The phasing out of gas boilers and petrol and diesel cars in the push towards Net Zero will see consumers adapting to new ways of using electricity
Time-of-use tariffs will give consumers more control over their energy consumption, with the opportunity to shift their usage to save money
Consumers say choice is more important than ever to them, with many demanding specific tariffs that meet their needs and how they use energy[1]
New Uswitch report highlights the importance of customer autonomy and how individuals will need to become more engaged with their energy usage
Ensuring ‘no customers are left behind’ in the transition is one of five principles the energy industry should follow, according to the report.
As Britain speeds towards an electric future, consumers will need to become more engaged with how they use energy, according to a new report from Uswitch.com, the comparison and switching service.
Sales of new petrol and diesel cars will be banned from 2030, and gas boilers phased out from 2035 as the country makes massive changes in a bid to meet challenging Net Zero targets.
Their replacements — electric boilers, heat pumps and electric vehicles (EVs) — will mean adapting to new ways of using electricity, to enable consumers to carefully manage both consumption and costs.
Time-of-use tariffs will let customers charge EVs at times when electricity is at its cheapest — typically between 2am and 5am. Dynamic tariffs like Agile Octopus will see consumers paid to consume energy at times when the grid has a surplus of power. And with new technology being adopted, even more time of use tariffs are expected to become available for customers.
With significant changes ahead, the Uswitch report in partnership with Opinium, reveals that customers will need to become more involved than ever before in how they use energy, making decisions on what prices they are paying and when they will consume it.
Consumers surveyed in the report stated a strong desire to pick energy deals that suited their personal needs rather than a one-size-fits-all solution. Research participants were broadly supportive of the transition to Net Zero, with many willing to pay more for a cleaner energy provider.
Different groups of consumers had different needs for their energy deals. However, energy customers were clear that they needed tariffs to be personalised for them.
In particular, it was noted that families with young children have high energy demands and want to use the washer, dryer and dishwasher multiple times during the day, and not be restricted to tariffs that are cheaper overnight.
On the other hand, low-income households manage their energy use carefully and reduce heating however possible. Cost is important, as is the security of trusting their provider not to rip them off or cut off their supply.
The report’s findings also generated five principles for the energy industry in the years ahead:
The energy market should deliver diverse solutions that offer routes for all customers with differing needs
Customers should feel in control about the choices they will need to make to ensure they deliver to their personal circumstances so they are engaged in the transition
Energy choices should be simple for customers to make
Customers should be able to identify the benefit (personal or wider) from the choices they make
No customers should be left behind in the energy transition.
Justina Miltienyte, policy expert at Uswitch.com, said: “No two customers are the same in how they use energy - whether they have different working patterns, home routines or a specific interest in new technologies.
"With the energy market evolving at such a rapid pace alongside a wave of net zero targets, it’s difficult to see how an old-fashioned ‘one size fits all’ approach to energy will be of much value to consumers in years to come.
“Households will have to become even more engaged with their energy usage and familiar with new concepts such as time-of-use tariffs, electric vehicles and eco-friendly boilers. There is a lot of work still to do for the industry to bring everyone along the journey to Net Zero, but consumers must be supported in this transition and given the freedom to make their own decisions about their energy usage.
“Providers and Ofgem both have a crucial role to play in encouraging people to pay more attention to their energy usage, to prepare them for the changes ahead. This will ensure customers feel empowered to make the best decisions for themselves.”
The full report can be found on the Uswitch website here.
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FOR MORE INFORMATION
Ross Stebbing
Phone: 07827 836 709
Email: ross.stebbing@rvu.co.uk
Twitter: @UswitchPR
Notes to editors:
1. Uswitch commissioned independent insight agency Opinium to conduct six 90-minute online focus groups between 4th – 25th March. Opinium spoke with 32 consumers with five to eight participants in each group.
About Uswitch
Uswitch is one of the UK’s top comparison websites for home services switching, including energy, broadband and mobiles.
More people go to Uswitch to switch their energy, broadband and mobile than any other site, and we have saved consumers over £2.7 billion off their bills since we launched in September 2000.
Free mobile app Utrack also helps households manage their home energy usage and make potential savings.
Uswitch is part of RVU, a group of online brands with a mission to empower consumers to make more confident home services, insurance and financial decisions.