Tankless standby temperatures are room temperature. Old and stagnant water is 100% flushed out of the heater every time it is used. After the water heating cycle, a tankless will also heat the water in the heater above 140 degrees.
Tank water heater and distribution system temperature recommendations are listed here.
OSHA recommendations
DOMESTIC HOT-WATER SYSTEMS.
Background. Domestic hot-water systems are frequently linked to Legionnaires' outbreaks. The term "domestic" applies to all nonprocess water used for lavatories, showers, drinking fountains, etc., in commercial, residential, and industrial settings. Disease transmission from domestic hot water may be by inhalation or aspiration of Legionella-contaminated aerosolized water. Water heaters that are maintained below 60°C (140°F) and contain scale and sediment tend to harbor the bacteria and provide essential nutrients for commensal micro-organisms that foster growth of L. pneumophila. Large water heaters like those used in hospitals or industrial settings frequently contain cool zones near the base where cold water enters and scale and sediment accumulate. The temperature and sediment in these zones can provide ideal conditions for amplification of the organism. Dead legs (i.e., sections of piping or plumbing that have been altered or capped such that water cannot flow through) and nonrecirculated plumbing lines that allow hot water to stagnate also provide areas for growth of the organism.
Design. Water systems designed to recirculate water and minimize dead legs will reduce stagnation. If potential for scalding exists, appropriate, fail-safe scald-protection equipment should be employed. For example, pressure-independent, thermostatic mixing valves at delivery points can reduce delivery temperatures. Point-of-use water heaters can eliminate stagnation of hot water in infrequently used lines. Proper insulation of hot-water lines and heat tracing of specific lines can help maintain distribution and delivery temperatures.
Maintenance.
a. To minimize the growth of Legionella in the system, domestic hot water should be stored at a minimum of 60°C (140°F) and delivered at a minimum of 50°C (122°F) to all outlets. The hot-water tank should be drained periodically to remove scale and sediment and cleaned with chlorine solution if possible. The tank must be thoroughly rinsed to remove excess chlorine before reuse.
b. Eliminate dead legs when possible, or install heat tracing to maintain 50°C (122°F) in the lines. Rubber or silicone gaskets provide nutrients for the bacteria, and removing them will help control growth of the organism. Frequent flushing of these lines should also reduce growth.
c. Domestic hot-water recirculation pumps should run continuously. They should be excluded from energy conservation measures.
Control.
a. Raising the water-heater temperature can control or eliminate Legionella growth. Pasteurize the hot water system by raising the water-heater temperature to a minimum of 70°C (158°F) for 24 hours and then flushing each outlet for 20 minutes. It is important to flush all taps with the hot water because stagnant areas can "re-seed" the system. Exercise caution to avoid serious burns from the high water temperatures used in Pasteurization.
b. Periodic chlorination of the system at the tank to produce 10 ppm free residual chlorine and flushing of all taps until a distinct odor of chlorine is evident is another means of control. In-line chlorinators can be installed in the hot water line; however, chlorine is quite corrosive and will shorten the service life of metal plumbing. Control of the pH is extremely important to ensure that there is adequate residual chlorine in the system.
c. Alternative means to control Legionella growth include the use of metal ions such as copper or silver (which have a biocidal effect) in solution. Ozonization injects ozone into the water. Ultraviolet (UV) radiation also kills microorganisms. Commercial, in-line UV systems are effective and can be installed on incoming water lines or on recirculating systems, but stagnant zones may diminish the effectiveness of this treatment. Scale buildup on the UV lamp surface can rapidly reduce light intensity and requires frequent maintenance to ensure effective operation.