Rising Energy Risks Smart Meters Promise Part 1

Smart meters are being touted as the best way for energy-users to monitor their behaviour and find ways to cut consumption and electricity bills. But as energy prices keep going up, meters might more likely be a cost-increase minimiser than an expense reducer.

That could leave some utility customers even less thrilled about smart meters than they already are. Right now, opponents of new meters are focused mostly on perceived threats to privacy, security and health. Imagine their reaction if they’re told, “OK, smart meters might not save you money on your electricity bills in years to come, but maybe they’ll help you limit your expense increases to the single digits rather than the double digits.”

Try selling that message to an already sceptical consumer.

Unfortunately, that’s the challenge utility companies will have to face up to. Considering the difficulties they’re already having in persuading customers about the benefits of smarter technologies, utilities will need much better communication and education strategies down the road.

A recent report from Consumer Focus, a UK-based consumer advocacy organisation, for example, found customers have “high levels of distrust of energy suppliers.” Some of that stems from already weak customer relationships or from the failure of utilities to adequately explain how the energy market and various pricing schemes work. However, recent increases in energy costs have also contributed to the problem.
Utility companies eyeing smart-grid upgrades or trying to preach conservation to customers need to take heed of such findings.

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