Get paid to cut your energy use

How to earn bill credit or shopping vouchers by using less electricity

Energy suppliers are relaunching schemes that pay customers to cut their electricity use at peak times, as part of an ongoing 'demand flexibility service' offered by the National Grid Electricity System Operator (ESO), as well offering their own energy-saving schemes. This guide explains how these initiatives work, who's eligible and how you can sign up. 

What are these energy use-cutting schemes about?

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These schemes are mainly part of a wider initiative by the National Grid ESO, the body responsible for transporting electricity around England, Scotland and Wales and keeping homes and businesses powered. Called the 'demand flexibility service', it aims to balance supply and demand, reduce the need to fire up fossil-fuel plants and, in the worst case scenario, avoid power cuts.

During specified use-cutting events, the ESO will pay participating suppliers and third-party providers a certain amount for each unit (kilowatt hour) of electricity saved by any of their users signed up to the schemes. Suppliers and providers then pass on some or all of this payment to households – we've more details on this in the firm-by-firm tables below.

From winter 2023/2024, there a bit changes to scheme, and several suppliers are no longer taking part. The scheme will now run all year round (not just in winter), but it's no longer clear how much you can make from these energy-cutting events. We'll update this guide as we get more details from each supplier.

Aside from the ESO, energy suppliers are running their own initiatives to reward customer who can shift their energy use away from peak times, and some will reward you for using more electricity when there are plenty of renewables available.

Five energy reward scheme need-to-knows

While the exact details of each supplier's scheme can vary, some elements are common to all of them. Here's what you need to know...

  1. You need a working smart meter

    Your electricity smart meter must be able to send readings to your supplier automatically (in other words, it can't be in 'dumb' mode).

    Plus you'll need to allow your supplier to access your meter readings every half hour – the default is monthly or daily. This is so your provider can verify that you've reduced your usage during the relevant times. 

    You may already have half-hourly readings set up (for example, if you took part in last winter's schemes or you like to keep a close eye on your usage). If not, you can normally do this as part of the registration process when you join a use-cutting scheme. Alternatively, you should be able to enable half-hourly readings in your online energy account or by contacting your supplier.

    Don't have smart meters? See our Smart meters guide for more info on what they are, how they work and whether you should get one.

  2. You'll have to cut your electricity usage at peak times on certain days

    There will now be opportunities to participate in the scheme throughout the year, rather than just in the winter months.

    The exact dates and times of each event will only be announced on the day of the event, giving just a few hours notice – this is deliberate, as the National Grid ESO wants to see how responsive and effective the scheme is at short notice.

    That said, events are most likely to take place on weekday evenings at peak times, which tends to be between around 4pm and 7pm.

    The National Grid ESO has said events will usually run for one hour, but can be for half an hour, or could run for a longer period.

    How much do you have to cut your usage by?

    Generally, there isn't a set amount you need to reduce your usage by. Instead, the more electricity you save, the more you earn in rewards.

  3. The amount you could earn varies – but don't expect £100s

    It's difficult to put a precise number on how much you could earn over the course of the year, as there are several factors at play...

    • Firstly, the amount paid by the National Grid ESO for each event will vary. 

    • Secondly, energy suppliers and third-party providers can choose how much of the ESO payment to pass on to users. Last year, most were passing on at least 75%, with some passing on the full amount. We'll update this guide when we have more details of what suppliers expect to pay this year.

    • Finally, the number of events taking place will also affect your earnings. And the number of events will depend on external factors such as the weather, how much pressure there is on the grid, and any supply issues.
  4. You'll usually need to opt in to each use-cutting event separately

    If you join a scheme that's linked to the National Grid's demand flexibility service, you'll be notified about individual events as they come up (usually with only a few hours notice). You'll need to opt in to each one separately. If you don't, you won't earn any rewards – even if you reduce your electricity consumption during that period.

    Some of the energy suppliers' own schemes only require you to register once, and then you'll automatically be opted in for each new event. Do check the specific rules for the scheme to ensure you don't miss out.

    You'll normally be notified of the events by email, text message or smartphone app notification (depending on the provider you're with).

  5. Don't sign up to more than one use-cutting scheme at the same time

    While you can only sign up direct with one energy supplier, it is possible to sign up to multiple third-party providers via the apps below. And while it may be tempting to try to maximise your rewards by signing up with more than one, this is against the National Grid ESO's rules, which limit you to one scheme per household.

    Sign up to multiple schemes and you risk being cut off from all of them – so it's best to stick to one.

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Ready to get started? First check if your energy supplier is taking part

Going via your energy firm is usually the easiest way to take part in a use-cutting scheme – you may already have an invite from your supplier in your inbox.

Major suppliers offering incentives for cutting usage this winter

Supplier Scheme details
British Gas.

British Gas currently has two active schemes – you can take part in both.

1. British Gas 'PeakSave Sundays' – not linked to National Grid ESO

 

You can get 50% off each unit of electricity you use between 11am and 4pm every Sunday. You will need to register online and once registered, you'll automatically be able to take part each Sunday. Your normal tariff applies outside the discount period. Your discount will be credited to your bill within two weeks of each event (smart prepay customers should be credited within 10 working days of the end of the month).

 

2. British Gas 'PeakSave Green Flex' – not linked to National Grid ESO

 

Here, you can get 50% off each unit of electricity you use when it's very sunny or windy and there is lots of renewable energy available. Customers will be emailed the day before or on the morning of an event, and events will last one or two hours. You will need to opt in to take part. Your normal tariff applies outside the discount period.

EDF Energy.

EDF 'Sundays Saver challenge' – not linked to National Grid ESO


- How much is it paying? Shift your peak-time (usually 4-7pm, weekdays) usage to earn a maximum of 16 free hours of electricity to use the following Sunday. For more details visit EDF Energy.

- How are rewards paid? As bill credit.

- Can smart prepay customers take part? Yes.

- How do you join? Go to Energy Hub in MyAccount each month to sign up to the next challenge.

 

By signing up for the December ‘Sunday saver challenge’, EDF customers will receive eight hours of free electricity from 8am to 4pm on 25 December.

Octopus Energy.

1. Octopus Energy 'Saving Sessions' – linked to National Grid ESO

 

- How much is it paying? This will vary each event, depending on how much the National Energy System Operator (NESO) needs to balance the grid.
- How are rewards paid? As points that you can redeem for bill credit. You can also get Odeon cinema tickets (2 for £10) or a free hot drink from Greggs or Caffe Nero every week, just for being part of the scheme (no points required to be redeemed).
- Can smart prepay customers take part? Yes.
- How do you join?  By following the link in your invitation email.

 

2. Octopus Energy 'Free electricity' - not linked to National Grid ESO

 

- How much is it paying? This is about using more energy when there's excess renewable energy available. Octopus will calculate how much extra electricity you used during the 'free electricity' session and you'll get paid that amount.
- How are rewards paid? Within two weeks, you'll get that amount into your account as a bill credit.

- Can smart prepay customers take part? Yes.
- How do you join? Online or via the free Octopus app on iOS or Android.

Ovo Energy.

Ovo 'Power Move' – not linked to National Grid ESO

 

Power Move is Ovo's year-round scheme, which lets you earn money off your bill by lowering your average electricity use during peak hours. To be able to take part, you need to sign up to Ovo Beyond, which requires customers to pay via Direct Debit and have a working smart meter. Economy 7 and Economy 10 customers are no longer eligible.

Scottish Power.

1. Scottish Power 'Power Saver' – linked to National Grid ESO

 

- How much is it paying? This will vary each event, depending on how much the National Energy System Operator (NESO) needs to balance the grid.

- How are rewards paid? As bill credit.

- Can smart prepay customers take part? No, but it will be available soon.

- How do you join? By following the link in your invitation email.

 

Once you’ve registered for Power Saver, you'll automatically get your electricity unit rate discounted by 50% every Saturday and Sunday between 11am and 4pm. You'll receive the discount as bill credit after each event.

Utilita.

Utilita 'Power Payback' – linked to National Grid ESO

 

- How much is it paying? This will vary each event, depending on how much the National Energy System Operator (NESO) needs to balance the grid.

- How are rewards paid? As credit to your meter.

- Can smart prepay customers take part? Yes.

- How do you join? Via the My Utilita app by following the link in your invitation email.

Updated November 2024.

Can't or don't want to join your supplier's scheme? There is an alternative

If you haven't been invited to your supplier's scheme, or it doesn't offer a good one, you could try a third-party smartphone energy app instead. These connect to your smart meter, get the money from the National Grid ESO, and pass some or all of it on to you.

We've less feedback on these, but they could be a good option for some – and you can use them regardless of which energy supplier you're with. Whilst several third-party apps took part in last year's scheme, so far we only know of one this year. We'll update this guide with details, as we hear of more third-party apps taking part.

Third-party smartphone apps offering incentives for cutting usage this winter

App & how to get it Scheme details

 

Equiwatt powerSmart

Download free on iOS or Android

- How much is it paying? 80% of what it gets from National Grid ESO. Customers will also have the chance to win over £100 worth of points through monthly prize draws and leaderboard prizes.

- How are rewards paid? As points you can put towards a voucher for retailers such as Amazon, Costa and Tesco (within 30 days of each event). Users are also entered into monthly prize draws to win bonus points.

- Can prepay customers take part? Yes.

- Other app features: Users can automate event participation using compatible devices like smart plugs, thermostats, and EV chargers, as well as integrate additional devices.


Hugo Energy Pro
 

Download free on iOS or Android

- How much is it paying? 80% of what it gets from National Grid ESO.

- How are rewards paid? By PayPal at the end of the scheme.

- Can prepay customers take part? Yes.

- Other app features: The Hugo Energy Pro app costs £39.99 a year. You can compare and analyse your EV and battery usage, solar import and export, and other smart devices. You can get alerts and insights to help you save energy costs, as well as get AI recommended energy suppliers and tariffs based on your personal usage.

 

The Founder of Hugo Energy Pro told us that the demand flexibility scheme is only likely to be worthwhile for customers with EVs or batteries, who are able to send energy back to the grid during event times.

Quick questions

  • How do the apps make money?

    In a number of different ways. Firstly, most take a small cut of the payments from National Grid ESO to cover their costs.

    Beyond that, they also tend to offer additional products and services to consumers and businesses. You don't have to buy or use any of these additional products or services to take part in the use-cutting schemes – but be aware they may be offered to you while using the apps.

  • Is it safe to share my personal data with these apps?

    It should be – like all other companies handling personal data, the firms behind these apps must comply with the UK's stringent data protection laws. As part of this, they all have detailed privacy policies on their websites about their use of personal data.

    However, we have no way of verifying that the apps are doing what they say they're doing in terms of keeping your data secure, so we can't vouch for them – ultimately it comes down to how much you trust each one.

  • What else should I consider before using a third-party app?

    Compared with the supplier schemes above, you have less protection if something goes wrong. That's because energy suppliers are tightly regulated, and you have the right to escalate complaints to the free, independent Energy Ombudsman.

    By contrast, the complaints process for each app varies, and you may not have the right to escalate your complaint to an ombudsman or alternative dispute resolution service.

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