If you’re building a new home, it makes sense to research your options carefully – especially when it comes to your hot water service.

After all, water heating is the largest source of greenhouse gas emissions from the average Australian home and can account for 25% of your household’s energy usage.

For your hot water system, there are four main choices: electric, gas, heat pump and solar.

When building a new modular home, both gas instantaneous and electric storage systems are available as a standard inclusion. Both are good options, but if you’re serious about long-term benefits you can’t go past solar. 

How Solar Hot Water Works



A solar hot water service can be either a split configuration of a tank installed on the ground with roof-mounted thermal collectors, or a completely roof-mounted unit, where both the tank and collectors are installed on the roof.

It works by using the thermal collectors to absorb the sun’s energy, then the cold water is circulated through and heated, before the hot water is returned to the tank to be stored for later use.

Systems are also usually fitted with a gas or electric booster, which fires up as needed. This means you’ll always have hot water available. no matter what time of day and what the weather is doing.

In Australia, solar hot water systems will generally provide between 50 and 90% of your hot water needs, depending on your climate and your household’s water usage.

Key Benefits of Solar Hot Water


Although the upfront price on a solar hot water service is higher than a gas or electric system, you’ll be paying much less on your energy bills. Over time, this means you’ll well and truly recover your costs.

How quickly that happens depends on your circumstances and location. Larger households and those living in sunny climates will see their costs recovered faster than homes with one or two occupants located in cooler areas.

Solar hot water systems are powered by a renewable energy, which means they’re better for the planet. They help reduce the greenhouse gas emissions produced by households and businesses, so there’s less pollution and cleaner air.

Plus, the cost savings and environmental benefits make solar a desirable feature which adds value to your home.

Tips for Choosing a Solar Hot Water System

Maximising the benefits of solar is all about choosing the right system. Key considerations include the size of your household, the features of your block and the amount of sun you receive.

For example, a family of four needs at least two collector panels, which adds up to around four square metres of solar collectors. If you have limited space on the ground around your home, a roof-mounted system works well.

And if you happen to live on a block that isn’t very sunny, installing a couple of extra panels can be a worthwhile investment to boost your collecting power.



When it comes to choosing the right system, we work closely with Chromagen, a leading supplier of solar hot water services to find the perfect fit. They’ll take a look at your plans and suggest the best options for your block, house and budget.

Final Word

There are some excellent upgrades available when you build a new modular home, and solar hot water is one that brings real value. The benefits to the environment are obvious and the savings on your energy bills are huge.

If you can fit solar hot water into your budget, it’s a great investment – and the more you wait, the more you miss out on.

Over to You

Are you considering upgrading to solar hot water and have a question? Or have you already installed a system and have a comment to share? We’d love to hear from you.


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Written by
Laurie Raikes

Marketing Manager at Anchor Homes

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