Heat Pump Hot Water Systems
The energy-efficient hot water upgrade: heat pumps use a fraction of the electricity of a conventional electric tank, and government incentives can significantly reduce the upfront cost.
Are heat pump hot water systems worth it?
For most homes replacing an electric storage system, yes. A heat pump extracts heat from the surrounding air instead of generating it directly, so it uses roughly a third of the electricity of a conventional electric tank. With government incentives reducing the upfront cost, the price gap over a standard electric replacement often pays itself back within a few years of power bills.
Northern Beaches
Heat pump hot water on the Northern Beaches
Ready Plumbing supplies and installs heat pump hot water systems across the Northern Beaches and North Shore. If your electric storage tank is due for replacement, a heat pump is usually the smartest long-term swap: it heats the same water with roughly a third of the electricity, which shows up on every power bill from then on.
We’re licensed local installers, not a sales call centre. We assess your site, recommend a unit that suits your household and placement constraints, handle the changeover from your old system, and certify the installation.
Is A Heat Pump Right For You
Who a heat pump suits (and who it doesn't)
Best for:
- Homes currently on electric storage: the changeover is simple and the running-cost saving is largest.
- Households with solar panels: a heat pump can run largely on your own daytime generation, making your hot water close to free.
- Owners planning to stay in the home: the payback compounds year after year.
Think twice if:
- You’re on gas with a working continuous flow unit: the savings case is thinner; see our gas vs heat pump running-cost comparison.
- The only install location is hard against a bedroom window or a neighbour’s wall: fan noise placement rules apply, though there’s usually a workable spot.
- You need the absolute cheapest upfront replacement: a like-for-like electric storage swap costs less on day one, but more every quarter after.
Rebates
Rebates make the difference
Heat pumps cost more upfront than a standard tank, but eligible installations attract both federal small-scale technology certificates (STCs) and NSW energy-saving incentives. Together these can reduce the installed price substantially, in some cases bringing a heat pump close to the cost of the conventional system it replaces. Incentive amounts change over time and depend on the model installed, so we include the exact rebated price in your written quote rather than advertising a number that may be out of date.
Installation Day
What's included in a heat pump changeover
Every changeover includes the correct tempering valve and full certification, covered by our lifetime labour guarantee.
How It Works
How the changeover works
A heat pump changeover from electric storage typically completes in a day.
Site assessment
We check placement, airflow, drainage and the power circuit before confirming the plan.
Remove and dispose
Your old system is removed and disposed of, so you don't need to do anything.
Install and connect
New system installed with all compliant valves, including the tempering valve.
Commission and certify
We commission the unit, set it up to run quietly, and complete certification.
Why Choose Us
Heat pump installs done by a local, licensed team
Licensed and fully insured
Local installers who assess your site properly, not a sales call centre.
Correct sizing and placement
We recommend a unit that suits your household and placement constraints, then handle the changeover.
Every job certified
Removal, disposal and certification of the installation, done properly.
Lifetime labour guarantee
Backed on every installation, plus we're here afterwards for servicing.
Compare Your Options
Not sure a heat pump is right for you?
Compare all your options on our hot water systems overview, or see installation and replacement.
Last reviewed: 8 July 2026 by the Ready Plumbing team.
FAQ
Heat Pump Hot Water: your questions answered
Plumbing problems can be extremely frustrating. Our licensed Sydney plumbers are here to provide fast, reliable answers and solutions.
How does a heat pump make hot water?
It works like a refrigerator in reverse: a fan draws in ambient air, a refrigerant circuit extracts the heat from that air, and the heat is transferred into the water in the tank. Because it moves heat rather than generating it, it needs far less electricity than an element-style heater.
Do heat pumps work in winter?
Yes. Modern heat pumps are designed to operate efficiently in Sydney's winter temperatures, and our coastal climate is actually well suited to them. They simply run a little longer on cold mornings, and most units have a booster element as backup.
Are heat pumps noisy?
They make about as much noise as an air-conditioner's outdoor unit: a low fan hum while running. Placement matters: we position units away from bedroom windows and neighbours' living areas, which is part of the site assessment we do before quoting.
What rebates are available for heat pump hot water in NSW?
NSW's energy savings incentives and federal small-scale certificates (STCs) both apply to eligible heat pump installations, and together they can take a large slice off the installed price. The exact amount depends on the system and your circumstances, so we'll spell out the numbers in your quote.
Where can a heat pump be installed?
Outdoors or in a well-ventilated space like a garage, since the unit needs airflow around it to draw heat from. It has a similar footprint to a storage tank plus clearance for the fan. We confirm placement during the site visit.
Guides & Real Jobs
Helpful reading from our plumbers
Guide
Gas vs Heat Pump Hot Water: What's Cheaper to Run?
Replacing a hot water system and stuck between gas and a heat pump? Here's how the running costs, upfront prices and rebates actually compare for Sydney homes.
Guide
Signs Your Hot Water System Is Failing
We keep hearing the same question from clients across the Northern Beaches and North Shore: what are the signs of a failing hot water system? Here's what 20 years of call-outs has taught us to look for.
Guide
What Size Hot Water System Do I Need?
Undersize a hot water system and the last shower runs cold; oversize it and you pay to heat water nobody uses. Here's how to size storage tanks and continuous flow units properly.
Case Study · Dee Why
No Hot Water in Dee Why: Fixed Within the Hour
A Dee Why home lost hot water when their gas system wouldn't re-ignite. Our emergency call-out found a failed thermocouple and had hot water back within the hour.
Get In Touch
Contact Your Local Plumber in Sydney
Ready Plumbing is a Sydney-based and fully-licensed plumbing business with more than 20 years of experience, offering a range of residential and commercial plumbing solutions and emergency plumbing 24/7. Get in touch and we'll respond promptly.
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