Electric Hot Water vs Heat Pump: What’s Right for Your Home?

When it comes to choosing a hot water system, many Queensland homeowners find themselves weighing up two popular options: electric hot water systems and heat pump hot water systems. Each has its advantages—and at Bar Plumbing, we’re here to help you make an informed decision that suits your lifestyle, your budget, and your energy goals.

We supply and install Rheem hot water systems across the Sunshine Coast and provide expert servicing and repairs for all types of systems. Let’s take a closer look at how electric and heat pump systems compare.

What is an Electric Hot Water System?

An electric hot water system works by using an electric element to heat the water stored in a tank. Think of it like a giant electric kettle—simple, effective, and familiar to many Aussie homes.

Why choose electric?

Affordable upfront cost: Electric systems are often cheaper to purchase and install.
Compact design: Great for smaller homes or limited space.
Proven technology: Straightforward operation with easy access to parts and servicing.

Things to consider:

While electric systems are reliable, they do use more electricity, especially if they’re not connected to an off-peak tariff. That means higher power bills and a larger environmental footprint compared to more energy-efficient options.

Rheem’s electric hot water units are built to last and come in a range of sizes, making them ideal for everything from apartments to family homes.

What is a Heat Pump Hot Water System?

A heat pump hot water system works differently. Rather than generating heat directly, it draws warmth from the air and uses it to heat the water in your tank. It’s like a fridge in reverse—and it’s one of the most energy-efficient ways to heat water.

Why choose a heat pump?

Lower running costs: Uses up to 65–70% less electricity than a conventional electric system.
Eco-friendly: Great for reducing your household’s carbon emissions.
Eligible for rebates: Many heat pump systems qualify for government incentives, which can offset the initial cost.

Things to consider:

Higher upfront investment: Heat pumps typically cost more to install than standard electric systems.
Outdoor space required: These units need ventilation and work best in mild climates (which makes them perfect for Southeast Queensland).
Noise factor: Heat pumps do produce a low hum while operating, similar to an air conditioner.

At Bar Plumbing, we install Rheem Ambiheat heat pump systems, which are specially designed for Australian conditions and perform well even in cooler climates.

Electric Hot Water vs Heat Pump Comparison

Which Hot Water System Should You Choose?

If you’re after a simple, affordable hot water upgrade, a Rheem electric system is a solid choice. But if you’re looking for long-term energy savings and a more sustainable solution, a Rheem heat pump may be the better option—especially with rising electricity costs and growing interest in reducing household carbon footprints.

Still unsure? That’s where we come in.

Why Bar Plumbing?

We’re a local, family-run business backed by over 25 years of combined experience. At Bar Plumbing, we:

Supply and install only Rheem hot water systems
Offer full servicing and repairs for all brands and models
Provide honest advice and tailored solutions for your home
Cover Brisbane, the Sunshine Coast, and surrounding areas

Whether you’re replacing an old system or installing one for a new build, we’ll help you choose the best option for your home and budget.

Need a Hand Deciding?

At Bar Plumbing, we’re passionate about helping homeowners make smart, energy-conscious decisions. Whether you need a new Rheem system, a repair, or just some guidance, we’re here with honest advice and expert service.

📞 Call 1300 38 1980 or visit barplumbing.com.au