Heat pumps are most often thought of as heating and cooling systems, but they can also be used to heat water — either as stand-alone water heating systems, or as combination water heating and space conditioning systems. Heat pump water heaters typically have a higher initial purchase price than conventional units, but with their lower operating costs, they can start paying for themselves quickly. When compared to conventional electric resistance water heaters, heat pump water heaters can save households almost $300 each year in electric bills.
How they work
Heat pumps work like a refrigerator in reverse. While a refrigerator pulls heat from inside the box and into the surrounding room, a heat pump water heater takes heat from the surrounding air and dumps it (at a higher temperature) into a tank to heat water.
You can purchase a stand-alone unit or install a system that combines heating, cooling and water heating. These combination systems pull their heat indoors from the outdoor air in the winter and from the indoor air in the summer. Because they remove heat from the air, any type of air-source heat pump system works more efficiently in a warm climate. Learn more about heat pump water heaters from the U.S. Department of Energy.
Is a heat pump water heater right for you?
Because heat pump water heaters move heat rather than generating it, they can reach up to 330 - 410% efficiency, according to ENERGY STAR®. By comparison, traditional water heaters achieve between 63 - 95% efficiency.
It's important to remember that higher energy efficiency does not always mean lower operating costs. When looking at heat pump water heaters, consider the size of the unit, your household’s water heating needs and energy prices.
If you choose to install a heat pump water heater, consider an an ENERGY STAR®-certified unit, which are more efficient than standard units. Incentives exist that may help you with your purchase of this device.
Duquesne Light Company offers a $300 rebate for eligible customers for each ENERGY STAR® heat pump water heater. In addition, some households may qualify for a federal tax credit under the Inflation Reduction Act (IRA), which covers up to 30% of the cost of an ENERGY STAR-certified heat pump water heater (up to $2,000).
To learn more about heat pump water heaters and other energy-saving devices and what incentives may be available to you, visit Duquesne Light Company's IRA website.
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