DON’T BE DUMB about SMART METERS
AMELIA MURRAY reveals everything you need to know about these new digital devices . . .
SO, WHAT EXACTLY IS A SMART METER?
ThESE new electronic devices use a mobile signal to automatically send meter readings to your provider as often as every half an hour, putting an end to estimated bills. Customers are also given a small display monitor which shows how much power they are using in pounds and pence. Your old meter will be taken away, reused or recycled.
AND WHY ARE THEY BEING ROLLED OUT?
ThE Government believes smart meters will help households reduce their energy consumption, lowering their bills and carbon emissions. It is also part of a plan to make the market more efficient and balance the amount of energy being supplied with what is being used.
WHEN MUST THEY BE INSTALLED BY?
INITIALLY, the idea was for energy firms to install a smart meter in every home in England, Scotland and Wales by 2020. Ministers later watered down this proposal so firms only had to ‘offer’ households a new meter by this deadline. Now ministers have given firms until 2024 to ensure that at least 85 pc of their customers have a smart device. however, with suppliers struggling to meet government targets, experts predict they may need another ten years to complete the rollout.
IF I’M NOT KEEN, DO I HAVE TO GET ONE?
NO. SMART meters are not compulsory and you can refuse to get one. however, with energy firms under huge pressure to meet strict deadlines to avoid hefty fines, many have resorted to using bullying tactics on customers. Some are bombarding households with calls, texts and emails implying the new meters are a legal requirement, while others are charging those who refuse hundreds of pounds more a year by reserving the best tariffs for smart meter customers only.
HOW MUCH IS THIS GOING TO COST ME?
YOU do not have to pay an upfront fee for a smart meter, but you are still paying for the rollout. This is because energy suppliers are footing the bill, and in turn are passing this on to customers in the form of higher bills. The rollout is estimated to cost £13.5 billion — the equivalent of an extra £10 a year on your bill. But experts predict that costs may rise even further.
BUT EVENTUALLY I’LL SEE LOWER BILLS?
NOT automatically. The idea is that families will be better able to see where they are using power and take steps to reduce their consumption, lowering their bills. The Department of Business, Energy and Strategy estimates households will save £36 a year by 2034.
CAN I STILL SWITCH MY SUPPLIER?
YES — but your meter could stop working properly as a result if you have the older model of smart meter known as Smets1. You will have to go back to taking manual meter readings and will no longer be able to view your energy usage. You should not experience this problem if you have the newer model of meter, Smets2. The Government is also working on a fix so that those with older smart meters will be able to switch hassle-free in the future, but this is long overdue.
WHAT IF I HAVE SOLAR PANELS?
CUSTOMERS with solar panels have reported issues with smart meters not being able to read the amount of energy generated by the panels. This could mean they end up paying more than they should. Others say their supplier is refusing to offer a meter to households with solar panels. Smart Energy GB says the issues have been resolved.
WHY CAN’T I GET A SMART METER?
IT IS estimated that as many as a third of homes cannot get a smart meter. This might be because customers live in a rural area where the signal is not strong enough. Those who live in high-rise flats and properties with thick walls are also likely to be affected.
IS THERE TROUBLE IN THE NORTH?
YOU are more likely to get an outdated smart meter if you live in the North, according to autoswitching service Look After My Bills. The firm says suppliers blame the disparity on ‘technical difficulties’ and a shortage of newer smart meters in the North, plus a surplus of the old meters.
WHY DO I STILL GET ESTIMATED BILLS?
MOST people pay their bills by monthly direct debit. To work out how much you should pay, suppliers tend to estimate your annual usage in advance and split this into 12 equal payments. This means that millions of bills still refer to ‘estimated’ use, even if you have a smart meter that sends out regular readings.
CAN I GET MINE TAKEN AWAY?
YES — but you may be charged a fee. Small energy supplier Bulb, for example, charges customers £120 to have a smart meter removed. Or, you can ask your suppliers to make your meter ‘dumb’ so you can go back to submitting your own readings.
ARE THERE ANY SECURITY RISKS?
CONCERNS have been raised about the health and fire risks. All have been heavily refuted by official bodies and appear to be unfounded. Experts have also warned of security risks, with large amounts of data being collected by smart meters. If intercepted, they warn burglars, for example, would be able to see when a home is empty. however, a Smart Energy GB spokesman says: ‘Security has been at the heart of the whole smart meter rollout programme from its inception, and the system is specifically designed to prevent hacking. Smart meters do not use the internet, and have their own closed communications system. Smart meters have been designed with top cyber security experts, including the Government and GChQ, to ensure that security best practice has been incorporated at every stage.’
AT long last, the government has finally recognised what Money Mail has been saying for years: its 2020 smart meter deadline is utterly unrealistic.
Ministers now accept suppliers need time to iron out the many, many glitches that have plagued the national rollout for years.
It’s just a shame they didn’t take their heads out of the sand a little earlier. If they had, then millions of households would not now be stuck with older smart meter models that stop working when they switch supplier.
We might not also be facing a ballooning multi-billion-pound bill as suppliers are forced to spend more and more trying to put sticky tape over glaring issues — such as how to get a smart meter to work in a high-rise flat or a property with thick walls.
Under the new proposal, at least 85 pc of suppliers’ customers should have a smart meter by 2024. But even with this four-year delay, experts are still questioning whether this is a realistic timeframe. some suggest households face at least another decade of back and forth.
And don’t expect the extension to see suppliers ease up on their bullyboy tactics when it comes to installing these new devices.
firms have been warned they face big fines if they fail to meet annual targets post-2020. And they are still expected to take all reasonable steps to offer customers a smart meter before then.
It means we should brace ourselves for a continued bombardment of calls, texts and emails. And I fear many suppliers will continue to penalise those who do not want one of the new devices with higher bills.
Ministers have assured Money Mail the gadgets will remain optional. But they are equally insistent that smart meters will become the default meter in Britain over the next few years.
If that’s the case, new energy minister Andrea leadsom needs to get a handle on this shambles of a rollout — and fast.
A good start would be to stop peddling the myth that smart meters will save customers a vast amount of money.
If you want to reduce your energy bills, you need to switch to a better deal and actively reduce your power usage — neither of which a smart meter can do for you.
Saving shame
IT Is downright shameful that respected High street savings providers such as Halifax and nationwide think it is acceptable to offer accounts paying 0.1 pc.
These brands should be setting an example to others, not leading the race to the bottom.
The deals, as revealed on Page 49, might not be their best rates. But you can guarantee that some poor customer’s cash is going to find its way into these rotten deals.
Banks and building societies must do away with these appalling accounts once and for all and move loyal customers into one paying a fair rate.
What is so sad is that after a decade of misery, many savers have just given up.
But Money Mail refuses to accept the current status quo, and we need your help to hold providers to account.
Tell us the worst rates you’ve been offered and the biggest cuts you’ve experienced. You can write to us at money
mail@dailymail.co.uk or Money Mail, northcliffe House, 2 Derry street, london, W8 5TT.
Claim horror
If YoU’ve just returned from a sunny trip abroad, beware the flight delay compensation claims sharks. As we expose on Page 39, they will stop at nothing to cash in on your suffering.
If it wasn’t disappointing enough to experience a 12-hour delay in the blazing heat and a year-long battle for rightful compensation, now Bob feltham and his family face costly legal action.
And why? Because an arrogant claims company just cannot accept it was Money Mail and the customer who secured the compensation and not them.
If you experienced a delay this summer and are waiting on a payout, please don’t resort to a claims firm. Ask us for help instead. v.bischoff@dailymail.co.uk