I am modeling the annual energy use for a mid-rise residential building. The hot water for the showers and lavatory faucets will be provided by tankless electric instantaneous heater installed in each bathroom. The shower heads and lavatory faucets are all low flow fixtures. No other equipment will be provided with hot water. The size of the proposed water heater is 4.5 kW.

Table 7.8 shows minimum performance only for systems with storage volume for electric heaters, hence, I understand this to mean that tankless water heaters are not included in the table. Do I model the baseline system with the same system as the proposed design with no minimum performance requirement per 7.4.2 since the system is not listed in Table 7.8?

Your comments and guidance will be highly appreciated.