High Efficiency Water Heater

Installing and using a high efficiency water heater will benefit the environment while saving you money on your monthly utility bills. You may also qualify for tax benefits and savings incentives.

High efficiency water heaters reduce household energy use.

Switching to a high efficiency water heating system conserves energy and reduces pollution.

Water heaters consume an enormous amount of energy when compared to other appliances of a similar size. According to the U.S. Department of Energy, water heaters account for about 12 percent of most residential utility bills, making them the third largest energy expense inside the average home (behind clothes dryers and refrigerators). They are also the fourth largest energy expenditure in most commercial buildings. Moreover, traditional residential water heaters produce nearly half the total carbon dioxide emissions of an average car.

Standard hot water heaters use such a high amount of energy for several reasons:

• they are prone to leaks
• they take a significant amount of time to heat water
• they use energy even when not actively heating water
• they are often poorly insulated

High efficiency water heaters use as much as 50 percent less energy than standard models, according the U.S. Environmental Protection Agency. The degree of environmental benefit depends on the type of high efficiency tank used and the household demand for hot water. Regardless of the type of tank, the environmental and financial savings are substantial.

The EPA classifies high efficiency water heating systems into four primary categories:

1. Storage Water Heaters: These heating systems keep water hot and ready for use inside an insulated storage tank. Several fuel options are available for heating the water, including natural gas, electricity, oil, and propane.
2. Demand Water Heaters: These tankless water heating systems heat water on demand, thereby eliminating a significant amount of energy use. Water circulates through a large coil heated by gas or electricity.
3. Solar Water Heaters: Installing a solar powered water heater costs more than installing another type of high efficiency water heater, but these systems provide the greatest financial savings over time. By harnessing the power of the sun, these systems reduce operating costs by as much as 90 percent.
4. Heat Pump Water Heaters: Heat pump systems work by capturing heat from the surrounding air and directing into a storage tank of water. They are more efficient than electric water heaters, but may provide insufficient water supplies in colder climates.

Purchasing a high efficiency heater may require a large financial output up front, but the energy and money saved will quickly surpass the initial investment amount. The best time to upgrade to an energy-efficient model is when your current tank nears 10 years old. After that point, standard tanks rapidly lose efficiency.

There are many factors to consider when shopping for an energy-efficient water heater. You must determine your price range and consider your household's current demand for hot water. It is also important to choose a new water heating system that will fit properly inside your home or garage.

Most importantly, look for a model with a high Energy Factor rating. The EPA assigns an energy factor to most appliances, including water heaters. The higher the rating, the greater the energy efficiency of the appliance. For more information, visit the Energy Star website.

A high efficiency water heater is the best choice for the environment and your wallet. In addition to reducing carbon emissions, conserving energy, and lowering your monthly utility bills, you may qualify for tax credits, utility discounts, and governmental savings incentives.

Making the switch is easy; simply replace your old and inefficient water heating system with a high efficiency model the next time your current system is in need of repairs.

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