According to Consumer Futures, Smart Grids have the potential to save energy consumers billions of pounds.
The consumer watchdog released a report entitled ‘Smart Grids : future proofed for consumers?’ which says for consumers to benefit from upgrades to the electricity networks, there should be a “focused regulatory and policy arrangements”.
Work by the Department of Energy and Climate Change (Decc) and the Ofgem smart grid forum has estimated smart grid solutions could save the industry between £2billion and £4billion by 2050 compared to conventional upgrades.
Consumer Futures director of policy and external affairs, Adam Scorer said “Smart electricity grids work in theory. Consumer Futures is going to be pushing markets, regulators and governments to make sure they work in practice for all consumers.
“Get them right and they could save billions of pounds compared to other forms of grid upgrades. Get them wrong then consumers will again pay for the transformations of the energy industry without feeling the benefit.”
The report says that Ofgem and Decc need to open a consumer focused work stream on smart grids, and to ensure savings from the updated system are passed back to consumers in a fair manner.