Thursday, May 20, 2010

Hybrid Water Heaters Deconstructed

Hybrid Water heaters should be easier to understand, and so I'm setting out to “make it so,” as Captain Picard would say.  Although plenty of people know of their existence, hybrid water heaters can be a little more difficult to consider purchasing.  More so, applying for federal tax rebates, finding the right unit, and installing this new technology, especially without a clue as to whether these things will work well can deter many consumers.  Read the following for all the basics, and follow the links below to dig deeper if you like. 

Hybrid Water Heater Basics
These units, which use a combination of tank and tankless heating, electricity and gas,  typically cost more money upfront, and save a lot of money in the long run.  Compared to the normal, tank units, hybrids:

• Use about half as much energy – saving roughly $250/year (depends on region and usage)
• Last almost twice as long – roughly 20-year life-spans compared to the 10-13 year norm
• Contribute to the preservation of energy and the environment
• Cost about 3X the norm, including installation
• Many units are credited by government incentives, which pay 30% of the cost, up to $1,500

So, using the average values, if a hybrid water heater is purchased rather than an $1300 conventional heater, then it would take anywhere between 3-5 years to save enough money in energy costs to pay back the difference in the initial investment. 

Energy Star Requirements
The EPA has effectively created an energy-efficient stamp of approval that guarantees the federal rebate.  Few products receive the Energy Star label, and these are set apart from the competition by meeting a few, broad requirements:

• The product must conserve energy when compared to the national average
• The product must be verified to pay for its additional cost in energy savings within a “reasonable” period of time – Going by the numbers, this figure is definitely under ten years for water heaters, and if the product would not deliver on its own, then the government will often give incentives in the form of tax breaks, to bring the payback period “within reason”
• The product must meet performance and feature standards, as outlined by consumers
• The product must use widely available technologies that are offered by multiple manufacturers.

Currently, incentives (30% of cost, up to $1,500) are attached to all hybrid water heaters with the Energy Star label, in addition to other models that meet specific energy efficient requirements.  You can check out those requirements on the government web site, as well as download the application for the refund.

Product Reviews
But what are people saying about these new models?  How do we know, especially for those without the Energy Star label, they work as well as the tried-and-true conventional units?  I found only positive reviews when I searched, such as the one quoted below.  The following is the only overall disadvantage he/she found with the GE Hybrid water heater: “It took 3 guys around 3 hours to install (this is new for them as well) and took more work than a regular water heater. The most difficult aspect was the intake and outlet pipe had to be reworked into an "L" shape so that there was room to allow the air filter to be removed. You definitely want to be experienced with soldering pipes etc if you were to do this yourself. Our house is older, so we also needed an electrical line installed to replace the 20A we had in place (included in installation costs).” -trevorc45102 reviewed November 20, 2009

The reviewer commented further that, after tax breaks, there was an $800 difference in cost between the standard tank unit and the hybrid, which was expected to be paid back in energy savings within five years.  The full review can be found here; and if you want to have one installed, here is an San Francisco Plumbing company that will install them.
George Salet Plumbing
www.PlumbingPro.com

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