Munich, 07.05.2024: tado°, the leading European provider of home energy management solutions, launches its dynamic HOURLY electricity tariff as it becomes Germany’s newest energy supplier today.

With immediate effect, customers can save up to 35% of their annual electricity costs by using energy during hours when it is cheap and getting billed on an hourly basis. Combining the Hourly tariff with tado° energy management solutions allows households to benefit directly from energy price fluctuations on the European Energy Exchange by shifting their electricity consumption to the cheapest and greenest hours of the day when wind and solar energy are abundant and prices low.

In the case of negative electricity prices, customers even receive payment for drawing power from the grid when charging their electric car or operating their heat pump at these times [1].

By intelligently managing their energy consumption, customers can significantly reduce their annual energy costs while at the same time help to ensure that less green electricity from wind and solar power plants goes unused. 

"The expansion of renewable energies is leading to increasingly volatile electricity prices over the course of each day, as well as the advance of hourly dynamic electricity tariffs in Europe," explains Philip Beckmann, the CEO of tado°. "For the first time, end customers can benefit from price fluctuations. Instead of paying an average electricity price to their energy supplier, they will be billed for their electricity on an hourly basis. Together, we are driving the energy transition forward."

tado° not only enables households in Germany and Austria to cut their energy costs by reducing their consumption. As an energy provider, the company is now also helping to reduce the electricity price they pay with its HOURLY tariff by shifting consumption to times of day when cheap green energy is available on the grid.

Benefit from volatile energy market prices with energy management

The tado° HOURLY tariff is aimed at users who can flexibly shift the times of when they consume the majority of their energy. The tariff offers real-time price transparency down to the hour. In conjunction with the tado° energy management app, households that control their heating and hot water via a heat pump or charge an electric car with their home wallbox can easily decide for themselves when and at what price the buffer tank is filled or the vehicle is charged - automatically and in line with their respective comfort requirements. By specifically consuming green electricity, customers are also driving forward the energy transition. 

Save €300 a year when charging electric cars

tado° HOURLY customers can use the tado° Smart Charging app to utilize the volatile prices on the electricity exchange to charge their electric vehicle intelligently at their home charging station. The app automatically schedules the charging process to times when energy prices are lower, regardless of when the car has been connected to the wallbox. Households can easily save an average of €300 on the annual charging costs for electric vehicles [2]. tado° Smart Charging is available free of charge in the Apple App Store and Google Play Store.

Typically save € 430 on heating costs

The tado° HOURLY tariff also reduces heating costs with the intelligent heat pump control from tado°. The solution enables households to control the operation of heat pumps simply, intelligently and efficiently in order to increase their cost-effectiveness. In combination with hourly dynamic electricity tariffs, the annual costs of heat pumps can typically be reduced by €430 [3]. Smart heat pump control shifts energy consumption for heating and hot water to times when electricity is particularly green and cheap. 

How the tado° HOURLY electricity tariff works 

Through its wholly-owned subsidiary aWATTar, tado° buys electricity precisely every hour on the European Electricity Exchange and passes the prices plus grid fees and levies directly on to customers. Customers receive an electricity bill every month based on their metered consumption and the grid charges. 

In a typical year, there are several hundred hours when a particularly large amount of solar or wind energy is produced and electricity prices are negative. These are also passed on to customers 1:1 and credited to the electricity bill - meaning they actually get paid for using energy at those times [4]. At energy.tado.com, customers can view the electricity prices for the current day as well as the previous days and weeks. The prices for the following day are also displayed on the website every day from 2pm. 

Smart electricity meters are a prerequisite

A smart meter is required for customers to be able to use the HOURLY tariff. Such a meter can be requested from the local grid operator or the regional municipal utility. In some regions, meter replacement is free of charge. Until the meter is replaced, a tariff applies that is dynamically adjusted to the electricity exchange on a monthly basis. 

Availability

The HOURLY tariff is now available from tado.com. The switch from the old electricity provider to tado° is then carried out automatically in the background. Monthly billing will be handled by the tado° subsidiary aWATTar until further notice. Further information on the tariff can be found at www.tado.com/de-de/dynamischer-stromtarif/. 

Imagery

High-resolution image material here. 

[1] The negative exchange prices per kWh are deducted from the monthly bill. Grid fees and other charges still apply.

[2] Based on 3000 kWh charging current, classic household electricity tariff at 40 cents per KWh (2023). Actual savings depend, among other things, on consumption, the current tariff, the development of the electricity exchange price and which apps are used to shift consumption to favorable hours.

[3] Based on 4500 kWh heating electricity, classic household electricity tariff at 40 cents per KWh (2023). Actual savings depend, among other things, on consumption, the current tariff, the development of the electricity exchange price and which apps are used to shift consumption to favorable hours.

[4] The negative exchange prices per kWh are deducted from the monthly bill. Grid fees and other charges still apply.

About tado°

tado° is a leading European provider of intelligent home energy management solutions. Founded in Munich in 2011, the company offers households one simple, easy-to-use platform to control their energy consumption and significantly reduce costs while also driving the green energy transition. 

tado°’s hardware, software and services deliver simple and efficient home climate management and heat pump control, intelligent electric vehicle charging, and dynamic energy tariff integration on one platform for maximum comfort and savings while automatically shifting electricity consumption to the cheapest and greenest hours of the day.

tado° currently employs more than 200 people from 45 countries and is the only open platform to provide industry-leading compatibility. In 2022, tado° acquired aWATTar, a pioneer in the field of dynamic energy tariffs, as part of its vision to offer a complete yet simple home energy management solutions package that reshapes the way energy is consumed for more comfort, savings, and in sync with nature. More information: www.tado.com

Annette Wiedemann

tado GmbH

Sapporobogen 6-8

80637 München

press@tado.com