Smart Energy Meter Functionality Issues Create Regional Divide in Great Britain

Customers in northern England and Scotland are experiencing problems with the functionality of their smart energy meters, according to information received by BBC Panorama. Energy UK, the representative body for energy companies, has for the first time acknowledged a regional disparity. This divide stems from the method by which meters transmit usage data to suppliers. The specific technology deployed in the northern parts of Great Britain can impair the proper operation of smart meters, potentially forcing customers to provide manual readings and receive estimated bills. Meter engineers who spoke with the BBC have also corroborated these issues. Smart meters in the Midlands, Wales, and southern England utilize cellular technology, akin to mobile phones, for transmitting data to energy suppliers. Conversely, meters in northern England and Scotland depend on longer-range radio frequencies. The government has stated that it is a legal obligation for suppliers to ensure the proper functioning of smart meters and anticipates that suppliers will “resolve all issues at a much faster pace.” The widespread deployment of smart meters commenced 12 years ago, aiming to assist individuals in reducing their energy expenses and contributing to lower carbon emissions, aligning with the government’s net zero strategy. These meters are designed to display household energy consumption and associated costs, thereby encouraging consumers to increase energy usage during off-peak hours when prices are lower due to an energy surplus, typically when most people are asleep and factories are not operating. With the increasing integration of renewable energy sources, smart meters are projected to become an essential component of a “smart grid,” enabling real-time alignment of consumer energy demand with available supply. The government estimates the installation cost of smart meters throughout Great Britain at £13.5bn. Across England, Wales, and Scotland, 36 million of these devices have been deployed; however, recent government data indicates that 3.5 million of them are not functioning correctly. Generally, smart meters in the northern region, which are configured to connect via radio signals, feature two small indicator lights on their communications hub, located atop the meter. In contrast, hubs attached to smart meters in central and southern regions, which receive cellular signals, typically display five such indicator lights. Northern Ireland operates a distinct energy market, governed by its own regulations and regulatory body, and is currently conducting a consultation regarding a proposed smart meter deployment. Dr. Hartesh Battu, a physician residing in Glasgow, has received six different smart meters installed by two separate energy suppliers, none of which have functioned. He stated, “I just think it’s astonishingly bad in terms of the technology,” and questioned, “I do feel like, ‘how could billions of pounds be spent on something so bad?’” Dr. Battu informed the BBC that his motivation for acquiring a smart meter was to reduce his energy expenses and utilize a night-time tariff for more economical charging of his electric vehicle. His current energy provider, Octopus Energy, attributed the issue to local signal problems, suggesting it might be due to his residence being “far up north,” an explanation that Dr. Battu found highly unsatisfactory. He commented, “I just thought that was a bit bonkers because I live in Glasgow, I’m hardly up in Shetland, I’m not rural at all.” At the commencement of the widespread deployment, the choice to implement radio signals in northern England and Scotland, as opposed to the mobile technology used in the south, was predicated on the assumption that these signals would effectively traverse hills and mountains, thereby reaching more remote communities with greater ease. However, Energy UK acknowledges difficulties concerning the transmission of these radio signals. Dhara Vyas, the chief executive, stated, “There are issues in the north.” She further indicated that “live conversations” are ongoing within the industry to enhance the network range in northern England and Scotland. Smart meter engineers, speaking anonymously to Panorama, have also encountered this technological disparity. One engineer, identified as “Ahmed,” reported that problems are, on average, more prevalent in northern England and Scotland, noting that the technology utilized in the south is more current. He explained, “You can end up going to someone’s house at the bottom of a mountain in the north and the radio frequency can’t get through. But there could be a good 3G signal nearby and that could get through – the customer doesn’t know that.” “Steve,” another engineer employed by a significant energy supplier in Merseyside, who possesses experience installing meters across both sides of the regional divide, stated that it was “far easier to complete a successful installation” in the south and Midlands, where he could leverage the cellular network. The truth about smart meters: Smart meters are intended to simplify and reduce the cost of energy bills. However, is this the complete picture? Watch now on BBC iPlayer – or on BBC One on Monday 11 November at 20:00 (20:30 in Wales and Northern Ireland). Energy suppliers do not possess direct oversight of the communication network, neither in the north nor the south. This network is instead managed by an entity named the Data Communications Company (DCC) and operated by the outsourcing firm, Capita. Panorama reached out to Dr. Battu’s energy provider, Octopus Energy, regarding the difficulties he was encountering with his meter. The company characterized the situation as “frustrating,” explaining that government regulations mandated the use of radio-wave technology to provide a signal to Dr. Battu’s meter and prohibited accessing the local 3G signal as an alternative. Nevertheless, in what they termed “a highly unusual move,” Octopus informed us that it had opted to contravene these rules and repair his meter by linking it to the mobile network. The company further commented that “regulation has not moved with technology.” Capita informed the BBC that it cautioned energy suppliers against employing alternative technological solutions, as such actions would negate contractual or consumer protection for the meter user, thereby failing to guarantee service maintenance or problem resolution. The company asserted that its network achieves 99.3% coverage across Great Britain and stated it was “fully committed to resolving connection issues.” In a separate statement, Capita further declared: “The DCC is actively working with government to provide a future-proof 4G technology solution for the whole of Britain.” The majority of energy consumers incur a slight additional charge on their bills to cover the expenses of installing and repairing smart meters. This cost is intended to be counterbalanced by potential savings and environmental advantages. Energy suppliers bear the primary responsibility for financing the communications infrastructure; however, the National Audit Office reports that some or all of these costs are subsequently transferred to consumers through their bills. Current data indicates that 9 out of 10 smart meters are operating correctly. Nevertheless, a recent survey conducted by Citizens’ Advice suggests that one in five households has been compelled to regularly submit manual meter readings because their smart meters were not functioning as intended. The government informed Panorama that “while over 90% of smart meters are operating normally,” the quantity of non-functioning meters remains “still too high,” consequently meaning “many households are missing out on cheaper, flexible tariffs.” Furthermore, it stated that a recent customer experience survey by Ofgem “found no statistically significant differences” in the percentage of customers reporting that their meters were not transmitting readings to their suppliers in areas located in, or primarily within, the north. The majority of experts concur that smart meters have the potential to contribute to reduced bills and lower carbon emissions. However, if the technological issues persist, this could discourage public adoption and jeopardize the government’s objective of installing these devices in every household. Copyright 2024 BBC. All rights reserved. The BBC is not responsible for the content of external sites. Read about our approach to external linking.