Ovo rolls out its AI-enabled flat-rate EV charging tariff nationwide

Ovo has announced it is rolling out its flat rate electric vehicle (EV) charging tariff nationally, following the completion of a successful pilot scheme launched earlier this year.

The energy company said the tariff, rolled out nationwide from today, could reduce the average UK driver's charging costs to roughly £100 a year, by guaranteeing a flat rate of 5p per kWh for charging at all times of the day.

Unlike 'time of use' charging tariffs, which offer cut-price charging overnight when electricity demand is low and increased prices during times of peak demand, Ovo's new tariff offers drivers the same rate no matter when they charge.

The 5p per kWh rate offered by the new 'Drive Anytime' tariff is less than half the price of typical 'peak rates' offered by rival firms, the company said. It also represents a slightly better deal for drivers than the trial version of the tariff, which was launched in January and offered a flat rate of 6p per kWh.

The offer has been made possible thanks to flexibility software developed by Ovo's technology arm Kaluza, which uses AI algorithms to automatically charge vehicles when prices are low and electricity is at its greenest, Ovo said. After customers select through a mobile app when they need their car charged by, the software ensures vehicles charge during times when emissions and prices are lowest, it explained.

The new tariff enables customers to split their home electricity charges from their EV charging bill and gives customers credits for the amount of electricity they save using smart charging, Ovo said, estimating it could slash charging costs for EV drivers by 70 per cent.

Chris Russell, managing director of Ovo Drive, said the tariff had been designed to make it easier and cheaper for customers to make the switch to EVs.

"To be able to offer our EV-driving customers an affordable and hassle-free way of joining us in our mission to achieve a carbon zero future is amazing," he said. "We want to encourage the use of electric vehicles as a carbon-conscious lifestyle choice, and it should be easy and accessible - with the help of Kaluza's cutting edge technology, our new Drive + Anytime plan embodies that vision perfectly."

Autumn Pray, chief product officer at Kaluza, touted the tariff as further evidence of how smart or flexible grid technologies could help deliver the net zero transition. "The Ovo Drive Anytime tariff is a prime example of how we can make it easy for individual customers to become the driving force of the energy transition - by rewarding people for trusting in the technology that is enabling a more resilient, greener energy system," she said. "It is exciting to be working with Ovo on such a pioneering offering that creates a win-win for both drivers and the planet."