Neither system type is simply better. They fail in different ways, cost differently over time, and suit different households, so the right answer depends on how your home actually uses hot water. Here is the comparison we run through at quote time.
Continuous flow vs storage at a glance
| Factor | Gas continuous flow | Storage (electric or gas) |
|---|---|---|
| Installed cost with us | $1,900 to $3,500 | Electric $1,300 to $2,400; gas $1,800 to $3,200 |
| Typical lifespan | 15 to 20+ years | 10 to 12 years (tank corrodes) |
| Hot water supply | Endless, but flow-rate limited | Fixed tank volume, then recovery wait |
| Simultaneous showers | Depends on unit size (litres per minute) | Fine until the tank runs down |
| Space needed | Small wall-mounted box | Full tank footprint |
| Power outage behaviour | Stops (needs electricity to fire) | Stored water stays hot for hours |
| Best fit | Gas-connected homes, 1 to 4 people, space-tight sites | Off-peak electric homes, big simultaneous demand, simplest swap |
How does each system actually work?
A storage system heats a tank of water, 125 to 315 litres in most homes, and keeps it at 60 degrees until you use it. When the tank is empty of hot water, you wait for recovery. A continuous flow unit heats water only as it passes through the unit, so it never runs out, but it can only heat so many litres per minute. That flow rating is the single most important number on the spec sheet. An undersized continuous flow unit is the source of most complaints about the technology: the water is hot forever, but the moment a second shower and the kitchen tap run together, everyone gets less flow or cooler water. Sizing the unit to your fixtures, not just your household headcount, is the job we are actually doing when we quote one.
Which is cheaper to buy and install?
Storage is cheaper upfront in most cases. Our published installed pricing is electric storage $1,300 to $2,400, gas storage $1,800 to $3,200, and gas continuous flow $1,900 to $3,500. A like-for-like swap is always the cheapest path because the plumbing, gas and electrical are already where they need to be. Switching type, say storage to continuous flow, can add cost for gas line upsizing, because continuous flow units draw a lot of gas when firing and older supply lines are often undersized for them under AS/NZS 5601. We check the existing line size before quoting, and the quote you get is fixed. If your home has no gas connection at all, a heat pump at $2,500 to $4,500 after rebates usually beats bottled-gas continuous flow on running cost and is worth pricing alongside.
Which costs less to run on the Gold Coast?
It depends on your tariff and usage pattern more than the sticker. Continuous flow has no standby heat loss, because there is no tank sitting there radiating warmth all day, so light users and holiday-pattern households often do better on it. Storage electric on an off-peak tariff remains cheap to run per litre, and a heat pump on daytime solar is cheaper again for many homes. Gas prices in South East Queensland have not been trending in gas's favour, which is an honest thing to say on a page written by a gas fitter, so if running cost is your main driver and you have solar panels, ask us to price the heat pump comparison too. What we see in practice is that the households happiest with continuous flow chose it for endless hot water and space savings, not to chase the last dollar of running cost.
How long does each type last?
Continuous flow units routinely reach 15 to 20 years and beyond with servicing, because there is no tank to corrode; the failure points are sensors, fans and heat exchangers, which are repairable. Storage tanks last 10 to 12 years on average because the cylinder itself eventually rusts through, and no repair exists for that. Coastal Gold Coast installs sit at the harsher end for both types, and the pattern across our own jobs is that anode changes every 3 to 5 years are what separates the 8 year tanks from the 14 year tanks. Whichever way you go, installation in Queensland is licensed work under the Plumbing and Drainage Act 2018, with gas connections to AS/NZS 5601 and tempering to AS/NZS 3500.4, and you should receive a compliance certificate when the job is done.
So which one should I choose?
Choose continuous flow if you have natural gas, your household showers at staggered times, and you value never running out. Choose storage if you want the lowest upfront cost, you run big simultaneous demand, or you are on cheap off-peak electricity. Choose neither blindly: the right unit size matters more than the category.
Want a fixed price on both options for your home? Call Hills Plumbing & Gas on 0472 657 042 or book through our Hot Water Systems service page. Gold Coast wide, QBCC licence 15243081, prices published upfront.
Sources: Plumbing and Drainage Act 2018 (Qld); AS/NZS 3500.4; AS/NZS 5601; QBCC licensing requirements.