Choosing between a gas water heater vs. electric one is a key decision for Kiwi homeowners. Both systems are widely used across New Zealand, and each has its strengths depending on your household needs, budget, and lifestyle.

In this article, we’ll explore the cost, efficiency, and performance differences between gas and electric water heaters to help you decide what’s best for your home. Whether you’re building new or replacing an old system, understanding your options ensures long-term satisfaction and energy savings.

Gas Water Heater vs Electric: Key Differences

When comparing a gas water heater vs an electric one, it’s essential to understand how each system operates and where they perform best. Here’s a side-by-side overview of the key differences:

  • Energy Source: Gas heaters use LPG or natural gas, while electric heaters rely on your home’s power supply
  • Heating Speed: Gas models typically heat water faster, making them ideal for larger families
  • Installation Costs: Electric systems are usually cheaper to install, but may cost more to run
  • Efficiency: Gas heaters can be more energy-efficient, especially with continuous flow systems
  • Environmental Impact: Electric heaters using renewable electricity have a lower carbon footprint

Still unsure which way to go? At UR Plumber, we provide gas fitting to assess your water usage habits and home layout to recommend the best solution for long-term value.

Is a Gas Water Heater Cheaper Than an Electric One in NZ?

Is a gas water heater cheaper than an electric one? The answer depends on your usage and current utility rates in New Zealand. Here’s a general breakdown:

  • Gas units usually have lower monthly operational costs, especially for homes with high hot water demands
  • Electric systems are often cheaper upfront and better suited for low-to-medium usage households
  • With off-peak electricity rates, electric heaters can be more economical if timed correctly
  • Gas bottles (LPG) may require regular refills, while natural gas connections offer more convenience
  • Long-term costs can balance out depending on the maintenance and energy efficiency of the unit

Gas vs Electric Water Heater Monthly Cost: What to Expect

When it comes to the gas vs electric water heater monthly cost, understanding your household habits is key. Here’s what a typical NZ home can expect:

  • Gas continuous flow systems may cost around thirty to sixty dollars per month, depending on how often hot water is used
  • Electric cylinder heaters can cost fifty to eighty dollars per month, but rates vary depending on whether you use standard or off-peak electricity
  • Households with solar panels may reduce electric hot water costs significantly
  • Efficiency ratings and unit size play a big role in overall monthly expenses
  • Regular servicing helps maintain optimal performance and keeps running costs down

Electric Hot Water vs Gas Hot Water Heater: Pros and Cons

Still weighing electric hot water vs gas water heater options? Here’s a breakdown of the pros and cons of each:

Electric Hot Water Heaters

  • Lower initial installation cost
  • Easy setup, no gas lines required
  • Great for small households or light water use
  • Slower recovery time
  • It can be costly if used during peak electricity hours

Gas Hot Water Heaters

  • Fast heating and consistent supply
  • Lower operational cost for high-demand homes
  • Ideal for larger families
  • Higher upfront and installation costs
  • Requires gas supply or bottle refills

Conclusion

The decision between a gas water heater vs an electric system ultimately depends on your household size, water usage patterns, and energy goals. Gas is often more cost-effective for large families, while electric systems suit smaller homes and tighter budgets. With energy prices fluctuating in New Zealand, choosing the right water heater today can save you thousands over time. 

Let UR Plumber help you navigate the pros and cons with expert advice and installation support tailored to your needs.

Talk to Us for Expert Hot Water Advice

Still unsure about the right system for your home? Contact UR Plumber for a no-obligation consultation.  Call us at 027 856 7712 or browse our online store for more plumbing products. 

Frequently Asked Questions

Which is better for long-term savings: a gas or an electric water heater?

Gas systems typically offer better long-term savings for larger households, especially if hot water is used frequently. However, electric heaters with off-peak pricing can also be economical. UR Plumber helps homeowners make informed decisions based on actual usage and utility rates.

What is the cost of gas vs electric water heater installation?

Electric heaters are generally cheaper to install due to simpler wiring. Gas systems may require extra plumbing, ventilation, and gas line work. UR Plumber offers transparent quotes so you know exactly what to expect before installation.

Do gas water heaters work during a power outage?

Most continuous flow gas water heaters require electricity for ignition and operation, so they may not function in a blackout. However, some models with battery ignition can still operate. Ask UR Plumber about backup-friendly options.

Can I switch from electric to gas water heating?

Yes, switching is possible, but it requires professional installation of a gas line and venting system. UR Plumber can handle the full conversion process and ensure your system complies with NZ safety regulations.

What size water heater do I need for my home?

The right size depends on how many people live in your home and when you use hot water most. UR Plumber can perform an in-home assessment and recommend a unit that balances performance and energy efficiency.