A new U.S. Department of Energy (DOE) rule took effect April 2015, impacting the type of water heaters available across the country. The rule, which was an update to the National Appliance Energy Conservation Act (NAECA) standards, effectively bans production of certain types of water heaters that DOE “considers” inefficient. This rule has the greatest effect on residential electric large capacity water heaters bigger than 55 gallons. So what does this mean if a consumer is looking to purchase or replace a large electric water heater?
CURRENTLY AVAILABLE OPTIONS: If you need to install or replace a large capacity electric water heater.
• Hybrid Electric Heat Pump Water Heaters – Uses less electricity than traditional electric resistance water heaters, but has additional space and plumbing requirements, and are more expensive to purchase and install. Available in 50 to 80 gallon sizes.
• Heavy Duty / Commercial Water Heaters – These water heaters can be a good option where there is heavy hot water use or when participating in co-op supported load control programs. Similar to traditional tanks but more durable. Available in 85 gallon and larger at your local electric co-op and some other suppliers.
• Smaller Water Heaters – Using two 40 to 55 gallon water heaters interconnected or installing water heaters in multiple areas of a home is another option to provide a large amount of hot water. However, using only one small tank less than 50 gallons may not be adequate and will not qualify for most load control rebates or incentives.
• Grid-Enabled Water Heaters – A new water heating product called “grid-enabled water heater” was established in 2015 by Congress to help minimize the effect of the DOE rule. These large capacity electric water heaters, 75 gallon and up, are specifically made for use in electric utility load control programs. The market for these water heaters is still developing and more products are expected to be available in late 2017.
COSTS AND SIZE NEW UNITS: While the new rule did increase efficiency somewhat, it came with the cost of limited options, higher prices and replacement products that are wider and taller than previously available models.
Natural Gas, Oil, and Tankless Gas Water Heaters: Though this document focuses on electric water heaters, natural gas and other water heaters were similarly affected. Almost all residential water heaters manufactured in the U.S. are affected by the new DOE rule.
Check with your local electric cooperative to learn more about these options as well as rebates or incentives.
Lowcountry Home Magazine
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