Does turning down the temperature on an electric hot water system save money and help the environment?

Hi. I live in Australia and we have an electric mains hot water system with a capacity of approximately 210L. We seem to be paying alot for electrictiy, approximately $1200/year, however we do not run any heating or air-conditioning appliances and are we are careful to minimize our power comsumption. Three people share this house. When I check our power bill there is no charge for any off-peak usage of power so I'm guessing the hot water system must turn on/off whenever it needs to. The water that comes out of the system is extremely hot, you can't even put your hand under it. Would turning down the temperature on the hot water system save us money and also cut greenhouse gas emissions? Thanks for your answers guys.

Answer:
Yes it can save money but a better way that I used was to install a "timer" that you can find at almost any good hardware store. But be sure to get one that you may set for more than one time a day because as you will find out you use your hot water most in the mornings and evenings.
I experimented and found that by setting the hot water timer to come one for only about 3 hours in the mornings that was enough for the morning! But in the evenings if you have a large family especially you will have to set it for longer periods to cover bathing, dishwashing, washing of clothes ect.
Figure you have it set for even as much as 10 hours each day! You still have 14 hours of electricity you save each day! 98 hours per week or 5,116 hours per year!!
So yeah you can definitely save money.

As far as greenhouse gas emissions!?! I don't thing all the water heaters in the world could do near the damage as automobiles do! Much less the factories that are in countries that don't care or can't afford to manage their pollutants better.

One report I read had to do with "Acid Rain" and "Mercury content" in water resources in Florida. They found that all the plants in Florida couldn't count for the amount of mercury they had found in the bodies of dead animals such as raccoons, and even full grown Florida panthers! Through much research they finally came to the conclusion that the air currents brought the poisons from as far away as Europe to add to our own toxins! Danged if you do, danged if you don't!!

It's a can't win situation! But God bless those who at least do their part and try!
Yes, water too hot means even under best insulation you have more heat loss which wastes energy and your money. Set thermostat to just hot enough for your needs and waste less.
It does save energy if you turn down the temperature on any water heater, whether it is gas or electric.
the biggest reason would be not to scald yourself. most tanks are so well insulated that you probably have the WH on all night-but it used no electricity. is$100 a month a lot for 3 people?
Yes, it will.

But not as much as using less water AND/OR using cooler water. You can also by an additional insulator for your water heater.
yes

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