EDF has launched a heat pump bundle that includes a month’s free electricity and a £1,150 service and warranty package for seven years.
The heat pump and Power Tracker bundle also offers six hours of cheaper electricity at certain times of the day and has no cancellation fees.
The bundle offer is designed to make the deal more attractive to households switching from traditional gas boilers to heat pumps.
The new deal may look tempting, but it does come with a number of conditions, meaning it may not be the right choice for everyone.
Here’s everything you need to know about the new deal and who it’s best suited to.
Bundle deal: Customers must have an Ideal Heating heat pump installed by EDF Heat Pumps
How does the deal work?
Customers must sign up and turn off the gas completely by 31 December 2024 to receive free electricity in December 2025.
Consumers must purchase a heat pump from Ideal Heating and have it installed by EDF Heat Pumps, with a deposit due by 31 December 2024.
The heat pump is likely to cost between $3,000 and $4,000, plus installation.
However, households interested in the package can apply for grants of up to £7,500 through the government’s Boiler Upgrade Scheme.
The heat pump itself must be installed by 30 September 2025.
To qualify, homes must also have a smart meter, opt for half-hourly meter readings and pay by direct debit.
Once their heat pump is installed, customers will receive a £1,150 service and maintenance package.
This includes four face-to-face services and three remote services, and a seven-year warranty.
If a remote survey reveals any issues, Ideal Heating will carry out another face-to-face service free of charge.
The deal also includes signing up to a three-year Heat Pump and Power Tracker tariff.
This deal follows the Ofgem price cap, so the price paid for electricity will vary, as will the daily fixed cost.
However, households on this tariff will receive daily electricity between 4am and 7am, and then between 1pm and 4pm.
Who is this deal suitable for?
The Heat Pump and Power Tracker bundle can be attractive for a number of reasons, depending on the customer.
Firstly, it offers a ‘turnkey’ way to switch to a heat pump, without having to do too much research yourself.
Another attraction is that consumers can pay their electricity bills at or significantly below the Ofgem price cap for three years, and can leave without any exit charges if they wish.
Another quirk of this tariff is that households pay the same rates for electricity units as everyone else during peak times, and then save money on power used outside peak times.
Eleven-fold increase: the government wants 600,000 heat pumps installed per year from 2028, up from just 55,000 in 2023
By comparison, most other heat pump tariffs offer higher off-peak discounts, then increase the charge for peak hours.
The 10p/kWh discount offered by EDF is still quite significant. The average price cap home currently pays a unit rate of 24.5p/kWh, although this varies depending on factors such as where you live.
However, it is a smaller discount than that available from rival deals such as Scottish Power (15p/kWh) and Octopus (11.83p/kWh).
However, consumers would pay more for peak power on these two deals: an average of 25.649p/kWh for Scottish Power and up to 37.5p/kWh for Octopus (between 4pm and 7pm).
In other words, the savings from the EDF deal are smaller than some competitors, but the penalties for peak energy use are also lower.
EDF Customer Director Philippe Commaret said: ‘By working closely with Ideal Heating on our Heat Pump and Power Tracker tariff package, we hope to support more customers to install sustainable, energy-efficient solutions, enabling them to make significant cash and carbon savings.’
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