How Much Electricity Does a Tankless Water Heater Use? Exploring the Costs and Savings

Tankless water heaters have become increasingly popular in recent years due to their energy efficiency and the demands of eco-friendly consumers. Due to the innovative design of these water heating systems, they use significantly less electricity than traditional tank-based heaters. However, many have been left wondering just how much electricity a tankless water heater uses on a daily basis. This is an important consideration for those looking to switch to tankless water heaters or those who want to understand how to manage their energy consumption.

The electricity usage of a tankless water heater depends on a number of factors such as the size of the unit, how often it’s used, and the amount of hot water needed. As a general rule, tankless water heaters use between two to three times less electricity than traditional tank-based heaters. This is because tank-based heaters have to keep a large amount of water hot at all times, whereas tankless heaters only heat water when it’s needed. Therefore, the energy savings of a tankless heater can be significant, potentially reducing your electricity bill and thus saving you money in the long run.

One of the key advantages of tankless water heaters is that they provide hot water on demand. This means that you won’t have to wait around for a tank to fill up before you can take a shower or do the dishes. With an endless supply of hot water, tankless water heaters are ideal for large families or busy households where hot water demands are high. Plus, with their low energy consumption, you can rest assured that you won’t be wasting electricity heating water that you’re not using. Ultimately, understanding the amount of electricity a tankless water heater uses is crucial to making an informed decision about this type of system for your home.

Tankless water heater basics

A tankless water heater, also known as an on-demand water heater, provides hot water only when it’s needed. Unlike traditional water heaters that continuously heat and store water in a tank, a tankless water heater heats water on-demand using a heating element and passes it through the home’s pipes.

Tankless water heaters can be powered by either gas or electricity, and they come in different sizes to fit the needs of different households. They are generally more energy-efficient than traditional water heaters because they don’t have standby losses from constantly heating a large tank of water.

How a tankless water heater works

  • When a hot water tap is turned on, cold water is drawn into the tankless water heater.
  • The heating element, powered by gas or electricity, heats the water as it passes through the unit.
  • The hot water is then delivered to the faucet or appliance that requested it.
  • When the hot water tap is turned off, the tankless water heater stops heating and the water flow stops.

Advantages of a tankless water heater

Tankless water heaters have several advantages over traditional water heaters:

  • Energy-efficient: Tankless water heaters don’t waste energy heating and storing water when it’s not needed, which can save homeowners money on their energy bills.
  • Space-saving: Tankless water heaters are smaller and can be mounted on walls, making them a good option for homes with limited space.
  • Long lifespan: Tankless water heaters can last up to 20 years, which is longer than traditional water heaters.
  • Endless hot water: Because tankless water heaters heat water on-demand, homeowners don’t need to worry about running out of hot water during a long shower.

Electricity usage of a tankless water heater

The electricity usage of a tankless water heater depends on the size of the unit and the amount of hot water used. Generally, a tankless water heater uses between 3,000 and 6,000 watts of electricity, which is less than a traditional water heater that uses 4,500 to 5,500 watts.

Tankless Water Heater Size Electricity Usage (Watts)
Small 3,000-4,500
Medium 4,500-6,000
Large 6,000-9,000

It’s important to note that a tankless water heater’s electricity usage can increase during times of high demand. For example, if multiple people are taking showers at the same time, the unit may need to work harder to heat the water, which can increase its electricity usage.

The Workings of a Tankless Water Heater

A tankless water heater, also known as an on-demand water heater, is a heating system that heats water as it passes through the unit. A tankless water heater does not store hot water like traditional water heaters. Instead, it heats water only when you need it, which makes it more energy-efficient than traditional water heaters.

  • The unit is activated when you turn on a hot water tap.
  • A flow sensor detects the water flow and sends a signal to the control board to activate the heating element.
  • The heating element heats the water as it passes through the unit.

One of the main benefits of a tankless water heater is that it only uses energy when the hot water is needed, which saves energy and reduces your energy bills. However, it’s important to note that a tankless water heater may require more energy in the beginning to heat the water to the desired temperature.

To determine the energy usage of a tankless water heater, you’ll need to consider the unit’s energy efficiency rating, the amount of hot water used, and the energy source used to power the unit. Typically, tankless water heaters are powered by electricity or gas.

Electric Tankless Water Heater Energy Usage

An electric tankless water heater uses electricity as its energy source. The amount of electricity used will depend on the size of the unit and the rate of flow of water. Typically, an electric tankless water heater requires between 120 to 150 amps to function properly. The unit will draw between 8,000 and 10,000 watts at peak power consumption.

The table below shows the estimated energy usage for an electric tankless water heater:

Household Size Estimated Energy Usage per Year
1-2 people 2,000-3,000 kWh
3-4 people 3,500-4,500 kWh
5 or more people 5,000-6,000 kWh

It’s important to note that the actual energy usage may vary depending on the unit’s efficiency, usage, and other factors such as the climate and water hardness.

Pros and Cons of a Tankless Water Heater

Installing a tankless water heater can be a great investment for homeowners. However, before making a decision, it is important to weigh the pros and cons of this type of water heater.

  • Pros:
  • Energy efficient: Tankless water heaters only heat water when it’s needed, which means they use less energy and can save on monthly utility bills.
  • Space-saving: Unlike traditional water heaters, tankless models are small and can be mounted on a wall.
  • Durable: Tankless water heaters have a longer lifespan compared to traditional models. They can last up to 20 years with proper maintenance.
  • Cons:
  • Cost: Tankless water heaters can be expensive to install upfront, which may not fit everyone’s budget.
  • Hot water flow rate: Tankless models have a limited hot water flow rate, meaning that in larger households, multiple units may be necessary.
  • Maintenance: Tankless water heaters require regular maintenance to ensure optimal performance and longevity.

In terms of energy efficiency, tankless water heaters use between 24% to 34% less energy than traditional water heaters according to Energy.gov. This can result in significant savings on utility bills in the long run.

However, it is important to note that these savings can be offset by the upfront cost of installing a tankless water heater. Prices range from $500 to $2,500 for the unit alone, with installation costs adding an additional $1,000 to $3,000.

Another factor to consider is the hot water flow rate. Tankless water heaters have a limited hot water flow rate compared to traditional models. This means that in households where multiple hot water sources are used simultaneously, a tankless water heater may not be able to keep up with the demand. For larger households, multiple units may be required to meet the hot water demands.

Overall, the pros and cons of a tankless water heater should be carefully considered before making a decision. While they can be a great investment for some homeowners, they may not be the most practical choice for others.

How much energy is used by a tankless water heater?

One of the main reasons why tankless water heaters are increasingly popular is their energy efficiency. These types of heaters are designed to consume less energy compared to their traditional tank counterparts, which results in lower utility bills and a smaller carbon footprint. So, just how much energy does a tankless water heater use? It depends on several factors, including:

  • The flow rate of hot water needed in your home
  • The temperature of the incoming cold water
  • The efficiency rating of the tankless water heater
  • The size of the tankless water heater

The higher the flow rate and the colder the incoming water, the more energy the tankless water heater will consume to heat the water to the desired temperature. On the other hand, a higher efficiency rating and a larger tankless water heater size can help reduce energy consumption.

To give you a better idea of how much energy a tankless water heater uses, let’s take a look at some examples:

Flow rate (GPM) Energy consumption (kWh) Efficiency rating
2.0 13.2 0.97
3.0 19.8 0.96
4.0 26.4 0.95

The data in the table above is based on a tankless water heater with a 9.5 GPM flow rate and an efficiency rating of 0.93. As you can see, the higher the flow rate, the greater the energy consumption. However, even at 4.0 GPM, the energy use is still relatively low at 26.4 kWh.

In conclusion, a tankless water heater is an energy-efficient option for heating the hot water in your home. The amount of energy it uses depends on various factors, such as the flow rate and incoming water temperature, as well as the efficiency rating and size of the unit. Choosing the right size and efficiency rating can help minimize energy consumption and reduce your utility bills in the long run.

The Cost Savings of a Tankless Water Heater

When it comes to saving money on your energy bill, switching to a tankless water heater can make a huge impact. Here are some key points to consider:

  • Tankless water heaters only heat water when you need it, as opposed to keeping a large tank of water hot at all times. This means significant energy savings – up to 30% on your energy bill.
  • On average, a tankless water heater uses about 28-34% less electricity than a traditional tank-based heater. This translates to lower energy costs and a smaller carbon footprint.
  • While tankless water heaters may have a higher initial cost, they generally last longer than traditional tank heaters and can pay for themselves within a few years thanks to energy savings.

How to Calculate Your Potential Savings

If you’re curious about how much you could save by switching to a tankless water heater, there are a few factors to consider. The most important is your current energy usage – the more hot water you use, the more you’ll save with a tankless system.

To get an estimate of your potential savings, check your current utility bill for your electricity rate in dollars per kilowatt-hour (kWh). Then, calculate how many hours per day your hot water is used and multiply by the wattage of your current heater (usually printed on the label). This will give you a rough estimate of how much electricity your current system uses per day.

Electricity Rate Daily Energy Cost (Current System) Daily Energy Cost (Tankless System) Daily Savings
$0.10/kWh $1.00 $0.70 $0.30
$0.15/kWh $1.50 $1.05 $0.45
$0.20/kWh $2.00 $1.40 $0.60

Use the table above as a reference to see how much you could save per day based on your current electricity rate and daily usage. Over time, these savings can add up and make a significant difference in your energy bills.

In conclusion, investing in a tankless water heater can lead to significant cost savings on your energy bill. While they may have a higher initial cost, their energy efficiency and durability make them a smart long-term investment.

Tankless Water Heater Maintenance

Maintaining your tankless water heater is crucial to ensure it operates efficiently and lasts for a long time. Here are some tips on how to keep your tankless water heater in the best condition possible:

  • Flush the system regularly: Sediments and minerals can accumulate in your tankless water heater, leading to poor performance and increased energy consumption. Flushing the system regularly can prevent this from happening. It is recommended to flush your unit at least once a year.
  • Check the air intake filter: The air intake filter prevents debris from entering your unit. Make sure to clean or replace it every few months to ensure proper air flow and prevent damage to your system.
  • Inspect the venting: A blocked vent can result in poor combustion and energy inefficiency. It is essential to inspect the venting regularly and remove any debris or blockages.

Common Problems and Solutions

If you notice any issues with your tankless water heater, here are some common problems and solutions that you can try:

  • No hot water: This could be due to a power issue, faulty heating element, or a blockage in the unit. Check the power supply and try resetting the unit. If the issue persists, contact a professional for repair or replacement.
  • Fluctuating water temperature: Mineral buildup can cause fluctuating water temperatures. Try flushing the system to remove any sediment buildup. If this does not solve the issue, contact a professional for further assistance.
  • Strange noises: A noisy unit could be due to a buildup of sediment or a faulty heating element. Try flushing the system to remove any sediment buildup or contact a professional for assistance in repairing or replacing the heating element.

Annual Maintenance Checklist

Performing annual maintenance on your tankless water heater can save you money and keep your unit running efficiently. Here is a checklist of tasks you should perform every year:

Maintenance Task Frequency
Flush the system Annually
Clean or replace the air intake filter Every few months
Inspect the venting Annually
Check for leaks Annually

Following these maintenance tips can ensure that your tankless water heater operates at peak efficiency and lasts for many years to come.

Installation of a Tankless Water Heater

If you’re looking to upgrade your water heating system, you might want to consider installing a tankless water heater. They are known for their energy efficiency and ability to save both money and space. However, before you decide to invest in one, there are several factors you need to consider, including installation.

  • Location: One of the most important aspects of installing a tankless water heater is choosing the right location. These units are typically mounted on the wall and require proper ventilation. You should also consider the distance between your water heater and the fixtures it will be servicing. The shorter the distance, the less water and energy will be wasted waiting for hot water to travel.
  • Gas versus Electric: Tankless water heaters can be powered either by electricity or gas. If you have access to natural gas, it is generally a more cost-effective option. However, electric tankless water heaters are more energy-efficient, making them a better choice for smaller households or homes with low hot water demands.
  • Sizing: The size of your tankless water heater will depend on a variety of factors, including the number of occupants in your home, the fixtures it will be servicing, and the climate in your area. Before installing a tankless water heater, you should have a professional assess your hot water needs and recommend the appropriate unit size.

Once you’ve decided to install a tankless water heater, it’s important to hire a professional plumber or HVAC contractor to handle the job. Here are some steps they will likely follow:

  • Turn off the water and gas (if applicable) supply to your existing water heater.
  • Disconnect and remove the existing water heater.
  • Install the necessary brackets and run the necessary gas or electrical lines to the new tankless unit.
  • Install the necessary venting to ensure safe and proper ventilation.
  • Mount the tankless unit onto the wall.
  • Connect the supply and demand water lines to the unit.
  • Test the unit to make sure it is functioning properly.
Tankless Water Heater Installation Costs Cost Range
Labor $500-$1,500
Indoor Installation $1,500-$5,000
Outdoor Installation $1,000-$4,000
New Gas Line Installation (if applicable) $500-$2,000

The cost of installing a tankless water heater can vary depending on factors such as your location, the size and type of unit you choose, and additional installation costs such as venting and gas line installation. However, the energy savings and convenience that come with a tankless water heater may outweigh the initial investment in the long run.

FAQs About How Much Electricity Does a Tankless Water Heater Use

1. Does a tankless water heater use less electricity than a traditional water heater?

Yes, tankless water heaters are generally more energy-efficient than traditional water heaters because they only heat water when it is needed. However, the amount of electricity used depends on the brand, model, and usage patterns.

2. How much electricity does a tankless water heater use per day?

The amount of electricity a tankless water heater uses per day can vary widely depending on usage patterns and the size of the unit. On average, a tankless water heater can use between 15 to 25 kWh per day.

3. Can a tankless water heater be powered by solar panels?

Yes, tankless water heaters can be powered by solar panels. In fact, many homeowners choose to install solar panels specifically to power their tankless water heaters and other home appliances.

4. What is the average lifespan of a tankless water heater?

The average lifespan of a tankless water heater is around 20 years. However, this can vary depending on usage patterns, maintenance, and the quality of the unit.

5. How can I reduce the amount of electricity my tankless water heater uses?

To reduce the amount of electricity your tankless water heater uses, you can adjust the temperature settings and usage patterns, as well as ensure proper maintenance and insulation.

6. Will a tankless water heater save me money on my electricity bill?

Yes, a tankless water heater can save you money on your electricity bill in the long run because it consumes less energy than a traditional water heater. However, this will depend on your usage patterns and the cost of electricity in your area.

7. Can I install a tankless water heater myself?

It is not recommended to install a tankless water heater yourself as it involves electrical and plumbing knowledge. It is recommended that you hire a licensed professional to install the unit to ensure proper installation and safety.

Closing Thoughts

We hope that this article has helped answer your questions about how much electricity a tankless water heater uses. Remember that the amount of electricity used can vary depending on a variety of factors, and it is important to properly maintain and adjust your unit for optimal efficiency. Thank you for reading, and we invite you to visit us again for more useful information.