Many UK households will once again be given the chance to save money on bills this winter, as the demand flexibility service returns for its second year from Wednesday.
Set to run between November 1 and March 31, the flexibility service will see energy-saving events held where smart meter customers are offered incentives to reduce consumption.
Though 12 of these will be test events, more will likely be held when the margins between energy supply and demand are at their tightest.
Some 3.3GW of energy - enough to power almost 10 million homes - was saved last year through 22 events, according to National Grid PLC (LSE:NG.)’s system operating wing (ESO).
The scheme was originally introduced following Russia’s invasion of Ukraine, which prompted a squeeze on fuel supplies and raised fears of shortages.
National Grid has since reassured that certainty around supply has improved ahead of this winter.
“Last winter’s service was a first of its kind for Great Britain, with millions of consumers and businesses actively participating in demand-side energy system flexibility at scale," ESO head of markets Claire Dykta said.
“The response from industry and the public has been incredibly positive.”
Centrica PLC (LSE:CNA)’s British Gas, EDF Energy and Octopus Energy are among over 20 energy suppliers set to take part this winter through respective schemes for customers.
Per kilowatt of energy saved, the ESO will pay suppliers £3, which will then be distributed to customers through the likes of rewards or money off bills.
“Households have changed their energy habits over the past few years, and the National Grid is rewarding them for their efforts,” according to Natalie Mathie, energy expert at Uswitch which is also taking part.