Reclaim Energy vs Rheem: Which Heat Pump Is Better? (2026)
Quick Verdict
Reclaim Energy is the more efficient choice with a higher COP rating, meaning lower running costs over time, while Rheem is more budget-friendly with a lower upfront cost starting from $3,200.
Side-by-Side Comparison
| Feature | Reclaim Energy | Rheem |
|---|---|---|
| Price range (installed) | $6,600 - $8,000 | $3,200 - $4,800Lower |
| COP (efficiency) | 4.5Higher | 3.5 |
| Tank warranty | 10 years | 10 years |
| Compressor warranty | 5 years | 5 years |
| Noise level | 37dBQuieter | 47dB |
| Annual running cost | ~$263/yrLower | ~$338/yr |
| Refrigerant type | CO2 (R744)Eco-friendly | R134a |
| Country of manufacture | Australia | Australia |
| Australian made | No | Yes |
| Best for | Homeowners wanting premium Australian-designed quality with the quietest operation | Homeowners who want a reliable, well-supported mid-range option from a trusted Australian brand |
Price Comparison
Reclaim Energy starts from $6,600 installed (before rebates), while Rheem starts from $3,200. That is a difference of roughly $3,400 at the entry level. Rheem is the more budget-friendly option upfront, though Reclaim Energy may deliver savings through lower running costs over time. Both prices are for fully installed systems before government rebates and STCs, which can reduce the out-of-pocket cost by $1,000 to $3,000 depending on your state.
Efficiency Comparison
COP (Coefficient of Performance) is the key efficiency metric for heat pumps. A higher COP means more heat output per unit of electricity consumed. Reclaim Energy achieves a COP of 4.5, while Rheem reaches 3.5. The Reclaim Energy is 29% more efficient, which translates to roughly $75 less per year in running costs. Over a 10-year lifespan, that efficiency advantage adds up to approximately $750 in savings.
Warranty Comparison
Reclaim Energy offers a 10-year tank warranty and 5-year compressor warranty. Rheem offers a 10-year tank warranty and 5-year compressor warranty. Both brands offer the same tank warranty length, so warranty coverage is comparable.
Noise Comparison
Noise is an important consideration, especially for suburban installations where the unit may be close to bedrooms or neighbouring properties. Reclaim Energy publishes 37dB for its quietest model, and Rheem publishes 47dB. The Reclaim Energy is quieter at 37dB. At under 40dB, this is comparable to a quiet library and unlikely to cause any disturbance.
Climate Suitability
The type of refrigerant a heat pump uses significantly affects its performance in cold weather. Reclaim Energy uses CO2 (R744) refrigerant, while Rheem uses R134a. Reclaim Energy has the advantage here. CO2 (R744) refrigerant performs exceptionally well in cold climates, maintaining high efficiency even when temperatures drop below 0 degrees Celsius. R134a-based systems like the Rheem can lose efficiency in colder conditions, though they still perform well in most Australian climates.
Pros and Cons
Reclaim Energy
Pros
- Australian designed
- Split system design allows flexible installation
- Very quiet (37dB)
- Excellent COP of 4.5
- CO2 refrigerant (environmentally friendly)
- Eligible for higher VIC rebate tier
Cons
- Higher upfront cost
- Requires separate indoor tank space
- Limited installer network in some areas
Rheem
Pros
- Well-known trusted brand
- Wide installer network
- Integrated design (simpler install)
- Competitive pricing
- Australian made and owned
Cons
- Shorter warranty than premium brands
- Lower COP than Sanden/Reclaim
- Noisier than split systems
- R513a refrigerant, not the CO2 used by the premium split systems
Which Should You Choose?
Choose Reclaim Energy if...
- You want the best efficiency and lowest running costs (COP 4.5 vs 3.5)
- Quiet operation matters to you (37dB vs 47dB)
- You want lower annual running costs (~$263/yr vs ~$338/yr)
- You live in a colder climate and want CO2 refrigerant for better cold-weather performance
Choose Rheem if...
- You want a lower upfront cost (from $3,200 vs $6,600)
Buying in Victoria? Stack up to $2,700 in rebates
Whichever brand you pick, Victorian households can stack the Solar Victoria Hot Water Rebate ($1,000-$1,400), the Victorian Energy Upgrades discount ($500-$2,000), and federal STCs ($500-$1,200) ahead of the 1 March 2027 gas ban deadline. Reclaim Energy has models on Solar Victoria's locally made list, which qualify for the higher $1,400 tier.
Heat pump guides
- Every Australian heat pump rebate, with the dated changes
- The best heat pump hot water brands in Australia
- Heat pump hot water cost in Australia
- Victoria heat pump rebates
- New South Wales heat pump rebates
- Queensland heat pump rebates
- South Australia heat pump rebates
- Australian Capital Territory heat pump rebates
- Western Australia heat pump rebates
- Tasmania heat pump rebates
- Northern Territory heat pump rebates
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