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If you want to upgrade or replace your current hot water system, you may have come across the terms "gas storage" and "instantaneous". These are two common types of hot water systems in Australia, but what's the difference between them, and which one is right for your home?

In this blog post, we'll take a closer look at gas storage hot water systems and instantaneous hot water systems, their pros and cons, and factors to consider when choosing between them. Read on!

Gas Storage Hot Water Systems

Gas storage hot water systems, also known as storage tank systems, are the most common type of hot water system in Australia. As the name implies, these systems store hot water in a tank until it's needed.

They come in varying sizes, from small 50-litre tanks for apartments to larger tanks of 250 litres or more for larger households. Here are a handful of the pros and cons of choosing a gas hot water system with storage:

Pros

  • Fast recovery rate: Gas hot water systems have a rapid recovery rate, which means that they can quickly heat up a large amount of water. This is particularly advantageous for larger households with high hot water usage.
  • Low operating costs: Gas is generally less expensive than electricity, which means that gas hot water systems can be cheaper to operate than electric hot water systems. This can result in significant savings on your energy bills.
  • Reliable: Gas hot water systems are generally considered more reliable than electric systems, as they don't rely on electricity to operate. This can be particularly advantageous during power outages.
  • High energy efficiency: Gas hot water systems are generally more energy-efficient than electric systems. This is because gas heats water more quickly than electricity, meaning less energy is required to heat the same amount of water.

Cons

  • Higher upfront costs: Gas hot water systems are typically more expensive to install than electric systems. This is because they require gas lines to be installed, which can be a significant expense.
  • Gas leaks: Gas hot water systems can pose a risk of gas leaks, which can be dangerous if not addressed promptly. It's vital to ensure that your system is installed and maintained by a licensed plumber or hot water specialist to minimise this risk.
  • Limited hot water supply: Gas hot water systems have a limited hot water supply, as they rely on a storage tank to hold heated water. This means you can run out of hot water if the tank is depleted.
  • Maintenance: Gas hot water systems require regular maintenance to ensure that they continue to operate efficiently. This includes checking for leaks, flushing the system to remove sediment and debris, and ensuring that the system is adequately ventilated.

Instantaneous Hot Water Systems

Tankless or continuous flow systems also known as instantaneous hot water systems, heat water on demand as it flows through the system. They do not store hot water in a tank, so they don't have the same risk of running out of hot water. They're also generally more energy-efficient than gas storage systems.

This is because they only heat the water when it is needed. Here are a handful of the pros and cons of choosing an instantaneous hot water system:

Pros

  • Energy efficiency: Instantaneous hot water systems are highly energy-efficient, as they only heat water when needed. This means there is no standby heat loss, which can occur with storage systems. As a result, instantaneous systems can help you save on your energy bills.
  • Space-saving: Instantaneous hot water systems are typically much smaller than storage systems, as they don't require a large storage tank. This can be a significant advantage if you have limited space in your home.
  • Unlimited and instant hot water supply: With an instantaneous hot water system, you have an endless hot water supply. This means you don't have to worry about running out of hot water, as the system will continue to heat water as needed.
  • Longer lifespan: Instantaneous hot water systems typically have a longer lifespan than storage systems. This is because there is no storage tank, which can rust and corrode over time.

Cons

  • Higher upfront cost: Instantaneous hot water systems can be more expensive to install than storage systems. This is because they require more complex installation and may require upgrades to your gas lines or electrical system.
  • Limited hot water flow rate: Instantaneous hot water systems are designed to deliver hot water at a specific flow rate. If you have multiple hot water outlets operating simultaneously, you may experience a decrease in the hot water flow rate.
  • Cold water sandwich effect: The cold water sandwich effect can occur with instantaneous hot water systems, where a burst of cold water is experienced between hot water usage. This can be mitigated by installing a recirculation system or using a more extensive system.
  • Maintenance: Instantaneous hot water systems require regular maintenance to operate efficiently. This includes descaling the system to remove any mineral buildup, checking for leaks, and ensuring the system is adequately ventilated.

Which Hot Water System Should You Choose?

There is no distinct winner when choosing between gas storage hot water systems and instantaneous systems. As seen above, each type of system has advantages and disadvantages, and the final choice ultimately depends on your needs and preferences. However, there are certain factors you should consider to determine the best option for you. These include:

Hot water needs

The most crucial factor you should consider is the water usage in your home. If you have a lot of people who use water in your home, it's better to go for a gas storage tank system.

This is because the system heats the water and stores it in the tank to use when needed. This means that even if you have people who will use the water after one another, you already have hot water in your tank.

Space available

A gas storage hot water system occupies more space in your home than the instantaneous system. So, if you have limited space in your house, using the continuous flow system is advisable. It will help you save space and instantly get hot water when needed.

Energy efficiency

Another vital factor to consider is the energy efficiency of a system. You should invest in a system that will help you save on your energy costs, and in this case, the instantaneous system is the best option. The system enables you to save on your energy costs because it only heats the amount of hot water required.

Operation costs

You should regularly maintain your hot water system to function flawlessly and last many years. Since maintenance costs you money and time, it's essential to look for the one that will cost less. An instantaneous system is less costly because it uses less energy than a tank system. It is also not affected by rust issues like the tank storage system.

How to Save on Water Heater Energy Costs

If you're looking to save on your energy costs, there are numerous strategies you can use with both gas storage and instantaneous hot water systems. Here are a handful of beneficial tips to help you reduce your hot water energy usage regardless of your hot water system:

  • Use a timer: Install a timer on your hot water system to ensure it only heats water when needed. For instance, you could set the timer to turn on the system an hour before you wake up in the morning and turn it off when you go to bed at night. This could reduce energy usage and save you money on energy bills.
  • Insulate your home's hot water pipes: Insulating your hot water pipes can help prevent heat loss and lower the amount of energy needed to heat your water. Insulating your hot water pipes is a simple and cost-effective way to improve the energy efficiency of your hot water system.
  • Lower the temperature: By lowering the temperature of your hot water system you can also help reduce your energy usage. Most hot water systems are set to around 60 degrees Celsius, but you can lower this to approximately 50 degrees without affecting your hot water supply. This can help you save on your energy bills without compromising on comfort.
  • Install water-efficient fixtures: Installing water-efficient showerheads, taps, and toilets can also help reduce your hot water usage. This can save you money on your energy bills and help conserve water.
  • Regular maintenance: Regular maintenance can help ensure your hot water system runs efficiently. This includes flushing the system regularly to remove sediment and debris, checking for leaks, and ensuring that your water heater is appropriately ventilated.

Need Expert Help Choosing a Hot Water System?

It is strongly advised to seek the assistance of a licensed plumber or hot water specialist to guarantee that you make an informed choice and select the right system for your home. They have the expertise and knowledge to assess your hot water needs, evaluate your space constraints, and provide tailored recommendations.

A professional can help you understand the specific installation requirements, associated costs, and potential energy savings of each system. They can also ensure the hot water installation is performed safely, adhering to all relevant safety and compliance standards.

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