Electric Water Heater Smoking
My approximately 10-year-old Sears Kenmore Power Miser 10+ 50 gal. electric water heater is smoking from the top panel where the Indicator Light is. What alerted me to the problem was a strange clanking sound. When I went to investigate, there was a strong electrical burning smell coming from the closet where the water heater is located. Shining a flashlight on the top of the water heater lighted a waft of smoke rising from the top panel. That's when I threw the two breakers to the water heater. The tank is not leaking, and the only water I can see is a small rusty sheen surrounding the place where the copper cold water intake pipe enters the tank. Over time, since the breakers were turned off, the smoking has stopped. Hot water is still coming from the taps in the kitchen/bathrooms. What's wrong?