Smart tariffs – also known as time of use tariffs – offer different prices for energy at different times of the day. So, you get cheap energy prices during off-peak hours. (Such as when fewer people are using energy overnight, or when renewable energy generation is peaking.)
Getting low costs whenever there’s green energy flowing through the wires is great. But there’s an obvious blocker to taking full advantage of these low rates. Your electricity will typically be cheapest between 10pm and 8am. (Often, with the very best rates available during the small hours of the morning.) So, realistically speaking, how many of us can shift the bulk of our electricity use to this super-cheap window?
Enter home storage batteries. When paired with smart tariffs, a home battery will put you back in control of your energy spend. Let’s take a closer look.
What are smart tariffs?
Currently, the most common tariff type in the UK is the standard tariff. This only offers you a single flat rate throughout the day.
Smart tariffs, however, are disrupting this standard approach by breaking away from one flat rate. So, you as the billpayer get more flexibility.
If you opt for a smart tariff, it will typically come in one of two formats: static, or dynamic.
- Static smart tariffs offer two or more rates for electricity at fixed times of the day. So, you’ll typically pay less during the day and overnight than you would on weekday evenings.
- Dynamic smart tariffs offer a different price per unit of energy depending on the time of day. Here, times and rates are changeable. You might pay less depending on great wind power generation that day, for example.
The role of smart tariffs
So, flexibility aside, why do we need smart tariffs?
Simply put, there’s a reason that “peak” energy is classed as such. By and large, we all complete the daily routines – putting in a laundry load, heating the oven, settling in front of the TV and so on – within similar time windows.
Unfortunately, this peak activity means energy is more expensive. The demand on the grid is high, and we need to rely on fossil fuels to ensure everyone can use electricity at the same time.
Smart tariffs, then, seek to incentivise ‘load shifting’. In other words, to stop drawing from the grid when it’s at its costliest and dirtiest – and instead shifting electricity use to cleaner off-peak windows. In the process, smart tariffs cut energy bills and carbon emissions alike.
If, that is, you can take advantage of them.
Why smart tariffs need home storage batteries
A home storage battery does what it says on the tin: it’s a battery that stores energy for your home. To do so, it can take charge cheaply from renewable sources, and / or from the grid using off-peak rates. Then, it can discharge when energy costs are high.
So, let’s say you want to take advantage of smart tariffs. You can charge your battery using the super-low overnight rates on offer, and then switch to battery power during peak hours. Even better, with a GivEnergy battery, this process will happen automatically.
Intelligent charging and discharging to shrink your energy bills
Our home batteries take advantage of smart tariffs to charge and discharge intelligently, allowing you to power your property cheaply and sustainably.
Here’s how it works:
- GivEnergy batteries come with built-in smart technology that means your system is primed for agile tariffs and smart grid trading
- Our algorithms work behind the scenes to ensure the smartest, cheapest management of the charge and discharge cycle
- Your battery takes advantage of cheap rates automatically. No need for you to lift a finger or manually tell the system what to do
A match made in heaven
Smart tariffs, in and of themselves, are a great initiative in the clean energy transition. But it is only with energy storage capacity that the average billpayer can unlock their full potential.
With smart tariffs and a battery storage system combined, you can effortlessly shift your electricity use during peak hours. And, in the process, you can power your home sustainably, dodge peak prices, and contribute to a cleaner grid.
So, ready to start saving up to 85% on your energy bills? Start your journey with GivEnergy today.