An efficient look at the different types of water heaters

Water heaters come in a variety of shapes and sizes. So which one will help you save on your energy bills this winter?

Winter is around the corner and nothing takes away the chill quite like a warm bath. However, heating water can account for up to a quarter of your energy usage at home. So while it's important to choose the right energy plan for your new house, it's also a good idea to know about different types of hot water systems and whether there's a better one for you.

Solar Hot Water Systems: Electricity versus Gas

A traditional hot water system is either powered by electricity or natural gas. Gas is a much more efficient fuel for heating water, and many states are phasing out electrical systems to save money for consumers and cut greenhouse gas emissions.

The first way to save on your water heating bills is to change from an old electrical system to an energy-efficient water heater – either gas or solar.

Not all houses have gas piped in though and the savings aren't as big with liquefied natural gas (LNG) bottles. In this case, it's possible to install solar panels to heat your water, with an electric or LNG booster that takes over on cloudy days.

Both gas and electric water heaters come in storage or instantaneous models. A gas and electric storage water heater keeps hot water in a storage tank and tops it up as it gets used, whereas gas and electric instantaneous water heaters only heat water when you turn on the hot tap.