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Energy suppliers have welcomed government proposals to make 30 million home hubs the responsibility of smart meter communications service providers (CSPs). However, they have also warned that technology and security choices could affect the cost of the programme.
The Department of Energy and Climate Change (Decc) outlined its thinking in a consultation published this month.
Elster makes both meters and comms hubs. UK managing director Richard Sinclair said the firm was comfortable with the government’s proposals but would prefer a supplier-led route.
Decc should “come off the fence” as to whether security should be hardware or software, he said. Hardware would add logistics costs.
Decc said the hub would use two frequencies (2.4Ghz and 868Mhz). That leaves a decision to be made between putting two radio units in every hub, or “two hubs in the van”, according to Sinclair. Sinclair favours separate hubs but Sentec chief executive Mark England said one unit with both radio frequencies would save labour costs.
England said that 868Mhz, which can travel underground, would also favour water smart metering in future. Sinclair agreed. “Nobody at Decc wants to go there,” he said, “but I would bet that [the next Ofwat price review] will mandate metering.”
This article first appeared in Utility Week’s print edition of 31 August 2012.
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