POWER UP
We pay just £12 a month for energy after making a huge switch – we have no regrets
Read on to find out how you could cut your energy bills
WITH rising energy bills a concern for millions of households, one family have found a way to beat the rising costs.
Matt Mecham, 48, decided to install solar panels after the energy crisis hit in 2021.
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The software engineer lives in Peterborough with wife Debbie and two children 16 and 8.
He said: “We became very aware of bills rising. As a busy family of four, we use a lot of energy, we also have a very energy-hungry hot tub and electric car.”
The family had nine solar panels installed on one side of their South Westerly facing home in September 2022, as well as a battery to store energy.
The upfront cost was around £11,000 (VAT free).
Read more on energy bills
They are now making between 20 and 25 killowatts of energy daily in summer, in winter this drops to around seven kw a day.
The family uses about 20 a day and gets paid to send some back to the grid during summer – giving a credit to the bill of between £20 and £30.
Matt estimates the payback period will be around 4.5 years through bill savings and exporting.
Matt said: “We look at the electricity pouring out. It’s been fantastic.
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“Even when it’s rainy and grey you still produce.”
In January, the gloomiest and darkest month, the famly had an energy bill of £115, with around £65 of that charging the car.
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It comes as millions of households will see their bills jump next month when the energy price cap increases by ten per cent to £1,717, from £1,568 under prices set by regulator Ofcom.
Matt added: “We have no regrets doing it
“We keep off the grid during the day through the summer.
“And we pay a bit more in winter when the system generates less.”
How to save on your energy bills
SWITCHING energy providers can sound like a hassle - but fortunately it's pretty straight forward to change supplier - and save lots of cash.
Shop around - If you're on an SVT deal you are likely throwing away up to £250 a year. Use a comparion site such as MoneySuperMarket.com, uSwitch or EnergyHelpline.com to see what deals are available to you.
The cheapest deals are usually found online and are fixed deals - meaning you'll pay a fixed amount usually for 12 months.
Switch - When you've found one, all you have to do is contact the new supplier.
It helps to have the following information - which you can find on your bill - to hand to give the new supplier.
- Your postcode
- Name of your existing supplier
- Name of your existing deal and how much you payAn up-to-date meter reading
It will then notify your current supplier and begin the switch.
It should take no longer than three weeks to complete the switch and your supply won't be interrupted in that time.
How do solar panels work?
The panels are usually fitted on to the roof angles towards the sun absorbing the rays and turning into electricity that can power your home.
The position and size of your property will determine how many panels are worth getting fitted.
Usually, solar panels are installed by the company you buy the panels from.
It’s worth getting two or three quotes and read reviews of the company.
You could also ask to speak to customers to find out if they were happy with the work.
Changes in daylight mean there is quite a big difference between the amount of power generated in summer and winter.
Extra energy produced can be sold back to the grid, unless you have capacity to store it in a battery.
The amount you sell energy, depends on your provider - typically it’s 20-30p a unit.
Or you can try to power more of your home with electricity.
For example, switching to electric cars or heating systems.
Joanna O’Loan, knowledge manager at Energy Saving Trust said: “With electricity prices remaining high and more flexible tariffs becoming available which favour renewable energy generation, it could be a good time to consider if solar panels are right for you.
“In the bigger picture, domestic renewable energy will be an increasingly integral part of the UK’s transition to net zero, supporting the shift to a low carbon society, alongside low carbon heating, transport and a flexible, renewable energy grid.”
What’s the cost?
The solar panels usually require an upfront investment.
The average home needs around ten solar panels at a typical cost of around £5,000-£6,000, according to energy firm Ovo.
If you want to store energy, you’ll also need to invest in a battery, which is typically around £5,000.
Over time, the money is made back through savings on your bills.
The cash saved will depend on the size of your system, where you live and whether there is anyone at home during the day, says the Energy Saving Trust.
The charity calculates that a 3.5kWp PV system on a home in Manchester, where the occupants are at home all day, could save £310 on annual energy bills.
On the other hand, installing the same system in London on a house where no one is home until 4pm, could save £160 a year.
The Energy Saving Trust has an online calculator at energysavingtrust.org.uk which can help you work out how much you could save.
It’s also important to take into account how long you stay in the property, as the solar panels will stay there.
However, more firms are offering ways around the upfront costs.
For example, Ovo is offering eligible customers the opportunity to ‘bank’ solar panels through its reward programme.
Up to five panels can be collected over five years then redeemed and fitted by signing up to its solar and battery package.
Another energy firm Egg offers interest-free loans for up to five years for the cost of solar panels.
It’s not just energy firms that are encouraging a move to solar.
Some mortgage firms, including Coventry Building Society, offer customers additional funds at a lower rate if the money is being used to make energy saving home improvements.
And if you’re a Halifax or Lloyds current account and mortgage customer you can also get up to £1,000 in cashback simply for installing solar panels or a battery as part of its Green Living Reward scheme.
Chris Sykes from mortgage broker Private Finance, says: “More mortgage firms are encouraging customers to make greener moves.
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“However, there aren’t many initiatives like Halifax’s cashback scheme that actively encourage current borrowers to improve their properties.
"It is a really good step in the right direction and hopefully will encourage more firms to create bigger incentives.”
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