Water heaters use about 16% of the energy used in the typical home. This is an unnecessary financial burden on most home owners and an unnecessary burden on US energy supplies. Currently, the high cost of solar hot water systems discourages alternatives to Natural gas, Propane and electric water heaters. It is the primary objective of the proposed SBIR phase I & amp; II projects to develop a very low cost solar water heating system that also has low installation costs. Commercial Application and Other Benefits Currently, Solar Water Heaters are only utilized in 1% of US homes. Compare that to Israel where 91% of homes use solar water heaters. The US has a great opportunity to save money and energy resources by increasing the use of solar water heating. Manufacturing and installation of solar water heaters in the US will also create many new jobs.