British electricity supplier cuts consumer bills with doubled solar power tariff
Post date: 21/09/2022 - 09:12
British energy supplier Octopus Energy is doubling the tariff for electricity fed into the grid from solar power systems and other feed-in systems – such as storage systems or small wind turbines – from 7.5 to 15 pence (17.1 cents). The move is intended to help customers by reducing their total cost of electricity, i.e. the bill for electricity supplied by Octopus minus the payment for electricity fed into the grid by customers.
The company is responding to the enormous increases in electricity wholesale prices, which on the one hand caused the cost of purchasing electricity for end customers to skyrocket, while at the same time multiplied the revenue from trading the solar power fed into the grid.
Octopus Energy had already increased its tariff by 36 percent in February and now pays three times as much as the next highest tariff of another company, according to its own information. In the »Agile Outgoing« tariff, in which the remuneration is adjusted every half hour to the trading prices achieved, operators of feed-in plants have already been benefiting from the price increases in wholesale for some time. According to the company, an average of 34 pence (38.8 cents) has been paid here over the last twelve months.
Octopus Energy, which operates in eight countries, was founded in 2015 with the support of the fund management company Octopus Group and is, according to its own reports, the fourth-largest energy supplier in the UK.