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Smart meter deadline in 2025 is ‘not helpful’

The deadline for energy suppliers to complete the smart meter rollout by the end of 2025 has been described as “not helpful” by a deputy director of the industry’s trade body.

Currently energy retailers are operating under a four-year framework which is aiming to complete the rollout by the end of 2025, with all suppliers having binding annual installation targets until then.

With less than 60% of homes and small businesses having a smart meter, suppliers are finding it increasingly difficult to install devices in remaining non-smart properties and it was recently revealed that six retailers agreed to pay out almost £11 million after failing to hit their installation targets last year.

Giving his thoughts on the matter to Utility Week Energy UK’s deputy director of retail policy, Daniel Portis, described the rollout target deadline as unhelpful.

“We’ve always said that the hard targets approach is the wrong one and in that sense a deadline in 2025 is not helpful for completion,” said Portis.

He added: “With the current tools and mechanisms and approach to the rollout I’m not sure how you get the last 10-20% of customers who just do not really want a smart meter until and unless their current meters fall over and need replacing.

“There is a fundamental question as to how we think we are going to get that final part of the population to convert and at the moment we don’t have the tools or the answers to that so the idea that the rollout is going to magically complete in 2025, I don’t think that’s helpful.”

Energy UK has previously suggested more support from government is needed for the smart rollout to be successful.

The trade body’s head of future retail markets, Daisy Cross, recently told Utility Week: “We’ve seen a recent move towards some common sense policies from government, such as linking smart to energy efficiency measures, but more support from government is needed to get customers over the line.”

According to the latest government figures, more than 33 million smart and advanced meters have been installed in homes and small businesses across Great Britain, which represents 58% of all meters in the UK.

Earlier this year, Utility Week’s analysis of government figures revealed that the rate of smart meter installations must more than double to have any chance of completing the rollout by the 2025 deadline.