Octopus Energy have long been the go to energy supplier for any solar owners. Their SEG rates are head and shoulders above any other energy supplier, and they have various smart energy tariffs.
In mid February 2023 Octopus Energy released details of a forthcoming tariff for solar and battery owners, Octopus Flux. This new tariff was designed as a replacement of the Tesla Energy Plan that was recently closed. The interesting part of Octopus Flux was that you no longer needed a Tesla Powerwall to be eligible for the tariff. Actually, you didn’t even need a battery as solar only installations were eligible too.
How does Octopus Flux work?
Octopus Flux is a combined import and export tariff. It’s designed to give the best unit prices to help you support the grid during peak periods.
The tariff has three differently priced import and export periods throughout the day. There is a low priced ‘flux’ period that allows you to charge your home storage batteries from the grid. A normal ‘Day Rate’ period and a higher ‘Peak’ period in the evening when electricity demand on the grid is likely to be at its highest.
The main idea of Octopus Flux is that solar and home storage battery owners can charge their batteries during low demand periods and then be paid to export it during the higher demand to help the national grid meet demand. In a way it’s the direct opposite this winters ‘Demand Flexibility Service’ where energy users were paid to reduce energy use during peak periods.
What are Octopus Flux rates like?
Octopus Flux kWh unit rates will differ between different areas of the UK. Our Flux rates are shown below.
Compared to our previous Octopus standard variable tariff the day rate and standing charge haven’t changed. The peak evening rate has increased, but there is now a short low rate period too.
The biggest change has been the increase in SEG export. The day time SEG rate has increased to 24p per kWh, with a higher rate of 38p between 1600-1900. Both rates are much higher than Octopus Outgoings fixed rate of 15p per kWh. The higher rate between 1600-1900 with be a nice bonus from summer solar generation. There is a lower rate between 0200-0500 but there’s unlikely to be much solar generation in that period to worry about exporting at the low rate.
Is Octopus Flux worth it for Solar only systems?
I guess this really depends on two things, firstly how much of your solar generation you export, and secondly how much energy you will likely use during the peak rate period between 16:00-19:00.
For us due to our general low electricity use the higher SEG rates will likely offset any higher costs from peak period consumption. We can also make cost savings by shifting higher energy use appliances, such as the dishwasher and washing machine, to run overnight during the lower cost ‘flux’ period.
In our case we don’t yet have an EV so it’s an easier decision to make regarding Octopus Flux. If we get an EV in the future, which is something we’re considering, it makes working out the best tariff to be on regarding import, solar and EV much harder. Sadly for EV smart tariffs you’re limited to a standard SEG rate of 4.1p as you’re not eligible for Octopus Outgoing.
Will we add Home Battery Storage?
Adding a battery to our solar system is something we’ve always thought about. Although we didn’t add a battery when our solar panels were installed, we installed a Hybrid inverter so we could in the future. It’s definitely something we will continue thinking about.
When I review our imported energy our imported electricity consumption varying between 2-5 kWh per day. There is a clear pattern of highest use being in the evening from 18:00 onwards.
Having a battery with stored energy which can used during the evening, negating the higher cost peak period, would be useful. Especially when my wife has already said she will murder me if I go on about cutting our energy consumption during the 16:00-19:00 higher cost period!
Being able to lower our energy unit price too by charging a battery during the low cost ‘flux’ period for use during the rest of the day could make an overall electricity cost saving too.
Summary
Octopus Flux definitely helps to make a case from a cost saving point of view for adding a home storage battery to our solar system. Cost savings are not the only reason to add a home storage battery. Octopus Flux is clearly designed to promote home storage systems to help the environment by reducing the need for fossil fuelled backup power stations being operated during peak electricity demand periods. This was a key part of winters ‘Demand Flexibility Service’ promotion, but this time with more of a carrot and stick approach, rather than just carrot.
Octopus Flux is yet another great smart energy tariff from Octopus Energy that can point people towards doing the right thing for the environment, and hopefully start changing the UK’s energy system for the better. It’s yet another example of how Octopus Energy are pushing the boundaries of the industry and shaking up the energy market for the good of both consumers and the environment.