Hot Water FAQs

A heat pump extracts heat from the surrounding air (like a reverse refrigerator) and uses it to heat water. A fan draws air over an evaporator containing refrigerant. The refrigerant absorbs heat and is compressed to raise its temperature further. This heat transfers to your water via a heat exchanger. For every 1kW of electricity used, 3-4kW of heat energy is produced.

Heat pumps work excellently on the Gold Coast year-round. Our mild winters (rarely below 10°C) are ideal for heat pump operation. Most heat pumps operate efficiently down to -10°C, well below any Gold Coast temperature.

Modern heat pumps are designed for quiet operation, typically 45-55 decibels — similar to a quiet conversation or refrigerator. Premium brands like Stiebel Eltron are even quieter at 40-45dB. Reclaim Energy is the quietest at 37-39dB.

Solar hot water systems still collect heat on cloudy days, though at reduced efficiency. On the Gold Coast, you'll get about 60-70% of normal output on overcast days. All solar systems include an electric or gas booster that automatically activates when solar heating is insufficient.

Storage systems heat water in advance and store it in an insulated tank. You can run out if you use more than stored. Continuous flow heats water instantly as it passes through — you never run out. Storage is simpler and cheaper upfront; continuous flow costs more but saves space and energy.

It depends on your priorities. Electric storage is cheapest upfront but has highest running costs. Gas has lower running costs but requires gas connection. For efficiency and lowest long-term costs, consider heat pump or solar. If you have solar PV, a heat pump can use your free solar electricity.

Both are highly efficient on the Gold Coast. Heat pumps cost less upfront ($2,600-$6,300 vs $4,500-$9,500), are simpler to install (no roof panels), and work day and night. Solar has slightly lower running costs but requires suitable roof space and orientation. Heat pumps earn ~$990 in STC rebates; solar earns ~$1,050-$1,200. For most Gold Coast homes, heat pumps offer the better value proposition.

Yes, this is one of the most cost-effective combinations. Set your heat pump to run during the day when your solar PV is generating, and you're effectively heating water for free. Many heat pumps have timer functions for this purpose. On the Gold Coast, a 5kW solar PV system can easily power a heat pump during daylight hours.

Continuous flow units are rated by litres per minute (L/min) at a 25°C temperature rise. Gold Coast inlet water is 18-24°C, requiring less heating to reach 50°C. For one bathroom: 16-20L/min, two bathrooms: 24-26L/min, three or more bathrooms: 32L/min or multiple units. A plumber should calculate your peak simultaneous demand.

Flat plate collectors are the traditional design — a dark absorber plate under glass. They're durable, lower cost, and perform well on the Gold Coast. Evacuated tube collectors use insulated glass tubes and are more efficient in cooler conditions, but cost more and tubes can be fragile. For Gold Coast's warm climate, flat plate collectors are typically the better value.

The upgrade is straightforward since both use electricity. Your existing water connections are reused, and the electrical circuit usually suffices (most heat pumps draw less than electric storage). The main considerations are positioning the outdoor unit with adequate airflow and ensuring the circuit breaker is compatible. Most changeovers are completed in half a day.

Heat pump hot water systems are significantly quieter than air conditioners. A typical heat pump operates at 45-55dB (quiet conversation level), while a split system air conditioner's outdoor unit runs at 55-65dB. Heat pumps also run for shorter periods — typically 4-8 hours per day rather than continuously. Reclaim Energy's CO2 units are the quietest at 37-39dB.

Integrated (all-in-one) heat pumps have the compressor mounted on top of the tank — simpler installation but the unit is taller and heavier. Split system heat pumps separate the compressor (outdoor) from the tank (can be indoor or outdoor), allowing flexible placement and quieter operation near the tank. Reclaim Energy uses a split design; iStore and Sanden are integrated.

Gas continuous flow is generally superior: it never runs out of hot water, lasts longer (15-20+ years vs 10-15 years for storage), wastes no energy on standby heating, and takes up less space. Gas storage is cheaper upfront and simpler to install. If replacing an old gas storage unit and budget allows, continuous flow is the better long-term investment.

LPG (bottled gas) costs roughly 2-3 times more than natural gas per unit of energy. A household spending $400/year on natural gas hot water would pay $800-$1,200 on LPG. If you're on LPG, switching to a heat pump often makes financial sense — the electricity cost is similar to natural gas and far cheaper than LPG, plus you earn STC rebates.

Currently, the main rebate is the federal STC rebate. Heat pumps earn approximately 25 STCs worth ~$998 (at $39.90 per STC), and solar systems earn 28-30 STCs worth $1,050-$1,200. The Queensland Climate Smart program closed in January 2024. Businesses can access the QBEST rebate of $1,000-$12,500.

Heat pump typically 3-5 years (after rebates), Solar 4-6 years. Over 10-15 years, heat pumps and solar save $4,000-$8,000 compared to electric storage.

Tariff 31 (also called Tariff 33 or Economy Tariff) is an Energex off-peak electricity rate specifically for hot water systems. It costs approximately 14.5¢/kWh compared to the general tariff of 28-35¢/kWh — a saving of up to 50%. A separate meter and circuit are required. Most electric storage and some heat pump systems can be connected to Tariff 31.

Compared to electric storage on general tariff: Electric on Tariff 31 pays back in 1-2 years, Gas continuous flow in 2-3 years, Heat pump in 3-5 years (after ~$998 STC rebate), Solar in 4-6 years (after ~$1,050-$1,200 STC rebate). These estimates assume Gold Coast electricity at 28-35¢/kWh and natural gas at current rates.

Approximate annual running costs for a 4-person Gold Coast household: Electric storage (general tariff) $650-$900, Electric storage (Tariff 31) $350-$500, Gas storage $500-$700, Gas continuous flow $400-$600, Heat pump $150-$300, Solar with electric boost $100-$250. Actual costs depend on usage patterns and energy prices.

The STC (Small-scale Technology Certificate) deeming period determines how many certificates an eligible system earns. It's calculated from installation date to the end of 2030. Each year that passes reduces the number of STCs available, meaning rebates decrease annually. Installing a heat pump or solar system sooner earns more STCs and a larger rebate.

The Queensland Business Energy Saving and Transformation (QBEST) program provides rebates of $1,000-$12,500 for eligible businesses upgrading to energy-efficient equipment, including hot water systems. Businesses replacing old electric or gas systems with heat pumps can apply. Eligibility is based on business size and the energy savings achieved.

Total cost of ownership includes purchase price, installation, energy running costs, maintenance, and eventual replacement. Over 15 years, a Gold Coast household might spend: Electric storage $13,000-$18,000, Gas continuous flow $10,000-$14,000, Heat pump $7,000-$11,000, Solar $8,000-$13,000. Heat pumps and solar have higher upfront costs but lowest total ownership costs.

Yes, we offer interest-free payment plans to help spread the cost of a new system. This makes efficient systems like heat pumps more accessible — the monthly energy savings often offset or exceed the repayment amount, meaning the upgrade can be cash-flow positive from day one. Ask us about current plan options.

Hot water accounts for roughly 25% of a typical household's energy bill. Switching from electric storage to a heat pump can reduce hot water energy use by 65-75%, saving $400-$650 per year. Pairing a heat pump with solar PV can reduce hot water running costs to near zero. Even switching to Tariff 31 without changing the system saves up to 50%.

By timing your heat pump to run during solar PV generation (typically 9am-3pm), you can heat water using free solar electricity. A heat pump uses approximately 500-900kWh per year. At 30¢/kWh, that's $150-$270 in annual running costs reduced to effectively $0 when powered by solar PV. Most heat pumps have built-in timers or can be connected to a solar relay.

STCs are calculated based on the energy the system will displace between the installation date and the end of the deeming period (2030). Each year that passes means fewer years of deemed energy savings, resulting in fewer certificates. For example, a heat pump installed in 2026 earns about 25 STCs (~$998), but installing in 2027 would earn fewer. This is why upgrading sooner maximises your rebate.

Gold Coast's subtropical climate provides significant advantages. Mean annual temperature of 20.4°C and temperatures rarely below 10°C mean heat pumps achieve COP ratings of 3.5-4.5 year-round. 300+ sunshine days make solar exceptionally effective. Warm inlet water (18-24°C) improves continuous flow performance.

Canal homes often have no natural gas — heat pump is excellent (no gas needed, corrosion-resistant). If choosing gas, LPG models with marine-grade finish are recommended. Avoid LPG if possible due to high running costs.

Natural gas is provided by Allgas network. Most established suburbs have coverage including Southport, Surfers Paradise, Broadbeach, Bundall, Ashmore, Nerang, Robina, Varsity Lakes, Burleigh, Palm Beach, Currumbin. Some canal estates, newer developments, and hinterland require LPG.

Heat pumps perform well across the entire Gold Coast. Coastal suburbs like Burleigh Heads, Palm Beach, and Coolangatta benefit from consistent ambient temperatures moderated by the ocean. Hinterland suburbs like Mudgeeraba and Springbrook may see slightly cooler winter nights, but performance remains excellent. Heat pumps are the top recommendation for canal estates without natural gas.

Gold Coast water is sourced from Hinze Dam and Nerang River, treated by Seqwater. It's relatively soft compared to many Australian cities, which is favourable for hot water systems as it causes less scale buildup and corrosion. However, some areas closer to the coast may have slightly higher mineral content. Annual maintenance and timely anode replacement are still recommended.

Gold Coast is in a cyclone-risk zone, so roof-mounted solar collectors should be installed with cyclone-rated brackets compliant with AS/NZS 1170.2 for Wind Region B. Ground-level systems (heat pumps, gas, electric storage) are inherently more protected. If you're in a high-exposure coastal area, a heat pump avoids the roof-mounted risk entirely while still providing efficient performance.

For rental properties, consider reliability, low maintenance, and tenant satisfaction. Electric storage on Tariff 31 is the lowest upfront cost. However, heat pumps are increasingly popular for rentals — lower tenant energy bills reduce complaints, STC rebates offset the higher purchase price, and the system lasts longer. Gas continuous flow is also excellent for rentals with gas connections.

New homes in Queensland must meet minimum energy efficiency standards under the National Construction Code (NCC). This effectively requires a system more efficient than standard electric storage — typically a heat pump, solar, or gas system. Many Gold Coast builders now default to heat pumps to meet 7-star energy ratings. Check with your builder or certifier for specific requirements.

The Gold Coast and Brisbane have similar subtropical climates, but the Gold Coast averages slightly more sunshine hours and milder winters due to coastal moderation. Both are in STC Zone 3, earning the same rebates. Heat pump and solar performance is comparable in both cities, though Gold Coast's marginally warmer inlet water temperatures (18-24°C) give a very slight edge.

Hot water installations on the Gold Coast must comply with the Plumbing and Drainage Act 2018 (Qld) and Australian Standards. Most like-for-like replacements don't require council approval. However, solar collector roof installations may need building approval if they alter the roofline, and systems in heritage overlay areas may have additional requirements. All work must be done by a QBCC-licensed plumber.