Source · Select Committees · Public Accounts Committee
Recommendation 25
25
Accepted
Smart meter rollout programme lacks a clear, long-term plan beyond 2025.
Conclusion
As well as the approach to the rollout there are other significant issues for the Department to consider after 2025, including the re-licensing of the DCC (the central communications and data platform), and reform of the industry code governance. Ofgem has a key role to play in both of these.80 The Department told us it still aspires to get as close to 100% smart meter coverage as possible, but only has a plan to 2025. It is developing a framework for after 2025 but does not know when it will be in a position to close the programme.81 75 Qq 106, 109 76 Qq 64 77 URM0014 78 Q 75 79 Qq 47, 75, 94–95 80 Q 109 81 Qq 106, 108–109 18 Update on the rollout of smart meters
Government Response Summary
The government agrees to share matured plans for the smart metering programme's transition and closure with the Committee by Summer 2024, once major risks are managed and critical activities are transferred to an enduring operating state.
Government Response
Accepted
HM Government
Accepted
6.1 The government agrees with the Committee’s recommendation. Target implementation date: Summer 2024 6.2 The National Audit Office (NAO) identified the comprehensive approach in place to monitor and act on any changes to costs and benefits of the smart metering rollout. The programme’s 2019 cost benefit analysis is a comprehensive assessment of the costs and benefits associated with the rollout of smart metering across GB. The department agrees with the recommendation to share this cost and benefit information with Parliament on an annual basis to provide additional visibility of progress in critical cost and benefit areas for the rollout. 6.3 All key costs and benefits are scrutinised regularly and used to inform the department's annual business planning, as well as planning for the enduring operating state of the programme. The Department has determined that it will be able to bring the programme to a close when the major risks have been managed, critical programme activities have transferred to their enduring operating state, and DESNZ is confident that the benefits will be successfully delivered. The plans for this transition will be shared with the Committee when they have matured, as previously agreed.