What is wrong with the traditional Water heater?
Traditional water heaters used by most Ontario homeowners store heated water in a hot water storage tank. As hot water is used up from the storage tank, it gets replaced by incoming cold water, lowering the temperature of the stored water. Electric heating element or gas burner then gets activated by a thermostat to slowly reheat the water in the storage tank to the pre-set maximum temperature. The storage thank stores the hot water ready for use and automatically keeps the water hot as the water gets used, or as it cools down through natural heat loss. This system suffers from inherent inefficiency because it always stores hot water, whether it is needed or not. Lot of heat gets lost due to the natural cooling of the stored water. The water is repeatedly re-heated and kept at maximum set temperature, wasting energy.