Let s think about three basic options to keep it simple.
Are new hot water heaters more efficient.
Disadvantages of tankless water heaters include the potential of not having enough hot water for families that take multiple showers and run hot water consuming appliances simultaneously.
At best a standard electric water heater could have a theoretical energy efficiency of 100 all of the energy potential in the electricity converted to hot water.
You may have heard the debates regarding standard tank and tankless water heaters.
Tankless water heaters are the new energy efficient and high performance models of old school water heaters that can provide you with endless hot water along with substantial energy savings of up to 40.
Most new water heaters have an efficiency factor ef of 58 60.
If you have done any online research you have probably come across the acronym naeca 3.
Standard energy star and tankless.
This includes considering the different types of water heaters available and determining the right size and fuel source for your home.
That means that 58 60 of the energy that is being used to heat your water is effectively converted into heat.
Although heat pump water heaters cost more than those powered by electrical resistance heating coils they are far more efficient.
Another disadvantage is that electric tankless water heaters require a moderately high electric power draw creating higher electricity costs.