Octopus Energy Tracker Tariff Review 2023 – Now Open
The Octopus Energy Tracker is a tariff offered by Octopus Energy, one of the leading energy suppliers in the UK. It offers flexible, daily updated prices for electricity and gas to customers who are willing to be actively involved in their energy usage. Through this tariff, users can track their real-time energy usage via an app and adjust it accordingly in order to save money on their energy bills.
The Tracker Tariff is a variable rate plan that adjusts to changes in the wholesale market on a daily basis. This means that if the cost of energy decreases, so too will your bills.
By signing up for this tariff you are essentially betting against the market and hoping that gas and electricity rates are lower than the wholesale prices suppliers have purchased their energy in advance for, which is used to set other fixed and variable deals.
If prices do not increase or even fall, then you could save money using this tariff compared to others with fixed rates – however, if costs rise then you may end up paying more than those on fixed rate tariffs.
What are the advantages of the Octopus Energy Tracker Tariff?
The tariff also allows you to effectively pay the current wholesale market rate for your gas and electricity usage. This means you are not locked into a fixed unit price like you would be with a traditional variable or fixed tariff. If wholesale prices fall, then you will take advantage of this and will pay less for your energy.
This tariff is particularly beneficial to households who are able to actively manage their energy usage and adjust it according to the current prices in the market. If, for example, the rate of electricity has dropped significantly for the day then this would be a great opportunity to do any laundry, tumble drying or dishwashing you need to do. If the price has risen, then you could save money by saving these jobs for another day when the price has dropped
For the environmentally conscious, the Octopus Energy Tracker tariff provides 100% renewable electricity, that allows you to use renewable electricity from wind and solar farms across Britain. Gas unfortunately is not renewable (this is the same for any Octopus tariff, apart from Octopus Supergreen Tariff where you gas usage will be offset).
If you try the tariff out but find it isn’t for you, then you can switch to a more traditional tariff (or even another supplier) at no cost. The only condition is you can’t switch back to the tracker tariff for atleast 30 days.
Overall, Octopus Energy Tracker Tariff offers a convenient and cost-effective way of managing your energy bills. With its real-time tracking capabilities, green electricity and daily updated energy prices, this tariff provides an easy-to-use yet powerful platform for taking control of your energy consumption and potentially minimising your bills.
What are the disadvantages of the Octopus Energy Tracker Tariff?
Before taking up any energy plan it is important to consider all of its advantages and disadvantages carefully and Octopus Energy Tracker Tariff does have some drawbacks.
First, the tariffs are only available in certain areas of the UK and customers need to be within these areas in order to take advantage of the tariff.
Additionally, while it provides real-time tracking capabilities, this will mean you need a smart meter installed. These can be installed free of charge by Octopus, but there will be a waiting time. Have a look here to find out more about the advantages and disadvantages of smart meters.
If you are unable to actively manage your energy consumption on a daily basis according to market prices (e.g. leaving doing your washing and dishwashing for another day when electricity prices are high), then you could end up paying more than they would with a traditional fixed rate or variable tariff.
Even if you are able to actively manage your energy usage, if energy prices were to spike for days or weeks then you could end up paying significantly more than a traditional fixed or variable tariff. It is worth noting however that Octopus has a cap in place where the maximum you could pay is 3x the average unit price of an Energy Price Guarantee tariff.
Octopus Agile v Octopus Tracker Tariff: What’s the difference?
Octopus also offer a similar smart tariff called Octopus Agile. There are two main differences between the two tariffs:
- The Octopus Tracker tariff is updated once per day whereas Octopus Agile updates every 30 minutes. The advantage of this is that you don’t need to look at the energy prices as regularly to see what the rate is you will be paying. The disadvantage is you can’t take advantage of cheaper rates at less popular usage hours (e.g. late evenings/early mornings).
- The Octopus Tracker tariff is available for both gas and electricity. The Octopus Agile tariff is available for electricity only.
These are the two key differences. Both require a smart meter, both require you to be an Octopus Energy customer and both track the wholesale price of energy.
Should I switch to the Octopus Energy Tracker tariff?
Overall, the Octopus Energy Tracker Tariff offers great flexibility and cost savings for households and that are able to actively manage their energy usage. With no exit fees, you can easily switch back to a different tariff if necessary.
However, if you are unable or unwilling to actively manage your energy consumption this tariff may not find be financially beneficial and you would be better suited to a traditional variable or fixed rate tariff.
Ultimately, the decision of which tariff is right for you will depend on your individual circumstances and needs.
How do I sign up for the tracker tariff?
If you would like to give the tracker tariff a try, then it is simple to sign up:
If you not already a customer but have an existing smart meter, firstly you need to join Octopus Energy (and get £50 credit towards your bills) by clicking here.
Once you have signed up as a customer, you can get switch to their tracker tariff (as of 14/07/23 there is no longer a waiting list, but it can still take two weeks until you are moved to the Tracker tariff). This can be done by visiting the Tracker tariff page.
If you are already an existing Octopus customer, then simply click on the link above and follow the process to switch tariffs.