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Startup costs: Beyond the 2x-4x larger initial purchase price (as compared to a tanked water heater), installing a tankless system comes at an increased cost, particularly in retrofit applications. They tend to be particularly expensive in areas such as the US where they are not dominant, compared to the established tank design.
The main disadvantage is their much higher initial costs; a US study in Minnesota reported a 20- to 40-year payback for the tankless water heaters. [citation needed] In a comparison to a less efficient natural gas fired hot water tank, on-demand natural gas will cost 30% more over its useful life. [dubious – discuss] [citation needed]
Higher initial installation cost. Circulator pumps cost more than zone valves; Higher power consumption. Operating circulators draw more power any time the zone is actively heating. Zone valves, by comparison, draw little power at any time and many designs only draw power while in transition from open to close or vice versa.
MEP's design is important for planning, decision-making, accurate documentation, performance- and cost-estimation, construction, and operating/maintaining the resulting facilities. [ 1 ] MEP specifically encompasses the in-depth design and selection of these systems, as opposed to a tradesperson simply installing equipment.
Costs and payback periods for residential SWH systems with savings of 200 kWh/month (using 2010 data), ex maintenance costs, subsidies and installation costs Country Currency System cost Subsidy(%) Effective cost Electricity cost/kWh Electricity savings/month Payback period(y) Brazil: BRL: 2500 [54] 0: 2500: 0.25: 50: 4.2 South Africa: ZAR ...
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