Labour’s Alan Whitehead has said that because of the way the smart meter rollout is designed, the larger energy companies will “save a fortune”.
Whitehead, who is also a member of the Energy and Climate Change Committee, spoke at a Praseg and Micropower Council fringe event at the Labour Party conference said that the current design of the smart meter roll out favours the energy companies.
The benefits are not having to employ meter readers to visit consumers properties, and the access to real time data usage which allows them to balance their supplies more effectively.
“The utility company will have a much better idea of how much energy is being used in electricity at any one time and they will actually be able to deal with their balancing arrangements in terms of whether they penalised for buying too much or not enough electricity,” Whitehead added.
“They will be able to balance their purchases and actually save a fortune on penalties on the balancing system.”
Political advisor at Energy UK, Josh Robson, said that “There is actually an opt in to allow companies to use that data and therefore balance the systems, so I don’t think you’ll see those wholesale benefits.”