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Hot water is essential for every Australian home. From warm showers in the morning to running multiple taps and doing the dishes, a reliable hot water system really is the unheralded backbone of our plumbing system. Unfortunately, not all systems run efficiently, and when yours is struggling, getting it replaced just might be the best option .
As energy costs soar across the country, finding an energy-efficient hot water system is more important than ever before. From electric and gas to solar, tankless, and heat pump systems, we’ve created this guide to help you navigate your options and choose a system that suits your property and budget.
Interested in a brand-new hot water system? With no shortage of choice in 2025, there are fantastic options to suit just about every household and lifestyle. Brands like Rheem, Rinnai, Dux, Vulcan, Bosch, and Aquamax also continue to push the boundaries of efficiency, performance, and reliability.
So, whether you’re looking for more dependable performance, a way to electrify your household, or invest in solar, there’s something out there for you. Your main options are:
For advice or guidance, don’t hesitate to give PlumbCall a ring–we’ve got friendly plumbers operating across Australia who are always ready to lend a hand! Our team can handle all sorts of hot water repairs and installations.
Running an energy-efficient hot water system has multiple benefits. First and foremost, it lowers your utility bills, which is especially valuable during our current cost-of-living crisis. The logic here is simple. Hot water heaters are one of the largest contributors to household energy use, so a system that consumes less energy will directly reduce your bills, as well as your personal environmental footprint.
Fortunately, it’s pretty easy to gauge. In Australia, energy efficiency is typically indicated by a star rating, and this most typically ranges from one to six stars. Systems awarded a higher star rating are more energy-efficient and cost-effective in the long run. In addition to the cost savings, a high-functioning system provides consistent water pressure and the perfect temperature every time you turn on the tap.
How do you know when it’s time to get your hot water system replaced? There are actually quite a few signs to keep an eye out for! We’ll cover them quickly now. Alternatively, if you’re already good to go and at the stage of selecting a new system, skip ahead for a breakdown of each option!
You turn the tap on and hot water suddenly alternates between too hot and too cold. Unfortunately, it’s often a sign that your system is no longer as efficient as it once was. This could stem from a faulty thermostat, sediment buildup, or an aging heating element struggling to keep up.
Aside from frustrating and uncomfortable showers, fluctuating water temperatures also mean your system is working harder than it should, consuming more energy. At this stage, repairs may help temporarily, but replacement is usually the smarter option.
Rusty, discoloured, or foul-smelling water isn’t pleasant at all, and you’re well within your rights to be a little alarmed. In most cases, this is the result of internal corrosion inside the storage tank. Once rust begins to form, it contaminates the water and indicates that the tank lining has deteriorated, most often to a level that’s beyond repair.
This is more than just a nuisance because there’s also the effect it has on your plumbing fixtures and potentially, your health. If and when water quality starts to decline, it’s generally a strong indicator that the system has reached the end of its serviceable life.
Don’t compromise your health and safety. If there’s water quality issues at play, get in touch with your nearest PlumbCall team straight away! We’re ready to assist with all hot water repairs and installations.
High energy bills are a common issue, and they’ve been well-documented in recent months. However, if there’s a noticeable increase in your electricity, water, or gas bill that seems unusually substantial, an underlying issue with the heater itself may be the actual culprit.
The more systems age, the more energy they need to heat the same amount of water, whether that’s due to worn elements, leaks, or sediment reducing efficiency. Of course, older systems are inherently less effective and efficient than the newer models and newer types of heaters available in 2025.
While it might be easy to play it off, bills always come back to haunt you, especially if they continue to be higher than usual! In most cases, it’s a clear sign your hot water unit is no longer operating efficiently and should be replaced.
If you’ve ever lived in a property with an older water heater, chances are you’ve heard sounds like rumbling, banging, or popping from your hot water system. These noises will most likely appear when you turn the taps on for a shower.
Depending on the type of noise, any number of issues may be occurring, including sediment buildup. As the water heats, steam bubbles force their way through the sediment, creating unusual sounds.
While flushing the tank sometimes helps, repeated noises often mean the problem is more serious and the tank itself is wearing out. Noisy systems also tend to work harder, driving up your energy costs and placing additional strain on internal components.
This one is a bit of a no-brainer. If you’re constantly calling in a plumber to fix your hot water service, it’s not too difficult to read between the lines and realise it’s time for a replacement. While individual repairs might seem manageable, the costs quickly add up, often exceeding the price of a new, energy-efficient system.
The great news is that there are so many fantastic options available, and we’ll go on to cover them all below!
Every hot water system has a limited lifespan, usually between 8 to 15 years depending on the type, brand, and how well it’s maintained. Once your system gets older, problems like reduced efficiency, corrosion, or part failures become increasingly common.
Even if it’s still functioning, the risk of sudden breakdowns rises with age. At this stage, replacement is often more cost-effective than continuing to repair, especially with the availability of modern, energy-efficient models that lower long-term expenses.
Solar based hot water systems, however, have been shown to last up to 25 years. We’ll go on to explain this below!
How They Work: Using heating elements inside a storage tank to warm water. They can operate continuously or during off-peak times. Instantaneous electric units are also available, supplying hot water on demand to one outlet at a time.
Efficiency and Costs: Usually cheaper to buy and install but can be expensive to run if they heat water continuously. Off-peak systems reduce running costs by heating water overnight. Modern units with higher star ratings are increasingly energy-efficient, and pairing them with solar can significantly lower bills.
Installation Requirements: Relatively straightforward to install, needing only a connection to the property’s electrical supply. Larger units may require checking that your electrical system can handle the load.
Popular Brands: Rheem, Bosch, Rinnai, Aquamax, Dux
How They Work: Using natural gas or LPG to heat water, either storing it in a tank or providing it on demand through continuous flow units. Gas heats water quickly and consistently, making it reliable for multiple bathrooms or high-demand households.
Efficiency and Costs: Generally more efficient than standard electric systems, particularly where natural gas is available. However, heat pump technology is increasingly competitive. While gas is cost-effective and fast, it emits more greenhouse gases, and prices may fluctuate.
Installation Requirements: Professional installation is essential, including a connection to the gas supply. Indoor installation is possible but requires venting. For LPG, installation is typically outdoors.
Popular Brands: Rinnai, Bosch, Vulcan, Aquamax
How They Work: Heating water on demand and eliminating the need for a storage tank. Water flows through a heating element or gas burner when a tap is opened.
Efficiency and Costs: Highly efficient because they avoid standby heat loss. They are ideal for smaller households or apartments, but larger homes may need multiple units.
Installation Requirements: Sizing is critical. They must connect to electricity or gas, and may require pipe upgrades or retrofitting. Professional installation ensures correct operation.
Popular Brands: Rheem, Bosch, Rinnai
How They Work: Using rooftop panels to absorb sunlight and transfer heat to water stored in a tank. Electric or gas boosters ensure consistent supply during cloudy days.
Efficiency and Costs: The most energy-efficient option where sunlight is adequate, providing long-term savings and minimal running costs. Initial costs can be high, but government rebates such as the Solar Hot Water Rebate and Victorian Energy Upgrades (VEU) program reduce upfront expenses.
Installation Requirements: A roof with sufficient space and sun exposure. Installation is more complex, involving roof panels and a storage tank. Professional setup ensures optimal performance.
Popular Brands: SolarEdge, Apricus, Rheem, Splitline, iHeat
How They Work: extracting warmth from the air, then transferring it to water in a tank, similar to reverse-cycle air conditioning. They may include an electric booster for colder climates.
Efficiency and Costs: Highly energy-efficient, using roughly one-third of the electricity required by standard electric systems. While more expensive upfront, they offer low running costs and pair well with solar panels.
Installation Requirements: Outdoors in well-ventilated areas for airflow. Consider noise and placement to avoid disruption.
Popular Brands: Rheem, Rinnai, Stiebel Eltron, Chromagen, Haier, Wilson
Across Australia, both federal and state level rebate programs are available. Much like Medicare, these rebates can really help to alleviate the financial burden of upfront installation and replacement costs.
Rebates are currently available for electric, heat pump, and solar based hot water systems. Be sure to head to the energy.gov.au website, and check their rebates page to find information about the assistance available in your state!
When it’s time for an upgrade, PlumbCall are the hot water specialists you can trust. We’ve got fully licensed plumbers ready to repair, maintain, or replace every hot water heater on the market.
PlumbCall was built on a mission to provide all customers with a first-class experience, from friendly service and spotless clean-ups to getting the job done right the first time, every time. With our Guaranteed Speed (including 25% off if we don’t arrive when promised) and genuine 24/7 availability, you can count on us any time, day or night. And with our 100% No-Risk Money Back Guarantee, you’ll enjoy total peace of mind knowing your urgent problem is our top priority!
We’ve got hot water experts in Bundaberg, Capricorn Coast, and locations across Australia. After receiving your call, we’ll be right there to resolve the issue in no time. Call 1300 669 111 or book right here online.
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