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Tankless? The cost of saving $1 - $8 a month

Before buying a tankless:
1 Ask questions
2. Read warranty instead of promo literature
3. Look at parts sheet and ask how expensive future problems will be
4. You need a softener & filter: sediment and lime will adversely affect tankless
5. Check water pressure in house > low pressure will cause tankless to stop heating
6. Check future water conservation plans > tankless heaters require high water flow
7. The promise of unlimited hot water is not consistent with energy savings
8. Add up BTUs of your gas appliances to see if gas meter is large enough
9. Read researched information below
Bobby Dollar Bobby Dollar says, that's a long boring list of facts, but I need to know
Promoters are wild about tankless. They claim 20 year life-span with 58% energy savings.
What is the truth? Reduce consumption and you save money no matter what type water heater is used.

> Whole-house tankless gas saves $1 - $8 a month if consumption is reduced > minus hidden costs listed below
> Whole-house tankless electric does NOT save money or energy. It costs more, since electricity cannot heat water as fast as gas.

Read Bradford White side-by-side test results for average 4-person family.
Hidden costs:

> Hot water takes just as long to reach faucet > tankless is not 'instant' unless located under sink or next to bathroom
> Tankless warranty does not match 20-year claims made by promoters > check warranty papers, since repairs can leave you without hot water until parts arrive

> Savings does not match promoter claims > exception: household with reduced consumption, and with bath/kitchen located near tankless unit will realize more savings than home with multiple tankless units blazing each time a bath is run.

> Promise of unlimited hot water is not consistent with claims of energy savings. Tankless consume more energy to heat a gallon of water than storage-type heater. Proof: Notice that tankless-gas require larger gas line and larger exhaust. And tankless-electric require 90-120 Amps.

> Tankless are prone to lime build-up in heat exchanger. Softener and filter required, adding long term expense.
> Hard water reduces tankless efficiency within 2 years. De-liming each 9 months can help, but pressure regulators clog causing failure to heat. Constant maintenance eliminates savings.

>With correct water softener, Tankless maintain 79% efficiency. In comparison, electric storage heaters operate at 99% efficiency with hard water or soft water, and can be maintained by homeowner without expense of softener or technician. Read pdf

> Tankless units are not made in your town. They are high tech gadgets requiring precision engineering. Heat exchanger is special metal alloy and expensive to replace, especially if improper installation causes dripping condensation that corrodes exchanger.

> No hot water during power loss > no power to electronics, no hot water. Both gas and electric tankless units require 120V for electronics inside unit. By comparison, storage tanks hold heated water for hours. 
> Minimum 1/2 to 3/4 gallon water flow before tankless turns on. Tankless start heating when water begins to move through pipe. Faucet located far away might not activate heater immediately. Consumer might wait longer for hot water to arrive. Hot water may not arrive. Ask questions.

> Water flow requirements for tankless are not consistent with water conservation

> Low water pressure causes tankless computer to shut down burner. Homes with water wells & homes in MUD & PUD districts with low water pressure are not suitable for tankless. Check your pressure for a full day. Check the tankless spec sheet. Additional in-line pressure tank required. Turning up well pressure shortens life of well parts and uses more water.
> Hot water circulation pumps will not activate tankless. Tankless require 1/2-3/4 gallon per minute water flow. Read spec sheet on tankless and on circulation pump. Larger circulation pump likely needed > not consistent with energy savings.

> Tankless problems are difficult to diagnose. No hot water during delay. Tankless are complex and problems vary from brand to brand. Keep manufacturer website and trouble page in your records.

> Homeowner dependent on professional service. Repairs are not done by low-cost handyman.
> Parts are not interchangeable between tankless brands. Parts not available at home center. Parts may not be available on weekend. If tankless unit lasts 20 years as claimed, who will carry parts in year 15? Ask questions.

> Homeowner cannot install tankless.  Each brand has installation protocol that must be followed for warranty to take effect. Warranty is void unless installed by person trained by manufacturer. Homeowner installed tankless needs repair.
> Before buying tankless, add up total BTU of existing gas appliances and heating, and then add BTUs for tankless. Check that gas meter is large enough to supply needed gas. Undersized gas line or gas meter will cause tankless and other gas appliances to malfunction.

> Oversized units are usually installed to meet home demand. Oversizing eliminates all savings. Ask questions.
> Incoming cold water during winter might not heat without oversized unit or additional staging tank. See staging tank

> Gas: Converting to tankless-gas is 3x more expensive. Larger gas line is required. Larger vent. Need for more combustion air. Read installation spec sheet & ask questions.
> Electric: Converting to tankless-electric requires additional 90-120 Amps. Check your main breaker to see total amps of your service. New breaker panel and service may be necessary. Read tankless spec sheet & ask questions.

> Tankless use more energy per minute than storage-type heaters. The promise of unlimited hot water is not consistent with promise of energy savings.
> Tankless units have internal heater to keep unit from freezing in winter, which adds standby cost similar to storage-type heaters. Check spec sheet.

> All gas burning appliances send heat up vent stack. This is wasted energy. A heat exchanger can recapture some vented heat. However if tankless vent is slowed by heat exchanger, combustion will slow, causing computer to turn off unit. In comparison, new high-efficiency gas storage heaters recapture large percentage of vented heat. Compare innovations and ask questions. Read about water heating innovations.

> All gas burning appliances draw air from outside. Tankless burn more fuel per minute and require more air. Unit located in house might require incoming vent pipe, or drafty location like garage. Drafty locations have colder incoming water in winter. Tankless may not heat water in winter. See staging tank
> Tankless cannot store heat gathered from other sources. In comparison, storage-type heaters can store heat gathered from heat-pump-exchanger, solar-heating, geothermal, drain water recovery & wood stove.

> Future planning: Ordinary storage-type heaters can be adapted many ways to meet future needs: For example: low flow water systems that conserve water, integration with solar heaters, integration with heat-exchangers. Tankless can only use hydrocarbon fuel with high water flow.

> Recapturing CO2 from gas appliances at each home is not very likely > converting to innovative electric water heat is likely the future, since CO2 from electric generation can be centrally recaptured at power plant
> Your storage tank works fine. It is easy to fix and replace. It is cheaper over the long term. There are many ways to reduce energy costs and save with storage-type heaters including insulation, off-peak thermostats, and timers. Read

Sources: see links at bottom of page
Homeowner can troubleshoot and fix regular water heater problems the same day <> no waiting
Tankless heaters are high tech gadgets that don't live up to hype
water heater parts
Read more
Bradford White water heater manufacturer: side-by-side test results
Consumer Reports on tankless
Common problems with tankless

Undersized gas meter causes problems
Tankless turns-on after toilet is flushed
Difficult to diagnose noise in tankless
1-year-old tankless is blowing breaker

Government site for energy efficiency
'Department of Energy DOE energy efficiency requirements'
Read pdf Battelle study
Brady BGT 100                   
Check water pressure in house > low pressure will cause tankless to stop heating
Ask questions
Read the warranty instead of the promo literature
Look at the parts sheet and ask how expensive future problems will be
Check long-range water conservation plans > tankless require high water flow
Water problems with sediment and lime will adversely affect hi-tech tankless
Unlimited hot water is not consistent with energy savings or water conservation
Pro and con tankless Dual GAS tankless shown here is not about saving energy or money.

It is about delivering large volume of hot water. Evidence is 1-1/4" incoming cold water pipe and 1" hot water to house. Fire alarm and sprinkler are likely from local building code.

Notice large 1" black-pipe gas line and 3/4" gas line running nearly to heaters. Tankless units use large volumes of energy to heat water as it flows past in a pipe.

Notice large vent pipes on top of tankless. Once hot gas leaves tankless, heat is lost up the vent. Regular gas water heaters have spiral heat-exchanger inside tank see that recaptures some heat before it exits tank
compare tankless

Here is a parallel installation of tankless electric

System achieves 9 gallon per minute hot water flow.

Objective of this installation is so 2 people can shower/bath at same time while someone else washes hands.

Notice 3 heavy electric lines. This system requires 120 Amps under full demand. Today's service panels are 100 or 200 Amp (look at your main breaker for total panel amperage). Unless service panel is upgraded, full 120A demand will be too large a load. Other electrical devices will not work right.

This level of consumption does not help ordinary consumers whose bill is driven-up by high demand. Tankless heaters use large amounts of electricity to heat water as it flows past in pipe. Transfer of electric energy into heat energy is less efficient than gas.

Unless consumption is reduced, this system is energy wasteful and more costly to consumer than regular tank.
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