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Making progress on SMETS
You may know that on 5 April the Smart Metering Programme notified the European Commission of our conclusions relating to the Smart Metering Equipment Technical Specifications, or SMETS as we like to call them here. We are required to do this under the terms of the EU Technical Standards Directive. The Directive allows the Commission and other the EU Member States a three month period in which to consider the proposed specifications submitted by EU countries and if necessary comment on them. If any concerns are raised, the Commission can extend this period for up to 18 months.
The three month period for considering the UK’s specifications duly expired on 6 July. I am pleased to say that we have learned that the Commission are not going to extend this period and, subject to some minor comments, have approved our specifications. This is really good news and paves the way for the Government to introduce regulations requiring energy suppliers to install smart metering equipment by 2019 which complies with the SMETS.
The SMETS provide details of the minimum functional requirements which smart meters should meet. These include the requirement to provide near real time information to consumers on their energy consumption. We have worked very closely with industry experts and other stakeholders in developing these. Indeed, one of our key aims in agreeing the SMETS has been to ensure that smart metering equipment is interoperable between suppliers and the central communications body which will be responsible for transmitting data to and from smart meters. Delivering interoperability really is a must have because it will enable consumers to change from one supplier to another without worrying about losing some of the functionality of their smart meter or having to change their meter.
While on the subject of central communications, we have laid an Order in Parliament which will establish the requirement for the Data and Communications Company (DCC), that will be responsible for managing the data and communications in the domestic sector, to be regulated. Having a single provider of these services would enable many of the benefits of smart metering to be achieved and at the same time avoid the possibility of multiple, incompatible communications systems being set up.
I am pleased to say that the House of Lords approved the Order on 23 July. The next step is for it to be debated in the House of Commons in the Autumn. On the basis that the Commons is also content, the Order will then come into effect. Further details on the Order are set out in the Government’s response to the consultation on this matter which we published on 6 July.
5 Responses to “Making progress on SMETS”
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Don’t you think Smart Meters are just a way for the energy suppliers to manipulate the way we use energy and even increase profits? Won’t they allow supplies to be switched off remotely, which could put the the less fortunate at risk? How hard will it be to get smart meters removed? Can you opt out from the plans?
Ciaran,
Thanks for your response.
The roll-out of smart meters will deliver a wide range of benefits to consumers, including having near-real time information on their energy consumption to help them control energy use, save money and reduce emissions. There will also be an end to estimated billing and switching between suppliers will be smoother and faster.
Energy suppliers will be able to realise efficiency savings which we expect to see passed through to consumers through competitive pressures. It is in suppliers’ interests to keep costs down, if they do not pass on the savings, they will risk losing customers. But we are not complacent about the state of competition. Both DECC and Ofgem, the energy regulator, are working to make the market more competitive by removing barriers to entry and growth.
On your comments about remote disconnection – if a customer fails to pay his or her gas or electricity bill, they could – as now – be disconnected. Smart meters will allow for the disconnection to be carried out remotely, but suppliers will have to follow the same procedures as now before disconnecting a supply. Regulations require that the customer must be given at least 28 days to pay their bill in advance of disconnection.
Suppliers are required to take all reasonable steps to recover unpaid charges before they resort to disconnection. They are not permitted to disconnect during the winter anyone of pensionable age living on their own or living with others. In addition the energy regulator, Ofgem, has recently introduced new requirements on suppliers to reflect the additional risk that arises from that fact that smart meters will allow for remote disconnection. The new requirements will oblige suppliers to take vigorous action to identify vulnerability in a household when considering disconnection. Suppliers will continue to follow their disconnections code of practice, which is designed to avoid any disconnection of vulnerable customers.
The roll-out of smart meters is an important national modernisation programme. We expect consumers to welcome the benefits smart meters will bring and we are aiming for all homes to have smart meters by 2019. Energy companies will be required to install smart meters and take all reasonable steps to reach everyone. However, it will not be a legal obligation on individuals to have one.
[...] Department of Energy and Climate Change Blog [...]
I am a great supporter of the drive for interoperability and central communications. Does the technical specification include anything about an end of life strategy for the meters? Given the sheer quantity that will be rolled out, I think this is also a really important topic.
See this 7 minute documentary on the RSA’s ‘The Great Recovery’ project for more information.
http://tinyurl.com/buw8x88
Hi Sophie
The requirements in the SMETS refer to the functions of metering equipment which make the equipment ‘smart’. The SMETS does not include any requirements in areas which are covered by other legislation. For example, the SMETS does not include requirements regarding measuring accuracy or safety of metering equipment. When procuring, installing and decommissioning metering equipment energy suppliers or their agents will have to comply with the SMETS as well as all other relevant legislation; this includes the Waste Electronic and Electrical Equipment Regulations 2006. Information on these regulations is available here: http://www.environment-agency.gov.uk/business/topics/waste/32084.aspx.