Electric vs. Gas Water Heaters: A Comparison

Picking the right water heater matters. It affects your energy bills, how often you need service, and the upfront cost to install. This guide walks through the real differences between electric and gas water heaters — so you can compare operating costs, installation needs, energy performance, maintenance, and environmental impact. We’ll also cover newer technologies and local water heater repair that might change the outcome for your home.

The main difference is the energy source and how heat is created. Electric heaters use resistance heating elements to warm the tank, while gas models burn natural gas or propane with a burner and flue. That basic distinction affects efficiency, installation complexity, recovery speed, and ongoing costs.

Electric units heat water with electric coils inside the tank. When the thermostat senses the temperature has dropped, it sends power to the elements until the set temperature is reached. Gas heaters light a burner beneath the tank (or use a direct vent in tankless systems) and transfer heat through combustion. That difference explains why gas heaters often recover hot water faster but need venting and gas hookups.

Standard gas water heaters often fall in the 0.58–0.70 UEF range, with high-efficiency gas models reaching around 0.85. Combustion losses reduce efficiency compared to many electric units, and gas appliances do emit CO2. Methane leaks in extraction and delivery add another environmental concern to consider.

Electric water heaters commonly last 10–15 years; gas models typically last 8–12 years. Regular maintenance — like flushing sediment and checking the anode rod — helps both types run longer. Gas units may need slightly more frequent inspections because of burners, gas lines, and venting.

Electric heaters are generally lower-maintenance: routine flushing to clear sediment and occasional element checks. Gas heaters require those steps plus burner and vent inspections and gas-connection checks to ensure safe operation. We recommend an annual checkup by a licensed plumber to catch issues early.

California has tightened rules for gas water heaters to cut emissions and improve efficiency. New standards (for example, policies from 2022) push many new gas units toward tankless or high-efficiency designs and may require specific venting or thermal-efficiency levels. Always confirm local building codes and permit requirements before installing a new gas system.

Yes — some high-efficiency water heaters may qualify for federal tax credits. The Inflation Reduction Act of 2022 expanded incentives for residential energy upgrades, including certain heat pump and high-efficiency models. Check current program details and eligibility so you can claim any available credits or rebates.

Tankless systems deliver hot water on demand and eliminate standby heat loss, which can save energy for many households. They’re compact and can provide a continuous supply of hot water, but expect higher upfront and installation costs in many cases.

Your best water heater depends on your home, hot-water needs, local energy prices, and whether you prioritize upfront cost or long-term savings. Electric units are simpler; gas often costs less to run but needs more installation work. Newer options — tankless or heat pump systems — can deliver big efficiency gains. If you’d like personalized advice, reach out to a local pro who can size options and estimate real costs for your home.