When it comes to commercial water heaters you have the option for a commercial gas water heater or a commercial electric water heater. Whatever you select you need energy to produce either flames or power to heat the water. Whichever you decide will likely depend on how your facility is constructed. You may not have an option as to which option to select for your facility. If you are constructing a newly built facility and are on the fence about which to select, you will want to consider the two main options when it comes to heating your water.  Electric: A commercial electric water heater uses electricity to warm up the heating elements to transfer heat to the water inside. This is one of the most common types of commercial water heaters.  Gas: A commercial gas water heater uses gas to produce flames that make the water hot. Natural gas tends to be more economical and is usually readily available. Depending on where you live in the country will likely dictate which selection is more economical. This is largely similar to electric versus gas dryers. If you have the option to decide whether you want a gas or an electric water heater you will want to research the ongoing cost comparison of each. Whichever will save you money in the long run should dictate your selection as both options will heat your water just fine. There is no difference in terms of performance when comparing an electric versus a gas water heater.