The Daily Telegraph - Saturday - Money

A million customers may have no choice but to switch to smart meters

- Will Kirkman

Up to a million homes may have “no alternativ­e” but to install smart meters in the next two years as the radio network that operates their current meters is turned off.

Some electricit­y meters, such as Economy 7 and Economy 10 devices, move customers on to cheaper rates at off-peak times. While newer versions of these meters operate digitally or run on internal clocks, older models are controlled by a radio signal. This is known as the Radio Teleswitch Service and broadcasts alongside the BBC’s long wave transmissi­on.

This service, which serves up to a million premises according to trade body Energy UK, is due to switch off from April 2023. The radio teleswitch­es that sit alongside these meters will be unable to switch between peak and off-peak tariffs, potentiall­y trapping customers on a single rate. In some cases, electrical circuits in customers’ homes may not switch on electric heating systems once the service is turned off, Energy UK said.

As there are no plans to replace the old radio teleswitch technology, smart meters will be the “only alternativ­e” for customers who rely on the current service arrangemen­ts, the trade body said.

Energy firms have already started to send letters to customers informing them that they may need to switch to a smart meter. A letter sent to SSE customers read: “We need to replace your electricit­y meter, because the radio network it uses will be phased out across the UK. We will be replacing your meter with the latest generation of smart meters and this will ensure your heating and hot water continue to work without interrupti­on.”

An SSE spokesman said all existing meters would continue to function and be supported until the disconnect­ion date. He added: “However, we recognise these meter types need to be updated and replaced, and we’re actively working with Ofgem [the regulator] and the network operator to put plans in place.

“We’ve started to communicat­e with customers to let them know the options available to ensure they can arrange a meter and tariff upgrade to keep their heating and hot water working.”

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