Water Heaters: 5 Tips for Saving Energy

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Published: November 05, 2010
By: Joe Bousquin
3Comments
5 People Did It

Your hot water heater eats energy: We want to reduce its appetite. Here are inexpensive things you can do to increase efficiency and cut energy bills.

Effort: Low 1 day
Investment: Low $30 insulating blanket

In the saving energy fight, your hot water heater is a born loser. That’s because most U.S. houses sport a conventional storage-type water heater. That 50-gallon tank in the basement wants to keep water hot and ready whenever you want it. But as the water sits, it naturally cools down, a process known as “standby heat loss.” When the water cools, the burner or heating element kicks on to warm it up again, in a constantly repeating cycle.

According to the Department of Energy, water heating accounts for 14% to 25% of your household’s total energy costs—more than $300 per year. Trim those hot water costs with these 5 smart tips for saving energy.

Saving Energy Tip #1: Wrap your heater in a blanket

Your water heater needs a blanket in the winter to stay warm, especially if it lives in an unheated space. A fiberglass insulating blanket can cut heat loss by 25% to 40% and save 4% to 9% on the average water-heating bill of $308, says the American Council for an Energy Efficient Economy (ACEEE).

Insulating blankets are easy to install and inexpensive ($30). When dressing your tank for saving energy, be careful not to block the thermostat on an electric water heater or the air inlet and exhaust on a gas unit.

Many newer units already contain insulating foam, making a blanket unnecessary and even hazardous; it can block critical components. Check with your manufacturer.

Next: Saving Energy Tip #2: Install low-flow fixtures

Joe Bousquin

‘s work has appeared in the Wall Street Journal, Kiplinger’s Personal Finance, and Men’s Journal. He owns a 79-year-old home in Sacramento, Calif.

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Setting a water heater at 140 degs F is a bad idea. It only takes 4~6 secs of skin contact of 140 deg F water to lead to scalding and 2nd/3rd degree burns. I always recommend 120 degs F to my clients.
Posted by Matthew on November 27, 2012

A gas water heater timer also helps save energy, money and extends the life of your water heater. see www.gaswaterheatertimer.com for more info.
Posted by Jeff on May 28, 2012

I have had good experience with all of these steps except "Draining the Sediment". I always have had to buy a new hot water heater after performing.
Posted by JR on November 17, 2010

They’re lush, green, and all-American. They’re also water-hogging, time-sucking nuisances. In fact, some are saying ‘no’ to turf. Should we get rid of our lawns?

What are lawn alternatives?

Turf grasses

Ground cover

Fake grass

And, yes, lawn paint!