Most households still rely on electric or gas hot water systems that are expensive to run and inefficient during peak usage. These systems heat water using direct electricity or combustion, often running overnight or during high-tariff periods, leading to increased power bills.
Rising energy costs make traditional systems harder to justify. Many homeowners delay upgrades because of unclear product comparisons, installation concerns, or confusion around rebates. This hesitation often results in continued overspending on water heating, which accounts for a large portion of household electricity use.
iStore heat pump hot water systems offer an alternative that cuts energy consumption by drawing heat from the surrounding air. These systems work well with solar and can reduce energy use significantly. This guide explains how they work, where they fit, and what to consider before making the switch.
How heat pump systems work
A heat pump hot water system extracts heat from the surrounding air using a fan and compressor. This heat is transferred to water inside a storage tank through a heat exchanger. The process is similar to how a reverse-cycle air conditioner works but applied to water heating.
Unlike traditional electric systems that create heat by using a metal element, heat pumps move existing heat. This makes them far more efficient. The iStore unit activates based on tank temperature and uses minimal electricity to maintain hot water levels.
Efficiency and energy savings
The efficiency of a heat pump is measured by its coefficient of performance (COP). A typical iStore heat pump operates with a COP between 3 and 4, meaning it produces 3 to 4 times more energy than it consumes in electricity.
Households using heat pumps report a 60–70% drop in hot water energy costs. For homes with high water usage or electric heating, this translates to substantial savings over a year. Efficiency also improves when paired with daytime solar use.
Cost comparison over time
Heat pumps cost more to install than basic electric storage systems, but running costs are significantly lower. Over 5 to 10 years, the difference in upfront price is typically offset by reduced electricity bills.
Government incentives, such as Small-scale Technology Certificates (STCs), reduce the total system price. Many Australian households qualify for these rebates when replacing older systems with efficient alternatives like iStore.
System performance in different conditions
iStore heat pump units are designed to work across varied Australian climates. They perform best when installed outdoors in well-ventilated areas with access to ambient air. Even in colder regions, the system remains effective through backup electric boosting and automatic temperature controls.
Noise levels remain low during operation. The system’s smart controller adjusts based on time-of-use tariffs and hot water demand, ensuring continuous supply without manual input.
Installation factors and maintenance needs
A proper installation ensures long-term performance. The outdoor unit should be placed with at least 600mm clearance for airflow. Indoor installation is not suitable due to ventilation needs. Installers assess pipe layout, drainage, and access to sun exposure if used with solar PV.
Maintenance is minimal but should include:
- Checking the fan and compressor function
- Inspecting pressure relief valves
- Cleaning external grills and airflow points
- Verifying temperature settings and timers
Annual checks are recommended for continued efficiency and system health.
Environmental impact and benefits
Switching to a heat pump reduces household greenhouse gas emissions. By avoiding fossil fuels and drawing less electricity from the grid, the system supports lower carbon output.
When run during the day using solar PV, emissions drop even further. Households using iStore reduce pressure on energy infrastructure while increasing total home energy efficiency.
Matching tank size to household use
Hot water demand depends on both the number of occupants and daily usage patterns. A two-person household with short showers may require a 180L system. A family of four with higher use might need 270L or more.
Key sizing considerations:
- Number of daily showers
- Use of bath, dishwasher, or washing machine
- Peak use times (morning vs evening)
- Recovery speed needed after back-to-back use
Choosing the right tank size avoids hot water shortages and ensures the heat pump isn’t overworked.
Compatibility with rooftop solar
iStore heat pumps pair well with solar PV. By programming the system to run during peak sunlight, households can store hot water using free solar energy instead of drawing from the grid.
This increases solar self-consumption and further reduces power bills. The combination also qualifies for higher energy efficiency ratings and may support property upgrades under energy improvement schemes.
Warranty and after-sales support
iStore systems include warranty coverage on both the tank and the heat pump unit. Terms vary by model but typically range from 5 to 7 years. Support is available for service needs, part replacement, and system checks.
Choosing a supplier who also provides installation and support reduces delays if service is required. Consistent installer follow-up improves system life and user confidence.
Our Advice on iStore Heat Pump Systems
At Hogan Hot Water and Air Conditioning, we work with households upgrading from electric or gas systems to more efficient heat pump models. Most clients want lower energy use without changing their routine, and a properly selected heat pump achieves that.
Before installation, we assess airflow access, hot water usage patterns, and site conditions to match the right tank size and system. We supply and install iStore units across homes where performance, energy savings, and long-term reliability are the priority.
We recommend choosing a system based on how your household actually uses hot water—not just rebates or brand names. A well-installed heat pump runs quietly in the background, cuts electricity costs, and works without extra input.If you’re comparing options, contact us to check if an iStore heat pump fits your home.