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 Rebate
This 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
Eliminate Unnecessary Energy Usage
Some heat pumps include scheduling features that allow you to schedule when you’re on vacation and prevent energy being used while you’re away. You can even program when you’re back from vacation to ensure that hot water is ready and available for you to use as soon as you get home.

Never Run Out Of Hot Water
Certain heat pumps allow you to obtain more hot water from your system every hour. With this, you’ll never have to worry about running out of hot water even when it’s the dead of winter.

Minimise Your Energy Bill
Smart technology like built-in timers allow you to take control of how long your system is working for. With this, you can minimise your energy bills and make the most out of off-peak energy tariffs.

How Do You Decide?

Size Requirements

This depends on the size of your family, home and how cold the climate is in your region. Each model of heat pump is designed with a specific type of capacity meant to cater to these requirements.

It’s always best to speak to a heating specialist to decide on this as this can get quite technical. But to have a general understanding of this, you can assume that each person in your household would use approximately 50 litres of hot water per day. This can help you estimate the size of heat pump you need for your family.

For further information, speak to our Gaschill technicians and they’ll be happy to assist you with finding the right size heat pump for your home.

Compare Running Costs

We visited this graph earlier and it’s clear that over time, the running costs of heat pumps are more affordable than other conventional heating systems.

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.

By:

Christopher Hall

Committed to excellence and providing top-notch advice on everything from system selection to maintenance.