So how do you determine capacity of a water heater?
You need to find out your household's peak hour demand period which is the time when hot water is most needed. This is considered the more important factor when come to buying a hot water heater. Find out the peak hour demand capacity or referred to as the first hour rating, FHR on the Energy Guide label. FHR is a measure for the amount of hot water it can provide during the peak hour, so it is necessary by the law to appear on the unit's Energy Guide label. So find out your FHR range before you shop for a water heater.
Gas water heaters, having the same storage capacity with electric water heater tend to have a higher FHRs. So it is possible to have a gas unit with a smaller storage tank that meets your water heating needs rather than an electric unit with the same FHR. Features in the more efficient gas water heaters that tends to use different kinds of non conventional arrangements for combustion air intakes and exhaust are usually expensive on the installation cost.
The next factor is the Rating Efficiency
After you have decided the type of water heater, you need to find out which water heater is the most fuel efficient. The Energy Factor or EF is the best indicator to find the water heat's efficiency. This is base on the recovery efficiency meaning that how efficiently the heat from the energy source is transferred to the water. And you have the standby losses, which is the percentage of heat that is lost per hour from the stored water compared to the heat content of the water. And lastly the cycling losses.
A water heater with a high EF will mean a more efficient water heater. Here are some of types of water heaters with their different range of EF.
- Electric resistance water heaters - 0.7 to 0.95
- Gas water heaters - 0.5 to 0.6. Some models have high efficiency around 0.8
- Oil water heaters - 0.7 to 0.85
- Heat pump water heaters - 1.5 to 2.0
You are usually able to locate the water heater's EF rating given by the manufacturers. If you don't locate it then you are to get the EF rating information by contacting the appliance manufacturer association. Tanks with at least about 1.5 inches or 3.8 cm of foam insulation and the energy efficiency ratings shown on the Energy Guide labels are some of the energy efficiency features you should look out for when buying a water heater.
The cost is another important factor that almost all consumers are worrying about. The price that you bought at, the maintenance and the operation expenses are the things that you will to worry about as well. When you are looking at the various models out there, a smart decision is to find out the life cycle cost, the total of all cost and any benefits that comes with when making a purchase on the unit. An expensive water heater will usually comes with longer warranties. And the cheapest water heater is also the most expensive to operate. Buying a little more expensive water heater may save you some trouble and money.

