Performance of ICS solar water heater was compared with natural circulation type solar water heater. Natural circulation type solar water heater consist of a flat-plate collector made of copper fin having absorber area 1.9 m2 and doubled walled storage tank of 100 litres capacity. The detailed design has been described by Nahar [16]. Both the solar water heaters were filled in the morning and hot water temperatures were recorded regularly. The average hot water temperature was 57.3o C and 62.0oC at 1600 hours same day that was retained to 43.0o C and 50.4o C till next day 0800 hours when tap water temperature was 17.0o C in ICS and natural circulation type solar water heater respectively. This suggest that performance of ICS solar water heater is as good as of natural circulation type solar water heater while cost of ICS solar water heater is Rs 8000.00 where as cost of natural circulation type solar water heater is Rs. 12000.00 ( 1.0 Euro = Rs 60.00).