As part of the UK government 2050 net zero target, energy suppliers have been required to take reasonable steps to rollout smart meters to all their small business customers by the end of 2021. From 2022 all energy suppliers will have binding annual installation targets to rollout smart and advanced meters to all remaining non-smart customer by the end of 2025.
With this in mind what exactly is a smart meter and how can this benefit your business, carry on reading to find out.
What is a Smart Meter?
A smart meter is an electronic device that will automatically send energy meter readings directly to your energy supplier, unlike the previous non-smart meters where manual meter readings were essential for accurate billing. This streamlined process allows for a smoother billing process with less chance for issues.
Every smart meter will come with an in-house display that allows the end customer to view their energy data in real time, please note that if you have a smart meter for both gas and electric, you may receive separate displays.
How do smart meters work for UK businesses?
Now you know what a smart meter is, it’s time to discuss how they work.
A smart meter is made up of three main components:
- The Smart Meter: This is installed at the business site and will take the readings for your energy usage
- Communication Hub: Again, this is installed at the business site, and this is what will send your energy usage data to your supplier
- The In-House Display: This is what most people think is the actual smart meter, however this is just a device that will display your usage data.
As your business consumes energy, real time updates are displayed on your in-house display and the communication hub will send this automatically to your supplier. Yes, this will only save you a few minutes each month but every second counts when you are busy running a business.
Is it compulsory for my business to have a smart meter installed?
Although it is not a requirement to have a smart meter installed at your business premise, as previously stated energy suppliers are mandated to offer all eligible businesses a smart meter by the end of 2025.
Regulations aside, here at Dyce Energy we are keen to push the rollout of smart meters as this means we will no longer need to estimate bills, creating a seamless billing process and a better customer service.
We discuss this in more depth in our dedicated blog, is a smart meter mandatory for UK businesses.
Benefits of a smart meter for your business
There are lots of benefits associated with smart meters for businesses, these include the following:
Accurate billing: As previously mentioned with smart meters sending data directly to your supplier, there will be no need for estimated billing meaning you will only pay for the energy you use.
Save time and energy: With smart meter automatically send usage data to your supplier, there is no need for manual readings. This free up time for you to tend to tasks beneficial to your business rather than wasting it manually taking and submitting reads.
Access to better tariffs: with the rollout of smart meters being heavily encouraged by the UK government, Ofgem and suppliers, you could get access to better rates by having a smart meter installed.
Identifying Energy usage patterns: With the smart meter device collection your usage data, you can review this for any patterns and create initiatives/strategies to alter your business practices to become more efficient.
Free Installation: Most suppliers, Dyce Energy included, offer smart installation completely free of charge, this means you get energy savings and extra convenience at no cost to yourself.
Switching with ease: As the meter will take readings, switching is easier as there is no longer a need to take an accurate final meter reading this will be done automatically. Also with smart meters being connected to a centralised system your usage data will be changed behind the scenes to be directed to your new supplier without you having to do anything.
Smart meter FAQs
So now you know what a smart is, how they work, who they are available to and some of the key benefits. But we’re sure you’ve still got some burning questions which is why we have listed some of the most common questions our team have been asked about smart meters below:
Q: How much will a smart meter installation cost me
A: This will be dependent on your energy supplier, at Dyce Energy smart meter installations are completely free of charge.
Q: What is a SMETS1 & SMETS2 meter?
A: SMETS refers to smart metering equipment technical specification. The number, 1 or 2, represents what generation the smart meter is. Dyce Energy currently offer the latest generation of smart meter for installation – the SMETS2 meter.
Q: I have switched suppliers and my smart meter has stopped working
A: This is a common issue that has been highlighted by users, this usually occurs when your property has the older SMETS1 meter installed. When changing suppliers these meters went into what was referred as ‘dumb mode’ where the smart meter lost its smart functionality. Most SMETS1 meters have been remotely updated to avoid this issue, you may be one of the rare occurrences where the update has not been made. The best advice would be to speak to your energy supplier and inform them of your issues, they will be able to provide advice on a case-by-case basis.
Q: Do I need my landlord’s permission to install a smart meter?
A: If you are the energy contract holder and bill payer for the property then there is no requirement for you to seek permission from your landlord to install a smart meter, However, it is advisable to let your landlord know your intentions and to check your tenancy agreement for any information about changing the meter.
Q: Do I need one smart meter for my gas and another one for my electricity?
A: Yes, if you are a dual fuel customer, both meters will need to replaced. Suppliers will aim to have both meters installed on the same day to avoid unnecessary disruptions to your business. In most cases you will still only have one in house display that will show both gas and electricity, but you may get separate ones for each.
Q: I have heard smart meters emit radiation, are they safe?
A: Yes, smart meters emit radiation, but this is lower than from other devices you will regular use such as wifi hubs and mobile phones. Public health England have conducted extensive research on smart meters and state that there is no evidence of risk to you.
Q: I have been offered a smart meter, does that mean I have to get it installed?
A: Whilst we are encouraging our customers to have a smart meter installed, you are not mandated to. If you decide you don’t want one, you just need to let us know.
Q: I will have to turn off my gas/electricity all day to get a smart meter installed
A: This a common assumption but this isn’t true. A smart meter takes roughly an hour to install and will require the gas/electricity to be turned off for around half an hour. We know this can be disruptive to businesses which is why we offer appointments, usually these are 2-hour time slots. We can also offer evening and weekend appointments, but these are limited.
Q: I have a renewable energy generator (Solar panels, wind turbine etc) on site, can I also have a smart meter?
A: Some meters will be compatible with a renewable energy generator like solar panels. The best advice we can give on this without knowing your specific details is to speak to your energy supplier and they will be able to provide the best advice for your business on this issue.
How Dyce Energy can help
Smart meters are more than just a technological upgrade, they’re a stepping stone towards greater efficiency, sustainability, and improves customer service. With benefits ranging from accurate billing to greater insight into your energy usage, smart meters offer your business the opportunity to take control of your energy management.
As we aim to progress towards a greener and smarter energy network, Dyce Energy is here to help make the transition as seamless as possible with expert support and free installations.
Get a no obligation quote from us today to find out how a smart meter could transform your business.
