Electric vs Gas Tankless Water Heaters Electric vs Gas Tankless Water Heaters

Tankless water heaters, also known as demand water heaters, have gained popularity for their energy savings ability. This kind of heater owes its efficiency to the fact that is doesn't heats water just to hold it in a tank. In fact it has no tank. Instead it heats water directly from the pipes as it is used. Demand water heaters may be fueled by either electricity or gas. Each type has its advantages and disadvantages.

Electric Tankless Water Heater Advantages

The initial purchase cost is significantly less than for the gas range. This makes it easier to acquire one. The unit is small and doesn’t take up much space. You can install one just about anywhere, whether in the kitchen, shower or laundry room. This makes the electric type convenient in confined spaces. Installation of the electric unit isn’t as costly as that of the gas unit. It is also easier and faster to install the electric type. They do not require a ventilation system like the gas units. It contributes to lower costs for the electric range. Electric heaters have a higher efficiency rate than the gas models. They also have a longer life than their gas counterparts. They have lower maintenance needs and less wear and tear. You only need to clean the inlet screen filter occasionally. In the event of problems, it is easier to troubleshoot and repair electric heaters. This is due to the simplicity of design. The units also do not produce greenhouse gases which makes them an environmentally friendly choice.


Installation may necessitate an additional circuit in the breaker box. Installation of one unit only provides a limited flow of hot water. If you have high user requirements, you’ll need to install multiple units. This adds to your overall costs. The heaters utilize more fuel to operate. This contributes to higher electricity bills in the long run.

Gas Tankless Water Heater Advantages

Operational costs for the gas heater are generally 10 to 15 percent lower than the electric type. This is partly because natural gas costs less than electricity. Gas units give you higher output of hot water than the electric type. This is convenient especially if yours is a large household.


Initial purchase cost is higher than for the electric type. Gas tankless heaters are large, almost thrice the size of electric heaters. This contributes to difficulty in installation. They also require adequate space to be installed. Installation is complex and involves a lot of time. Combustion air supply and venting must be addressed. You need to install additional gas lines to accommodate the unit. These add to overall costs. Although gas costs less than electricity, prices may fluctuate dramatically. In some areas, gas costs are generally high due to the limited availability. However, electricity prices are fairly stable all round. They also don’t increase as sharply. On the whole, they remain fairly stable or have a much slower price increase. Gas demand heaters are high maintenance. You need to have the unit inspected annually by a certified technician to ensure safety and performance. Finally, gas water heaters may not be ideal if you have green concerns. This is because they contribute to greenhouse gas emissions.

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