DECC warned over smart meter scheme

Thursday, 30 June 2011 03:27

The Department of Energy and Climate Change (DECC) has been warned it must clarify how consumers will benefit from a proposed £11.3 billion project to install smart meters in every home in Britain.

A review of the scheme by the National Audit Office (NAO) suggested progress has been made on plans to roll out the digital devices across the country, but more evidence of the value for money is required.

Smart meters provide householders with detailed information on their energy use and are designed to put an end to unreliable estimated gas and electricity bills and the need to send out meter inspectors.

DECC estimates £18.6 billion will be saved between 2011 and 2030 as a result of installing the smart meters, but the NAO suggested this was far from certain.

The NAO said its report "identifies uncertainty, based on the evidence available so far, about the extent to which smart meters will result in changed energy use by consumers over a sustained period".

Commenting on the analysis, Consumer Focus energy expert Zoe McLeod said it shone a "welcome spotlight" on the scheme and the importance of getting it right.

"Smart meters have significant potential benefits for consumers but only if the risks are addressed properly. Government needs a detailed strategy and should produce an annual report on the costs and the benefits delivered, to make sure all consumers get value for money and to provide trust and transparency."

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