You are here: Home - Household Bills - News -

Households to be paid again tonight for cutting electricity use

0
Written by: Rebecca Goodman
24/01/2023
The National Grid is set to activate its Demand Flexibility Service again tonight, paying households for reducing their energy usage.

It is the second time it’s been activated, the first was last night, after fears that electricity supply margins are tighter than usual.

On Monday, the first ever session took place between 5pm and 6pm and it saw those that reduced their electricity usage saving money.

Tonight, the service will run between 4.30pm and 6pm. The National Grid said: “As part of cautious measures to ensure we continue to have adequate operational reserves tomorrow evening, the ESO has activated the Demand Flexibility Service for Tuesday evening.”

These households will receive a discount on their energy bill, but only those with a smart meter who have signed up to the scheme can benefit.

How does the demand flexibility service work?

The service was launched in November to ease pressure on the electricity grid in particularly cold weather when demand is high. The aim is to reduce energy black outs, although these are the worst case scenario.

The first live event was due to run in November, over a fear of a drop in the energy available from France, but didn’t happen because it was not needed.

Energy suppliers sign up to the scheme and some, such as OVO and Octopus energy, have also run their own trials alongside the National Grid scheme.

Then, those customers who are signed up are told when the event will happen and during that time they are required to reduce their electricity usage, in return for a discount on their bills.

The exact amount people can save varies but some experts have estimated it could be up to £100, over the entire winter period.

Why has the service been triggered twice?

The current cold weather is putting pressure on the system as more people are keeping their energy and other electrical appliances on for longer.

As well as activating the new service, three coal plants had been asked to warm up in case they were needed to boost the UK’s electricity supply. Yet these events can be called off at any time if the weather improves.

Who can sign up to the service?

The service isn’t for everyone and you need to have a smart meter to sign up. Your energy supplier also needs to have joined, and 26 have already done so.

Then, your provider will have contacted you to join if you are eligible to ask if you want to take part in the event.

Providers have different rules around who can join, and many aren’t offering the event up to all customers, just those that have been selected. If you were selected and agreed to join, you will have been told in advance when the event would take place.

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

Everything you wanted to know about ISAs…but were afraid to ask

The new tax year is less than a fortnight away and for ISA savers or investors, it’s hugely important. If yo...

Your right to a refund if travel is affected by train strikes

There have been a wave of train strikes in the past six months, and for anyone travelling today Friday 3 Febru...

Could you save money with a social broadband tariff?

Two-thirds of low-income households are unaware they could be saving on broadband, according to Uswitch.

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

DIY investors: 10 common mistakes to avoid

For those without the help and experience of an adviser, here are 10 common DIY investor mistakes to avoid.

Mortgage down-valuations: Tips to avoid pulling out of a house sale

Down-valuations are on the rise. So, what does it mean for home buyers, and what can you do?

Five tips for surviving a bear market mauling

The S&P 500 has slipped into bear market territory and for UK investors, the FTSE 250 is also on the edge. Her...

Money Tips of the Week