The government has plans to introduce a smart meter into every UK household by 2020. This meter will replace the gas and electric box and is designed to save on energy bills. Originally the government claimed that the box would save up to £100.00 per year for the average home, however it now appears that the savings will be considerably less, probably in the region of £30.00.
Smart meters will send accurate information electronically to energy companies, eliminating the need for someone to read the meter and also eliminating estimated bills.
Although the scheme has been planned for several years the energy companies have so far failed to reach an agreement on which system is the best. It is thought that the Department of Energy and Climate Change will favour a “Central Hub” in which meters send information to a central office via mobile phone technology and then the data is forwarded to individual energy companies.
It is also thought that households would be provided with a small screen to monitor consumption, which would also allow energy companies to post messages to the consumer alerting them when energy usage was particularly high.
The cost of the smart meters, up to £9 billion for all 26 million households, would be met by the energy companies but this would inevitably be passed on to the consumer over time. The Government states that even with this added cost households should save money.
Source: Daily Telegraph