ScottishPower Shakes up the UK Energy Market with ‘PowerUp’
Today saw a first for the UK energy market, with one of the so-called ‘Big Six’ suppliers ScottishPower launching its revolutionary new energy product ‘PowerUp’.
PowerUp allows users to buy packages of energy upfront from just a day at a time if required, and all the way up to a maximum of 180 days. The idea is that this will help to keep costs down and provide more flexibility for customers in how they can manage their energy usage. The average daily energy price which is being quoted by ScottishPower on launch day is between £2.10 and £2.50 depending on how much you buy. The more energy you buy upfront, the more money you can save!
According to a press release posted on the company’s website today, the idea behind PowerUp is based on a petrol pump kind of model. This means that users can effectively ‘fill up their tank’ in advance and at a set price. The hope is that this will encourage customers to use their energy more efficiently, as they will be able to see their ‘energy gauge’ going down and can then take measures to preserve what energy they have left in their current package if they wish to.
The absence of any standing charges with the PowerUp product also means that if no energy is used during a given day, no charges will be applied and the energy ‘gauge’ will not move.
The PowerUp App
One Useful feature of the PowerUp product is that you can control your account directly from a mobile app which has been tailored specifically to the needs of PowerUp customers. The app allows you to buy packages of Gas and Electricity directly from your mobile phone. If you’re wondering how ScottishPower will ensure that you are using what the app says you are using, then this will be done via your meter readings in the normal way, just to make sure that there are no errors.
The Competition and Markets Authority have been recommending for some time now that energy companies need to be doing more for their loyal customers and also to encourage energy efficiency. ScottishPower will be hoping that their new PowerUp product will go some way to responding to this call.
For a little more info on the PowerUP launch tariffs, see the table below:
* Based on daily average consumption for OFGEM typical annual consumption of 12,500kWh gas and 3,100kWh electricity, based on available PowerUp package prices at launch. Includes VAT.
** Based on launch package prices for the full 12-month term. Package prices subject to change. Includes VAT.
More Innovation to Come?
It seems then that the days of only being able to buy energy via a regular tariff or a top up card are finally being challenged. Who knows what innovations will come to the market to challenge ScottishPower’s PowerUp product but one thing is for sure, the more options and choice available to the customer, the better off we’ll all be.
Does ScottishPower’s ‘PowerUp’ product sound interesting to you?