Choosing the right tariff for your home

Many electricity suppliers offer tariffs with cheaper rates during off-peak hours—usually overnight or midday—when electricity demand is low. These are called Time-of-Use, Smart, or Dynamic tariffs. The ZEB can also work with EV tariffs, if you have an electric vehicle already. With the right tariff, you can enjoy significant savings while making your energy use greener.

Finding the best tariff depends on your lifestyle and what other green technologies you have at home, like an electric vehicle or home battery. We’ve created this guide to help you better understand the different types of tariffs available and how they can work for your ZEB.

Types of Electricity Tariffs

Electricity tariffs typically have two parts:

  • Daily Standing Charge: A flat fee you pay daily, whether or not you use electricity.
  • Unit Rate: The cost per kilowatt-hour (kWh) of electricity you use, which may vary depending on the time of day.

The main tariff types in the UK

1. Single-rate tariffs

With this tariff, the cost of electricity is the same no matter when you use it. There’s no financial benefit to shifting your usage to off-peak times, but it can still help reduce your carbon footprint (more on that below).

2. Static time-of-use tariffs

These tariffs offer two unit rates: a lower off-peak rate (e.g., 12 am-5 am) and a higher rate during peak hours. Off-peak electricity is much cheaper, and these times remain the same each day. Examples include Economy 7/10 tariffs and EV-specific plans.

3. Dynamic tariffs

Dynamic tariffs are tied to the half-hourly wholesale price of electricity. Rates change based on the expected renewable energy supply, meaning they can fluctuate, so it’s less predictable. Sometimes, prices even go negative, so you get paid to use electricity!

4. Type-of-Use tariffs

Rare but emerging, these tariffs charge a fixed rate for most of your electricity, but devices like a ZEB or EV charger may benefit from a lower rate. The savings are typically credited back to your account.

How to choose the best tariff?

For your ZEB to operate cost-effectively, you’ll want a Time-of-Use or Dynamic tariff. Here’s what to look for:

  • At least 4 hours of off-peak pricing: It takes 4.5 hours to fully charge your ZEB, so aim for a tariff that offers at least 4 off-peak hours each day.
  • Off-peak rates around one-third of peak rates: For comparable running costs to gas boilers or heat pumps, look for tariffs where the off-peak rate is about one-third of the peak rate (e.g., off-peak 9p/kWh, peak 27p/kWh).

Pro tip: Time-of-Use tariffs are often hard to find on price comparison websites. A good starting point is the EV tariff page on MoneySavingExpert.

Popular Tariffs for ZEB Owners

  • Static Time-of-Use: E.On Next Drive, Octopus Go, Ecotricity’s Fixed EV Tariff (no EV required).
  • Dynamic Tariffs: Octopus Agile (wholesale pricing), Octopus Intelligent Go (for EV owners, with flexible cheap periods).
  • Type-of-Use: Currently, there are no specific type-of-use tariffs for ZEBs but this is an emerging category that suppliers are currently exploring.

Why Flexible Tariffs are Greener

You’ve probably heard terms like “peak” and “off-peak.” But what do they mean for the environment?

During peak times, electricity demand is high, and National Grid relies on fossil fuel power stations (especially gas) to meet that demand. Off-peak times, on the other hand, are when renewable sources like wind and solar contribute more energy to the grid. By using electricity during off-peak hours, you help reduce the need for gas power stations and make better use of clean, renewable energy.

Mythbuster: "Green" Tariffs Aren’t Always Green

Just because a supplier claims to offer “100% renewable” electricity doesn’t mean the electricity you use is always green. Suppliers can buy certificates for renewable energy but still purchase non-renewable electricity when demand is high. What really matters is when you use electricity.

By shifting your ZEB’s consumption to off-peak times, you’re ensuring that more of the power you use comes from renewable sources like wind and solar, not gas.

Smart Charging: Lower Bills, Greener Energy

The ZEB’s Smart Charging system takes things a step further, optimising your heating schedule to save you even more. Here’s how it works:

  • Maximised Efficiency: Your ZEB only charges with the amount of heat you need, based on weather forecasts and your heating habits. This reduces wasted energy from standing heat losses (heat emitted from the ZEB’s casing to the surroundings) and avoids you paying for more than you need.
  • Optimised for Savings: Our smart algorithms identify the cheapest periods on your electricity tariff and the greenest times on the grid, ensuring your ZEB heats your home at the lowest possible cost and environmental impact.

With the right tariff and smart charging, your ZEB not only keeps you warm but also helps you save money and reduce your carbon footprint — making it a win for both your wallet and the planet.

Find out more

Explore other resources on our website or check if the ZEB is right for you.

Cost & Carbon

Compare the running costs & carbon output of the ZEB to other boilers.

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Hot water solutions

Learn about hot water solutions that would work best for your home.

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ZEB Home Check

Complete our ZEB Home Check to see if the ZEB is a good fit for your home.

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