Government plans for off-peak energy incentives could bring major benefits for electric vehicle drivers and fleets, helping to slash costs.

The review proposes changes, including incentives for consumers to draw energy from the grid at cheaper rates when demand is low or it’s particularly sunny and windy

A “transformational” review into Britain’s electricity market design has launched this week, exploring how to radically reduce the UK’s exposure to volatile global gas markets and energy costs for consumers.

Open for consultation until 10 October, the Review of Electricity Market Arrangements (REMA) mulls changes, including incentives for consumers to draw energy from the grid at cheaper rates when demand is low or it’s particularly sunny and windy, saving households money with cheaper rates.

It also looks at de-coupling costly global fossil fuel prices from electricity produced by cheaper renewables, in order to help ensure consumers are seeing cheaper prices as a result of lower-cost clean energy sources.

Business and Energy Secretary Kwasi Kwarteng said: “We’ve just seen the price of offshore UK wind power fall to an all-time low and gas is a shrinking portion of our electricity generating mix, so we need to explore ways of ensuring the electricity market is adapting to the times.

“That includes ensuring the cost benefits of our increasing supply of cheaper energy trickle down to consumers, but also that our system is fit for the future – especially with electricity demand set to double by 2035.

“In what could be the biggest electricity market shake up in decades, I am confident that this review will significantly enhance GB’s energy security and supply for generations to come.”

LeasePlan has said the proposed plans will be “music to the ears” of many EV drivers and EV fleets, who will greatly benefit from the introduction of off-peak electrify incentives.

And while questions remain around how this would work in practice, Matthew Walters, head of consultancy services, said EV drivers are inherently more mindful and will quickly adapt.

He explained: “We’ve seen already seen just how quickly EV drivers can adapt their habits and routines to ensure they’re getting the most out of their vehicles.

“Most people I’ve spoken to have said they’ve become a much more mindful driver since making the switch. Much of this is down to necessity: before, you even get in the car you’re already thinking about the most efficient route for the journey to maximise your range, and where you can charge your vehicle.

“It’s the same story for off-peak charging: it will simply become second nature. Companies will also look to build this into their business models where possible, particularly those with more flexible charging schedules.”

Walters added: “By reforming the UK’s energy market, we’ll see much more strategic usage across the country, which will not only help alleviate the pressure on the grid, but increase saving for businesses and individuals.”

To have your say on the review of electricity market arrangements consultation, click here.