Electric Tankless Water Heater in Houston — $825/yr to Run (12.6¢/kWh)
Your electric tankless water heater in Houston costs about $69/month at 12.6¢/kWh. See daily, monthly, and yearly costs, plus tips to cut your bill.
Houston, TX Electricity Rate
12.6¢/kWh
Utility: CenterPoint Energy
-3% vs national avg
National avg: 13.0¢/kWh
Daily Cost
$2.26
18.0 kWh/day
Monthly Cost
$68.77
548 kWh/mo
Annual Cost
$825
6,570 kWh/yr
Lifetime (20yr)
$16,504
energy only
Monthly Cost Breakdown in Houston
| Period | kWh | Houston Cost | National Avg | Difference |
|---|---|---|---|---|
| Daily | 18.0 | $2.26 | $2.34 | $-0.08 |
| Weekly | 126.0 | $15.83 | $16.38 | $-0.55 |
| Monthly | 547.5 | $68.77 | $71.17 | $-2.41 |
| Quarterly | 1642.5 | $206.30 | $213.53 | $-7.23 |
| Annual | 6570.0 | $825.19 | $854.10 | $-28.91 |
Customize Your Electric Tankless Water Heater Cost
Adjust usage hours and electricity rate to calculate your exact cost in Houston.
Daily
$2.26
Monthly
$68.77
Annual
$825
20-Year
$16,504
Energy Saving Tips for Electric Tankless Water Heater in Houston
- ✓Houston has below-average electricity rates, but saving energy still reduces your carbon footprint.
- ✓An ENERGY STAR Electric Tankless Water Heater in Houston saves ~$198/year compared to standard models.
- ✓A smart Electric Tankless Water Heater with scheduling optimization can save ~$124/year at Houston rates.
- ✓Install point-of-use units for remote fixtures
- ✓Size properly for peak demand
- ✓Consider electrical upgrade
ENERGY STAR Savings: Upgrading to an ENERGY STAR Electric Tankless Water Heater in Houston saves approximately $198/year at local rates — $3,961 over the appliance lifetime.
Highest-Cost Appliances in Houston, TX
See which appliances cost the most to run at Houston's 12.6¢/kWh electricity rate.
Level 2 EV Charger (240V)
Transportation · 7,200W
$1,628/yr
$135.65/mo
Electric Furnace
HVAC · 10,000W
$1,130/yr
$94.20/mo
EV Charger (Level 2)
Garage · 7,200W
$814/yr
$67.82/mo
Boiler (Electric)
HVAC · 6,000W
$678/yr
$56.52/mo
Electric Water Heater (Tank)
Water Heating · 4,500W
$619/yr
$51.57/mo
Water Heater (Tank Electric)
Water Heating · 4,500W
$619/yr
$51.57/mo
Heat Pump
HVAC · 2,400W
$482/yr
$40.19/mo
Hot Tub / Spa
Pool & Spa · 3,000W
$452/yr
$37.68/mo
Electric Tankless Water Heater Cost in Other Texas Cities
| City | Rate | Annual Cost | vs Houston |
|---|---|---|---|
| Houston (current) | 12.6¢ | $825 | — |
| San Antonio | 13.5¢ | $887 | +$62 |
| Dallas | 14.0¢ | $919 | +$94 |
| Austin | 14.3¢ | $941 | +$116 |
| Fort Worth | 14.3¢ | $938 | +$113 |
| El Paso | 14.2¢ | $934 | +$109 |
| Arlington | 12.4¢ | $817 | $-9 |
| Corpus Christi | 15.0¢ | $987 | +$162 |
| Plano | 12.0¢ | $789 | $-36 |
Methodology & Energy Data Sources for Houston
How we calculate electric tankless water heater energy costs in Houston, TX: Cost estimates use the standard formula: Annual Cost = (Wattage ÷ 1000) × Hours per Day × Days per Year × Local kWh Rate. We model regional electricity rate variation using EIA monthly data, which captures rate differences between investor-owned utilities, municipal providers, and rural electric cooperatives.
- Appliance wattage sourced from ENERGY STAR product database, manufacturer spec sheets, and DOE residential appliance test data.
- Local kWh rate for Houston reflects Texas averages from EIA Form 861 (utility sales data). Rates vary by season (typically 10-20% summer premium) and time-of-use in many Texas utilities.
- Usage patterns derived from RECS (Residential Energy Consumption Survey), EIA's official survey of US household energy use.
- Carbon footprint calculated using EPA eGRID emissions factors specific to your regional grid mix in Texas.
Authoritative US energy data sources:
- EIA Electric Power Monthly — official US electricity rate data by state
- EIA Residential Energy Consumption Survey (RECS) — household appliance usage patterns
- ENERGY STAR Product Finder — efficiency ratings for electric tankless water heaters
- DOE Energy Saver — Electricity — official tips and appliance comparison
- EPA eGRID — Regional Emissions — carbon intensity by grid region
- EIA State Energy Profiles — Texas — generation mix, prices, and consumption
Disclaimer: Energy costs are estimates based on average appliance usage and Texas state-level kWh rates. Your actual costs depend on your specific utility provider, rate plan (flat, time-of-use, demand), local fees, taxes, and renewable energy credits. Check your utility bill for exact rates. For energy efficiency upgrades, consult your local utility's rebate programs and federal tax credits via ENERGY STAR Federal Tax Credits.
Reviewed by Brazora Monk · Last updated 2026 · EIA data current as of latest monthly release
Find Your Utility, Rate Plan & Incentives in Houston
The Texas state-average kWh rate shown above is a baseline — your actual cost depends on your specific utility provider, rate plan, and time-of-use schedule. Plus you may be missing rebates that pay for ENERGY STAR replacements:
Each utility has its own rate plans (flat, TOU, demand):
- • EIA — Find Your Utility (by ZIP)
- • EIA Texas State Profile
- • Time-of-use can save 20-40% if you shift heavy use to off-peak
Inflation Reduction Act provides ongoing credits:
- • ENERGY STAR Federal Tax Credits
- • 30% on solar/battery storage through 2032
- • Up to $2,000 heat pump credit annually
- • DOE — Federal Rebate Programs
State + utility-specific rebates stack with federal:
- • DSIRE — Texas Incentive Database
- • DOE State Energy Program
- • Many utilities offer $50-500 rebates on ENERGY STAR appliances
Replace efficient = save 25-50% kWh:
NABCEP-certified installers for solar/battery: NABCEP Certified Professionals Directory. Required for many state incentives.
Electric Tankless Water Heater Energy Cost FAQ — Houston, TX
Understanding Electric Tankless Water Heater Energy Costs in Houston, TX
In a major metro like Houston, electricity demand is high and rates reflect the cost of maintaining infrastructure for 2.3 million residents. Running a high-draw appliance like the Electric Tankless Water Heater (18,000W) at Houston's rate of 12.6¢/kWh costs approximately $825 per year — $29 less than the national average of $854.
Rates in Houston are close to the national average, so the Electric Tankless Water Heater's annual cost of $825 is broadly representative of what most US households pay. Over the 20-year expected lifespan, total energy cost reaches $16,504.
Houston's cost of living index of 93 is below the national average, and electricity costs reflect that affordability. The Electric Tankless Water Heater adds $68.77/month to a typical bill of $129. Upgrading to an ENERGY STAR Electric Tankless Water Heater can cut energy use by up to 24%, saving approximately $198 per year at Houston rates.
Houston's moderate climate (avg 67.7°F) helps keep seasonal energy cost swings manageable for most appliances. A Electric Tankless Water Heater produces approximately 2.1 tons of CO2 annually at typical usage. Houston residents can reduce this footprint by choosing an ENERGY STAR certified unit, optimizing usage patterns, or investing in solar — see our solar savings calculator for Houston.
Compare All Energy Costs in Houston
See energy costs for 178+ household appliances at Houston's local electricity rate.
Frequently Asked Questions
How much does it cost to run an Electric Tankless Water Heater in Houston, TX?
At Houston's average electricity rate of 12.6¢/kWh, an Electric Tankless Water Heater costs approximately $825 per year to run. That's about $68.77 per month with typical usage of 1 hours per day.
What is the electricity rate in Houston, TX?
The average residential electricity rate in Houston, TX is 12.6¢/kWh, which is 3% below the national average of 13.0¢/kWh. The primary utility provider is CenterPoint Energy.
How much electricity does an Electric Tankless Water Heater use per year?
A Electric Tankless Water Heater uses approximately 18,000 watts and consumes about 6,570 kWh per year with typical usage of 1 hours/day for 365 days/year.
Is an Electric Tankless Water Heater expensive to run in Houston?
Compared to the national average cost of $854/year, running an Electric Tankless Water Heater in Houston costs $29 less per year due to lower local electricity rates.
How can I reduce my Electric Tankless Water Heater energy cost in Houston?
To reduce Electric Tankless Water Heater costs in Houston: Install point-of-use units for remote fixtures. Size properly for peak demand. Upgrading to an ENERGY STAR model saves up to 24% on energy costs. Also check with CenterPoint Energy for local energy efficiency rebates and programs.