Is gas or electric hot water cheaper to run in Sydney?

Gas continuous flow systems typically cost $300-$450 per year to run, compared to $600-$900+ for a standard peak-rate electric storage system in Sydney.

How much does it cost to install a gas hot water system in Sydney?

A like-for-like gas replacement costs $800-$1,800 installed. If a new gas line is required, expect $2,000-$3,500 or more.

Can I switch from electric to gas hot water in Sydney?

Yes, but you need an existing gas connection. If there is no gas line, a licensed gas fitter must install one first, adding $500-$1,500 to the cost.

Are there rebates for gas hot water systems in NSW?

Standard gas hot water replacements generally do not qualify for rebates in NSW as of 2026. Heat pump and solar systems may qualify under the Energy Savings Scheme.

Do I need a licensed plumber to install a gas hot water system in Sydney?

Yes. In NSW, gas hot water installation must be carried out by a licensed plumber and gasfitter. DIY gas work is illegal and dangerous.

Gas vs Electric Hot Water in Sydney: Which One Actually Saves You More Money?

April 27, 2026

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