I think he's talking about stealing energy from the pressure in your water lines, not electrolysis.
But richie, let me stress, while in theory you WOULD get energy out of the system, it would be minimal. Look at these points:
1. To get the energy water would have to be constantly flowing == money.
2. The small time you do run water consider this:
How much energy do you think is required to push water through your pipes at the rate it comes out at? I figure I can get an electric pump that's quite small to do the job, and only run it at a medium pace. Thats not much energy requirement to do the work. Then look at it backward, that's the maximum energy you could ever possibly get out. Enough to charge a a couple of D batteries most likely. Not enough to consider building anything to harness.