Millions of households could soon be given free power or paid to use electricity during sunny and windy spells
Millions of households could soon receive free electricity or even be paid to run washing machines or charge electric vehicles during periods of sunshine and strong winds.
In a significant overhaul of Britain’s energy network, the National Energy System Operator (Neso) is gearing up to launch a new scheme as soon as this summer to tackle surging renewable power levels. The initiative builds upon the existing Demand Flexibility Service, which previously rewarded households for reducing their energy consumption during shortages.
Now, in a dramatic turnaround, consumers will instead be incentivised for using more electricity when the grid faces the risk of being overwhelmed by surplus power. At the centre of the scheme is a straightforward concept: when solar panels and wind farms produce more electricity than the nation requires – especially on sunny weekends or windy bank holidays – households will be encouraged to switch on appliances.
Those with smart meters will be prioritised, with suppliers anticipated to provide incentives ranging from bill credits and cash payments to significantly reduced or even complimentary electricity.
Neso said consumers could be incentivised to run energy-hungry appliances such as washing machines and dishwashers or charge electric vehicles during these periods.
Deborah Petterson, Neso’s director of resilience and emergency management, said: “Tools such as the demand flexibility service not only reward consumers and businesses for flexible electricity use but also strengthen the resilience and efficiency of Great Britain’s electricity network.”
The shift highlights a mounting challenge at the centre of Britain’s green energy drive. While renewable power has cut emissions, it has also made supply considerably less predictable. Unlike gas-fired plants, wind and solar output cannot be adjusted up or down on demand – leaving grid operators struggling to balance supply and demand in real time.
Solar power particularly is causing difficulties. Much of it originates from rooftop panels feeding into local networks, meaning it is more difficult for operators to monitor and control.
Consequently, Britain is increasingly experiencing periods where electricity supply exceeds demand – pushing wholesale prices t In such circumstances, Neso has historically compensated wind farms to cease operations, with constraint payments costing nearly £1.5billion last year alone.
Encouraging households to consume more electricity instead could prove considerably more cost-effective. Under the new scheme, payments will be directed through energy suppliers, which will pass on incentives to customers. Factories and heavy industry could also receive payments to increase machinery usage during periods of excess supply.
However, the offers may differ depending on location, raising the possibility of varying deals across the country depending on where surplus power is concentrated. The initiative comes as Britain’s solar capacity has surged – growing more than 700-fold since 2010 to around 22 gigawatts, with ministers targeting up to 47GW by the end of the decade.
That rapid expansion is expected to push demand on the national grid to record lows this summer, heightening the risk of imbalances.
More than two million households previously signed up to the Demand Flexibility Service when it launched in winter 2022 amid fears of blackouts following Russia’s invasion of Ukraine. Now, rather than switching off, Brits may soon be rewarded for switching on – representing a remarkable new chapter in the nation’s energy transition.
