and whether solar collectors are installed immediately or later

Government Incentives and Rebates

While the initial cost of buying solar hot water heating systems could be unaffordable for many homeowners, there are government incentives and rebates available that potential buyers might exploit to make them more affordable. Some of the available options include:

➤ The Australian government offers federal tax credits that enable homeowners to deduct a percentage of installation costs from their taxes.

➤ State and local rebates are available, depending on your location in Australia. The type and amounts offered vary. For instance, rebates are available in New South Wales to those who want their electric water heaters replaced by solar-powered types.  

Long-Term Savings

In general, the cost of installing a solar hot water system is higher than the price of buying either its gas—or electric-powered counterparts. In the long term, solar hot water heaters provide significant cost savings.

Their running and maintenance costs are almost zero, with a few periodic component replacements. The same cannot be said for traditional hot water systems, which require continuous fuel or electricity input.

Comparison with Traditional Systems

Traditional water heating systems are powered by gas or electricity. Both sources require paying for gas and electricity, which regularly adds to the wage bill.

While they can be acquired at a lower cost than the solar water heater, you don’t have to pay to power the system. Solar energy can be harnessed freely to heat water. This will enhance your savings significantly, and since it is renewable, it does not negatively affect the environment. 

This investment in solar hot water in Australia should be a necessary step every homeowner in Australia should take. Whatever your region’s climate, a suitable model from brands like Solahart, Rinnai, Dux, Apricot, and Rheem matches your requirements.

Conclusion

These solar hot water systems help shave off your wage bill compared to traditional water heating solutions and are economical in the long run despite their high initial installation costs.

The systems are friendly to the environment. They do not emit greenhouse gases or environmental pollutants. They convert abundant and renewable solar energy into applicable form cleanly and efficiently.

Key Takeaways

Did you know that a heat pump water heater can slash your energy use up to 3x less than standard heaters? And right now, you can take advantage of government rebates and financing!! Contact Us Now.

Have you ever taken time to think about your hot water system lifespan? Well, this thought may never have crossed the minds of some homeowners. 

However, it’s such an important question because no device is meant to last forever. But the big question is – how can you be prepared when your hot water system finally loses its functionality? 

To ensure that you’re not caught off guard, this post will enlighten you about the hot water system lifespan. Pay attention so that you know what to expect and when to seek replacement. 

Defining Hot Water Systems

4 types of hot water systems

In plain language, hot water systems are devices that provide hot water in your home or business. These devices take in cold water and warm it to be ready when needed for a shower, laundry, or dishwashing.

There are four main types of hot water systems in the Australian market. Let’s understand how each works and explain how they differ.

Electric Hot Water Systems

According to the Energy Department, these hot water systems command up to 50% of the water market in Australia. They use electricity to heat water, making them easy to install and operate.

Gas Hot Water Systems

Gas hot water systems are the next most popular option, making up 40% of the Australian hot water market. They heat water using natural gas or propane. They are slightly more energy-friendly than electric water heaters. 

Solar Hot Water Systems

These offer an eco-friendly alternative. They simply collect the heat energy from sunlight and use it to heat water. This means they don’t create heat from scratch, so they don’t impact your utility bills. 

Heat Pump Hot Water Systems

Heat pumps are the newest addition to the hot water industry. They work by trapping the already existing heat energy in the air and then directing it to water stored in a tank. They are said to be more energy efficient using only 25% of the energy needed by electric heaters and cutting emissions to almost zero. 

Factors that Influence the Lifespan of a Hot Water Systems

Now that you know the various types of hot water systems available in the Australian market, let’s see what determines how long each can last. 

banner for how long do hot water systems last

Quality of the unit

The hot water system lifespan depends directly on the quality of the hot water system you choose. If the system is made of durable material and has a robust build, then you can comfortably invest in it and expect long-lasting performance. Such systems usually come from reputable brands.

Quality of Installation

The life expectancy of your hot water system heavily depends on proper installation. Improper installation can result in problems like leaks and energy inefficiencies. 

Make sure to work with trained and licensed professionals. They know how to bypass common installation problems, thus ensuring you get the best out of your system.

Usage Pattern

The rate of use can significantly impact a hot water system lifespan. Large families that have a greater demand for hot water will place more strain on their systems. If you notice that hot water usage is high in your household, you might consider staggering the usage times or even look into having a second unit in place to handle the load better.

Maintenance and Upkeep

Regular maintenance is very important as far as hot water system lifespan! Just as your car requires an oil change, so does your hot water system. Simple tasks include but are not limited to flushing the tanks to remove sediments that collect, checking for other leakages, etc., to maintain your system’s efficiency.

Neglecting simple maintenance measures can lead to inefficiency and premature failure of the system. 

Environmental Factors

Environmental factors like water hardness and water mineral content will affect your hot water systems. Hard water will likely result in some mineral deposits, which degrade the system over time. 

Similarly, a hot water system lifespan is affected by extreme temperatures and high humidity. These cause rusting and other issues that compromise the quality of your system. 

Upgrade your home’s hot water system with a Heat Pump – the smart, energy-efficient way to enjoy endless hot water! 💧⚡ Save on energy bills, reduce your carbon footprint, and never run out of hot water again. 🌍💚 Get a free quote now

Average Life Expectancy of Different Hot Water Systems 

Banner for different hot water system

Electric Systems 

Expect electric hot water systems to serve faithfully for roughly 10-15 years, with proper care.

Gas Systems 

Traditional tank-based gas systems typically maintain functionality for 8-12 years, while cutting-edge tankless versions promise up to 20 years of reliable service. 

hot water system lifespan by type

Solar Systems

With adequate protection from harsh environmental factors, solar hot water systems regularly surpass the 20-year mark.

Heat Pump Systems 

Heat pump systems deliver satisfactory performance for approximately 10-15 years. Higher-end models can last 20+ years. 

Tips to Extend the Life of Your Hot Water System 

Expert conducting hot water system maintenance

We now know what can shorten our hot water system lifespan, but how can we make them last longer? Here’s how:

Regular Maintenance

You should check your water system frequently. Call in professionals to inspect it at least once a year, so they can spot any issues before they become major.

Mind Your Usage

Avoid putting excess pressure on the hot water system. For instance, don’t turn on multiple hot water outlets at the same time. 

Water Softener

A water softener comes in handy for those in areas with hard water. The softener reduces the possibility of mineral buildup and corrosion, thus extending the life of your system. 

Follow the Manufacturer’s Recommendations

Every system has its maintenance protocols, and you can follow them to avoid problems. Be sure to read the user manual and the recommended servicing schedule or maintenance actions.

7 Hacks for Extending Your Hot Water System Lifespan

  1. Flush the tank annually to remove sediment buildup
  2. Install a water softener if you have hard water
  3. Set the temperature to 120°F (49°C) to prevent overheating
  4. Inspect anode rods every 2-3 years and replace them if needed
  5. Insulate hot water pipes to reduce heat loss
  6. Schedule professional maintenance every 1-2 years
  7. Test the pressure relief valve regularly for proper operation

Frequently Asked Questions About Hot Water System Lifespan


How often should I service my hot water system?

Check your water heaters frequently. To ensure everything works smoothly, bring in an expert every other year.

What are the best brands of hot water systems?

iStore, Reclaim, Rheem, Bosch, Rinnai, and Stiebel Eltron are some of the best. 

Can I repair a hot water system myself?

Although some homeowners may attempt this, it’s always a wise move to call a professional. Incorrect installation can lead to major problems and breach warranties.

How much does a hot water system replacement cost?

This will depend on what you are upgrading to. Budget $800 for cheap options like electric heaters and $3000 for high-end ones like heat pumps. 

How do I determine what size hot water system is right for my home?

Consider the number of people inhabiting your house, the number of bathrooms, when hot water is needed, and how much hot water is needed at peak times. Seek advice from a professional if not sure.

Did you know that a heat pump water heater can slash your energy use up to 3x less than standard heaters? And right now, you can take advantage of government rebates and financing!! Contact Us Now.

×

MENU