Tuesday, January 26, 2016

Cornish town first in UK to soak up cheap rays with new 'sunshine tariff'

People in the Cornish town of Wadebridge are now able to access cheaper electricity prices during the sunniest parts of the day thanks to a new trial project from Wadebridge Renewable Energy Network (WREN), Western Power Distribution (WPD), Tempus Energy and sustainable energy industry group RegnSW.

Enjoying much more sunshine than elsewhere in the country, Cornwall has been at the centre of the UK's solar power boom, with more than 600MW of installed capacity. The Sunshine Tariff - an idea that has been in development since last year - offers an opportunity to better match local supply of clean energy with nearby demand.

The new tariff, which officially launches in April, will offer domestic customers in Wadebridge a low rate of electricity (5p per KWh) during the day from 10am to 4pm between April and September 2016, and a higher rate (18p per KWh) at other times. Trial users will receive a flat rate of 13.4p per KWh until the end of March 2016.

WREN, which is leading the scheme, said that in the past three weeks there have been more than 200 enquiries into the new tariff, which is open to 240 households.

By charging cheaper prices at sunnier times of the day, the tariff is designed to maximise the solar energy generated by Cornwall's sunny climes by encouraging people to shift their electricity use to the middle of the day.

"Solar power is plentiful and cheap during the daytime," a spokesman for Tempus Energy told BusinessGreen in an email. "By creating a true price signal, the Cornish trial will explore how the Sunshine Tariff influences customers' energy use [...] It will enable households to receive a cheaper day time electricity price and incentivise them to match their demand patterns with peak solar generation."

Trial users are expected to shave up to 40 per cent off the cost of their electricity bills, as long as they shift a proportion of their electricity use to the cheaper tariff times, WPD's policy manager Paul Jewell said in a statement.

Homes with electric storage heaters, air conditioning, heat pumps, water immersion heating, underfloor heating, swimming pools or electric vehicles in particular stand to benefit from the tariff trial.

Merlin Hyman, chief executive of Regen SW, said the Sunshine Tariff project is "pioneering step" in moving to a smart, decentralised energy system. "By enabling local people to match up their energy use with local energy generation we are putting communities in control of how they generate and use power, giving them greater control over bills and benefiting the local economy," he said.


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