Feeling the pinch of soaring hot water bills? In Perth, heating water with grid electricity can cost you around $1,000 a year. But what if you could cut those bills by up to 90% using our city’s 3,000+ hours of sunshine?
That’s where solar hot water system comes in. It turns free, clean sunlight into endless hot water, cutting costs and carbon emissions in one go.
In this guide, you’ll discover how solar-powered hot water works, the top system types, installation steps, WA rebate opportunities, maintenance must-dos, and your potential ROI.
Let’s dig in.
A solar hot water system uses sunlight to heat your home’s water.
It consists of roof-mounted solar thermal collectors and an insulated storage tank. The collectors absorb the sun’s heat and transfer it to water or a heat-transfer fluid in pipes. Solar heating then replaces much of the electricity or gas normally used for hot water, cutting your utility bills.
Solar hot water involves capturing sunlight, transferring heat, storing it, and using it on demand. Here’s the simple magic:
When the sun’s out in full force, your rooftop solar collectors get to work soaking up those rays and converting them into heat. As the collectors warm the water or heat-transfer fluid inside them, that hot water naturally rises. A pump gently feeds cooler water into the bottom of your storage tank, pushing the warmed water to the top. When you turn on a hot tap, water from the top of the tank flows straight into your home. No waiting, no extra electricity.
Solar collectors are the heart of any solar hot water system, built specifically to trap and hold solar energy. They look like panels but heat water, not electricity:
Think of a flat, dark panel under a protective glass cover. Inside, copper pipes snake through an absorber plate. Sunlight heats the absorber, and the fluid circulating through the pipes carries that warmth to your insulated storage tank.
Flat-plate collectors are affordable, reliable, and perfect for sunny Perth days.
Picture rows of glass tubes, each with a copper heat pipe running down the middle. Between the tubes is a vacuum. This stops heat from escaping.
Sunlight warms the copper pipe, which transfers its heat to a manifold and then into your water. Because of the vacuum seal, evacuated tube solar hot water collectors stay super-efficient even on cooler or cloudy days.
They’re versatile too. Ideal for homes, businesses, or larger commercial hot water systems. They typically run 20–40% more than flat plates, but they gain more heat per unit area.
Heat pump hot water systems aren’t solar collectors, but they’re another efficient hot-water option.
A heat pump uses electricity to extract heat from the air and transfer it to your water. They run day and night even without sun and perform well in Perth’s climate. They can cut water-heating energy by 60–70%. Like solar collectors, heat pumps qualify for rebates and reduce your utility bills.
Now that you know the basic roof-to-tap process, let’s explore how the water actually circulates through your system, passively or with a pump.
In thermosiphon circulation system, hot water rises into a roof-mounted tank above the panels by natural convection. It is simple and reliable, but requires the tank to be on the roof.
In pumped circulation system, a small electric pump circulates fluid:
Pumped systems allow the tank to sit on the ground. It is useful if roof space or structure is limited and better protect against freezing.
Before any pipes or panels go up, we begin with a thorough site assessment to tailor your solar water heater setup perfectly to your home’s conditions.
A professional survey checks your site:
After assessing the site, now, we move on to the step-by-step installation.
Looking to pair your solar water heater with battery storage? Check out our solar and battery systems.
Solar can eliminate 50–90% of hot water bills. In Perth’s sunbelt climate, that means about $1,000 saved each year. WA’s avg. bill is $1,184/year, with 18% for water heating, so solar cuts a big slice off your bill. Most systems pay for themselves in 5–10 years after rebates and incentives.
Water heating is a heavy energy user which is around 25% of home usage. An electric water heater can emit 3 tonnes of CO₂ per year (about as much as driving an average car). Solar hot water cuts nearly all of that, equivalent to ‘taking a small car off the road’ every year.
Solar hot water systems last a long time. Collectors are rated for 20–30 years, and tanks 15–20 years. There are no fuel costs, and minimal electricity is needed (just for the pump and occasional boost). With routine maintenance, you’ll enjoy decades of hot water from free sunlight.
Great incentives are available. The federal Small-scale Renewable Energy Scheme (STC) gives credits worth thousands off your cost.
On top of that, Western Australia offers its own rebates. For example, Perth homeowners installing a qualifying solar energy hot water system can receive up to $1,000 back. High-efficiency boost systems get smaller rebates ($300), and heat pump systems also qualify for up to $1,000.s
Keep your system performing well with routine checks:
Low output on cloudy days is normal; the backup heater tops up when solar gain is low. In rare freezes, ensure antifreeze or drains are working. If a pump fails, check its power and replace it if needed. Tighten any leaks promptly. Strange noises mean scale or air so try flushing the tank.
Professional service once a year is wise. A technician will check all components and ensure peak performance.
Ran out of hot water or notice persistent problems?
If you see leaks, corrosion or loss of performance, Renostain’s expert team can help.
We offer comprehensive maintenance plans and 24/7 support for solar hot water systems.
Let our licensed technicians handle annual inspections and quick repairs, so you get reliable hot water without the hassle. Our team will keep your system running at its best year after year. Check out our Hot Water Audit page for a complete system check.
For most Perth homes, absolutely.
The upfront cost is quickly offset by energy savings and rebates. You’ll enjoy decades of hot water from free sunlight and a much smaller carbon footprint. In short: with Perth’s abundant sun and high energy costs, a solar hot water system is usually a smart investment.
Tired of soaring hot water bills?
Choose Renostain for custom solar hot water engineering and support.
We design systems around your needs, from grid-tied roof setups to containerised off-grid solutions.
Our packages bundle professional installation, annual servicing and 24/7 support, giving you a full turnkey solution. Start saving on energy bills and emissions right away.
Don’t wait!
Get Your Free Solar Hot Water Quote Now
Q1: How much does a solar hot water system cost in Australia?
In Australia, a typical residential solar hot water costs about $4,000–$8,000 fully installed. The exact price depends on system size, roof vs. ground tank, pump vs. passive design, and whether the booster is electric or gas. Rebates (STCs, WA incentives) can greatly reduce your net cost.
Q2: What is the lifespan of solar hot water systems?
Solar collectors last roughly 20–30 years, and storage tanks about 15–20 years. With regular maintenance, most systems will serve you well for 15–25 years or more.
Q3: How long does a solar hot water take to heat up?
On a sunny day, expect a full tank to heat in 2–4 hours of peak sunlight. Cloudy or winter conditions slow heating, so the backup heater automatically kicks in to ensure you still have hot water.
Q4: How often does a solar water heater need maintenance?
Plan on annual maintenance. Each year flush the tank, check valves and controls, and clean the panels if needed. Keeping up with these simple tasks keeps the system efficient and reliable.
Q5: What is the best place to keep a solar water heater?
Install the collectors on a sunny, north-facing roof (for southern hemisphere) with minimal shade. The roof must be strong enough to support the panels and tank. Ground tanks should be placed on solid level ground. The goal is to maximise sun exposure on the panels all day.
Q6: Can a solar hot water system run on cloudy days?
Yes, but at reduced output. The collectors will still gather some heat on overcast days. But usually not enough for full demand. The backup heater will then top up the hot water as needed. Even on grey days, solar will preheat the water and reduce overall energy use.
Q7: Do I need a booster for my solar hot water system?
Almost certainly. A backup booster (electric or gas) is standard in solar hot water setups to ensure you always have enough hot water. In Perth, electric boosters are common and only run when solar heat alone isn’t enough.