What are the Different Types of Water Heaters in Canada?

Written by Fred B
Updated on
date Nov 24, 2025
Category Water Heater

Types of Water Heaters in Canada

Hot water is a basic necessity in any Canadian home during long winters. A reliable water heater must deliver consistent performance and energy efficiency when you are taking a warm shower in the morning or doing dishes late at night.

According to Natural Resources Canada, more than 17% of the energy used in a Canadian household goes toward heating water. It is a big part of your monthly energy bill.

There are different types of water heaters, each with its own advantages and disadvantages. Choosing the right type of water heater is important, as it directly affects your comfort level and energy bill.

This blog explains the various types of water heaters available in Canada and what to opt for based on your lifestyle.

Storage Tank Water Heaters

Storage Tank Water Heaters

Water heaters with storage tanks are standard and traditional types found in Canadian households. These units can hold a huge volume of water between 20 and 80 gallons, so that homeowners can have hot water available at any time. Whenever hot water is used from the tank, the heater automatically starts working again.

The affordability and ease of use are major advantages of storage tank water heaters. They deliver excellent performance, free of frequent repairs, and are capable of supplying several fixtures at once, making them the perfect solution even for big families.

Though these systems are less energy-efficient than modern ones, water heaters with storage tanks are still quite popular in Canada because of their cost-effectiveness and decent performance even in the coldest parts of the country.

Tankless Water Heater

Tankless Water Heater

Tankless water heaters are becoming one of the most popular types of water heaters in Canada. It is mainly because of their energy-efficient features and space-saving design. These systems provide hot water whenever needed without using a storage tank.

They are more affordable to operate than other types of water heaters. They are a perfect option for small homes, apartments, or families looking to cut down energy use and resulting utility bills. A properly installed tankless water heater works efficiently and delivers consistent performance for years, which is why professional installation is recommended.

Tankless water heaters are known for their outstanding energy efficiency. By heating water only when needed, they reduce standby heat loss, resulting in savings on energy bills and a reduced household carbon footprint. They are also more durable than other types of heaters and can last up to 20 years if maintained properly.

Moreover, if multiple hot water outlets are used simultaneously, a single unit may not be sufficient unless it is the appropriate size. In colder Canadian areas, you may need more powerful units to keep the water temperature constant, which will make them slightly less efficient and less cost-effective than you would like. Learn more about the pros and cons of tankless water heaters in this guide.

Heat Pump Hot Water Heaters

Heat Pump Hot Water Heaters

Heat pump water heaters, often called hybrid water heaters, are becoming increasingly popular in Canada. Unlike conventional electric water heaters, which produce heat directly, these units absorb heat from air or ground and transfer it to water. In this way, they can be as much as three times more energy-efficient, which will save you a great deal of money on electricity costs.

Heat pump water heaters work best in homes with moderate to warm ambient temperatures. They are the best choice for buildings with insulated basements or utility rooms. Current models operate efficiently even in cold areas by using a backup electric heating element when needed.

They are eco-friendly, as they help reduce carbon emissions and electricity consumption. The price of a heat pump water heater installation is initially higher than that of a conventional tank or tankless system. Still, the resulting savings and environmental benefits make it a worthwhile investment. These water heaters usually have a longer lifespan and require less routine maintenance. With Canada tightening its energy efficiency standards, heat pump water heaters will play a vital role in the country’s transition toward a sustainable home heating.

Solar Hot Water Heaters

Solar Hot Water Heaters

Solar hot water heaters are gaining more and more attention among Canadian homeowners who want to reduce their carbon footprint and save money on their utility bills in the long run. These water heaters are powered by the natural energy of the sun; thus they are an excellent option for individuals who want hot water in an eco-friendly way.

The main components of a standard solar water heating system are solar thermal panels or solar collectors that absorb solar radiation and convert it into heat, and a storage tank that stores water that has already been heated for future use. Solar water heaters can be used as the sole source of water heating or coupled with conventional systems to provide backup heat on cloudy or cold days, depending on the type of installation.

Solar water heaters can save you a lot of money on your energy bills over time. Though the initial cost is higher than that of other water heaters, the total expense can be balanced through available government rebates or regional incentive programs where applicable. The efficiency of these water heaters depends on the amount of sunlight your area receives and the quality of the system’s insulation. This is good for both the economy and the environment in the long run.

Final Words

Choosing the right water heater is easier when you understand the different types available for Canadian homes. Rather than choosing randomly, take your time to go through each type to make a more informed decision. The smart choice you make can bring you enhanced energy efficiency and long-term savings.

Trust Infiniti Home Comfort to handle your tankless water heater needs, from expert installation to professional consultation. We make the entire process simple, efficient, and stress-free for Canadian homeowners.

Let us know your water heating requirements to select and set up a suitable water heater successfully. Get a free quote today!

Fred B

Fred B. is the CEO and Founder of Infiniti Home Comfort, bringing over 15 years of experience in the HVAC industry. He’s passionate about helping homeowners get the most out of their heating and cooling systems, and regularly shares practical insights to improve comfort, efficiency, and air quality at home.

Share This Article

GET IN TOUCH

    What is 5 + 3 ? Refresh icon

    Go to Top