Batteries Make Sense for Everyone?!

EDF appear to be offering a tariff that charges 4.5p per unit between midnight and 5am and about 40p/min at all other times (fixed fro 2 years)

Compare this to the price cap tariff from April on of about 30p per unit - the off peak units are 25p per unit cheaper.

The average household use 3700 kwh of electricity per year of about 10kwh per year.

Using a 13kwh powerwall should allow all daily usage to be from the off peak electricity saving 25p per unit x 3,700 units = £925

Cost of install of a 14kwh Tesla powerwall = £9250 so payback time of 10 years or return on capital of 8% over 20 years which beats any possible savings account.

Cheaper battery options are available.
I think....

Comments

  • Petriix
    Petriix Posts: 2,050 Forumite
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    That's not 'everyone', that's anyone with average or greater usage. Also the gas tariff that they force you to take is extortionate. Batteries aren't guaranteed to be usable after 20 years. Etc, etc.

    Batteries will definitely work for some people. Judging by the scarcity of the 8.2kWh Givenergy batteries that I've ordered, many people agree that paying around £4k for a battery might just make sense. It especially works well in conjunction with Octopus Go so great for EV owners like me. I'm looking at savings of £400 on my current prices (which are much lower than projected prices) and possibly as little as 5 years to break even if prices go really high in the next 18 months.
  • michaels
    michaels Posts: 28,003 Forumite
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    Petriix said:
    That's not 'everyone', that's anyone with average or greater usage. Also the gas tariff that they force you to take is extortionate. Batteries aren't guaranteed to be usable after 20 years. Etc, etc.

    Batteries will definitely work for some people. Judging by the scarcity of the 8.2kWh Givenergy batteries that I've ordered, many people agree that paying around £4k for a battery might just make sense. It especially works well in conjunction with Octopus Go so great for EV owners like me. I'm looking at savings of £400 on my current prices (which are much lower than projected prices) and possibly as little as 5 years to break even if prices go really high in the next 18 months.
    Grr - you are right - whilst it says it can be an electricity only tariff, it then says if you have gas you have to take it aswell.

    However 4.5p per kwh with an immersion tank could also save at least on the hot water bit of the gas bill compared to 11.5p per unit rip off price.
    I think....
  • michaels
    michaels Posts: 28,003 Forumite
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    QrizB said:
    The risk is obvious, and it's the same one we all make when pricing this sort of project; you're making a 10-year investment based on a 2-year fixed tariff and a 6-month capped electricity price.
    If EDF increase their off-peak rate to 10p and retail energy prices drop back to 20p/kWh your saving becomes 10p/kWh, £370/yr.
    Having said that, if you've got £10k burning a hole in your pocket, why not buy the Powerwall?
    I'm actually trying to justify upgrading my leaf from a 24 to a 40 so that I have enough storage for my 20kwh per day usage via the V2G/H unit we have - should cost about 8k?
    I think....
  • JKenH
    JKenH Posts: 4,792 Forumite
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    Makes sense. I keep thinking that for many people with an EV, once V2G/H really comes in, domestic batteries will become redundant. In the meantime I would still like to have one.
    Northern Lincolnshire. 7.8 kWp system, (4.2 kw west facing panels , 3.6 kw east facing), Solis inverters, Solar IBoost water heater, Mitsubishi SRK35ZS-S and SRK20ZS-S Wall Mounted Inverter Heat Pumps, ex Nissan Leaf owner)
  • shinytop
    shinytop Posts: 2,099 Forumite
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    I thought at first this might be good for me as an all electric house.  Although I'd use all the battery could provide and could run the ASHP through the night in the winter, the higher peak cost wipes out a lot of the savings.   
  • I just don’t trust that cheap rate to hang around. When more go to it surely they’ll just raise it. 
  • Going forward, I think we will see a move towards more demand sensitive rates but less variability between peak and off-peak than octopus Go etc. As you say, once a significant number of people have BEVs demand during the night is likely to increase. 
  • michaels
    michaels Posts: 28,003 Forumite
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    Going forward, I think we will see a move towards more demand sensitive rates but less variability between peak and off-peak than octopus Go etc. As you say, once a significant number of people have BEVs demand during the night is likely to increase. 
    Against that, the price seems to be set at the margin so until night time demand gets close to day non peak levels then it is likely to remain appreciably cheaper. Imho
    I think....
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