Every month, before you’ve even boiled a kettle or switched on a light, you’re already paying the energy companies. That’s the sting of standing charges – the daily fee just for being connected to the grid.
And in the UK, they’re only going one way: up.
In April 2023, Ofgem raised the average electricity standing charge to over 50p per day – that’s more than £180 a year before you’ve used a single unit of power. For many households, it feels like paying rent to the energy companies… just for existing.
The good news? Solar power can make those charges almost disappear.
What Are Standing Charges, and Why Are They So High?
Standing charges are fixed daily fees your supplier charges to cover:
- Maintaining the grid infrastructure
- Meter readings and admin
- Government policy costs
It doesn’t matter whether you’re on holiday for a month or home every day, you still pay the same.
And here’s the kicker: While wholesale energy prices may fall, standing charges are far less likely to drop. In fact, they’ve been rising steadily for years, often outpacing inflation.
How Solar Reduces (or Even Eliminates) Standing Charges
While standing charges are unavoidable if you’re fully reliant on the grid, solar changes the game:
1. Slash Your Grid Usage to a Minimum
With panels producing your own electricity, especially paired with a battery system, you can cover most of your daily needs from your own roof. The less you pull from the grid, the less relevance standing charges have to your monthly costs.
2. Switch to the Lowest Standing Charge Tariffs
Solar owners can choose tariffs with the lowest possible standing charges, because they’re far less concerned about unit rates.
Some suppliers even offer zero-standing-charge tariffs for ultra-low grid users.
3. Go Off-Grid (With the Right Setup)
While rare in urban areas, some households with large solar arrays, battery storage, and backup generation can go fully off-grid, cutting ties with the energy companies completely.
No grid = no standing charge.
4. Get Paid to Export Your Energy
With MCS-certified solar, you can join the Smart Export Guarantee (SEG) and get paid for the energy you send back to the grid.
This can more than offset your standing charges, effectively making them vanish from your net costs.
Example: How the Numbers Stack Up
Let’s take a 3-bed UK home:
- Current standing charge: £0.53/day = £193.45/year
- Typical annual grid usage: 3,000 kWh at 28p = £840/year
With a 4kW solar system + battery:
- Grid usage drops to 500 kWh/year = £140/year
- Choose a low standing charge tariff at £0.10/day = £36.50/year
- Export surplus at £0.15/kWh for 1,500 kWh = £225 earned
Result: Your standing charge and remaining grid usage are more than covered by your export income.
Why You Should Act Now
Standing charges are under ongoing review by Ofgem, and many analysts predict they’ll rise further to fund infrastructure upgrades for EVs and heat pumps.
Every year you wait means:
- More money lost to fixed fees
- Higher installation costs (inflation affects solar too)
- More missed savings and export income
How We Can Help You Beat the Standing Charge Trap
At Novus, we design smart, future-ready solar systems that:
- Cut your reliance on the grid
- Qualify for the best export tariffs
- Work seamlessly with batteries for maximum savings
We’ll even help you choose the right tariff post-install to keep standing charges to the absolute minimum.
Don’t keep paying for power you’re not using.
Let’s make your standing charges irrelevant.
Contact us today using the form below for a free quote, or give us a call on 01422 768113.