August 17, 2022

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Understanding Economy 7

Understanding Economy 7 Electricity is a utility that is impossible to do without, but it is also quite challenging to pay for. So, in addition to various energy-saving techniques, there is another alternative way to save energy: installing a special meter and using Economy 7.   You can significantly reduce the cost of utility bills.…

Electricity is a utility that is impossible to do without, but it is also quite challenging to pay for. So, in addition to various energy-saving techniques, there is another alternative way to save energy: installing a special meter and using Economy 7.

You can significantly reduce the cost of utility bills. The night electricity tariff: from what hour? When does it start, and when does it end? What else do you need to know about how to regulate your time? The answers to these questions are in our article.

Who Benefits from Electricity by the Hour?

During the day, the population uses electricity unevenly. It happens because plants are in a state of deadlines during the daytime, and their load is minimal in the evenings. But, as a rule, consumption peaks during the day: generators turn on, while some are turned off at night.

This uneven operating mode contributes to high fuel costs for the equipment. And this leads to significant overspending of resources. Therefore, the cost of electricity production is steadily increasing.

To reduce costs, energy suppliers have developed a differentiated tariff that functions according to the zones of the day.

It is cheaper to use electricity at night, which stimulates the population to actively use it at this time of the day. Thus, the maximum consumption is shifted. You can only save money if you have a two- or three-rate meter.

At What Time Does It Start?

The charge rate is uniform and constant, and it is not affected by time. If you choose a flat rate, it is possible to calculate the traditional meter’s costs without differentiation. Therefore, it is suitable for consumers who do not want to change equipment.

Using a 2-zone tariff requires the installation of a dual-rate electricity meter. It calculates the level of current consumption in different time zones.

The system calculates payments for daytime and nighttime electricity rates in the following way: the data from the meter is multiplied by the rate adopted by the local authorities.

Two lines are added to the utility bill — for daytime and nighttime rates, respectively. The operation of Economy 10 works on a principle similar to the 2-zone, but it has a different time frame. Each time slot has its coefficient. However, this scheme is not widely popular because of the weak difference in the benefits of the last two zones.

Electricity Economics 7

The 2-tariff method uses a nighttime mode on electricity. Its time of use begins at 11 pm and lasts until 7 am. You can calculate in advance how much you can save. As a rule, the light at night is almost three times cheaper.

Saving money is realistic only if a person is not at home during the day and prefers to deal with domestic issues at night — using appliances, doing laundry, cooking, etc. Experts believe that when you switch to a differentiated approach, you can get a real benefit if you spend at least 500 kW per month.

Zones of Time

There are several peak hours in the daytime dynamics:

  • morning peak — between 7.00 am, and 10.00 am;
  • daytime zone (first half-peak) — from 10.00 to 17.00 (not too heavy a load);
  • evening peak — from 17.00 to 21.00;
  • second half-peak zone — from 21.00 to 23.00.

Savings on utility bills specifically for electricity will require the installation of special metering devices and a change in habitual lifestyle. For example, this means that you can use powerful appliances only at night.

Day-night Tariff

The tariff based on the two-phase method is commonly called the day-night tariff. Although rates for households vary, the 2-phase way is trendy in many parts. So let’s consider the question of how to maximise Economy 7? Its benefits are evident to those who:

  • are actively using powerful appliances in everyday life — bakers, dishwashers, boilers;
  • are equipped their homes with convection heating systems and underfloor heating;
  • have a spacious suburban property that requires numerous electrical appliances, sewage pumps, and well pumps for lighting.

Access to the service is open to all people who are not in arrears with their electricity bills, have paid the special fee for tariff identification, and signed an agreement with the service provider.

Benefits from Economy 7 in 2022

There are advantages to using Economy 7, and they are obvious:

  1. Good cash savings with mode adjustments reduced daytime electricity consumption and increased nighttime consumption.
  2. Reduce the supplier’s equipment load, lower its wear and tear, and eliminate breakdowns. All of this eventually leads to budget savings.
  3. A uniform distribution of load on the power grid is the best way to save fuel used to generate electricity.
  4. When the power grid is not overloaded, it causes a reduction of harmful emissions into the atmosphere.
  5. Modern meters are the latest devices equipped with built-in memory modules that retain readings even if there is a sudden power outage.
  6. Consumers should be aware that different preferential rates apply in the regions. Before switching to a differential system, it is worth calculating the economic benefits of such a decision.

Calculate how long it will take to recoup the cost of installing new equipment and the services of an electrician. You can also use a battery storage system for Economy 7.

Disadvantages of the Economy 7

In every barrel of honey, there is always a drop of tear. However, there are disadvantages to using Economy 7:

  1. Unattended appliances can cause a fire or flooding.
  2. Noise from machines can interfere with other family members’ ability to rest;
  3. There are high costs for installing the meter and the services of electrical specialists.
  4. If you actively use Economic 7, it will pay for itself in the first year.

How to Connect

To switch to two-tariff mode, follow these instructions:

  1. Contact the service provider in your area.
  2. Visit their branch and find out if it is technically possible to switch to a differentiated system.
  3. Draw up a contract for the supply of electricity to a particular facility.
  4. Write an application for the installation of a 2-tariff meter. The application will be accepted if you have no debts on utility bills for electricity and have made payment for the dismantling of old equipment and installation of new, its connection, and adjustment.
  5. Buying a meter with an overnight rate is unnecessary for the service provider. You can do this at any specialized company or a store, but in this case, you will need first to submit the device for verification.
  6. In the UK, it can install both domestic and imported meters. Experts advise choosing high-quality equipment.

These devices are adapted to surges in voltage in the network and are marked with state certification. Their costs are significantly lower than those of their foreign counterparts. You can perform installation and connection independently, but it is better to use the services of qualified artisans. The specialist must have an electrical safety permit.

After installing and adjusting the equipment, you get a report, which you need to submit to the power supply company. In most parts of the UK, energy service providers provide a complete package of services for switching.