Hello. I have been told that my water heater needs to be replaced. The plumber said they will have to install a TMP line or valve. Water Heater is in the basement and there is not a drain in the room where the water heater is. He said this will bring us up to code and that it will cost $165.00. Do I really need this and is that a reasonable price for this item? Thank you!

Did he say TMP or T&P? If this is a T&P valve you are being taken.

In your situation, and w/o functional floor drain, the T&P run off line should be terminated on the exterior of the house. If plumber has to run 3/4" copper line to the outside, than the charge is fine.

I agree with milo. If the t & p [temperature and pressure] valve discharges, you do not want either the volume of water nor the heat of that water inside your home.

Hello. I have been told that my water heater needs to be replaced. The plumber said they will have to install a TMP line or valve. Water Heater is in the basement and there is not a drain in the room where the water heater is. He said this will bring us up to code and that it will cost $165.00. Do I really need this and is that a reasonable price for this item? Thank you!

I think you're being ripped. In my area it's acceptable to install a heater pan,(see image) and have the T & P discharge line drain directly into the heater pan,(see image). Having said that it's always better to both pan the heater and direct the pan drain and the T & P dicharge to the outside. Good luck and thank you for rating my answer. Tom

PVC is inexpensive. If he plans on using PVC than the price appears to be bit too high...

However, Code in my area of operation tells me that water hater has to be drain using rigid discharge pipe. Call your local Inspector and ask him what materials should be used...