Feeling Snug: Octopus Energy launches UK’s first smart tariff for traditional storage heaters

• Octopus launches UK’s first smart tariff for traditional storage heaters
• ‘Snug Octopus’ could save the average customer almost £140 a year
• Smart tariff powers storage heaters at cheapest and greenest times

London, 18th November 2024 - Octopus Energy continues to innovate home heating with the launch of ‘Snug Octopus’, the UK’s first smart tariff for traditional electric storage heaters.

The savvy smart tariff automatically schedules traditional storage heaters to work their magic at the cheapest and greenest times, helping to balance the grid and keep customers cosy for less.

‘Snug Octopus’ offers up to 6 hours of cheap energy every night with an extra hour in the afternoon for a toasty 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**.

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 is the control it offers customers, empowering 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, said: “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.

Eligible customers who are interested in ‘Snug Octopus’ can sign up here****.

-ENDS-

Notes to Editors:

*Customers will be charged 9p/kWh for electricity when their heater is charging on their Snug schedule and during off-peak hours (between 00:30 and 06:30).

**Compared to an Ofgem-defined typical medium-sized home on a multi-rate tariff, such as ‘Flexible Octopus’ Economy 7.

***National Housing Federation.

****Customers who have a storage heater that enables it to be controlled by the meter and have a second generation smart meter (SMETS2) are eligible for the tariff.

Press Contacts

Octopus Energy Group

press@octoenergy.com

+44 (0)20 4530 8369

About Octopus Energy Group

Octopus Energy is a global clean energy tech business, driving the affordable, green energy system of the future. Under its own retail brand, Octopus delivers world-class customer service and cutting edge energy products to 9 million households globally. Its operations span 18 countries and the entire energy value chain. The group invests in, builds and flexibly manages renewable energy, operating a £7 billion portfolio of projects.

Octopus has licensed its advanced data and machine learning platform, Kraken, to support over 54 million customer accounts worldwide through licensing deals with companies such as EDF, E.ON and Origin Energy. Kraken enables Octopus to drive the electrification of heat and transport through smart tariffs and innovative cleantech. Backed by pension funds, investors and energy giants, Octopus Energy Group businesses deliver cheaper, greener energy and cutting-edge tech to countries and customers worldwide.

For more information, check out our website.