British Gas has teamed up with Mixergy on a first-of-its-kind energy offer that pays the homeowner to switch on the hot water during low peak times.

Mixergy customers who sign up for a British Gas fixed-rate tariff will save a further £40 a year when they opt-in to Mixergy Extra. The £40 rebate will be deducted by British Gas from the energy bill.

More than 70% of all Mixergy customers already opt-in as a Mixergy Hero to help solve grid congestion. Now, thanks to Mixergy Extra, customers will receive extra financial rewards when they enable British Gas to optimise their Mixergy tank to heat when local or national electric demand is lower.

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This is the first offer of its kind in the UK that pays the homeowner to switch on the hot water cylinder during low peak times, supporting our national grid's onboarding of more renewables. This a vital step in the journey towards net zero.

Pete Armstrong, CEO of Mixergy, explained: "We have been working with British Gas to explore how hot water tanks can support our power grid infrastructure by alleviating grid congestions as more renewables are installed on an already overloaded grid. Imagine if every hot water tank in the UK worked just like a battery and was connected to the grid so you could charge when power was cheapest and cleanest? This could free up a phenomenal amount of room to onboard more renewables. Instead of paying windfarms to switch off we could pay home-owners to switch on!

"This is why we're thrilled British Gas has chosen to be the first utility to offer Mixergy Extra. The first smart hot-water tank energy offer which pays homeowners."