Full list of energy suppliers paying you to use less electricity this winter

05 November 2023 , 07:00

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The Demand Flexibility Service has been relaunched again this year (Image: Getty Images/iStockphoto)

Millions of households will get paid to reduce their energy use this upcoming winter.

Last week, the National Grid Electricity System Operator (ESO) confirmed it was going to run its Demand Flexibility Service (DFS) again this year. The voluntary scheme rewards households who reduce their electricity use at peak times when demand is high. This allows the ESO to manage supply through periods when margins are tight.

The scheme was relaunched on November 1 and will run until March 31 next year. The National Grid ESO said it would be running 12 saving sessions between now and the end of March 2024 with each of these tests running for at least an hour - although some sessions could run for longer, the most it can run for is four hours.

Based on what happened last winter, they are most likely to take place on weekdays between 4pm and 7pm. Your energy supplier will be told a DFS event is happening at least a day in advance and they should communicate this with you before the session. During these tests, those signed up should try and reduce their electricity use - even if it's just by a small amount.

The National Grid ESO has reiterated that the scheme is all about reducing your energy use where you can and not about cutting it completely. They said they are not asking people to "go without electricity". Participating in the service is completely optional and customers do not have to take part in all events if they choose not to.

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If you sign up and for any reason are unable to reduce your electricity consumption during the savings sessions" then you will not receive a penalty. Last year, 31 energy providers registered to provide the DFS and £11million was paid out to the 1.6 million households who took part.

How do I sign up for the Demand Flexibility Service?

You can sign up for the DFS in two ways. You can either sign up through your supplier - if they are taking part - or through a third-party provider. For both ways, you will need to have a working smart meter in your household.

If your energy provider is taking part, they may already have invited you to join in. If not, you should contact them directly to see if you’re eligible. You can do this either online or by contacting them over the phone.

If your supplier is not offering the DFS this year, then you may find it is offering its own version of the scheme. If you do, you will need to share your smart meter data.

Under the scheme, the National Grid ESO says meter numbers (MPANS) are regularly checked to ensure there are not any duplications - consumers can only sign up for DFS through one registered provider. The process is then the exact same for either way you have signed up.

How much will I get paid if I take part in the Demand Flexibility Service?

The National Grid ESO has confirmed that the first six tests will pay both energy suppliers and DFS providers £3 per kilowatt hour saved. To be eligible for the savings, some suppliers may say you have to cut back your energy usage by a certain threshold for example by 30%. Others could pay you back for whatever you save, even if the amount is only tiny.

The exact amount you will get for taking part will depend on who you are signed up with. The energy savings should be passed onto those taking part in a variety of different ways - this could be in cash, in points, as discounts or as prizes.

Before signing up, you may want to double-check what your supplier or provider is offering to pay. This is because some may be paying less than the £3 per kWh. The smart meter app Loop is offering to pay those who sign up £2.50 per Kwh saver per hour.