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My Experience of Dynamic Electricity Pricing

16/8/2019

2 Comments

 
For the past few months Naomi and I have been on a domestic electricity tariff with dynamic pricing, Octopus Energy's Agile tariff. At 4pm we can access the prices for each half-hour of the next day. The pricing features a premium for consumption between 4pm and 7pm, but is generally much lower than a fixed rate tariff at other times.

Did we look at the prices every day? No! Did we avoid using energy intensive appliances between 4pm and 7pm? Yes! Below you can see the impact on our effective unit rate each day. From a fixed rate around 15p/kWh we were down to just over 12p/kWh once we adapted our routine. See graph below.

​Could this kind of tariff help reduce the evening peak in national demand if enough consumers signed up? Or would we end up with a sharper peak at 7:01pm?
Picture
2 Comments
www.electricianhamiltonnz.kiwi/ link
6/5/2022 07:54:55

Many people experience spikes in pricing, not just on electricity but on other utilities as well. So the best advise would be to plug the appliance out if not in use.

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Rishi Rishi link
25/10/2022 10:12:36

A typical residential home uses alternating current (AC) electricity. AC is normally delivered via electricity transmission lines, which run along roads and highways, and is transmitted to local substations. These substations convert the electricity into direct current (DC), the type used to power household devices. The electricity produced at substations ranges from 120 VAC/240 VAC to 277VAC/500 VAC depending on the locale.

Electricity is created by connecting a generator to a motor and sending it through a series of gears. The gears create a constant motion, which in turn creates a continuous flow of electrons -- the electricity. The electricity travels from the generator to the motor through wires called conductors. The number of conductors inside a wire varies based on the size of the current being delivered. Smaller amounts require fewer conductors than larger amounts.

The speed at which the generator turns determines the frequency at which the electrons oscillate. Higher frequencies mean lower voltages. Lower voltages mean higher voltages. Voltage is measured in units of Volts. Most commonly, 110 VAC is used in North America, 115 VAC is used in Europe and 240 VAC is used in Australia. Frequency is measured in hertz and ranges from 50Hz to 60Hz.

A three phase system consists of three separate circuits, each with a different frequency. Each circuit is separated by two magnetic poles of opposite polarity (like north and south). Three-phase systems have been used since the 18th century to generate electricity because they allow for much greater efficiency.

Three-phase power is often preferred by companies for its stability and reliability. However, most small scale applications do not require this level of control due to the relatively large cost involved in installing the equipment. Instead, a single line can serve many smaller loads without any problems.

One disadvantage of three-phase power is that it produces less torque than single-line power. Another disadvantage is that if one phase fails, it affects other phases. Additionally, three-phase power is more expensive to install and maintain.

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