Octopus launches time-of-use tariff tied to wind turbines

Octopus Energy has launched a new time-of-use tariff that is only available to people living nearby to two wind turbines bought by the company and enables them to receive cheaper electricity when it is windy.

The 500kW turbines, located at Caerphilly in South Wales and Market Weighton in Yorkshire, are the first to be acquired by the supplier and each produce enough power annually to meet the needs of around 400 homes.

Customers on the new tariff will receive a 20 per cent discount to their unit price whenever the turbines are turning – roughly 98 per cent of the time – and an even greater 50 per cent discount when winds pick up and output is high.

Octopus said members of its new “Fan Club” – the turbines have been named #1 Fan and #2 Fan – can expect save up around £230 per year when compared Ofgem’s price cap for typical dual fuel customer of £1,042.

Zoisa Walton, director of Octopus Energy Generation, said: “Octopus Energy’s first ever own brand turbines are now on the grid, and we’ve included the UK’s first windy tariff to boot – we halve the price of your electricity whenever your turbine is spinning fast.

“This is the first step in a huge plan for Octopus owning its very own generation and offering local wind tariffs across the country. It means we can begin producing the clean,
green power we provide to customers ourselves and incentivise customers to use energy when it’s the absolute greenest.

“By matching this generation with our proprietary agile technology, we’re unlocking exciting opportunities for the cheapest electrons to be the greenest. Soon local customers will be able to join the ‘Fan Club’ and get discount prices for windy days, helping out their pockets and the planet.”