In the Pacific Northwest, heat pump water heaters are increasingly popular due to their efficiency in moderate climates like ours. As energy efficiency standards evolve, these heaters are projected to become the preferred choice, meeting the Department of Energy’s requirements for electric water heating.
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Let’s start with what a heat pump water heater is. A heat pump water heater is a hybrid electric model that’s particularly well-suited to the PNW’s climate. It uses a compressor and fan to pull warmth from surrounding air and transfer it into the water tank, making it a more energy-efficient option, especially when powered by the clean hydroelectric energy that’s widely available in our region. Heat pumps are already used to heat and cool homes. That is the same technology used to heat your storage water tank. This is using that same technology to heat your water tank.
- Fun Fact: A refrigerator does this same process, but in reverse! Your fridge pulls all the heat from inside the enclosed box and moves it into the surrounding outside air.
Think about it. Creating something new will cost more energy than using something already existing. A heat pump on its own comes with its own limitations, which is why these water heaters still have electric elements to keep up in those high-demand moments.
Cost/Savings Breakdown for Heat Pump Water Heaters
Upfront costs are one of the main challenges, as heat pump water heaters generally cost about $2,300 more than standard electric models. However, many utilities in the PNW, such as PGE and CPU, offer rebates and tax incentives that can significantly reduce initial costs. Currently, homeowners can apply for an instant $700 rebate depending on location, plus a federal tax credit of 30%, bringing the first-year cost difference within reach of a traditional electric water heater. These rebates make it easier to start saving immediately.
Check out our Savings Chart below to see exactly how much you could save year after year. This chart is based on a family of four using PGE.
*These costs do not reflect increasing energy costs. As electricity rates go up, so do the projected savings.
A Note on Recovery Time
In the PNW, where winter temperatures can sometimes dip, homeowners may find that heat pump water heaters rely more on the electric elements and savings are reduced. One way to combat this is by choosing a larger tank size to ensure you have ample hot water on demand. The hybrid heat pump models are only available in 50-gallon models. Larger heat pump models do not have a backup element.
When your teenager hops in the shower and drains all the hot water, the hybrid mode will switch into using the electric element to make sure there is enough hot water for everyone. This mode would still use less energy than a traditional electric water heater as it would only use the electric element when needed.
Heat Pump Water Heater Installation Requirements
Homeowners in the Pacific Northwest often place heat pump water heaters in basements or garages, as these areas generally offer the necessary space (at least 700 cubic feet) and an ambient temperature range of 40°–90°F. However, with high humidity levels common in some parts of the region, it’s also essential to ensure proper moisture control to prevent issues like condensation.
A heat pump water heater functions best when it has at least 700 cubic feet of air in the room. However, other manufacturers has water heaters that can function down to 450 cubic feet. If space is an issue, there are ways to combat this. If your water heater is not ducted, the door to the room the water heater is in can be replaced with a louvered door to allow access to more airflow. If ducts are added to the water heater, no additional ventilation is needed. Rheem hybrid water heaters make it incredibly easy to attach ducting when necessary.
Refer to a manufacturer guide below for more information:
Environmental and Sustainability Benefits
For eco-conscious homeowners in the PNW, heat pump water heaters offer substantial environmental benefits. With clean hydroelectric power as a primary energy source in the region, these heaters operate with a reduced carbon footprint compared to traditional electric models. Additionally, the high efficiency of heat pump technology helps align with regional sustainability goals for reducing greenhouse gas emissions.
Are You Convinced?
Switching to a heat pump water heater is a smart choice for many PNW homeowners who want to save on energy costs, reduce their carbon footprint, and take advantage of local incentives. With its energy-efficient design and suitability for the region’s mild climate, a heat pump water heater is not only a wise investment but also aligns with the PNW’s commitment to sustainability.
Whether you’re upgrading your water heater now or planning for the future, explore available rebates from local utilities and see how a heat pump water heater could benefit your home. Contact us today to learn more about installation options and take the first step toward more energy-efficient, environmentally friendly hot water solutions!
