Green Dual Fuel Tariffs: Can You Save Money and Cut Carbon?

What Is a Green Dual Fuel Tariff?

Green dual fuel tariffs put both gas and electricity together in one deal. It works the same as a usual dual fuel deal. There is one difference to know. The electricity comes from renewable sources. It might be from wind, solar, or hydropower. A few suppliers also give green gas. This can come from biogas. Sometimes, they may use carbon credits to make up for fossil gas.

People who choose green tariffs for their homes do not always get renewable electricity directly into their houses. This is because the UK grid mixes all types of electricity together. But, when you pay for green tariffs, your supplier makes sure that the amount of electricity you use is matched by renewable generation added to the grid.

Key benefits of green dual fuel tariffs:

• You get one bill and one energy supplier for both gas and electricity.
• Renewable electricity is used, so your carbon footprint goes down.
• There may be some money going into green projects, like tree planting or putting up solar panels.
• Customer service is easier, since you only deal with one energy supplier.
• If you use direct debit to pay, the costs usually stay lower than paying with standard credit.

How Do Green Dual Fuel Tariffs Work in the UK?

When you take out a green dual fuel tariff:

• Your supplier buys renewable electricity so that it matches the amount you use. This power can come from UK renewable generators or from renewable energy certificates.
• Gas supplies often still come from fossil fuels, but sometimes these are mixed with biomethane or are balanced out by using offsetting.
• A lot of energy companies call their tariffs “green” if all the electricity is supported by renewable obligation certificates, even if they do not generate their own renewable power.

A smart meter helps you keep track of your energy usage in real time. It can also help your supplier check how much energy you use, and you will get bills that are more accurate. A smart meter makes handling these tariffs easier for you.

Check if you're paying too much.

Compare your current tariff with the cheapest energy deals available in your area – it only takes a few minutes.

Compare cheapest tariffs

Are Green Dual Fuel Tariffs More Expensive Than Standard Tariffs?

Green tariffs used to cost more before, but now there is not much difference. Ofgem says the price cap for a typical dual fuel home in autumn 2025 is £1,755 per year. This is based on average use and if you pay by direct debit.

Many green tariffs cost about the same as this cap. Some green tariffs that stay at one price can be even cheaper. It depends on the energy prices when you agree to the contract.

When green tariffs cost more:

• If the supplier puts a lot of money into new renewable projects.
• If you pick a smaller supplier that does not have much buying power.
• If your energy usage is very low and the main cost comes from standing charges.

When green tariffs can match or beat standard tariffs:

• If there is a lot of wholesale renewable generation, that can help. For example, strong wind output can lower costs.
• If your supplier has special energy deals that try to bring in new customers.
• If you choose to switch at the right time, and that is before a price cap goes up.

Can Green Dual Fuel Tariffs Actually Save You Money?

Yes, depending on your household profile.

• Average-use households: may see that green tariffs cost about the same as standard plans. This is true mainly when you pick a fixed plan.
• High electricity users (such as those with heat pumps or electric vehicles): can save with renewable electricity rates. A green tariff can help lower their energy bill.
• Low gas-use homes: flats or homes that keep in heat well could do better on a green tariff. For these homes, most of the energy bill is for electricity. This electricity is often greener.

Savings also depend on avoiding hidden costs. Always check:

• The standing charge can be high and it may be more than what you save if your usage is low.
• Make sure to check if there is an exit fee on the tariff.
• A “green premium” should be small so that it does not take away the benefit.

How Do Green Dual Fuel Tariffs Help Cut Carbon Emissions?

• Every kWh of renewable electricity you get helps to lower the use of fossil fuels on the UK power grid.
• Renewable sources like wind and solar give off very little carbon or none at all once they are put in place.
• Green tariffs often help pay for renewable projects, which helps to grow the UK’s renewable capacity.
• Some energy suppliers also offer carbon offsetting for gas supplies. This helps pay for international projects like planting more trees.

For homes, choosing a green dual fuel tariff is a good way to help lower indirect carbon emissions. You can also make things better by checking your insulation and being careful with how you use energy.

Do All Energy Suppliers Offer Green Dual Fuel Tariffs?

Not every supplier offers this, but more are starting to. Big suppliers often have at least one green tariff. Some specialist green suppliers only deal in renewables.

What to look for in green tariffs:

• You should check if the electricity comes from 100% renewable sources.
• You need to know if the gas is partly renewable or just offset.
• Look at the small print. Some tariffs might be called green, but they only meet the lowest rules.
• Think about how the supplier does when it comes to customer service, because the price is not the only thing that matters.

How Does the Ofgem Price Cap Apply to Green Dual Fuel Tariffs?

Ofgem sets a limit on the price that companies can charge for standard variable tariffs. The cap for July to September 2025 was £1,720 each year. It will go up to £1,755 from October to December 2025.

Green tariffs can be either:

• Variable tariffs — These follow the cap. They can’t go over the amount that Ofgem sets.
• Fixed tariffs — These are not under the cap. The price you pay will stay the same for 12 to 24 months, no matter if the cap goes up or down.

For homes that want to feel safe, picking a fixed green dual fuel tariff can be the best thing. It might cost a bit more at first, but it gives you steady prices with both gas and electricity.

What Types of Renewable Energy Are Used in Green Dual Fuel Deals?

• Wind power: This makes up the biggest part of UK renewable energy.
• Solar power: This is going up fast, especially when there is more sun in summer.
• Hydropower and biomass: These do a smaller part, but both be needed to help with UK energy.
• Green gas: A few suppliers put biomethane into the system. Some of them also make up for fossil gas by using carbon credits.

Suppliers are not all the same in how much they put money into new renewable generation. Some spend money to help create new clean energy. Others just buy certificates. When you read the details of the tariff, you get to see what each company does. This helps you know exactly what you are paying for and what your money goes to support.

Compare Energy Prices & Lock in a Better Deal Today

See fixed and variable tariffs from trusted UK suppliers and choose the one that suits your home and budget.

Compare Better Deal

How Can You Compare Green Dual Fuel Tariffs Accurately?

• Get your latest bill to see the amount of gas and electricity you used in kWh.
• Look at the unit rates and standing charge for both gas and electricity.
• Compare fixed rates with variable rates, and consider the Ofgem energy price cap for the year.
• Check if there are any exit fees if you switch early.
• Use your postcode with an energy comparison tool to see the tariffs available in your area. This is the best way to compare energy prices for green dual fuel tariffs quickly and fairly.
• Think about lifestyle changes. For example, if you plan to buy an electric vehicle, your electricity usage will rise, making a renewable electricity tariff more valuable.

FAQs About Green Dual Fuel Tariffs