Do you have a water heater installed in your home? Have you heard about the Mandatory Energy Labelling Scheme (MELS) by National Environmental Agency (NEA) that is extended to household water heaters on 1st April 2025, adding them to the list of regulated appliances such as refrigerators, air-conditioners, and clothes dryers. This move is part of ongoing sustainability efforts to make households more energy efficient.
Mandatory Energy Labelling Scheme (MELS) by National Environmental Agency (NEA)
More than 200 water heater models have been registered since then, and they are rated from one to five ticks for energy efficiency. These include gas instantaneous, electric instantaneous, and electric storage models. To date, the highest rating achieved among the 3 models is four ticks, with 16 out of 21gas instantaneous heaters reaching this benchmark, compared to just 2 out of 68 electric storage models.
A higher tick rating indicates more hot water produced for every kilowatt-hour (kWh) of energy consumed. By switching from a 1-tick electric storage to a 4-tick gas instant model, households can save up to $1,200 over the gas water heater’s lifespan based on a stud by NEA (1).
The calculation assumes three showers a day per household. Families who use more hot water may enjoy even greater savings, and possibly more if their current heater falls below the 1-tick efficiency benchmark.
Carbon Emissions
A research study (2) by Associate Professor Lee Siew Eang, Honorary Fellow, Department of the Built Environment, College of Design and Engineering, National University of Singapore (NUS), indicates that gas water heaters emit about 0.1913kg of CO2 per kWh, compared to 0.4085kg for electric water heaters.
The higher emissions from electric storage water heaters stem from the fact the electricity must be generated, mainly by burning natural gas (3) in Singapore. In contrast, town gas can be used directly for heating, without the extra conversion step that causes additional energy loss and emissions.
Electric storage water heaters not only emit nearly twice the carbon per unit of energy, they are also less energy efficient, as they experience higher standby losses from keeping large volumes of water heated over extended periods.
Electric storage water heaters are estimated to emit about 400kg of carbon per user each year, that is five times more than gas instant models at 80kg. By switching to gas water heaters, it could therefore cut emissions by up to an estimated 320kg annually per user.
If every household in Singapore uses an electric storage water heater and collectively switches from using electric storage water heaters to gas instant water heaters, we could offset carbon emissions equal to planting about 1.4million trees or removing more than 300,000 cars from the road annually.
How many homes in Singapore use gas water heaters? Over 210,000 homes
City Energy, Singapore’s sole provider of piped town gas, observed growing uptake among condominium developers in the past 3 years, with 70% of newly built private homes with town gas connections opting to install gas water heaters.
How many homes in Singapore use gas water heaters? Over 210,000 homes nationwide to date, representing roughly 14.3% of all homes in Singapore. Across completed projects, installations are up about 210% in 2023-2025 versus 2020-2022, driven by stronger efficiency messaging, updated designs, and the promise of on-demand hot water.
Soh Guan Hong, Senior Vice President, Residential Sales Group Head, City Energy said: “As households become more conscious of their energy use and taking an active role in choosing lower-carbon choices, we expect City Energy to play an even bigger role in Singapore’s sustainability journey starting with raising awareness of gas water heaters. With NEA’s labelling scheme raising awareness, more families and developers are now prioritising efficient appliances. We will continue working to make gas water heating even more accessible for modern homes.”
Koon Wai Leong, General Manager, Hoi Hup Pte Ltd said: “In planning new developments, we look closely at what adds long-term value for homeowners. Gas water heaters stand out because they are more energy efficient, and space-saving. With the national labelling scheme now in place, we see more buyers asking for appliances that meet higher energy standards. Installing gas water heaters gives our projects an edge, while also aligning with Singapore’s broader sustainability goals. It’s a choice that benefits both residents and the environment.”
Tony Wong, homeowner at The Waterview Condo, said: “For us, choosing a gas water heater was about ease of maintenance, comfort and conscience. We liked that it heats water quickly without wasting energy, which keeps our bills down and means we never run out of hot water, even with back-to-back showers. Knowing that it also reduces our household carbon footprint is just icing on the cake. It feels good to know that our daily routines can be both convenient and environmentally responsible.”
Why are more Singapore households choosing gas water heaters?
Why are more Singapore households choosing gas water heaters? If you have an electric storage water heater at home, you would know that it has to reheat an entire tank of water to about 60 degrees Celsius each time before use.
This requirement is not just for user comfort, it’s also to prevent bacteria such as Legionella from growing in the tank. As for gas water heater, they only heat the water that is needed at the moment of use.
Other Benefits of Gas Water Heaters
Using gas water heaters in your home, here are some of the benefits:
Energy and Cost Efficiency
- Operate on demand, this helps households avoid wasted energy and lower their utility bills, especially amid rising electricity tariffs
Convenience and Comfort
- Deliver hot water instantly with no waiting time
- Provide consistent temperatures even during back-to-back showers
- Offer strong flow rates suitable for rain shower and multi-point usage
Space-Saving Design
- Tankless and wall-mounted design frees up space in bathrooms and service yards
- Ideal for space-conscious households in BTO flats, condominiums, and apartments
Life by City Energy Gas Water Heaters
City Energy also launched its own brand of gas water heaters currently available only to HDB homeowners. They have smart home integration with their iAppliances app, users have greater control over comfort and energy use.
Life by City Energy Gas Water Heaters are designed for service yard installation, they are compact and stylish, with six colour options that complement modern interiors. That eliminates the bulk and maintenance challenges of traditional storage tanks, which often occupy precious space or requirement concealment behind false ceilings.
Life by City Energy Gas Water Heaters are engineered with self-adaption technology for stable water temperature and whisper-quiet operation, they also carry TUV SUD certification with 25 protective mechanisms to ensure peace of mind for families.
If your household has multiple bathrooms, you are a homeowner that values aesthetics and want to enjoy the ultimate rain showering experience, Life by City Energy Gas Water Heaters offers a solution that combines reliability, safety, and modern convenience.
Notes:
- https://www.nea.gov.sg/our-services/climate-change-energy-efficiency/energy-efficiency/household-sector/tips-on-buying-energy-efficient-appliances
- Study On Domestic Water Heaters Energy Use And Its Climate Impact In Singapore – Page 51
- https://www.sg101.gov.sg/environment/case-studies/energy/