Source · Select Committees · Public Accounts Committee
Recommendation 18
18
Acknowledged
One point six million non-functioning smart meters stem from transitory commissioning and switching issues.
Conclusion
The Department identified three main reasons why a smart meter might not be functioning. In June 2023, it told us that approximately 1 million of the 3 million non- functioning meters were new installations where the smart meter is not commissioned when installed, which can be intentional, such as in new build premises; or where the commissioning process is attempted but fails, requiring a repeat visit. A further approximately 600,000 smart meters were owned by consumers switching suppliers, and the switching process had not proceeded as it should have, for example if the new supplier did not recognise the customer had a smart meter. The Department considers the smart meters in these first two categories as ‘transitory’ given the issues can be resolved.58
Government Response Summary
The government agrees with the committee's observation that issues can be resolved but primarily reiterates existing efforts and supplier responsibilities for monitoring and maintaining smart meter health, without committing to new specific actions directly addressing the identified categories of non-functioning meters.
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.