Install pipe insulation
This tip saves water and energy. By keeping the water warm in the pipes, you don’t need to run the tap as long to get hot water. So, you save the water, and the energy to heat the water. In addition, the heat escaping from uninsulated pipes heats your home summer and winter. In the summer this over heats your building. It is a waste in the winter as well because the water heater is likely less efficient than your furnace or boiler.
Pipe insulation is available at any hardware store. Check your pipe size (1/2 inch, 3/4 inch, etc.) and measure the length you need. The insulation just slides on to the pipe.
SES recommends insulating all accessible hot water lines, and the cold water lines within one meter of the water heater. It is important to ensure that pipe insulation does not interfere with the chimney.