A question that weighs heavily on our mind here at Brimstone Energy UK is whether citizens can enjoy low energy costs in a post-fossil fuel world. And if costs can remain low, will the distribution of fuel costs be equal in society?

And the reason is simple: For human flourishing to exist, folk need access to low-cost energy.

First, we’ll touch on electricity, but the knottier issue is really heating.

Low-Cost Electricity

On January 1 2024, the unit price of electricity in Eastern England rose by 7% to 29.22 pence per kWh. So a household using 13.5kWh per day will pay £3.94 plus the standing charge. Whereas someone with the capital to invest in a Home Storage battery like the GivEnergy All in One (which is now VAT free) will be able to charge up overnight on off-peak electricity. Therefore that 13.5 kWh will cost them only £1.21, assuming a unit cost of 9p per kWh.

For the sake of argument, over the course of a year, the wealthier person is paying £443.47 + standing charge for their electricity, whereas the poorer person is paying £1440 + standing charge.

Add in the fact that the battery owner can export to the grid during Demand Flexibility Service events, earning themselves hundreds of pounds a year, and the fact that with a solar panel array that electricity is delivered at a zero marginal cost, and very quickly the wealthier person is probably at least £1500 per year better off.

Some people in January 2024 can enjoy access to low-cost electricity. In fact for these folk, the electricity that they buy in 2024 will be lower in cost than it has ever been.

Is low-cost heating possible?

Now let’s consider heating. Currently, for most homes heating is provided by Natural Gas boilers. Natural Gas has many advantages, pre-eminent of which is it’s low cost for the user. Central heating has improved the quality of life for people in this country, allowing people to live in warm homes for low cost.

Every alternative method of heating homes with central heating is more expensive.

Heat pumps cost more to install in every way. The equipment is more expensive, and to deliver the right outcomes for homeowners, there are associated home upgrades required, such as new pipe-work, radiators and insulation.

So for a homeowner to decide to move off gas heating in favour of electric heating, there are a series of complex decisions to make.

If the homeowner intends to remain in the property for a long time, they can set about implementing a “fabric-first” policy, whereby they insulate walls, floors, windows and roofs.

These are difficult to implement, disruptive and costly, but they will permanently make the home warmer and more comfortable.

Ideally, having lowered the heating demand of the property, they can consider which heating system to install.

Elephant in the de-carbonisation debate.

The fact of the matter is that if our heating costs increase as a proportion of our income, then we all suffer a reduction in our quality of living.

There are calls for society to fund this. The grant available for heat pump installations has been increased to £7500. To extend this to every home in the UK would involve government [the tax-payer] spending of £195 billion. Is this a desirable way to spend the nation’s money?

Government intervention in this area is fraught with difficulties. Artificial deadlines are implemented, ramping up demand in excess of supply, or creating a cliff edge where demand drops due to an incentive scheme ending. Rogue firms undertake poor quality work, leaving homeowners out of pocket.

So how to implement low energy costs in a post-fossil fuel world?

Brimstone Energy’s underlying philosophy is that the solution must stand on its own two feet economically.

We actually think the solution for many homeowners is already with us.

The Tepeo ZEB (Zero-Emission Boiler) doesn’t require any home upgrades. But its installation cost remains higher than the equivalent gas boiler and its cost-parity running costs rely on cheap over-night electricity tariffs since it stores the heat generated over night for release when required hours later. Such tariffs are available to EV drivers but not to Tepeo-only home owners.

So our proposal would be for the Tepeo ZEB to receive a short term subsidised boost to enable it to be installed at rough cost parity with a gas boiler. This subsidy will be less than for the current heat pump grant. This money will kick-start the mass manufacture of the ZEB, and bring down its costs.

Electricity suppliers then need to offer ZEB owners the same tariff options as they offer EV drivers.

Our focus purely on heat pumps is strangling the market. There are many circumstances (such as a terraced house) where a heat pump is inappropriate, but a Tepeo ZEB is ideally suited. We can innovate our way out of our present situation, but market distortions hamper this innovation.

Let Brimstone Energy help you achieve Energy Abundance. Enjoy rising living standards with us.