Home › Appliances › Heating & Cooling › Electric Tankless Water Heater › Canada (average)
How Much Does It Cost to Run a Electric Tankless Water Heater in Canada? (2026)
Electric tankless heaters draw enormous power, 12 to 36 kW, but only while hot water is flowing. They avoid the standby losses of a tank, saving 10 to 30 percent for most households, but need heavy wiring.
A typical electric tankless water heater (18,000 W) costs C$2.52 per hour, or about C$56.70 per month at 0.75 hours a day in Canada (average). Expensive to run
| Wattage | Per hour | Per day | Per month | Per year |
|---|---|---|---|---|
| Low (12,000 W) | C$1.68 | C$1.26 | C$37.80 | C$459.90 |
| Typical (18,000 W) | C$2.52 | C$1.89 | C$56.70 | C$689.85 |
| High (36,000 W) | C$5.04 | C$3.78 | C$113.40 | C$1,380 |
Formula: watts ÷ 1000 × hours × price per kWh. Typical use is 0.75 h/day ≈ 4,928 kWh per year.
In Canada, with electricity at C$0.14 per kWh (source: Canada Energy Regulator 2026 market snapshot, 2026-06), a typical electric tankless water heater costs C$2.52 per hour and about C$689.85 per year at 0.75 hours a day. Each C$1.00 of electricity buys roughly 0.4 hours of use.
How to lower the cost of running a electric tankless water heater
- Install low-flow showerheads. Flow rate directly drives power draw.
- Fix hot water drips. Each one fires the heater.
- Set the outlet temperature to 49 C and skip mixing cold water at the tap.
In standby it draws about 2 W, which adds roughly 18 kWh (C$2.45) per year if it is never unplugged.
Frequently asked questions
How much does a tankless water heater cost per month?
About 400 kWh a month for a family of four, roughly 10 to 30 percent less than a tank.
Do tankless heaters use a lot of electricity?
A lot at once, but for short periods. Total use is typically lower than a tank.
Do I need a panel upgrade for an electric tankless heater?
Often yes. Whole-house units need 100 amps or more of dedicated capacity.
Compare with
Cost by region
- United States (average)
- California
- Texas
- New York
- Florida
- Canada (average)
- United Kingdom
- Germany
- France
- Australia
- India