Water Heater Information

Updated July 2010

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In this report

Introduction
Types of Water Heaters
Tank Water Heaters{3 mentions}{1 mention}{1 mention}{1 mention}{1 mention}{1 mention}{1 mention}{1 mention}{1 mention}{2 mentions}
Heat Pump Water Heaters{1 mention}{1 mention}{1 mention}{1 mention}
Tankless Water Heaters{1 mention}{1 mention}{1 mention}{4 mentions}{1 mention}{1 mention}{1 mention}{2 mentions}
Solar Water Heaters{1 mention}{1 mention}{1 mention}
Useful Links
Our Sources

Water Heater Links

Tax credits and other incentives for installing efficient water heaters

The economic-stimulus program includes state funds to pay rebates to homeowners who replace appliances, including water heaters, with new energy-efficient models. The U.S. Department of Energy site has a guide to these state appliance rebate programs.

Many states and local areas are now offering additional incentives and rebates to consumers switching to a more energy-efficient water heater. Local utility companies are now also participating in rebate programs, so check with your provider. You can check what's available for your location in the Database of State Incentives for Renewables and Efficiency.

The federal-stimulus recovery program includes 30 percent tax credits for replacing a water heater with a qualifying energy-efficient model. Keep in mind that a tax credit is a lot more valuable than a tax deduction. The tax credit is deducted from the actual income tax you owe. This federal tax credit is in addition to any state and local rebates, tax exemptions and credits and other incentives -- so the total installed price for an energy-efficient water heater can often be cut by up to 50 percent or more. Federal tax credits for water heaters placed in service by the end of 2010 depend on the type of water heater. However, solar and geothermal water-heating systems don't have a cap on the 30 percent tax credit The Energy Star website provides more information on federal tax credits.

New Energy Star and DOE rules for water heaters

In April 2008, the U.S. Department of Energy announced its new rules for Energy Star certification for water heaters to be implemented in two phases. The first went into effect Jan. 1, 2009, the second will be implemented Sept. 1, 2010. The rules cover five types of residential water heaters (gas storage tank, gas tankless, heat pump, solar and gas condensing), but don't cover electric storage-tank models. For a summary of the standards, which also help in evaluating currently available water heaters, there's a page on the Energy Star website.

The complete January 2009 Energy Star rules for water heaters are also available online.

The U.S. Department of Energy has published the full official discussion of the new energy-efficiency regulations that go into effect in 2015. The comments from various manufacturers and agencies, including the EPA, are quite interesting. The comments provide a look at the water-heater market from various points of view -- how they see consumer choices and how the Energy Star criteria could help consumers make better choices.

Choosing a water heater

We found the best information on water heaters at the U.S. Department of Energy website. Links from the main buyer's guide cover five different types: conventional gas and electric storage-tank, tankless coil and indirect, on-demand, heat pump, and solar hot water heaters.

The Wikipedia article on water heating provides an excellent overview. The article includes links to other articles with more detail on topics such as solar water heating.

California's Consumer Energy Center provides a useful buyer's guide to water heaters, complete with sizing charts and tips on choosing the best type of water heater for your needs.

ConsumerReports.org provides a free online tool for calculating the First Hour Rating (FHR) your household needs, which is crucial information for choosing the best size water heater for your family.

ConsumerReports.org also provides free buying advice on water heaters, though separate articles on solar hot-water heaters and tankless water heaters require a subscription.

Your local utility companies can provide the most accurate information on fuel rates in your area, but it may be useful to see the Energy Information Administration's price projections for electricity, natural gas, LP gas and fuel oil between now and 2030. The site also publishes a state-by-state record of average prices for these fuels -- useful for understanding why the best water heater in one part of the United States is not the best choice in another. You can find the Energy Information Administration's price projections for the various fuels used for water heaters at its website. The site also publishes a state-by-state record of average prices for electricity, natural gas, propane and oil -- useful if you're considering moving to another section of the country.

HomeTips.com, a site devoted to tips for homeowners, has a buyer's guide for hot water heaters:

The American Council for an Energy-Efficient Economy has a buyer's guide to water heaters, but its cost comparisons take neither the lifetime of the system into account, nor any additions to the value of the house.

Metaefficient.com, a technology review site, features several articles on energy-efficient water heaters, including solar, point-of-use and tankless models.

A May 13, 2010, article at ReevesJournal.com, "Delivering Hot Water," by Allison Deerr, is aimed at contractors but provides a brief, useful overview of the latest water-heater technology.

Water heater troubleshooting and maintenance

FastWaterHeater.com provides an illustrated guide to using the serial-number plate on a water heater to tell the age of your water heater -- useful if you're not the original owner.

The About.com guide to water heaters provides a well-illustrated article on "Troubleshooting a Tank Type Water Heater." (Note: ConsumerSearch is owned by About.com, but the two don't share an editorial affiliation.)

WaterHeaterRescue.com, is a site devoted to providing help maintaining water heaters and with troubleshooting water heater problems.

Resources for storage-tank water heaters

The EnergyStar site explains how gas-fueled condensing storage-tank water heaters work, as well as their benefits.

Owners recommend installing a water-leak alarm like the Zircon Water Detector (*est. $11) so that if your water heater's tank starts to leak, you'll find out before the house gets flooded.

ThisOldHouse.com provides a detailed buyer's guide to choosing a tank water heater.

For a good overview of pricing and features for tank-style water heaters, showing the typical features available at each price step, see EnergyExperts.org.

The Department of Energy says the quickest payback (in a year or so) comes from investing in insulation (*est. $20) for an existing water heater.

"Replacing a Water Heater" by Peter Hemp describes several do-it-yourself upgrades you can make when installing a basic gas or electric water heater to maximize its life expectancy. This article is available at the Fine Homebuilding website by subscription only, but you can sign up for a free two-week trial.

ThisOldHouse.com suggests replacing the anode bar every four years to maximize the life of a tank-style water heater. A brief article on their website shows how to do it.

Resources on heat-pump water heaters

The U.S. Department of Energy offers an overview about heat-pump water heaters and provides a guide to selecting one.

The EnergyStar site has a brief overview of how heat-pump water heaters work, along with their benefits.

Australia's University of New South Wales provides a well-illustrated article by mechanical engineer Graham Morrison, "Heat Pump Water Heaters." This article explains how heat-pump water heaters work and provides guidelines for how to choose between the two top energy-saving technologies: heat pumps and solar hot-water heaters.

Articles on tankless (on-demand) water heaters

A video at ElectricWaterBoiler.org explains the differences between three types of tankless water heaters.

Bob Formisano, About.com's guide to home repair, offers a well-illustrated article on tankless water heaters. (Note: ConsumerSearch is owned by About.com, but the two don't share an editorial affiliation.)

Toolbase.org, a resource site for anyone interested in building technology, features a succinct article on tankless water heaters.

Puget Sound Energy (WA) provides "Tankless Water Heater Talking Points," a guide to factors to consider about tankless water heaters.

A professional home inspector provides a guide to "Avoiding Tankless Water Heater Problems."

FineHomebuilding.com has published several recent articles on tankless water heaters, available by online subscription. (A two-week trial subscription is free.) These include "Water Heaters: Tank or Tankless?" by Dave Yates and "Why Add a Tank to a Tankless Water Heater?" by Michael Chandler. Fine Homebuilding experts suggest combining solar and tankless water heaters as an ideal system, so their articles on solar water heaters are also relevant.

Solar water heaters

Toolbase.org offers a brief introductory overview of solar water heaters, including tips on finding a contractor.

A May 6, 2010, article in the Energy Advisor column at The Columbia Times, a Vancouver, Wash., newspaper, "Solar Water Heaters Work in Northwest," compares the payback for solar hot water heating with other investment options.

The Florida Solar Energy Center's information on solar water heaters hasn't been updated since 2005, but it is still useful, especially for mild climates.

The Solar Rating and Certification Corporation, an organization founded jointly by a national consortium of state energy offices and regulatory bodies plus the trade association for the solar-energy industry, tests solar collectors for construction integrity, resistance to changes in water temperature, and durability (to reveal any leaks). Ratings are also based on actual energy output under a specified set of conditions. The information here is very detailed and technical. If you're serious about considering a solar hot-water system, it's well worth some study.

An article at Mother Earth News includes one homeowner's account of installing a solar hot water heater.

"Making Good on a Resolution," published at environmental blog Terrapass.com, is a first-person account of the pros and cons of using a solar water-heating system.

Portable water heaters

For camping or use in outbuildings, portable propane water heaters are available. Coleman makes a portable propane water heater (*Est. $225) that gets reasonably good reviews from owners at Walmart.com and Amazon.com. The main drawback is that the pump is powered by a battery that takes several hours to recharge. The less expensive portable Zodi Instant Water Heater and Hot Shower (*Est. $90) uses four D batteries.

Manufacturers of storage water heaters:

Note that although there are many brands of storage-tank water heaters, most are made by only a few companies. Bradford White sells only to independent plumbing stores and contractors. A Japanese company, Paloma, owns Rheem, which in turn makes Ruud, GE, Marathon and Richmond models.

A.O. Smith, another major manufacturer, also makes water heaters branded as American, Kenmore, Maytag and Whirlpool. This company also makes solar water heaters (sold primarily in China) and has bought one of the pioneering makers of hybrid water heaters, Applied Energy Recovery Systems (which sells water heaters branded as E-Tech).

American Water Heaters (made by A.O.Smith)

A.O. Smith

Bradford White

GE (made by Rheem/Ruud)

Kenmore (made by A.O. Smith)

Marathon (made by Rheem/Ruud)

Maytag (made by A.O. Smith)

Whirlpool (made by American / A.O. Smith)