Source · Select Committees · Public Accounts Committee
Recommendation 17
17
Acknowledged
Nine percent of installed smart meters, totalling three million, were not working properly.
Conclusion
As at March 2023, 3 million smart meters were not working properly; which means that these meters were either not sending energy use information to suppliers or not displaying this information to consumers, or both. This equated to 9% of the 32.4 million smart meters installed.56 Keeping smart meters working as intended is generally more complex than traditional meters because, for example, they require software updates and have three different and separate components at minimum (compared with just one traditional meter).57
Government Response Summary
The government agrees with the committee's observation about the complexity of keeping smart meters working and reiterates existing requirements for energy suppliers to monitor and maintain their metering estate, including In-Home Displays, and mentions ongoing work to develop good practice and track performance.
Government Response
Acknowledged
HM Government
Acknowledged
5.1 The government agrees with the Committee’s recommendation. Target implementation date: April 2024 5.2 The department agrees that energy suppliers should have the right resources and analytical insights in place to both monitor and maintain the ‘health’ of their metering estate. To provide support to this activity, the department has developed and continues to revise good practice, and tracks energy supplier performance. The department's ongoing work to drive down the number of non-operating meters has shown that those suppliers that have the right resources in place can do this effectively and successfully, with non-operating meter numbers reducing for the last 12 months. 5.3 Through licence conditions, the government requires energy suppliers to take all reasonable steps to operate smart meters in smart mode. Ofgem is responsible for regulating energy suppliers against its licence conditions requirements and in its April 2023 Open Letter, Ofgem was clear that it expects energy suppliers to be proactive in identifying and remedying non-operational smart meters and to have systems and processes in place to facilitate this. 5.4 Energy suppliers are required to maintain In Home Displays (IHD) within the first twelve months following installation and fix or replace any device which is found to be faulty. Working with industry, the department has developed and is working to seek agreement to voluntary good practice principles towards IHD provision to ensure a more consistent and positive experience beyond this twelve-month period and has not ruled out further regulation if necessary.