High Efficiency Water Heaters - What Are Your Options?

Heating water in your home can account for up to 15% of your home's energy usage*.
In standard water heaters, the water that fills up the main tank has a constant source of fuel running to keep it hot, whether that be electricity, gas, oil or propane.
The biggest problem with this is that you're constantly heating something that may not get used.
Just as it may not seem efficient to heat your home while you're away, it may not be efficient to constantly heat your water.
With the advancement in hot water systems available in today's market, there are many high efficiency models that will use 10-50% less energy than a standard unit.
This can help you save on your utility bills.
There are a few energy efficient water heater options available: Storage Water Heaters: These systems are very much like standard models, with the exception of better insulation, heat traps and more efficient burners.
Simply by having these 3 improvements, a gas storage system could increase your efficiency by up to 7%, which can result in an annual savings of $30.
Over the lifetime of the water heater, this can add up to over $300 in savings*.
The drawback of these models is that they can require routine maintenance.
Whole Home Tankless Water Heaters: Tankless water heaters are extremely efficient because they heat water only when you need it.
There are no tanks holding water.
When hot water is needed, cold water actually enters the tankless system and passes over a heat exchanger.
This warms the water immediately to the temperature you have set.
In doing this, energy usage and expenses can be reduced by up to 30%, or a savings of more than $100 per year for the typical family*.
They are small and compact, have a longer lifespan than standard models, and are an overall great option if you're searching for a high efficiency solution.
Condensing Hot Water Heaters: These systems are very similar to standard models, with one exception: heat and combustion gases that are typically released quickly in standard models have much farther to travel in a gas condensing water heater before they are disposed of.
This is because the flue in these condensing systems is typically spiraled around and around within the tank, starting at the top and spiraling clear down to the bottom.
Gases have to pass through the entire flue before they can be released.
The result is that the water vapor that is produced by these gases condenses back into the water and transfers more heat.
The gases are contained in a pipe so there's no concern of gases leaking into your water.
These gases continuously keep the pipes warm and thus, less outside energy is required to heat your water.
Gas condensing high efficiency systems can save your family more than $100 per year, or 30% of your water heating energy usage*.
Heat Pump Water Heaters: A heat pump hot water system simply takes heat from the air surrounding the equipment and uses it to heat your water, with the help of refrigerant, a compressor and evaporator, and condenser coils.
Once refrigerant delivers heat to the water, it cools, passes through an expansion valve, and then the whole cycle starts all over again.
A heat pump hot water system uses electricity as its fuel source and can save the typical family almost $300 per year compared to a standard model*.
It can also be up to 60% more efficient than a standard electric model*.
While heat pump models are one of the most energy efficient systems on the market, they are more complex to install and should be installed by professionals.
To help you determine the most efficient and effective type of high efficiency water heater for your home and your family's needs, you should consult with a professional plumbing contractor that has a great amount of experience installing these hot water systems.
Source: * Energy Star Web Site