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Water Heater

Do as much cleaning as possible with cold water to save the energy used to heat water.

Adjust your water heater's temperature to prevent unnecessary operation. Many units are set at 140o Fahrenheit at the factory, although 120o F. may be satisfactory for your needs. This is NOT recommended, however, if you have a dishwasher that does not have an internal heating element that heats water to 140o.

Many new water heaters have a "vacation" setting you can use to save energy if you're away for more than a few days. Turn the thermostat "down" or "off" when you're gone for more than three days.

 


How to Choose the Right Water Heater!

The right decision today can save you money for years to come!

Water heating is one of the largest overlooked energy expenses. As much as a quarter of the average household energy use goes to heat water for washing, dish washing and bathing. This means that using an energy efficient water heater can reduce a family's energy bill each month.

When we think about where our energy dollars go, we think about the obvious choices, things we see everyday around the house -- lights, kitchen appliances, television, and air conditioning and heating.

Water heaters have greatly improved in recent years. They are much more energy efficient than they used to be. As a result, you may be able to purchase a water heater that will save you money on energy costs each month.

Questions You Should Ask When Replacing Your Water Heater

Q: Can't I just buy the same model water heater as the one I'm replacing?

A: You probably can't find the same exact model as your old water heater, and you probably wouldn't want to. Water heaters have greatly improved in recent years. They are much more energy efficient than they used to be. As a result, you may be able to purchase a water heater that will save you money on energy costs each month.

Q: Shouldn't I just but the cheapest model I can find?

A: Doing that could cost you hundreds of dollars in the long run. Look at it this way: Some cars get 15 miles to a gallon, while other, more efficient cars can go 30 miles or more on a gallon of gas. In the same way, some water heaters use energy more efficiently. Buy one of those and you'll spend less money each month to get the same amount of hot water.

And here's an important fact to keep in mine -- the average life expectancy of a water heater is 13 years! That's how long you'll be living with the decision you make today.

If you choose a water heater that saves you money, the savings will continue for years. That's why you should consider not only the purchase price of a water heater but also how much it costs to run.

If your new water heater saves an average of a dollar a month in energy costs, that amounts to a savings of $12 a year -- or $156 over the expected life of the appliance!

Q: So how do I make the right, money-saving choice from all the models that are available?

A: Follow this outline. It will walk you through the steps to help you make the right decision. You need to ask yourself theses three questions:

  1. Gas or electric?
  2. What size?
  3. What's the energy efficiency?

To answer the first question, "Do I need to buy a gas or electric model?" check to see what type of water heater you have now. Is it gas, electric or even propane? Do you have a natural gas outlet available at the water heater, or only an electric outlet? Many homes are not equipped with natural gas. Obviously, it would not be a good idea to but a gas water heater if you have an all-electric home.

Q: Which is better -- gas or electric?

A: In almost all of California, natural gas is the most economical way to go. It usually costs three times as much to heat the same amount of water with electricity as it does with gas.

If you have an electric water heater and a gas furnace or stove, you may save money in the long run if you extend the gas line to your water heater.

If you live in a rural area that has propane service instead of natural gas, propane is usually less expensive than electricity.

Use the chart below to determine what the same-size water heater would cost each year, if powered by natural gas, propane or electricity:


Comparable Yearly Water Heating Costs

(Based on general energy prices)

To estimate your water heating bill,
locate the price you pay for gas, electricity or propane on the charts below:

Natural Gas Propane Electricity
Price per
therm
Yearly Cost Price per
gallon
Yearly Cost Price per
kilowatt-hour
Yearly Cost
$0.50 $136 $0.95 $283 $0.08 $390
$0.60 $163 $1.05 $313 $0.10 $488
$0.70 $190 $1.15 $343 $0.12 $585

Q: Okay, I've figured out the gas or electric question. What size do I need!

A: The answer depends on how much hot water your family uses during its busiest hour. We call this the "First Hour Rating."

What size water heater do I need?

    My house has
    How many bathrooms?

    1 to 1.5

    2 to 2.5

    3 to 3.5

    How many bedrooms?

    1

    2

    3

    2

    3

    4

    5

    3

    4

    5

    I need a
    First Hour Rating of:

    43

    60

    60

    60

    70

    72

    90

    72

    82

    90

Once you've figured out how much hot water your family needs, look for your "First Hour Rating" on the ENERGYGUIDE.

Q: What's an ENERGYGUIDE?

A: The large yellow sticker that, by law, has to appear on water heaters and other appliances such as refrigerators, freezers, clothes washers, dishwashers, air conditioners, furnaces and heat pumps.

Q: Where do I find the "First Hour Rating?"

A: At the ENERGYGUIDE's upper left hand corner, underneath the water heater's energy source. The "First Hour Rating: on the sample is 66.

The ENERGYGUIDE can be a valuable tool. It compares the average yearly operating costs of different water heaters, using the same criteria for all models tested. It lets you see which one would probably cost you less to run.

You need to choose a model with a "First Hour Rating" close to the capacity you need. Don't just rely on the size of the storage tank -- gas water heaters work quicker than electric ones, so they produce more hot water in an hour. A gas water heater that holds 40-gallons may turn out as much hot water in an hour as a 65-gallon electric one!

If you decide to increase the size of your own water heater, make sure there is room in your home for a bigger model. Water heaters are sometimes crammed into tight spaces -- check the manufacturer's specifications on any model you buy to make sure it will fit into your house.

Q: What's that big number -- $156 -- in the center of the ENERGYGUIDE?

A: That's the estimated cost of energy needed to operate that water heater for one year. It tells you how much you can expect to spend every year on energy if you purchase that model. That's why the ENERGYGUIDE is such a valuable tool -- it makes comparison shopping easy.

On the bar immediately below the yearly cost, it even displays the range of yearly costs of comparable-sized water heaters, from the least expensive to most expensive.

Q: Why is there such a wide range in energy costs?

A: Varying degrees of energy efficiency! Just as some automobiles get better gas mileage, different water heaters are made to be more energy efficient.

The good news is that today's "energy-saving" water heaters are better insulated than the models manufactured years ago. As a result, most cost about 18 percent less to run than older models. The savings are due to reduced heat loss, thanks to the added insulation.

In addition, today's gas water heaters boast more efficient combustion. Less heat escapes up the flue, so less gas is needed to heat the water.

Q: How can I tell which water heaters are the most energy efficient?

A: Look for the unit's "Energy Factor." It's a number with a decimal point, usually listed on a separate tag beside the ENERGYGUIDE.

The higher the "Energy Factor" number, the more efficient the water heater, Gas water heaters have energy factors between 0.5 to around 0.7. Electric models range from 0.75 to 0.95.

Q: Does that mean that electric water heaters are more efficient?

A: Electric models do make better use of energy, since gas water heaters lose some of their energy up the vent. But since electrical energy usually costs three times more than gas , it's still cheaper to use natural gas, if you have a choice.

Whichever type of water heater you buy -- either gas or electric -- look for a unit with a higher energy factor. It will save you money on your home energy costs.

A unit with a higher energy factor may cost more initially, but the energy savings may more than make up for the higher sticker price. Consider the price difference and how long it would take to recover the money through energy savings.

For example, say a gas water heater with an energy factor of 0.57 sells for $129, while one with an energy factor of 0.61 sells for $145. To begin with, you'll spend $16 more for the model with the higher energy factor, but it will save you almost $11 a year in the natural gas. You have recovered your initial $16 investment within 18 months. Over the estimated life of the water heater, you should save an additional $125.

The table below shows the energy savings you can expect with higher energy factors, based on the average use of a family of four.

How much will a higher energy factor save me?

    Water heaters with higher energy factors cost less to run. Here's a comparison of what various water heaters could cost to operate each year, using a consistent price for energy. Note the savings compared to the 0.53 model over the 13-year life expectancy of a water heater.
    Energy
    Factor
    Energy Cost
    Each Year
    Savings Over
    Life of Appliance
    0.53 $177 $0
    0.57 $166 $143
    0.61 $155 $286
    0.65 $144 $429


The three questions -- Gas or electric? What size? What's the energy efficiency? -- should lead you to the best water heater. Once you've purchased it, there are...

Other Tips to Save you Money on your Water Heating Bills!

  • Once your water is hot, insulate to help keep it that way. Wrapping exposed hot water pipes with insulation will minimize heat loss. So will installing an R-12 insulation blanket around your water heater, unless the manufacturer does not recommend it.

  • Reduce your water heater's temperature to 120o Fahrenheit. That will produce plenty of hot water and still save energy. For homes with a dishwasher, a setting of 140o is required to clean properly, but most of the new dishwashers have a built-in water temperature booster.

  • Conserve hot water by installing water-saving showerheads. A new showerhead can save as much as $10 a year in water and energy.

  • Finally, check your faucets for leaks. They waste both water and energy!

If you have any questions about energy efficient water heaters, ask a salesperson at the store where you will be purchasing your water heater. Or contact your local utility company.


The California Energy Commission establishes minimum standards for appliance efficiency. If you have questions about them, you can call the Commission's toll-free help line at (800) 772-3300.

The Energy Standards Hotline operates Monday through Friday, from 8 a.m. to noon, and from 1 to 3 p.m.

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Information from the California Energy Commission


Viewtech Financial Services, Inc.
3430 E. Miraloma Avenue, Anaheim, CA 92806
Phone: 800-998-8658
Fax: 714-632-8949
Web Site: www.viewtechfinancialservices.com
E-mail: mailto: information@viewtechfinancialservices.com