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    Electric Storage Hot Water Systems: Pros and Cons

    John Nighingale — Professional Plumber at Plumb It Right

    Man adjusting a digital control panel on a gray electrical box.

    Electric Storage Hot Water Systems: Pros, Cons and When They Still Make Sense

    Key Takeaways

    • •Electric storage is the simplest hot water design, which makes faults easy to diagnose but running costs hard to defend.
    • •A failed element or thermostat is a cheap repair on a young unit. A corroded, leaking tank always means replacement.
    • •Heat pumps and gas instantaneous systems beat electric storage on running cost in most homes.
    • •Electric storage still earns its place in low-use properties and tight replacement budgets.
    • •Never run the tank dry: it can burn out the element.

    Your electric storage system has gone cold, or it is ageing and the power bills keep climbing. You need to know whether to repair it, replace it like for like, or switch to something else. Here is a straight answer on where electric storage wins and where it loses.

    What Is an Electric Storage Hot Water System?

    A heated tank that keeps water hot until you need it.

    An electric storage system heats a tank of water with an electric element, controlled by a thermostat, and holds it hot until a tap opens. It is often confused with an instant electric unit, which heats water only as it flows and has no tank. You can see our range on the electric storage hot water page.

    If you are weighing every system type, the hub guide Perth Hot Water Systems Explained: Heat Pump, Solar, Gas or Electric? compares them side by side. The ranking below covers the three options most Perth homeowners actually choose between when replacing an electric storage unit.

    Do not run an electric storage system dry. Without water around it, the element can burn out and turn a minor fault into a costly repair.

    What Are the Pros and Cons of Electric Storage?

    Simple and repairable, but expensive to run.

    The pros are simplicity and no gas connection. Common faults are a failed element, a tripped breaker, a faulty thermostat or a burst pressure relief valve, and most of these are straightforward component jobs. A unit under eight to ten years old with a single failed part is almost always worth repairing.

    The cons are running cost and tank life. If you have an older electric storage system and high energy bills, switching to a heat pump or gas instantaneous system can save you significantly over time. Once the tank corrodes and leaks, it cannot be repaired.

    Which Hot Water Option Should You Rank Above Electric Storage?

    Three realistic choices, ranked on the criteria set out below.

    1. Heat pump, best for cutting running costs

    A heat pump hot water system is the strongest replacement for a high-bill electric storage unit. It still stores water in a tank, so the household experience is familiar, but it is built to use less electricity. Plumb It Right supplies and installs heat pumps, so weigh that interest when you read this ranking. The cost-to-run figures are covered in How Much Does a Heat Pump Hot Water System Cost to Run in Perth?

    Best suited for: Households with an ageing electric storage unit and bills they want to bring down. Upfront cost is higher than a like-for-like swap, so it suits owners who will stay in the home long enough to recoup it.

    2. Gas instantaneous, best for endless hot water without a tank

    A gas instantaneous system heats water as it flows, so there is no tank to corrode or run out. It needs a gas connection, and all gas work must be done by a licensed gas fitter in Western Australia. DIY is illegal. Our related guide Gas Storage vs Gas Instantaneous Hot Water covers the tank comparison.

    Best suited for: Larger households on a gas connection where hot water demand peaks in the evening. It is a poor fit if you have no gas supply and no wish to connect one.

    3. Electric storage, best for low-use homes and tight budgets

    Electric storage ranks third because of running cost, which is the one criterion where both rivals clearly beat it. It wins on simplicity: no gas licence work, easy diagnosis and familiar parts. Replacing like for like is also the least disruptive job, with no new gas line or system change.

    If your system is failing, our guide Signs Your Hot Water System Needs Replacing and What to Do Next helps you decide. Solar is another route, covered in Solar Hot Water in Perth: Is It Worth It and What Rebates Are Available?

    Best suited for: Holiday homes, rentals and small households where little hot water is used and running cost matters least. It is the wrong pick for a busy family home with a high power bill.

    How Were These Hot Water Options Ranked?

    Rankings are earned on the criteria below, not by default. Electric storage lost one criterion outright and is placed third for that reason.

    1

    Running cost direction

    Whether the system lowers or raises power or gas bills compared with an older electric storage unit, based on the savings a heat pump or gas instantaneous swap can deliver.

    2

    Tank corrosion risk

    Whether the design has a tank that can corrode and leak, which forces full replacement.

    3

    Licensed gas work required

    Whether installation or repair needs a licensed gas fitter, as gas work does in WA.

    4

    Repair simplicity

    How easily common faults like a failed element or thermostat are fixed in a single visit.

    5

    Upfront disruption

    Whether the job needs new gas or system changes beyond a like-for-like swap.

    Side-by-Side Comparison

    OptionBest forRunning cost directionTank corrosion riskLicensed gas work requiredRepair simplicity
    1. Heat pumpHouseholds cutting running costsLower than older electric storageYes, it has a tankNoModerate
    2. Gas instantaneousLarger households on a gas connectionLower than older electric storageNo tank to corrodeYesGas faults need a licensed gas fitter
    3. Electric storageLow-use homes and tight budgetsHighest of the threeYes, a leaking tank means replacementNoHighest, element and thermostat are simple swaps

    Which Hot Water System Fits Your Situation?

    Match your household to the option below and you will land on the right system in a couple of minutes.

    If you are…Look forBest fit
    Your electric unit is under eight to ten years old and a single part has failedA repair of the element or thermostatElectric storage, repaired
    Your tank is leaking or corrodedA system that can be replaced and has lower running costsHeat pump
    You have a gas connection and a busy familyHot water on demand with no tankGas instantaneous
    You own a rental or holiday home with low useThe simplest like-for-like swapElectric storage
    Your power bills keep rising on an older electric systemLower running costHeat pump

    Electric Storage Hot Water Questions Answered

    Direct answers for Perth homeowners.

    Why has my electric storage hot water gone cold?

    The usual causes are a tripped breaker, a failed element or a faulty thermostat. Check your switchboard and reset the breaker once. If it trips again straight away, stop and call a plumber.

    Can an electric storage tank be repaired if it leaks?

    No. A corroded or leaking tank almost always means replacement. Elements and thermostats are the repairable parts.

    Is it worth repairing an older electric storage system?

    If the unit is under eight to ten years old and one component has failed, repair it. If it is older, rusty or has needed repeated repairs, replace it.

    Does Plumb It Right charge a callout fee for hot water faults?

    No. Plumb It Right uses fixed pricing with no callout fee, so you know the price before work starts.

    Ready to Sort Your Hot Water System?

    Call or text John on 0408 012 993 for a fixed-price quote with no callout fee. You will know the cost before we arrive.

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    JO

    John Nighingale

    Professional Plumber · Plumb It Right

    John Nightingale has 38+ years’ experience of working in the plumbing industry in Perth Western Australia and previously in the United Kingdom.

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