Tankless water heaters offer you a great way to get hot water on demand. Depending on how much water you use in your household every day, you may be able to save a good bit of money on your energy bills. If you use less than 40 gallons of water a day, savings from a tankless water heater can be up to 34%. If you use more water, you will likely save between 8% and 14%. With an appliance lifespan of more than 20 years, your savings will add up over the years.
Larger homes are likely to need more than one tankless water heater to efficiently provide enough hot water for a family’s needs. If you are still unsure which type of water heater will save you the most on your energy bill, a tankless appliance is the better option. However, before deciding whether to go with an electric or a gas tankless heater, let’s take a look at both to see how much electricity you can expect to use with each.
Electricity Usage of Electric Tankless Water Heaters
Electric tankless water heaters tend to use more electricity than gas units. Many of these units are efficient, so the energy is used to heat only the water your home needs. Imagine that you have a family of four, and your household uses about 18 kWh each day with the water heater running at full capacity. With electricity costing about 15 cents per kWh, your daily expenses will be $2.70. That means the electricity you are using from your water heater alone averages out to about $80 a month.
An electric water heater can use up to 36 kW to heat hot water, not including the electricity used by the dishwasher and washing machine when using hot water. Most hot water heaters can run at half capacity for at least part of the day when they are not used as much. The result is that you get about 8 gallons of hot water a minute, which means no waiting around for a hot shower.
Electricity Usage of Gas Tankless Water Heaters
You may believe that using a gas-powered tankless water heater will save electricity, and this may be the case, but there are electric components, like the ignition, that your water heater needs to use. That said, the amount of electricity used by these components is quite a bit less than a full-fledged electric tankless water heater.
When using a gas-powered tankless water heater, the unit can stay in standby mode when not in use, which means that it does not draw electricity. When the water heater becomes active, it uses more electricity in the startup process. At a rate of 15 kWh, an hour of showers in your household each day will result in a monthly energy bill of about $25.
Don’t forget that, with a gas-powered water heater, you also have to pay for gas. The price of gas fluctuates quite a bit, so the amount that you pay to fuel your water heater may be difficult to determine. Gas models can heat the water to 180 degrees Fahrenheit, which is above what most homes require. Ideally, most residential water heaters should be set at about 120 degrees.
Factors That the Cost of Electricity Depends On
The cost of your electric bill depends on the type of water heater that you select, but there are also several other factors that will cause your energy bill to vary. For example, if you live in a home with many rooms, the amount of hot water you need is likely to increase. This is especially true if you need multiple water heaters for a large home. Also, when more people live in the home, taking hot showers and washing the dishes require more hot water.
The electricity used will depend on the size of the water heater as well. If the appliance is too small or too big for your living space, it will require more electricity. Also, take the flow rate of the water heater into account. With a higher flow rate, more hot water is available simultaneously to whoever needs it in your home. This also means that the unit requires more electricity.
Tips to Minimize Your Electric Bill
There are some ways to reduce the amount of electricity your water heater uses. Follow these tips to save money by reducing what it costs to heat your water.
Insulate the Pipes
Since these types of water heaters do not have a tank to insulate, it is a good idea to insulate the pipes near the water heater to conserve heat. If you insulate the pipes at least 6 to 7 feet from the water heater, it may not need to use as much electricity to reheat the water.
Keep the Thermostat Lower
While your water heater’s thermostat may be set at 140 degrees, lowering it slightly will not be a noteworthy issue. In fact, lowering the setting to 100 degrees will barely be noticeable. Doing this will save money and ensure that no one in your home is scalded while using hot water.
Use More Cold Water
While you need hot water for some things, like taking a shower and doing the dishes, hot water is not necessary for everything. There are a number of activities that you can do with cooler water. This includes things like brushing your teeth, washing your hands, and doing laundry. Using cold water whenever you can help keep your energy bill lower.
Install a New Water Heater
If your water heater seems to be using more electricity than it should and there is nothing wrong with the unit that can be repaired, it could be time for a replacement. This is especially true if your water heater is more than a decade old, as sometimes, units don’t remain efficient as they age. One of our plumbers at Bobby L. Greene Plumbing, Heating & Cooling Co. can inspect your tankless water heater to determine whether repairs can make it more efficient or whether a new water heater will benefit you the most.
Contact a Reliable Plumbing Company
Getting a new tankless water heater installed will make your system more efficient and give you hot water in 10 seconds or less. However, before you settle on a model, it’s important to know the size you need to accommodate your household. If you have a large house with multiple bathrooms, you may want to consider having more than one water heater. We can help you find the best option for your needs.
We have been a top plumbing company in Shreveport, LA since 1959, so our community is like family to us. We are dependable professionals who strive to provide a fast response that satisfies your needs. At Bobby L. Greene Plumbing, Heating & Cooling Co., we also provide HVAC installation and repair services to help keep you comfortable all year.
Call Bobby L. Greene Plumbing, Heating & Cooling Co. today to schedule an appointment!
