Tewke

Understanding Peak Demand

In the UK, peak electricity demand occurs between 4 PM and 8 PM. This is when most people come home, make dinner, and prepare for the evening. Add shorter winter days into the mix - when solar energy generation drops to near zero - and meeting this demand becomes even harder. Wind energy helps, but as November 2024 showed, weeks of low wind can reduce output from 30% of national supply to just 3%.

Without coal power stations and with nuclear energy still years away from scaling, we rely on gas to bridge the gap. The solution? Shift energy consumption to times when electricity is cheaper and more readily available, reducing strain during peak hours and making it easier to integrate renewable sources into the grid.

Small Changes, Big Impact

The government has already mandated that electric car chargers include software to delay charging during peak hours. But for most households, it’s appliances like washing machines, tumble dryers, and dishwashers that could make a massive difference.

Yet here’s the catch: unless you’re on a variable tariff, you won’t see financial benefits from shifting your usage. Most UK households are on fixed monthly tariffs, meaning they pay the same rate regardless of when energy is consumed. However, smart meters - now installed in over 60% of UK homes - could change this by enabling real-time pricing and flexible tariffs.

One of the most innovative examples is Octopus Energy’s Agile tariff, which mirrors national energy markets. Pricing is set about eight hours in advance and updates every 30 minutes based on factors like generation type and weather. Prices can range from as low as 0.02p per kWh to over 40p per kWh, with occasional negative pricing when the grid has excess energy. Yes, you can actually be paid to use energy during these times!

Enter Tap: Smarter Consumption, Effortless Savings

This shift in energy pricing creates a massive opportunity to rethink how we consume electricity. With Tap, our Intelligent Light Switch, we’ve seen some households in our testing phase save up to 50% on energy bills simply by adopting variable tariffs and shifting their energy use.

Tap goes beyond lighting—it integrates with smart plugs to manage appliances. Here’s how it works:

• You start your dishwasher, which draws power.
• Tap, connected to a smart plug, detects the energy use and pauses the cycle.
• Using machine learning and tariff data, Tap determines the cheapest two-hour window to run the dishwasher.
• When pricing drops, Tap reactivates the plug, allowing the dishwasher to resume its cycle.

Most dishwashers, when restarted, pick up where they left off. This means homeowners can save money—or even be paid to run their appliances—with no extra effort.

The Trillion-Dollar Opportunity

Globally, the potential savings from smarter energy use are enormous estimated in the trillions. With Tap, we’re empowering households to reduce costs, support renewable energy adoption, and make more sustainable choices without sacrificing convenience.

Ready to join the revolution? Learn more about Tap and sign up for our exclusive preview.