The largest energy supplier in Britain will pay its customers to reduce the amount of energy they use during peak hours, it has announced.

British Gas have become the latest company to agree to the scheme in an attempt to take pressure off the National Grid during the hours it is most strained.

The company said that it hoped 100,000 customers would sign up as it launches the demand flexibility service.

Customers with smart meters will be sent emails asking them if they want to take part, British Gas said.

Daily Echo:

“The electricity grid is facing increased pressure and smart technology plays a key role in managing peak demand – reducing consumption has the added benefit of helping consumers save on their energy bills,” said chief executive Chris O’Shea.

“We are exploring how to make this scheme work best for our customers so that it fits in with their habits around the home.

“This approach to help manage residential electricity demand is likely to become a major feature of the market in years to come.

“We’ll be taking learnings from this stage with the aim of using our scale to roll out to our wider customer base.”

Households will be paid around £4 for every unit of electricity they reduce their consumption during specific times.

They will be sent a text by 6pm the day before to let them know to switch off their ovens and TVs and go for an hour-long walk.

There is no obligation to take part.

If the grid is able to ask people to reduce their consumption during certain hours, it will therefore not need to pay through its teeth to get electricity from other sources – such as importing it from France.

British Gas’s decision comes just days after the scheme was almost run live for the first time since launching earlier this month.

There have been three tests of the system to date, with households helping to take the stress off the grid during those hours.