Smart meter plans could be in jeopardy

After a few weeks of good news, with energy companies pledging to cut bills and consumers advised on how best to reduce their gas and electricity usage, UK households have been given yet another reminder of the importance of looking out for themselves when it comes to heating and lighting their homes.

Under the government's recently-announced proposals, all homes across Britain are to be fitted with special meters aimed at telling consumers exactly what their power is costing them.

Not only do ministers believe that such an initiative will help cut the nation's total carbon emission levels, but those consumers savvy enough to switch utilities suppliers and make use of them could see their bills slashed by up to £130 a year.

Unsurprisingly, the plans have been widely welcomed, even if they could take a few years to implement.

However, it has now been revealed that the Energy Retail Association (ERA), which represents the 'Big Six' suppliers, is now arguing against the proposals.

More specifically, while they are keen to see meters installed so as to reduce their own usage-measurement overheads, they are not so up for the idea of ensuring that they all have display screens fitted, claiming that it would be more appropriate to allow customers to have information about their gas and electricity consumption sent to them via email or text message.

A statement from the organisation noted: "The ERA and its members firmly believe that energy companies should not be restricted to providing a one-size-fits-all solution, but should be allowed to innovate and offer customers precisely the kind of display they would find most useful - whether this is with a display unit, via a website, or even through a mobile phone application."

This reluctance has been swiftly picked up on by consumer groups and charities, while the Local Government Association (LGA) has called it tantamount to sabotaging what would be a win-win situation for both ordinary Britons and the environment.

Paul Bettison, chairman of the LGA environment board, argued: "The plan to put a smart meter in every home is good but unless it is accompanied by an in-home energy display, for consumers, it is virtually worthless.

"What you can see, you can save. Why not give people all the information so they can make better choices about how much energy they use?"

It could well be the case that the government puts its foot down in the future and forces the matter, particularly since the UK is working towards an ambitious set of emission reduction targets set by the EU.

For now, however, it looks once again like the best way to save money on gas and electricity is to shop around and switch utilities suppliers where appropriate.