Hydronic Heating & Cooling Specialists
Hot Water Guide

Selecting the Best Hot Water System

Six questions that determine the right system for your household. We'll walk you through each, then quote three options.

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The short answer

Updated

The best hot water system in Australia depends on six things: household size, how many bathrooms run at once, which fuels you have, roof orientation, your up-front versus running-cost budget, and how long you will stay. Heat pumps and solar pay back best if you are staying five or more years, gas continuous-flow suits most homes on mains gas, and electric storage suits tight budgets or holiday homes. AHHAC sizes and quotes three options side by side.

Storage sizing
~50 L per person
Flow sizing (1 bath)
16 L/min
Compare costs over
15-year horizon
Options quoted
Three

Reviewed by the AHHAC Technical Team — licensed plumbers & hydronic engineers, NSW Lic 262528C.How we write & review

The six questions

1. How many people in the household? (sizes the tank or flow rate). 2. How many bathrooms running simultaneously? (peak flow). 3. Gas, electric or both available? (rules out non-options). 4. Roof orientation and shading? (eligibility for solar). 5. Budget split between up-front and running cost? (heat pump payback or not). 6. How long will you live in the home? (longer = better case for solar/heat pump).

Key benefits

  • Up-front vs running cost trade-off
  • STC rebate eligibility check
  • Sizing calculation included
  • Honest brand comparison
  • Three quote options
  • Whole-home efficiency assessment
Match it to your situation

The best hot water system for your situation, and who each option does not suit

There is no single best hot water system in Australia, only the best one for a particular house, household and state. Rather than rank products, we start from the situation. These are the patterns we see most often, with the option we usually recommend and the households it does not suit.

  • Family home with rooftop solar: a heat pump on a daytime timer is usually the strongest choice. It does not suit a site with nowhere ventilated to put the unit.
  • Family home on mains gas, no solar: gas continuous-flow remains a safe, compact default in Sydney and Brisbane. It is a poor long-term bet if you plan to go all-electric within a few years.
  • Sunny north-facing roof, staying long term: solar thermal with gas or electric boost. It does not suit shaded roofs or a home you will sell within a couple of years.
  • Apartment or townhouse: often a compact heat pump, or gas continuous-flow where a flue is approved. Strata by-laws can restrict outdoor units and flues, so approval comes first. Many apartment buildings run central plant instead, as our Sydney strata hot water case study shows.
  • Holiday house or one-person flat: a small electric storage tank, ideally on off-peak or solar. It does not suit a busy household on a continuous tariff.

Location changes the shortlist. Victoria no longer allows new gas connections for most new homes, and the ACT has stopped new gas network connections, so for a new build in Melbourne or Canberra gas is usually off the table and the real choice is heat pump or solar. In frost-prone areas, check that collectors have frost protection and that a heat pump is rated for your winter lows.

Then compare on total cost, not purchase price. We put three options side by side over a 15-year horizon, including installation, likely running costs and any rebates or STCs you are eligible for, which we check for you. The system that costs more up front is often the cheaper one over its life.

For more detail, read our guides to solar and heat pump hot water, gas hot water systems and electric hot water.

Written from on-site experience by the AHHAC Technical Team.

Who designs & installs this

Licensed, in-house plumbers — since 1998.

AHHAC's in-house design and service team — licensed plumbers and hydronic engineers (Lic 262528C) who have designed and installed 2,400+ hydronic heating, cooling and hot water systems across Australia since 1998.

Every plumbing and hot water job is assessed on site, carried out by our own licensed plumbers and gasfitters to AS/NZS 3500 (plumbing) and AS/NZS 5601 (gas), pressure-tested and documented, and backed by ongoing service. Nothing is subcontracted out.

  • Licensed plumbers & gasfitters on every job
  • Clear written quote before work starts
  • Rheem & Rinnai hot water authorised
  • Work tested, photographed & documented
  • Six showrooms: NSW · ACT · VIC · QLD
  • Planned maintenance for homes & strata
262528C
NSW plumbing licence
85 164 746 490
ABN (verifiable on ABN Lookup)
2,400+
Hydronic systems installed
Since 1998
Operating in Australia
AS/NZS 3500
Plumbing & drainage standard
AS/NZS 5601
Gas installations standard
FAQs

Common questions

What's the single most important factor?

Annual operating cost over 15-year horizon, including all rebates. A unit with $1,500 higher up-front cost that saves $400/year in running costs is dramatically cheaper over its lifespan. We'll show you the all-in comparison for three options.

How do I know what size I need?

Storage: 50L per person (more if you have spas, bathtubs). Continuous-flow: 16 L/min for 1 bath, 20 L/min for 2 baths, 26 L/min for 3+ baths. Account for peak simultaneous use (showers + washing machine + dishwasher).

What rebates apply?

Registered solar and heat pump water heaters qualify for Small-scale Technology Certificates (STCs), and state hot water programs (e.g. Victorian Energy Upgrades, NSW incentives) may add more. Values depend on the model, postcode and year, so we confirm them at quote and handle all paperwork.

Reviews

Trusted by homeowners, builders and strata across Australia

★★★★★
Rated 5-star across NSW · ACT · VIC · QLD
★★★★★

"AHHAC delivered our 22-zone underfloor system on time, on budget and to spec. The crew were tidy, the documentation was thorough, and the commissioning was textbook."

David Chen
Custom Builder · Mosman, NSW
★★★★★

"We've worked with AHHAC for 17 years. They've installed and serviced our hot water plant across three commercial buildings — and they pick up the phone on weekends."

James Holloway
Strata Manager · Melbourne CBD
★★★★★

"Three mobs quoted us; AHHAC's design was the only one based on a proper heat-loss calculation. The system runs beautifully — the others would've been oversized and expensive."

Janelle Smith
Homeowner · Robina, QLD
Last updated Content reviewed by the AHHAC Technical Team (NSW plumbing licence 262528C)Editorial standards