DECC’s impact assessments conclude it will be more valuable to move the programme forward now and estimates benefits of £17.8 billion over the next twenty years, with a net benefit of £7.2 billion.
Engage also notes that in the spring of 2011, Ofgem will introduce a package of safety and quality measures in areas such as remote disconnection, installation of new meters, and interoperability to provide suppliers “with the necessary confidence to start installing smart meters and supports customers switching suppliers.”
Ofgem will also propose a data privacy principle that lets consumers choose how information about their data usage is used except when data is needed to fulfill regulated duties.
The report says “suppliers will also be required to provide an in-home display (IHD). IHDs will have dual fuel functionality so any second supplier providing gas or electricity in a dual fuel home can use the IHD provided by the first supplier. It will be at any second suppliers’ discretion whether they wish to provide a second display.”
The responsibility to deploy the meters falls to the Energy suppliers. The brief notes, “Ofgem will introduce licence conditions into Suppliers’ licences to set targets for roll out that will include flexibility in the early stages to enable suppliers to respond to customer demand and learn from experience. In parallel, during the initial stages of rollout, additional measures to increase the effectiveness of the rollout and secure the energy savings will be considered by Ofgem.”
Download the report at http://www.engage-consulting.co.uk/news_detail.asp?id=68