High Efficiency Hot Water Tanks (Water heaters)  

I recently wrote an article about a door to door hot water tank salesman telling me all about this new high efficiency hot water tank. I questioned what "carbon neutral hot water tank was" but I also questioned what made his hot water tank high efficiency. 

Once again I did my homework. 

There is a misconception among the average consumer that a power vent gas hot water tank is more efficient than a natural draft hot water tank. (A power vent gas hot water tank has a black box on top with a fan in it, a natural draft hot water tank does not as it vents up the chimney). 

These many consumers believe that the fan on top of the hot water tank makes it more efficient when in fact the only thing the fan does is exhaust the fumes out a side wall instead of up a chimney.  

The truth is both hot water tanks have the same energy efficiency rating and that rating is anything but efficient! 

Energystar high efficiency hot water tanks are not energy efficient - the sticker only implies it is better than the old tanks (but not by much and certainly not energy efficient). 

Most water heaters or hot water tanks are between 45% and 65% energy efficient. Some even advertise as being energy efficient because they have the Energystar brand - but to qualify they only have to be 62% energy efficient which is a long way from being energy efficient.   

Also note that Energystar high efficiency hot water tanks do NOT qualify for government energy rebates because they simply are NOT energy efficient, merely "more" efficient than the next brand (for example a 62% efficiency rate is still better than 60% efficiency rate). 

The only 'real' energy efficient water heater of the tank variety (hot water tank) is the condensing hot water tank (86% efficiency rate). Unfortunately the price for this more efficient technology is cost prohibitive for most consumers. 

So how do consumers save on water heating costs if they can't afford the more expensive condensing hot water tank... the answer may surprise you. 

Most instantaneous tankless water heaters are quite efficient (usually around 82% which qualifies for energy rebates from the government). But not all tankless water heaters work in the Canadian climate due to our colder ground water in the winter time. You do have to do your homework. 

You may be surprised to learn that you can get a tankless water heating system for almost the same price as a power vent gas hot water tank but with a few very big differences... with the tankless unit you will actually see a savings every year on your gas bill in addition to saving over 2 pounds of carbon on the atmosphere every single DAY! And it doesn't take up any floor space which is a huge plus to most homeowners. 

If you want the ultimate in green water heating efficiency the condensing tankless water heater is the top of the line (93% efficiency rate) but at this time the cost is prohibitive for the average consumer making this an option only for the wealthy. 

Whatever system you decide to go with to supply hot water to your home it's always a good idea to do some research into not only what you are buying but also warranties, installations, annual maintenance, and reliability. 

I realize that it is so much simpler to just have the door to door hot water tank salesman sell you a hot water tank - but you can literally save thousands of your hard earned dollars by doing a bit of homework. We aren't talking about pocket change we are talking about a substantial amount of money (over $8,000 in 20 years!). 

Consumers Wakeup you DO have a choice in how you want to spend your hard earned money.