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Energy: Meters

Volume 475: debated on Tuesday 13 May 2008

To ask the Secretary of State for Business, Enterprise and Regulatory Reform (1) what research he has (a) commissioned and (b) funded on the interoperability of communication platforms for the introduction of smart meters; (201890)

(2) what discussions he has had with suppliers of (a) energy and (b) water smart meters to co-ordinate their provision of services to households.

My Department's draft Impact Assessment recognises the role that providing smart metering to gas and electricity customers could play in facilitating wider policy goals, including water conservation. The scope for providing additional services, including water metering, is among the issues we shall explore as we refine our Impact Assessment with interested parties over the coming months. Last year, my Department commissioned economic analysis of a range of issues associated with smart metering, including interoperability and telecommunications. This analysis, by Mott MacDonald, has now been published, and has also informed our Impact Assessment. We will undertake more analysis over the coming months.

In the meantime, powers have been included in the Energy Bill to enable the Secretary of State to modify relevant gas and electricity licences to require the provision and installation, or facilitate the provision and installation of, smart meters. These powers will enable a roll out of advanced meters to medium sized businesses in the first instance (as announced in 2008 Budget). Subject to further ongoing analysis these powers would enable us to move forward with a roll out to small businesses and domestic consumers when we have the information to make these decisions.

To ask the Secretary of State for Business, Enterprise and Regulatory Reform what recent discussions he has had with (a) the Local Government Association, (b) energy suppliers, (c) housing developers and (d) major energy users on the introduction of smart meters. (201891)

The Department has held discussions with a range of interested parties over about smart meters. The Office of Government Commerce has been in discussion with local authorities as part of its work to promote the provision of advanced metering in public buildings operated by both central and local government. The Government's consultation on metering and billing was open to all groups, including large energy users. The largest energy users will, however, already use half-hourly electricity, or daily-read gas, meters. Over 200,000 larger sites below these categories will receive advanced meters under the proposals that were confirmed in the Budget 2008.

In the meantime, powers have been included in the Energy Bill to enable the Secretary of State to modify relevant gas and electricity licences to require the provision and installation, or facilitate the provision and installation of, smart meters. These powers will enable a roll out of advanced meters to medium sized businesses in the first instance (as announced in 2008 Budget). Subject to further ongoing analysis these powers would enable us to move forward with a roll out to small businesses and domestic consumers when we have the information to make these decisions.

To ask the Secretary of State for Business, Enterprise and Regulatory Reform pursuant to his oral statement of 30 April 2008, Official Report, column 333, if he will place in the Library a copy of the study undertaken on behalf of his Department by Mott MacDonald on the costs and benefits of smart metering. (204024)

[holding answer 8 May 2008]: A copy of the report by Mott MacDonald, “Appraisal Costs and Benefits of Smart Meter Roll Out Options”, has been placed in the Library. The report is also available on the BERR website at:

www.berr.gov.uk/files/file45997.pdf