Heat-pump hot water systems operate through a refrigeration process that extracts heat from the surrounding air. This heat is then transferred through a heat exchanger to warm water stored in an insulated tank. In comparison to traditional electric hot water systems, these units typically consume about 60 to 75% less electricity. The efficiency is achieved by using electricity to power the heat pump, rather than directly heating the water through an element.

Similar to solar water heaters, heat-pump hot water systems capture heat from the air, which ultimately originates from the sun. Unlike solar counterparts, they do not have an electric or gas boosting system. However, their operation involves the use of electricity for the evaporator fan and compressor during the water heating process.

Typically, heat-pump water heaters come as a single integrated unit installed outdoors on the ground. Alternatively, the system may be divided into the heat-pump unit, positioned outside, and a storage tank, which can be installed either indoors or outdoors. This configuration offers an advantage over solar water heaters, as there is no need for collector panels on the roof, simplifying the installation process. It’s crucial to install them in well-ventilated areas, ensuring they have continuous access to ambient air for efficient operation.