Smart meters represent a significant shift in energy metering, bringing digital technology to electricity consumption for households, small businesses, and commercial users. Unlike traditional analogue meters that require manual readings, smart meters deliver real-time, accurate data on electricity use. This shift enables both consumers and utility providers to manage energy consumption more effectively, revolutionising the way people interact with energy systems.
When integrated with AI-driven Enterprise Asset Management (EAM) and Asset Performance Management (APM) systems, smart meters monitor energy use live, providing consumers with essential insights into their consumption habits. Real-time feedback helps them identify inefficiencies and adjust their usage, particularly by avoiding peak demand times, which can lead to reduced energy costs.
Given the rising need for efficient energy distribution, utility companies are under pressure to modernise their networks. According to the Energy Information Administration, global electricity generation capacity is projected to exceed 14.7 terawatts by 2050, nearly doubling within the next 30 years. Access to detailed consumption data through smart meters is expected to aid consumers in recognising energy-saving opportunities, contributing to their growing adoption worldwide. A notable example of this trend is Apator SA’s recent release of advanced smart meters, such as the smartESOX pro and OTUS 3, aimed at industrial applications.
Smart meters encourage consumers to make informed choices that lead to behavioural changes, such as conserving energy and investing in energy-efficient appliances. Adani Energy, for example, secured a $600 million loan in March 2024 to support a smart meter project across India. This funding will help improve the country’s energy infrastructure with innovative metering technology. Meanwhile, Esyasoft demonstrated the impact of smart meters by integrating thousands of meters into a north Indian utility network. Over five years, this project improved billing efficiency to 85% and doubled revenue, while reducing technical and commercial losses from 38.5% to 9.6%.
The UK government has played a prominent role in promoting smart meter installations, with more than 32.4 million meters installed by March 2023. The rollout has reportedly led to an average decrease of 3.4% in electricity and 3.0% in gas consumption in homes with smart meters. Such government support is expected to drive greater adoption of smart meters, especially in regions like Asia and the Pacific, where funds have been allocated to expand renewable and efficient power infrastructures. By 2025, projections from GSMA indicate that North America will see approximately 1.4 billion smart buildings and 700 million smart homes, further fuelling the global smart meter market.
Smart meters also support renewable energy integration into the grid by offering real-time insights on energy production and consumption. This capability aids utility companies in managing the variable output from renewable sources, creating a more stable and reliable distribution system. In addition, consumers can automate and optimise their energy usage, resulting in reduced environmental impact over time.
CyanConnode Holdings plc (LON:CYAN) is a world leader in the design and development of Narrowband RF mesh networks that enable Omni Internet of Things (IoT) communications.
