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Gas vs. electric: Choosing a water heater

by Nancy Seddens

Created on: August 03, 2011   Last Updated: February 16, 2012

The replacing of a water heater does not come along too often but it occurs more often than most would like.  As is the case with a furnace or cook stove, the need to acquire a new water heater brings up some perennial questions: demand/tank less or storage, same size or larger/smaller and gas or electric. Most solicited opinions are biased toward whatever type of energy source the person being asked is using. But what should one consider when trying to choose between purchasing a gas or an electric hot water heater?

The first factor to consider is: What do you already have? Unless you are purchasing a brand new home, your current method of heating water may be a big influence on your future methods of water heating.  Other things to consider are:

• Availability of natural gas

• Electrical capacity of the house – Will new wiring be required?  

• Whether new water heater will be demand – Electric costs less to install and is more efficient but does not produce hot water at as fast a rate.

• Owner’s comfort level with propane or natural gas.

• Energy sources for other appliances – Possible discount if heating or cooking with propane.

• Source of electricity – If the electric company is using natural gas it might be cheaper for you to do the same.

• Size of household – This will influence whether a tank less or storage hot water heater is best which in turn will play into how to heat the water.

With the above information, the following pro and con views of electric and gas water heaters should help finalize the decision making process.

Pro Gas – Propane or natural gas will heat water faster than electricity in a storage tank and will provide you with hot water even during a power outage. With demand water heaters, the higher flow rate will appeal to those who tend to use more than the average amount of hot water or those who find they need a lot at one time.

Con Gas – Unless there was a gas water heater before, the new heater will need to be vented to the outside. To tap into existing natural gas lines may require permits. With propane a line will have to be installed from outside tanks to the water heater. Although propane installation isn’t complicated it will need to be done by the propane company. If the tank has a pilot light then care must be taken to insure that no flammable vapors are present nearby and Carbon Monoxide

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