Hot Water Heater: Hidden Energy Costs & How to Save

by Michael Brown - Business Editor
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As winter temperatures descend, households across the contry are bracing for higher energy bills, with heating systems accounting for the largest portion of consumption. While attention often turns to major appliances,a significant – and often overlooked – contributor to rising costs is the humble water heater. New data indicates water heating can account for nearly as much energy use as radiators, costing homeowners hundreds of dollars annually, and simple adjustments can help mitigate these expenses.

As colder weather arrives and heating systems kick into high gear, household energy bills are climbing. Heating remains the single largest driver of electricity consumption, with electrically heated homes averaging 4,312 kWh annually – translating to roughly $733 on the yearly bill, according to data from ADEME. This contrasts sharply with apartments, which average 1,719 kWh and $292.

While many homeowners immediately focus on appliances like ovens, dryers, and refrigerators when seeking to understand their energy costs, another device quietly operates around the clock, with its energy demands surging during colder months. This often-overlooked appliance is the water heater.

Water Heating: A Significant Energy Consumer

Data compiled by Expertise Energie reveals that both radiators and water heaters each account for an average of 1,000 kWh of annual energy use, exceeding the consumption of many other household appliances. ADEME, as cited by L’Internaute, goes further, stating that a 200-liter water heater alone consumes 1,676 kWh per year, costing approximately $285.

To illustrate the difference in energy usage, L’Internaute provides the following annual averages for other common household appliances:

  • refrigerator-freezer combination: 346 kWh, or about $59;
  • electric oven: 146 kWh, or $23;
  • television (7 hours daily use): 187 kWh, or nearly $32.

Why Water Heater Consumption Increases in Winter

As temperatures drop, the incoming water supply to the water heater is colder. Consequently, the appliance must work longer to heat the water to a target temperature of 50 or 55°C, leading to increased electricity consumption. Water heaters located in uninsulated spaces like garages or basements also lose more heat to the surrounding environment, requiring additional energy to maintain the desired water temperature.

ADEME, according to L’Internaute, estimates that approximately one-third of the energy used to heat water can be lost due to excessively high thermostat settings or heat loss. Increased shower lengths and more frequent baths during the winter months further strain the water heater, adding to its impact on household energy bills.

Simple Adjustments to Reduce Water Heater Costs

Fortunately, several straightforward steps can help limit water heater energy consumption. ADEME recommends setting the water heater thermostat between 50 and 55°C instead of 60°C, and insulating the tank with a jacket, which can save around $21 annually. Installing flow restrictors on faucets is also advised, potentially saving approximately $40 per year. Shorter showers are a practical alternative to baths. Running large appliances during off-peak hours, as suggested by Expertise Energie for washing machines and dishwashers, can also lower costs when the water heater is connected to a time-of-use meter.

To effectively monitor the impact of these changes, precise energy consumption tracking is beneficial. Expertise Energie points out that a Linky smart meter, paired with a dedicated app or a circuit breaker sensor, allows users to visualize electricity usage by individual appliance. Alternatively, a consumption monitor connected to the water heater line, or a simple calculation – multiplying the heater’s wattage by its operating time and dividing by 1,000 – can provide an estimated kWh reading.

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