 |
| Use this step-by-step guide to choose a propane gas
water heater that meets your hot water needs and saves you money too! This
guide will show you how to compare energy guide labels and make the right decision.
|
 |
Determine What Size Water Heater Meets Your Needs |
| Understanding First Hour Rating |
| Most people incorrectly assume that comparing water heaters of identical tank
capacity is an equitable way of determining which unit will cost less to operate. The
truth is that units of identical size but different energy type, efficiency, make and
model, have significantly different water heating capabilities.
 A more accurate way of
comparing water heaters is by their "First Hour Rating." The first hour rating,
which can be found on the energy guide label, tells you how many gallons of hot water a
heater can produce in one hour. The Federal Trade Commission (FTC) considers this to be
the best way to determine which size water heater is most suitable for a household's
needs.
To determine which rating will meet your needs, you'll first need to determine
your "peak hour demand." This is the number of gallons of hot water your family
consumes in the hour of highest water usage. Calculate your peak hour demand using the
sample chart below as an example; |
| Peak Hour Demand |
| Use |
Avg. Gals
Hot Water per Usage* |
|
Times Used
During Peak Hour |
|
Gallons
in One Hour |
| Shower |
20 |
X |
___2__ |
= |
__40__ |
| Bath |
20 |
X |
______ |
= |
______ |
| Shaving |
2 |
X |
___1__ |
= |
___2__ |
| Hands & Face Washing |
4 |
X |
___1__ |
= |
___4__ |
| Hair Shampoo |
4 |
X |
______ |
= |
______ |
| Hand Dishwashing |
4 |
X |
___1__ |
= |
___4__ |
| Automatic Dishwashing |
14 |
X |
______ |
= |
______ |
| Food Preparation |
5 |
X |
___1__ |
= |
___5__ |
| Automatic Clothes Washer |
32 |
X |
______ |
= |
______ |
| TOTAL (peak hour demand) |
55 |
| * Information provided by the Gas Appliance Manufacturers
Association consumer directory. |
|
| Make The First Hour Rating Comparison |
Once you've determined your peak hour demand, locate two water heaters, one
electric and one propane, with first hour ratings that meet or exceed your figure. A
smaller propane-fueled unit will outperform a larger electric model because it will have a
higher recover rate, which means it will produce hot water faster.
 |
Actual energy guide labels, shown at left, reveal that the propane
unit achieved a higher first hour rating than the electric unit because of its recovery
rate efficiency... even with a smaller capacity! (52 gallon electric vs. 40 gallon
propane.) |
|
  |
|
Compare Operating Costs Based On Local Energy Rates |
| Let's assume your local rates are different than the national average and that
neither rate is shown on the energy guide labels you're comparing. Some quick
calculations, shown below can help you find your actual yearly costs. |
|
|
Cost
Comparison |
| Electric |
Propane |
| Divide your local rate* |
|
______kwh |
Divide your local rate* |
|
______gal. |
| by the next lowest rate shown |
÷ |
______ |
by the next lowest rate shown |
÷ |
______ |
| to get a "multiplier" |
|
______ |
to get a "multiplier" |
|
______ |
| |
| Multiply that figure |
|
______ |
Multiply that figure |
|
______ |
| by the yearly cost of that lower rate |
X |
______ |
by the yearly cost of that lower rate |
X |
______ |
| to get your actual annual electricity cost |
|
______ |
to get your actual annual propane cost |
|
______ |
| *To determine your local electric rate, divide your total
bill by the number of kilowatt hours used. |
|
Propane Saves Hundreds of Dollars
Annually!
|
|
Calculate the Payback and Life Cycle Savings |
| Calculating Payback |
 In some instances, the cost of installation for a propane water heater
can be slightly higher than that of an electric unit. However, with a few more simple
calculations, you can easily see an early "payback" on the higher cost.We'll
make some assumptions as to the purchase and installation costs of either type unit. Let's
assume the final cost of installing an electric unit was $175, and the installed cost of a
propane unit was $300 (Country Gas can give
you more accurate figures on purchase and installation costs for your
area.)
Additionally, we'll also need to compare annual operating costs. We'll be using
the annual cost figures from the energy guide labels shown in Step 2...
you can easily plug in your own numbers from the calculations you performed in that step. |
A |
Subtract the lower installed
cost from the higher |
Propane |
$300 |
| Electric |
- $175 |
$125 |
|
B |
Subtract the lower annual
operating cost from the higher |
Electric |
$416 |
| Propane |
- $242 |
$174 |
|
C |
Divide A by B |
125 ÷ 174 = .72 |
|
| The answer, in this case .72, is the percentage of the years it will take to
break even. If you want to see the percentage of years in actual months, simply multiply
the percentage by 12 months... .72 x 12 = 8.6. It will take just over 8 months
before the initial higher investment in a propane gas water heater has already paid for
itself! See how soon the
initial investment in propane pays for itself! |
| Calculating Life Cycle Savings |
| Based on the U.S. Department of Energy's estimates o the average life of a
water heater (11 years), you can easily calculate the "life cycle
savings" of your propane water heater. |
Multiply the annual operating
cost savings (B) |
|
$174 |
times the average life
expectancy (11 years) |
X |
11 |
$1,914 |
subtract the difference in the
installment cost (A) |
- |
$125 |
$1,789 |
|
Look how much you can save over the
life of your propane gas water heater! |
| |
