The key to making the switch to an electric hot water heat pump? Planning
Don’t wait for the cold shower – planning ahead for a hot water heat pump can save you time, money, and stress when your system fails.
There is never a good time be without hot water. Whether it’s an early morning wake-up call, or the kids’ bathtime, being without hot water can make life uncomfortable. But before that happens, it’s important to think ahead.
Too often the call to your plumber is made with urgency and you’re restricted by their knowledge and preferred appliance list.
Hot water heat pumps are an energy-efficient alternative to traditional gas and electric hot water systems. Not only can they save you money on energy costs in the long run, but there are several government rebates and programs that reduce the costs of switching.
According to the State of Sustainability Report 2024, 60% of Victorians think it’s important for households to shift away from fossil fuels, like gas, and towards renewable energy, with 67% of respondents saying they’d consider switching their gas hot water.
The key to upgrading to an energy-efficient heat pump hot water system means understanding the benefits. And there are many …
Here’s a simple guide to help you be prepared for the next time your hot water system breaks – and why switching to a heat pump now could be your best move.
Start researching now – don’t wait for your hot water system to fail
Heat pump hot water systems work by pulling heat from the air and using it to heat water in a storage tank. They use 60 to 75% less electricity than regular electric hot water systems because they don’t directly heat the water with an element. Instead, they use electricity to run a fan and compressor. These systems are similar to reverse-cycle air conditioners, but they heat water instead of air. While they’re like solar water heaters, they don’t need extra electric or gas heating to provide a boost when the weather is colder, just the heat from the air around them.
By researching exactly how a heat-pump hot water system works and how it saves you energy, you can make an informed choice before you’re under pressure.
Understand the costs – heat pumps save you money
Heat pump hot water systems use heat extracted from the air to heat water, saving you money (and the planet) over time. There are many variables that impact your water heating bill – things like the number people in your household, whether you have solar panels to generate electricity, your local climate, energy tariffs – but here is a quick comparison on annual energy costs for a 4-person household:
- Natural gas (storage) system: $700 to $780 per year
- Hot water heat pump: $275 to $345 per year
The cost savings when you switch from gas to heat pump water heater can be even larger if you have solar panels to generate electricity and you use a timer so that the heat pump only heats hot water during the sunlight hours.
We’ve created a detailed comparison of running costs between all hot water systems so that you can make an informed decision.
Consider replacing your gas system now
If your gas system is aging, consider replacing it with a heat pump hot water system now. Not only will you avoid getting stuck with cold water when your systems breaks, but rebates of up to $1,000 are available from Solar Victoria and further discounts are available through the Victorian Energy Upgrade program and the Australian Government’s Small Technology Certificate program.
So, don’t wait until your hot water system fails you at the worst possible moment. Take the first step toward a more sustainable, cost-effective future today. Whether it’s understanding the savings or researching the latest rebates, planning ahead ensures that you’re not just reacting to a problem—you’re setting yourself with an energy-efficient, sustainable home.
Find out more
Sustainability Victoria plays a critical role in identifying future trends and potential challenges for Victoria’s transition to a circular economy. Our research and insights are helping map out a sustainable future for Victoria so we can transition to a circular, net-zero emission economy.
The annual State of Sustainability Report tracks how Victorians think, feel and act in relation to sustainability and climate change. The research supports decision makers to ensure we have the right policies, programs and education to encourage Victorians to live more sustainably.