As part of its ongoing efforts to innovate home heating, Octopus Energy has announced the launch of ‘Snug Octopus’, the UK’s first smart tariff for traditional electric storage heaters.
The smart tariff automatically schedules traditional storage heaters to work at the cheapest and greenest times, helping to balance the grid and keeping customers warm for less.
Snug Octopus offers up to six hours of cheap energy every night, with an extra hour in the afternoon for a boost at dinner time. This allows average customers to save almost £140 a year compared to a standard Economy 7 tariff without needing to invest in other low carbon tech, Octopus Energy claims.
Storage heaters work by storing heat generated during off-peak hours at night when energy prices are lower, and releasing it throughout the day when energy costs are higher.
What sets ‘Snug Octopus’ apart, according to Octopus Energy, is the control it offers customers, enabling them to adjust their heater’s runtime as they desire. This allows them to easily cut down their energy usage and costs whenever they want, such as during warmer months.
Around 1.7 million homes in the UK currently use storage heaters, and over 180,000 housing association homes rely on them for heating.
Rebecca Dibb-Simkin, Chief Product Officer at Octopus Energy Group, says, “Many homes struggling with fuel costs use electric storage heaters, making them especially vulnerable to rising energy prices.
“Snug Octopus is designed to help these customers take charge of their heating, adjusting it to fit their personal needs and schedules – all while enjoying the peace of mind that comes from using energy at the cheapest and greenest times.”
Smart tariffs are crucial for the energy transition as they enable customers to make the most of green electrons when they are abundant. Octopus Energy customers have already saved over £100 million by shifting energy usage out of peak times through smart tariffs and schemes.
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