The Cosy Octopus Tariff
The Cosy Octopus tariff is the latest smart tariff offered by Octopus Energy. It provides 6 hours of off-peak electricity and is designed to help heat pump owners keep their homes cosy while spending less.
The cheap daytime off-peak rate on the Cosy Octopus tariff is approximately 20.38p per kWh between 4 am – 7 am and 1 pm – 4 pm. (This will vary depending on where you live in the UK) Octopus refers to this as the double dip.
Octopus Energy is taking on new customers. You can now get an online quote and switch just by answering a few questions online.
Cosy Octopus – The Octopus heat pump tariff.
Switching from gas to electricity to heat your home is better for the planet. However, during the current energy crisis being green isn’t always the cheapest way. The Cosy Octopus tariffs aims to address this by offering a cheaper electricity rate not once, but twice a day, every day.
Unlike other Octopus smart tariffs, the cosy tariff has 3 electricity rates;
Off-peak Rate: 4 am to 7 am and 1 pm to 4 pm – 19.97p per kWh.
Peak Rate: 4 pm to 7 pm – 53.25p per kWh.
Day Rate: 7 pm to 4 am and 7 am to 1 pm – 33.28p per kWh.
Daily Standing Charge: 52.18p.
You can obtain a quote and sign up for the Cosy Octopus tariff on the Octopus website. In South Wales, these are the unit prices per kWh for the Cosy Octopus tariff on 2nd June 2023.
How are the Cosy Octopus rates calculated?
Off-peak cost rate – 40% cheaper than the flexible Octopus rate in your region.
Peak rate – 60% above the Octopus flexible rate in your region.
Day rate – Set at the standard Flexible Octopus rate in your region.
The day rate being the same as the Flexible Octopus tariff means you are not paying more than the standard variable, which is the flexible tariff, for your electricity for 21 hours of the day. You only pay more during the peak period which is between 4 pm and 7 pm each day. The incentive to “load shift” comes in the form of the double dip, which is 6 hours of electricity 40% cheaper per kWh than the Flexible tariff.
What are the benefits of the Cosy Octopus Tariff?
- Reduce your overall energy bill.
- Reduce the cost of heating your home using a heat pump.
- Decrease your environmental impact.
- Support load shifting with two off-peak periods during the day. 🌍
During your cosy octopus double dips, you need to hustle and load shift as much electricity as you can. If you have battery storage you could even charge up during the dips to try and make it through higher rate periods. You would need quite a big battery BUT remember it is the average price per kWh that counts. So even when you use energy outside the dip it’s the average that really counts.
Is the Cosy Tariff more expensive than other Octopus smart tariffs?
On the face of it, the Cosy Octopus tariff is more expensive during off-peak periods than Octopus Go or the Intelligent tariff. However, the day rate is considerably lower on the Cosy tariff. The day rate on both Go and Intelligent tariffs is currently well over the standard variable rate, which is the Flexible tariff. So you need to load shift as much as you can to get the price per kWh down. You also need an EV to qualify for the Go or Intelligent tariffs.
As heat pumps work on a more continuous basis the option to have a tariff that isn’t more than the flexible tariff for most of the day with discounted periods thrown in is great! The only fly in the ointment is the peak rate between 4 pm and 7 pm.
One option would be to use the double dip for your hot water cycle helping meet morning and evening bath and shower needs. Followed by an extra heating boost so you can switch off your heat pump and get through the evening peak period.
You could also consider an Economy 7 or 10 tariff if you have a heat pump but the discounted period is during the night rather than during the day which is less convenient. The day rate is also higher on Economy 7.
Here are the current rates for Economy 7 in South Wales v Cosy Tariff. They may vary slightly in your geographical.
|Compare Energy Prices 02/06/23|
|Octopus Flexible Tariff -EPG average price (Electricity) 01/04/23 to 30/06/23||Octopus Cosy Tariff.|
|43.36p per kWh - 17 hours.||33.28p per kWh - 15 hours.|
|17.30p per kWh off-peak Eco 7.||19.97p per kWh off-peak - 6 hours|
|No Peak rate.||53.25p per kWh (4pm - 7pm)|
|52.28p per day standing charge.||52.18p per day standing charge|
The only other tariff left to consider is the Octopus Agile. At the moment prices are simply too high BUT this may change as they follow next-day prices so keep checking would be my advice!
Is the Cosy Octopus tariff a fixed tariff?
No, the Cosy Octopus tariff is a variable tariff so the rates could change. Like all Octopus tariffs, you are free to switch away from this specific tariff at any time.
How do you switch to the Cosy Octopus Tariff?
As a new customer, you’ll simply have to switch to Octopus Energy and go on their Flexible tariff before making your switch to the Cosy Octopus tariff. As a new customer, you have to sign up for a nonsmart tariff when you switch. It’s then a case of moving from your interim tariff to your chosen smart tariff, such as Cosy Octopus.
- Switch to Octopus Energy. (This usually takes around 17 days)
- Octopus must be satisfied that they are receiving half-hourly readings from your smart meter. (This usually happens within 14 days but could take longer.
- Once Octopus has connected are getting half–hourly readings from your smart meter, you’ll receive an email asking you to accept the Terms & Conditions of Cosy Octopus to complete your switch. Have a read of our smart tariff Terms & Conditions now.
If you haven’t got a smart meter it’s a case of switching, requesting a smart meter, and waiting for an installation date to become available in your area. You’ll need a Secure SMETS1 (Secure is a brand name and it’s written on the front of the meter) or a SMETS2 smart meter to switch to any of the Octopus smart tariffs.
If you have a heat pump installed or you are in the process of getting a heat pump installed you can switch to the Cosy Octopus Tariff.
Your heat pump doesn’t need to be supplied by Octopus to be eligible for this tariff.
Your interim tariff switch.
All traditional and smart tariffs are available to new customers. Yes, you can switch to Octopus Energy using the link above. Once you have entered a few short questions you will be given a quote. I have circled the current price per kWh below. You can then make the switch with just a few short clicks.
For any smart / tracker tariffs, you will have to sign up for the Octopus Flexible tariff first and then when the switch is complete ask to be moved to the smart or tracker tariff. It can sometimes take a little time as Octopus needs to make sure they are receiving readings from your smart meter.
How can I tell if I have a SMETS2 smart meter already?
Look out for ‘GUID’ or a Device ID which looks like this: AA-BB-CC-DD-EE-FF-00-GG-ZZ on the front of the meter. If you can see a number like this it is a good indication you have a SMETS2 meter.
There’s no getting around it switching to Octopus Go does take a little more time than a standard tariff.