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There are several things you should consider when you decide to choose an energy supplier. Besides getting cheaper energy rates, you also need to make sure that you are dealing with a supplier who offers reliable services. The tricky part of choosing the right energy supplier can sometimes come when you have to choose an energy tariff that is right for your business. Some types of energy tariffs you can find on the market are called energy 7 and 10 tarrifs. This article discusses what you need to know about economy 7 electricity tariffs.
Understanding Economy 7
An economy 7 tariff refers to a tariff that requires you to pay different energy rates for your electricity, but this depends on the time you use it. This tariff is sometimes called a differential tariff or a multi-rate tariff.
This means that you can pay a cheaper energy rate for electricity your business uses during off-peak times and higher energy rates for electricity your business utilizes during peak times. In most cases, the off-peak times on this tariff can happen at night. For instance, you can have off-peak times between midnight and 7am.
But this time can vary from one energy supplier to another. It can also depend on the location of your business. Because of this, you need to check the terms of your energy agreement to make sure that you know the off-peak and peak times.
An Economy 7 Meter
An energy supplier needs to install an electricity meter so that they can see your electricity usage. This helps them to send you accurate bills that are based on your electricity usage and pre-agreed tariff.
Therefore, if you decide to get an economy 7 tariff, then an energy supplier can give you a slightly different electricity meter compared to a standard one. Remember that an economy 7 meter can process two different electricity rates while a standard electricity meter can work with one rate.
Once you choose to switch to an economy 7 tariff, the energy supplier can offer you an economy 7 electricity meter and even install it on your behalf. Keep in mind that there can be a minor fee for this service. Regardless of this, you can rest assured that an economy 7 electricity tariff may assist to lower the cost of your business electricity bills.
When an energy supplier installs an economy 7 electricity meter, it can record the electricity usage. Sometimes, an energy supplier can ask you to take a reading so that you can send them for processing. Alternatively, it can make sense to take a meter reading to enable you to monitor the energy usage of your business.
You should also remember that most economy 7 meters can display two numbers. The one that is marked Normal or Day stands for the peak electricity usage. The other number marked either Night or Low stands for your off-peak energy usage. And, some economy 7 meters can only display one number at a time. In such cases, the peak usage can be displayed first and you can check the off-peak energy usage by pressing a button on your electricity meter.
