Why You Should Buy a Heat Pump Water Heater (and When It Doesn’t Make Sense)
A few years ago, there was an extended power outage in my area and I had to take several ice-cold showers in the cold weather, and it reminded me that hot water shouldn’t be taken for granted.
However, most people don’t think twice about their water heaters . When they break, we simply replace them with identical ones and move on. However, heating water is expensive— hot water typically accounts for about 20% of a home’s total energy consumption , and it’s typically the second-largest energy expense. Therefore, it’s worth considering a heat pump water heater if you can afford it.
How does a heat pump water heater work?
While traditional water heaters use gas or electricity to directly heat water, a heat pump water heater operates like a reflux condenser, forcing warm air through hot condensing coils that are either wrapped around the water tank or run directly through it. The heat is transferred to the water, and the result is the same: a constant supply of hot water available at all times.
A water heater with a heat pump has a number of advantages:
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More efficient. Heat pump water heaters are estimated to reduce your energy costs by as much as 75% . Considering that water heating is the second-largest energy expense, this can translate into significant savings over time.
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Eco-friendliness. Heat pump water heaters are also quite eco-friendly. It’s estimated that they can reduce your home’s carbon emissions by as much as 75% .
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Tax credits and rebates. When installing a heat pump water heater, you can receive a tax credit of up to 30% of the installation cost , up to a maximum of $2,000. Many states also offer such credits. This means you can reap immediate financial benefits, even before the efficiency savings become noticeable.
Disadvantages of a heat pump water heater
You may wonder why no one installs heat pump water heaters, given their advantages. But there are also disadvantages:
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Cost. Heat pump water heaters are typically more expensive than traditional water heaters, with a total cost of up to $5,000 —roughly the same as a tankless water heater . This can be offset by tax incentives and long-term energy savings, but for many, it’s a cost concern.
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Climate. Heat pump water heaters require ambient heat to operate—they’re typically designed for an optimal temperature of 4 to 120 degrees Fahrenheit . If you want to install them outdoors (which many do due to their size—see below), you’ll need a location that’s not too cold, otherwise you may be left without sufficient hot water or, at best, with lukewarm water.
It’s worth noting that if a heat pump water heater is installed in a room where ambient heat is generated, such as next to a boiler, it can utilize waste heat from other appliances. However, this may require additional planning. Hybrid models are also available with a traditional heating element as a backup, activating when temperatures become too low.
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Space. Heat pump water heaters are typically quite large and require good air circulation to operate, so they are often installed outdoors. They can be installed indoors, but it is generally recommended that they be located in a space of at least 450 cubic feet (13.7 cubic meters) for maximum efficiency.
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Condensation . Due to the nature of their operation, heat pump water heaters cool the space in which they are installed by transferring heat into the water tank. This can result in large amounts of condensate, which must be drained. This may require the installation of a drainage system if one is not present; otherwise, a pump may be required to remove excess water (which can then be used for other purposes, such as watering the garden).