There is no doubt that hot water is something that we can’t live without. But the thing is, hot water can be expensive, often contributing as much as 35% to your energy bill. This is where heat pump hot water systems can make a difference.
Heat pump hot water systems are efficient water heating systems that can help you save up to 75% on energy bills. While they’re not new to the market, they are certainly underrated.
Here, we’ve rounded up 4 reasons why you should consider getting heat pumps for your hot water systems. But before that, let’s look at heat pumps in more detail.
Heat Pump Hot Water Systems
What Is It?

A heat pump hot water system is a type of water heating system that transfers thermal energy between spaces. Because it does not generate heat directly, it can be up to 4 times more energy efficient compared to conventional electric hot water systems.
How Does It Work?

Heat pump technology essentially relies on ambient heat to work. Heat is extracted from the surrounding air and then absorbed by a natural ozone friendly refrigerant. The refrigerant then goes through a compressor, which increases its temperature.
Next, the refrigerant is passed through a heat exchanger to heat water from the mains. Finally, the water is heated and stored in storage tanks to be used as and when needed, all year round.
4 Reasons You Should Consider Getting A Heat Pump
- Save On Energy Bills
Heat pumps are a greener alternative to generate hot water because it does not use direct electric elements to heat water. This leads to savings of up to 75% on electricity usage compared to traditional hot water systems.Traditional hot water systems consume about 1kW of power to produce 1kW of heat, while heat pump hot water heater systems use 1kW of power to generate greater heat output of 4kW. This more efficient technology allows you to reduce your energy bills without needing to cut back on your hot water usage. - Reduce Carbon Footprint & Greenhouse Gas Emissions
One of the biggest benefits of getting a heat pump is the positive impact it has on the environment. If you’re making the switch from a conventional electric water heater to a heat pump, your carbon footprint could be reduced by up to 70%. That’s about the same amount you’d save if you gave up driving for 10 months or switched to a plant based diet.Certain heat pump brands use a unique Ozone friendly refrigerant. This refrigerant, a.k.a R744 (CO2), is natural and has negligible contribution to climate change as opposed to other common refrigerants. Gaschill offers installation of these heat pumps. - Enjoy Government Rebates
Heat Pump Hot Water RebateThis rebate is to assist Victorian households with the purchase of a heat pump hot water system. Eligible candidates are entitled to $1,000 and must:- Have an eligible hot water system installed on or after 19 August 2018
- Select a heat pump registered with the Clean Energy Regulator
- Have combined household income of less than $180,000/year (before tax)
- Be replacing an existing hot water system that is older than 3 years
- Be an owner/occupier of a home valued under $3 million
- Save More With Smart Technology
There are a variety of heat pumps that now include smart technology, allowing safer and more efficient use. These features can:- Eliminate unnecessary energy usage
- Ensure you never run out of hot water
- Minimise your energy bill
Depending on the size and capacity of the heat pump you choose, it would generally cost you $185 per year. Although the upfront costs of installing the heat pump may be more expensive than a conventional heating system, its lower running costs make it the more practical option in the long run.Heat pump users can see their system pay for itself within 5-10 years, saving thousands over its average 15-year lifespan.Considering Heat Pumps?Heat pumps have proven to be the more efficient, eco-friendly and smarter way to have hot water compared to conventional hot water systems. In addition to these benefits, the Australian government is encouraging the installation of heat pumps by providing government rebates and financial incentives. If you are looking to get a heat pump or are just in need of further information, Gaschill can help. Reach out to us and we’ll find a tailored solution for you and your home.