Having a hot water system that works is one of life's little luxuries. It is so important to be able to provide heated water for your business and home. Washing, cooking and cleaning tasks are carried out quickly and efficiently.
When your water heater fails, breaks down or you are looking to get an upgrade, the task can be daunting as choosing the right tank can be confusing. With so many brands and models on the market, it is hard to find the best system for your needs.
We can help you by breaking down some key factors into what goes into purchasing a brand new hot water unit. Looking at it from a holistic approach will ensure that you make the best informed decision for your home.
Every home is different and you need to consider how the water system is being used. Typically a family of 4 will use more hot water than a single person living on their own per day. And is the water tank being used for domestic purposes such as general washing and cleaning, or commercially such as with a restaurant building.
Lifestyle plays a big part when factoring in the size of a hot water system. When is hot water being used most in the day and for how long are some of the questions that a fully licenced plumber can ask when helping you with your new unit purchase. You need to be choosing a tank that is energy efficient and large enough for your specific household needs.
Unit size and type
The price of a hot water unit varies depending on what type of system you want. There are four main types along with different sub-types you can choose from. You have electric, gas, solar and heat pump.
Each of these has their own subcategory. Electric storage, instantaneous, gas storage, gas instantaneous, solar split system electric boost, solar split system gas boost.
Hot Water Systems
Electric Storage system
Water is heated and then stored in the tank and is ready to be used. Heating is done through an element at the bottom of the tank.
Electric Continuous Flow (Instant)
Water is heated only when it is required. They are often known as 'tankless water systems'.
Gas Water Heater
As with electric hot water units, gas water heaters come in both tankless and storage systems. Water is heated through a burner.
These systems generate heat from the sun. They use panels that are mounted on the roof.
They are similar to Solar units with the difference being that water is heated by using air conditioning technology. Heat is extracted from the ambient air and used to heat the water. They are mostly installed outdoors and need a warmer climate.
System TypeAvg. Minimum PriceAvg. Maximum Price
Electric – “Storage” type $450 (25L) $1800 (400L)
Electric – “Instant” type $660 $1300
Gas – “Storage” type $850 (135L) $1500 (360L)
Gas – “Instant” type $750 $1600
Solar–Roof Mounted (electric boost) $3600 $4400
Solar Split System (electric boost) $3900 $5000+
Solar – Split System (gas boost) $4900 $6500+
Solar – Evacuated tube $4000 $5500
Heat Pump $3300 (160L) $4000 (315L)
Each hot water system company or plumbing team works differently when it comes to their pricing and how they calculate the costs involved for the job. Some companies will factor in the size of the unit. The price for a tank that is only 15 kg may differ to a large 350ml tank that will require more than 1 technicians
The cost for installation of your new hot water unit can change depending on how complicated the works are to complete.
A lot can change during the installation process and you need to keep that in mind. Variables such as the time to complete the installation can take longer than expected. A standard straight swap shouldn't take longer than 2 hours but it is always best to leave room for unforeseen changes.
If you are changing your energy source from gas to electric or vice verse, the length of time will increase because additional works will be needed. You may also need upgrading of your plumbing or electrical systems during the installation process.
As well as changing the position of the water heater to a different area of your property. Ensuring the tank fits correctly requires time.
Relocating a water heater or changing its energy source will impact the costs involved.
When installing hot water systems, having clear access will make all the difference in the pricing involved. Larger, commercial-sized tanks may need cranes and heavy lifting equipment. High roofs and tight staircases could prove difficult and may need extra labour costs.
You can receive incentives from the Australian government when you purchase new water heaters. Solar units, in particular, have significant incentives that can lower the pricing of purchasing and installation.
You can ask your licensed plumber to provide you with additional disposal costs. Correct and responsible disposal of your old tank is required and can be added to your quotation.
Our guidelines below state the annual running costs of your unit, depending on the energy rating, energy type and tariff.
Storage tank Peak tariff = up to $950.
Instant tankless Peak tariff = up to $785.
Storage tank Off Peak tariff = up to $800.
4 energy star rating = up to $440.
5.5 energy star rating = up to $350.
5.5 energy star rating = up to $345.
7 energy star rating = up to $295.
LPG (Bottle gas)
5.5 energy star rating = up to $565.
4 energy star rating = up to $680.
5.5 energy star rating = up to $540.
7 energy star rating = up to $470.
Electric boosted storage tanks:
Peak tariff standard = up to $370.
High efficiency = up to $275.
Off peak tariff standard = up to $260.
High efficiency = up to $180.
Natural Gas Boosted:
Standard = up to $95.
High efficiency = up to $75.
LPG ( Bottle gas )
Standard = up to $140.
High efficiency = up to $100.
Electric boosted storage tank:
Peak tariff standard = up to $390.
High efficiency = up to $270.
Off peak tariff standard = up to $240.
High efficiency = up to $180.
Fixed Today can assist you with choosing the correct system for your property.
They will take a holistic approach and discuss your options. Our team will work with your lifestyle and needs and take your budget into consideration.
All information will be clearly communicated giving you peace of mind when calculating the costs involved in purchasing a new hot water system.