Heat Pump vs Solar Hot Water: Everything You Need to Know

EcoFlow

Choosing the right hot water system can significantly impact your home’s comfort, energy bills, and environmental footprint. When it comes to efficient water heating, two popular options stand out: heat pump systems and solar hot water systems. But what’s the best choice for your household?

In this guide, we’ll explore the heat pump vs solar hot water debate thoroughly, explaining how each system works, their differences, advantages, and available government incentives to help you make a confident decision.

What Is a Heat Pump and How Does It Work?

A heat pump is a device that efficiently utilizes "free thermal energy" from nature (such as heat in air, water, or soil). Driven by electricity to operate a compressor, it transfers heat rather than generating heat directly, thereby providing heating, cooling, or hot water. Unlike traditional electric heaters that consume electricity to produce heat, the core of a heat pump is to "move heat," making its energy efficiency typically 3-4 times that of electric heating equipment. It is an energy-saving and environmentally friendly solution for heating and cooling.

Working principle

The working principle of a heat pump is based on the reverse Carnot cycle. It transfers heat through the "evaporation-compression-condensation-throttling" cycle of refrigerant in a closed system.

The specific process involves 4 key steps:

  • Evaporation (Heat Absorption):Liquid refrigerant evaporates at low pressure in the evaporator, turning into a low-temperature, low-pressure gas while absorbing heat from the environment (air, soil, or water). Even in cold conditions (-10°C), special refrigerants (e.g., R32, R410A) extract residual heat.

  • Compression (Temperature Rise):The gas is compressed by the compressor, sharply increasing pressure and temperature to form high-temperature, high-pressure gas—now hot enough to release heat indoors.

  • Condensation (Heat Release):In the indoor condenser, the hot gas releases heat (for heating or hot water) and condenses into high-pressure liquid.

  • Throttling (Cycle Reset):The liquid passes through an expansion valve, dropping pressure and temperature to restart the cycle.

Dual Function of Heat Pumps

Most heat pumps can switch the refrigerant cycle direction via a reversing valve, achieving "one machine for two uses":

  • Heating mode: Absorbs heat from the environment and releases it indoors as described above.

  • Cooling mode: Operates in reverse, absorbing heat from indoors and releasing it outdoors (exactly the same as the refrigeration principle of air conditioners).

Core Advantages

  • High Efficiency: 1kWh of electricity moves 3-4kWh of heat (COP 3-4), far exceeding electric heaters (COP=1).

  • Eco-friendly: Relies on renewable environmental heat, reducing fossil fuel use and carbon emissions—vital for climate action.

Common types:

  • Air-source: Easy to install, widely used.

  • Ground-source: Stable efficiency, less affected by temperature.

  • Water-source: Ideal for areas with steady water access.

What Is a Solar Hot Water System and How Does It Work?

A solar water heating system is a device that converts solar radiation into thermal energy to heat and store water for domestic or industrial use. It relies on solar energy as its core power source, offering advantages like energy efficiency, environmental friendliness, and low operating costs compared to traditional equipment such as electric or gas water heaters. It is a key form of renewable energy utilization.

Common types, classified by heat collection methods and system structures, include:

  • Evacuated tube solar water heating systems (most widely used, with vacuum glass tubes reducing heat loss);

  • Flat-plate solar water heating systems (simple in structure, suitable for warm climates);

  • Centralized solar water heating systems (designed for collective housing or commercial premises, with centralized heat collection and individual water supply).

Working principle

Its core process involves absorbing solar energy via collectors → transferring heat to a working medium → heating cold water → storing hot water.

The specific steps are as follows:

  1. Heat Collection: Absorbing and Converting Solar Energy

The collector is the system’s core component (e.g., evacuated tube collectors), consisting of an absorber plate, transparent cover, and insulation layer.

  • The absorber plate is usually coated with a selective absorption layer (e.g., black chrome, blue film), which efficiently absorbs solar radiation (with an absorption rate of 80%-95%) and converts it into thermal energy.

  • The transparent cover (e.g., glass) allows sunlight to pass through while blocking infrared radiation emitted by the absorber plate from dissipating heat outward (similar to the greenhouse effect), reducing heat loss.

  1. Heat Transfer

The working medium in the collector (typically water or antifreeze) absorbs heat and rises in temperature, transferring heat to the cold water through two methods:

  • Natural circulation: Utilizing the principle that hot water is less dense than cold water, heated water in the collector naturally rises into the upper part of the storage tank, while cold water from the bottom of the tank replenishes the collector, forming a cycle (suitable for small systems).

  • Forced circulation: A water pump drives the working medium to circulate between the collector and the tank, accelerating heat transfer (suitable for large systems or scenarios requiring stable water supply).

  1. Heat Storage: Storing Hot Water for On-Demand Use

Heated water flows into the storage tank, which is usually wrapped in insulation materials (e.g., polyurethane foam) to reduce heat loss to the environment, ensuring the water temperature remains stable even at night or on cloudy days.

  1. Auxiliary Heating (Optional)

On cloudy, rainy days, or when sunlight is insufficient, the system can use auxiliary devices such as electric heating rods or gas heaters to supplement heating, ensuring a stable supply of hot water.

The efficiency of a solar water heating system is affected by factors such as sunlight intensity, collector tilt angle (adjusted according to local latitude to maximize solar radiation absorption), and ambient temperature. In areas with abundant sunlight, its energy-saving rate can exceed 70%, making it an effective means of reducing energy consumption and carbon emissions.

Solar Hot Water vs Heat Pump: What’s the Difference

Choosing between a heat pump water heater vs solar water heater often comes down to how each one works and what suits your home best. Here’s a closer look at the main differences:

Comparison Criteria

Solar Water Heating System

Heat Pump

Energy Source

Relies entirely on solar energy to heat water; efficiency is maximized in abundant sunlight

Extracts heat from air/environment; remains efficient in cloudy or cool weather

Installation Requirements

Requires roof space with ample sunlight; poorly suited for shaded buildings

Only needs good ventilation around the unit; suitable for small yards or beside houses

Performance Under Different Conditions

May require electric/gas backup in cloudy weather or high demand

Less weather-dependent; operates day and night, with slightly reduced performance in extreme cold

Noise Level

No moving parts on the roof; completely silent during operation

Compressor produces a slight hum (similar to air conditioner outdoor units), usually non-disturbing

Cost Comparison

Higher initial installation cost, extremely low operating cost (almost no energy consumption)

Moderate initial cost; higher energy consumption than solar systems but far lower than traditional electric water heaters

Solar Hot Water System vs Heat Pump: Which to Choose?

Now that you know what sets a heat pump apart from a solar hot water system, the next step is choosing which one suits your lifestyle. It depends primarily on your climate, budget, and household needs.

If your home gets abundant sunshine throughout the year, a solar hot water system offers outstanding energy savings and low running costs. It’s an eco-friendly solution ideal for reducing long-term expenses. However, if roof space is limited or your home frequently experiences cloudy weather, the system’s efficiency can drop, requiring additional backup heating.

On the other hand, heat pumps are more versatile and efficient in varied weather conditions. They’re perfect if your location sees moderate to colder climates or if your roof doesn’t have optimal sunlight exposure. Although operational costs are slightly higher than solar systems, they’re substantially lower than traditional electric heaters, providing considerable savings over time.

To cut running costs even further, you can pair your heat pump with a portable power station like the EcoFlow DELTA 2 Portable Power Station. With its 1024Wh capacity and 1800W AC output (2700W surge), it can easily handle small to mid-sized heat pumps. It also supports 500W solar charging and offers rapid 1200W AC charging, letting you store energy during off-peak times or from solar panels, lowering grid dependence, and providing reliable backup power during outages.

EcoFlow DELTA 2 Portable Power Station

The EcoFlow DELTA 2 is a reliable power solution with a 1024Wh capacity and 1800W AC output (2700W surge), ideal for running small to medium appliances. It features fast 1200W AC charging and 500W solar input, allowing efficient energy storage from both grid and solar sources. Built with a long-lasting LiFePO4 battery rated for over 3000 cycles, it’s perfect for reducing electricity costs and providing backup power.

Are There Government Rebates or Incentives for Each Option?

Yes, in Australia, both heat pumps and solar hot water systems may qualify for heat pump hot water government rebate programs and other incentives, mainly through the Small-scale Renewable Energy Scheme (SRES).

Under this scheme, eligible systems earn Small-scale Technology Certificates (STCs), which help lower upfront costs. For solar water heaters, the storage capacity must be less than 700 litres (larger systems require extra documentation), while air-source heat pumps must have a capacity of under 425 litres. The number of STCs depends on the system’s efficiency and the location where it’s installed.

In addition to the SRES, some states offer their own incentives:

  • Victoria provides up to $1,000 off approved solar hot water systems and heat pumps through the Solar Victoria Hot Water Rebate.

  • In New South Wales, the Energy Saving Upgrades for Hot Water program offers upfront discounts of $400–$670 when replacing an electric water heater with a heat pump, or $190–$310 when replacing a gas unit.

Conclusion

All in all, when comparing heat pump vs solar hot water, think about your home’s climate, budget, and energy goals. Both options can reduce bills and environmental impact, especially with rebates and state incentives. For even greater savings, pairing a heat pump with a portable power station helps store cheaper or solar energy, lowers grid use, and ensures reliable hot water during outages. EcoFlow offers dependable portable power solutions that make this setup even more efficient.

FAQs

Can I combine a solar hot water system with a heat pump?

Yes, combining a solar hot water system with a heat pump is possible and can deliver excellent energy savings. In this setup, the solar collectors handle most of the heating when sunlight is available, while the heat pump provides backup on cloudy days or during high demand.

This combination ensures a steady supply of hot water, maximizes energy efficiency year-round, and reduces reliance on electricity or gas, which can significantly lower energy bills and your household’s carbon footprint.

What is the most efficient type of hot water system?

In sunny regions, solar hot water systems are often considered the most efficient because they use free solar energy and have very low running costs once installed. However, in areas with limited sunlight, heat pump systems are highly efficient, as they extract ambient heat from the air and require less electricity than traditional heaters. Modern heat pumps can deliver three to four units of heat per unit of power used, making them a dependable and energy-saving choice across various climates.

Is solar hot water better than a heat pump?

Solar hot water is ideal for regions with plenty of sunlight. It provides very low running costs and helps reduce emissions, making it an eco-friendly option. However, during cloudy or rainy periods, the system switches to gas or electricity to keep a steady supply of hot water, which can slightly increase energy use.

Heat pumps offer greater versatility, as they work well in both sunny and cloudy weather, even at night. They deliver consistent performance throughout the year and are especially practical for homes with limited roof space or in areas with less consistent sunlight. You can even pair a heat pump with a solar generator to store renewable energy and further cut electricity costs.