Government unveils smart energy meter plans
Wednesday, 02 December 2009 12:08
Gas and electricity providers are to be responsible for the roll our of so-called new smart energy meters by 2020 bringing to an end unpopular and often inaccurate estimated bills.
While the move will no doubt save energy customers money, it is also designed to encourage more responsible energy use in the home.
The scheme, which will cost £8 billion to roll out, could save energy customers £28 a year on average, which is considered a conservative estimate.
The Department for Energy and Climate Change (DECC) wants to see a total of 47 million meters installed in the countries 26 million properties. Energy supplies will be responsible for installing the meters at a cost thought to be around £340 per household but the DECC expects competition between suppliers to help to bring the cost down. Energy suppliers could charge customers a one off up front fee or recoup the cost of the meter through higher bills.
But not everyone was impressed. Gareth Kloet, head of utilities at Confused.com, said although the end of estimated bills was now in sight, the only way customers could really save money was to watch their own energy consumption to identify where they could make savings.
"The government's plans to install smart meters in all homes is a great idea but people can take a number of practical steps right now to help cut household energy bills by monitoring and reducing usage and simply changing to a cheaper tariff or provider" he added.
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