E.On Next is launching two new tariffs designed to be climate friendly, one focused on electric vehicles (EVs) and one offering the perk of tree planting.
Both new tariffs – Next Drive and Climate+ – offer 100% renewable energy through Renewable Energy Guarantee of Origin (REGO) certificates, a measure that has been often criticised for being a “shortcut”.
It comes as some suppliers increase their use of power purchase agreements (PPA), allowing them to use renewable electricity directly sourced from generators. This includes OVO signing a PPA with Ørsted’s Barrow Offshore Wind Farm and ScottishPower launching new domestic fixed price tariffs using 100% renewable energy sourced from its own wind farms, whilst suppliers such as Good Energy source 100% of their electricity through PPAs.
As well as using renewables, Next Drive also allows EV drivers to charge their cars at a fixed price of 4p/kWh between midnight and 4am, with the supplier claiming this can save customers up to £188 a year. Outside of these off-peak hours, Next Drive charges drivers 17.6p/kWh.
To be eligible for the tariff, drivers will need to use the free Next Drive app – developed in partnership with ev.energy – to automatically schedule charging during off-peak periods. This app can also be used to monitor the energy use, costs and savings of their at-home charging over time.
This follows a number of EV tariffs being launched by other suppliers, also offering free or discounted charging during off-peak hours. This includes Bulb’s rate of 4p/kWh between 2am and 6am, EDF’s 4.5p/KWh between 12am and 5am daily, Good Energy’s tariff that offers weekly free periods during excess renewable generation and OVO’s ‘type of use’ tariff, which offers a flat rate of 6p/kWh at any time of day.
The second new tariff to be launched by E.On Next, Climate+, offers carbon offset gas, which is achieved by investing in carbon neutral initiatives including the funding of clean energy projects around the world and through carbon emission reduction certificates. The tariff is priced at £1,075 for a typical dual fuel customer.
For every customer who signs up to Climate+, E.On Next will fund the planting of five new trees with charity One Tree Planted, supporting a project in the Peru Rainforest.
Michael Lewis, E.On UK CEO, said that through E.On Next, the supplier is offering “people simple ways to make their heating and hot water and their driving more sustainable”.
E.On Next was launched in March 2020, with the supplier forming a strategic partnership with Octopus’ tech arm Kraken Technologies as part of a restructure of the company’s online platform.
It came after E.On announced in January 2020 it would be supplying over 100,000 small business customers with 100% renewables-backed electricity, with this in turn following it switching all of its then 3.3 million residential customers to 100% renewables-backed supply in July 2019.
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