Five questions to answer first
Which state or territory are you in?
Victoria, the ACT and Queensland each have rules that shape the choice, and the next section sets them out. Anywhere else, ask the plumber which local rules apply to your home.
What do you have now?
Gas storage, gas continuous flow, electric storage, heat pump or solar. The label on the unit usually names the type, so photograph it before you call anyone.
Does it still work?
If it still runs, there's time to compare types and line up discounts before you buy. If it has already failed, say so up front, because the decision may have to be made quickly.
Is the home connected to gas?
Without a gas supply, a gas system means adding one first. Ask the plumber whether that's worth doing, or look at electric storage, a heat pump or solar instead.
Do you own and live in the home, or rent it out?
Some rules and rebates turn on this. Victorian rentals have their own standard once a system fails, and some rebates are only for owner-occupiers.
Where the rules decide part of it
Victoria. In an existing Victorian home, a gas hot water system that wears out on or after 1 March 2027 must give way to an efficient electric option such as a heat pump. Repairs to a gas system are still allowed. Check current rules before you buy: see the 2027 rule.
Victorian rentals. Once a rental's system has permanently failed beyond repair, the landlord's options are an efficient heat pump or an electric-boosted solar water heater.
ACT. New gas network connections have been prevented since 8 December 2023. So far, no ACT rule makes anyone replace a gas appliance.
Queensland. A heat pump or solar system has to go in through a hot water installer who holds the QBCC's solar and heat pump endorsement.
How to use your shortlist
Your answers narrow the field; they don't pick a model. Running costs and prices aren't covered here, because they depend on your home and the product.
Take your shortlist to a plumber who specialises in hot water. Ask where each option would sit, what else would need to change, and which rebates or discounts apply. The hot water rebate guide covers that last part.
Once you've narrowed it down, we match you with a licence-checked plumber who specialises in hot water to look at your home and quote.