Heat pump hot water heaters work by extracting energy / heat from the air and transferring it through a heat exchanger to heat water stored in the cylinder.
Unlike conventional hot water systems that can only convert one unit of power to one unit of energy (1: 1), Heat Pump Systems can convert one unit of power to up to three units of energy (1: 3). These types of hot water systems are environmentally friendly and energy efficient.
Heat pump hot water heaters work in the same manner as your refrigerator or air conditioner in reverse, they should have good air flow around the unit and should be installed outside in most circumstances. Most hot water heater manufacturers have a heat pump in their hot water range to meet current demand. Many people are taking advantage of the current rebates available as well as doing something positive for our environment.