The paper presents dynamic model of hot water storage tank. The literature review has been made. Analysis of effects of nodalization on the prediction error of generalized finite element method (GFEM) is provided. The model takes into account eleven various parameters, such as: flue gases volumetric flow rate to the spiral, inlet water temperature, outlet water flow rate, etc. Boiler is also described by sizing parameters, nozzle parameters and heat loss including ambient temperature. The model has been validated on existing data. Adequate laboratory experiments were provided. The comparison between 1-, 5-, 10- and 50-zone boiler is presented. Comparison between experiment and simulations for different zone numbers of the boiler model is presented on the plots. The reason of differences between experiment and simulation is explained.