Upgrade to a residential hot water heat pump and cut your water heating costs by about 60% compared with a traditional electric or gas cylinder. Unlike traditional electric cylinders or gas systems, a heat pump extracts energy from the air to warm your water, lowering your power bill and pairing beautifully with home solar. Often installed alongside solar or HVAC, but powerful enough to be worth doing on its own.
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Hot water is roughly 30% of a typical New Zealand home’s energy use, and water heating is one of the largest single sources of household greenhouse gas emissions. Switching to a hot water heat pump NZ wide cuts both bills and emissions substantially. Many advisers say if you can only do one home energy upgrade, this is the one to start with.
A hot water heat pump uses around one-third the electricity of a standard electric cylinder to heat the same volume of water. The system extracts heat from the surrounding air rather than generating heat directly. So for every 1 unit of electricity it uses, you get 3 to 5 units of heat into your water tank. Manufacturer savings claims range from up to 70% (Mitsubishi Ecodan) to up to 79% (Haier Monoblock), with Rinnai HydraHeat quoting up to 75%.
Hot water heat pumps run beautifully on daytime solar generation. With a home solar system, your hot water effectively heats for free during the day, and the well-insulated cylinder holds heat for evening use. Solar plus hot water heat pump is one of the smartest pairings in home energy. In fact, it stacks even better when you add a home battery to cover overnight demand.
Replacing gas or LPG hot water with an electric heat pump cuts the bottle deliveries and your gas use. If it’s your last gas appliance, you can cut gas off completely and stop paying the fixed daily supply charge or bottle rental, often a gas bill’s biggest fixed cost. It ends your exposure to rising gas prices and removes a combustion source from your home, and it’s especially worthwhile where internal LPG cylinders affect indoor air quality
Water heating is one of the largest single sources of greenhouse gas emissions from the average New Zealand home. A traditional electric hot water cylinder produces up to three times more emissions than a hot water heat pump, and a gas hot water system produces around seven times more. Switching cuts your household carbon footprint substantially, on top of the running cost savings.
Four leading hot water heat pump options, each with a different strength. We’re brand-agnostic, so we’ll recommend the right one for your home, your budget and your priorities at your free Home Energy Consult. All copy below is drawn directly from the manufacturer’s
own materials.
Designed and built in New Zealand for Kiwi conditions. The HydraHeat® head unit is engineered locally by Rinnai for the climate, with a modular design that lets homeowners start with the cylinder and add the heat pump later. Available in 275L (suits 2 to 5 people) or 340L (suits 2 to 7 people).
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Two product configurations to suit different homes: the Monoblock combines cylinder and heat pump in a single all-in-one outdoor unit; the Split System separates them so the heat pump can sit outside while the cylinder lives inside or outside in a discrete spot. Haier is now part of the Haier Group alongside Fisher & Paykel, which means familiar local servicing and spare parts.
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Global air conditioning expertise applied to hot water. Daikin is the world’s number one air conditioning manufacturer with over 50 years of heat pump engineering, and the Altherma range brings that pedigree to residential hot water. The 315L tank delivers high-volume, energy-efficient hot water suited to larger households.
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Global hot water heat pump expertise since 1994. Mitsubishi Electric have been specifically designing hot water heat pumps for three decades, with the Ecodan range now well established across Japan and Europe and available in New Zealand. A strong choice for homeowners who want a globally proven system, and the right pick for very cold parts of the country thanks to the Zubadan series.
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A hot water heat pump NZ homeowners install is powerful on its own. If you can only do one home energy upgrade right now, this is the one many advisers recommend starting with. That said, most of our customers combine it with solar or HVAC because the technologies amplify each other. Pair it with solar and you’re heating your water for free during the day. Pair it with HVAC and you’ve cut the two biggest energy uses in a typical home in one move.
Generate your own power and cut your electricity bill from day one.
Store power and off-peak grid power to lower your power bills and increase resilience
Warmer winters, cooler summers, and cleaner air for your family
Drier, cleaner indoor air year round, with lower running costs
Charge during the day with solar power or overnight on stored solar energy or off-peak grid energy and stop paying at the pump.
At Future Energy, we look at your energy footprint and individual priorities, and provide independent advice on the best solutions.
A hot water heat pump is a system that heats your home's hot water by extracting heat from the surrounding air, rather than generating heat directly through an electric element or burning gas. It works on the same principle as the heat pump that heats and cools your living areas, but instead of warming the air in your home it warms the water in your cylinder. For every unit of electricity it uses, a hot water heat pump delivers around 3 to 4 units of heat, which is why running costs are dramatically lower than a standard electric or gas hot water system.
Residential hot water heat pump installations in New Zealand typically range from around $4,000 to $8,000 fully installed, depending on the brand, the cylinder size (commonly 195L to 300L for a family home), and whether you're replacing an existing cylinder or installing from scratch. We'll give you exact pricing in writing at your free Home Energy Consult. Final price ranges to be confirmed against Future Energy's current pricing before publish.
Hot water typically accounts for around 30% of a New Zealand home's total energy use, so cutting that by 64 to 79% (the manufacturer-quoted range across the brands we install) is a substantial saving. For an average household, that's commonly around $400 to $800 a year off your electricity bill, and considerably more if you're replacing LPG or mains gas hot water. The savings increase further when your hot water heat pump is paired with home solar, because the system runs on free daytime electricity. Beyond the bill savings, the switch also cuts your household carbon footprint substantially: a traditional electric cylinder produces around three times the greenhouse gas of a heat pump, and a gas hot water system around seven times more.
Yes, and this is one of the smartest pairings in home energy. Most hot water heat pumps run for several hours a day, which lines up with daytime solar generation. With a solar system, your hot water effectively heats for free during the day, and the well-insulated cylinder holds the heat for evening showers and morning baths. Many systems we install (including the Haier Monoblock and the Daikin Altherma) have an eco-mode that prioritises solar PV input when it's available. Adding a home battery alongside this stacks the benefits further by covering overnight power use too.
Yes. We retrofit hot water heat pumps to replace existing electric cylinders and gas hot water systems regularly. Rinnai HydraHeat has a modular "heat pump ready" design that lets you start with the cylinder and add the heat pump later if budget is tight. The Mitsubishi Ecodan Hydrobox is specifically designed to connect to an existing or third-party cylinder. The Haier Monoblock and Split System work as complete replacement systems. Daikin Altherma pairs the outdoor unit with a 315L hot water tank for larger households. At the free consultation we'll assess your existing setup, the space available indoors or outdoors, and recommend the right approach. Removing an old LPG system also stops the LPG bottle deliveries.
Cylinder size depends on the number of people in your household and your hot water habits. As a guide, a 1 to 2 person household typically needs a 180 to 200 litre cylinder, a family of 3 to 4 people needs 250 to 275 litres, and a larger household of 5 or more people generally needs 300 litres or more. We size every system at the free consultation based on actual usage patterns rather than the size of the cylinder you already have, which is sometimes oversized for the household.
Modern residential hot water heat pumps are quiet enough to install close to the home without disturbing neighbours or sleep. The systems we install are quiet by design: Rinnai HydraHeat operates at 45 dB(A), Mitsubishi Ecodan from 43 to 45 dB(A), Haier Monoblock from 43 to 47 dB(A), and Haier Split System at 52 dB(A) at one metre. For reference, 45 dB is around the level of a library interior or quiet rustling leaves. We position outdoor units thoughtfully at install to keep noise away from bedrooms and outdoor living spaces.
Yes. Hot water heat pumps extract heat from the air even when it's cold outside (the same principle as your home heat pump). All the systems we install are specified for New Zealand conditions: Rinnai HydraHeat operates in full heat pump mode down to -10°C, Haier Monoblock operates from -7°C, and the Mitsubishi Ecodan Zubadan series delivers full rated capacity down to -15°C (and operates down to -28°C on some models), making it specifically suitable for very cold parts of the country like Central Otago. Most systems also include an electric backup element for very cold conditions, ensuring water is always heated to safe sanitising temperatures regardless of outdoor temperature.
From green energy loans to interest-free options, we’ll help you find a payment structure that works for your budget. Hot water heat pumps often pay for themselves in around 5 to 7 years on running cost savings alone, and the payback shortens dramatically when paired with solar. Talk to us about finance at your free Home Energy Consult.
Book a free, no-obligation home energy consultation.
We'll assess your home's unique needs, from solar and storage to hot water and heating, and create a same-day quote that maximises your savings.
We install four leading hot water heat pump brands and recommend the right one for your home. Rinnai, Haier, Daikin or Mitsubishi: we’ll match you to the system that fits.
Hot water heat pumps integrate cleanly with home solar, battery, HVAC and EV charging. Start with the change that matters most, then add as your budget allows. Every install is designed so future upgrades fit together.
From first consultation to switch-on and beyond, Future Energy designs, project-manages and stands behind your whole system. One company to deal with, one number to call.
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