Source · Select Committees · Science, Innovation and Technology Committee
Recommendation 20
20
Accepted
Paragraph: 153
The energy regulator Ofgem has not worked on understanding hydrogen domestic metering and has not...
Conclusion
The energy regulator Ofgem has not worked on understanding hydrogen domestic metering and has not been able to say whether the current roll-out of smart meters will prove ineffective if hydrogen is used in domestic metering. Ofgem was also unable to provide cost estimates for how expensive a hydrogen-ready smart meter roll-out would be under different scenarios, or what the cost implications would be for the consumer. This has arisen, it was suggested to us, because the responsibility for domestic metering is no longer within the remit of Ofgem. Domestic metering is an issue that has been overlooked, and we are concerned that Ofgem is not fulfilling its specified remit of protecting the consumer.
Government Response Summary
The government claims that domestic metering has not been overlooked, stating that most gas smart meter manufacturers are actively developing hydrogen meter technology and that DESNZ regularly engages with meter manufacturers.
Paragraph Reference:
153
Government Response
Accepted
HM Government
Accepted
Smart meters are transforming the UK energy system, giving households and small businesses better visibility and control over their energy use and supporting cost-effective delivery of net zero emissions. The rollout underpins a flexible energy system, enabling the UK to use less imported fossil fuels, increasing our energy security and driving growth across Great Britain. The rollout has passed the halfway mark and with 54% of all energy meters smart or advanced by the end of September 2022, they are becoming the default meter offer for Great Britain. Energy suppliers are obligated under their licence conditions to take all reasonable steps to install a smart meter where a meter is fitted for the first time or when an existing meter needs to be replaced. Ofgem is responsible for regulating energy suppliers against their licence conditions. DESNZ is responsible for setting government policy and regulation relating to the rollout of smart meters. Energy suppliers are responsible for the installation and maintenance of domestic meters (both for gas and electricity). Network operators and distributors are responsible for operating and maintaining the infrastructure that delivers gas and electricity to properties (Gas Distribution Network (GDN) companies for gas and Distribution Network Operators (DNO) for electricity). Domestic metering has not been overlooked. Most gas smart meter manufacturers are actively developing hydrogen meter technology, in liaison with DESNZ. Some are working on 100% Hydrogen prototypes and all have existing smart meters which could work with a 20–23% blend, subject to further testing and assurance. DESNZ regularly engages with meter manufacturers to keep them updated on hydrogen policy developments and is actively working with them to discuss testing accuracy and compliance with standard regulations of hydrogen-blend compatible devices.