Smart meters have played an essential role in facilitating dynamic pricing in the energy market.

A smart meter is a next-generation digital gas and electricity meter that records and transmits data including electricity consumption, voltage level, current, and power. They eliminate the requirement for monthly manual reading. Non-smart electric and gas meters only provide total consumption and nothing about the timing of energy usage. Intelligent or smart meters facilitate accurate energy consumption at any point of the day remotely. A smart meter sends accurate readings to the energy retailer automatically every month and features a digital screen that shows:

  • Energy consumption for last hour, week, or month.

  • Energy consumption cost.

  • Energy usage level (high, medium, or low).

Is it worth getting a smart meter?

Getting a smart meter installed is worth every penny. Data suggest 3.3 million smart meters are installed across Australia out of 13.6 million meters. Smart meters can control electricity costs and adjust fluctuating voltage during a period of system overload. Smart meters integrate several distributed energy resources, including solar PV, battery technology and vehicles running on electricity. Households and businesses using intelligent meters are eligible for various new deals by specific providers and access much live energy usage. In addition, smart meters make it easier to know the amount of electricity spent, allowing consumers to make conscious choices on power saving in their daily routines. Smart meters ease power distribution based on the usage trends.

What is the difference between a smart meter and a regular electric meter?

Regular electric meters are fundamental and time-tested, used for monitoring electricity usage and checking every month. It contains multiple spinning dials, which are read for calculating the final electricity usage. The meters have a moving indicator that shows the data of the current and any fluctuations.

These meters can confuse average consumers - only a qualified electricity retailer representative can best read them. Also, as the meters are read by electric company personnel only once a month, the electricity bills are a mere estimate and inaccurate. Nevertheless, it fulfils the one purpose of telling the power consumption since the meter was last read. Traditional meters cannot store any data.

Smart meters are more interactive and multifunctional. They record electricity consumption and gas usage and share information between the supplier and consumer over a wireless frequency network. In addition, intelligent meters store the recorded data. They are often the cornerstone of a home automation system.

They allow energy management at home, enabling consumers to bring together interactive devices and create an advanced metering infrastructure (AMI). Unlike regular meters, their readings are accurate, leading to precise bill generation. A smart meter is switchable between prepaying mode and credit mode remotely.

How do you read a smart meter?

Smart meters have a display with flashing numbers. Some variations in the number format exist depending on the utility provider. For example, the 'CLS' message on the screen indicates the flow of electricity in the house, whereas 'OPN' means no power. Adjacent to these messages, flashing numbers show total power consumption in kilowatt-hours. More analytical and detailed data is accessible online. Mostly IHD smart meters have seven buttons along with the display screen, with which people can navigate all the features:

  1. Tap the Home button to display energy consumption.

  2. Tap the Now button to see energy consumption in real-time, i.e., in kilowatts an hour.

  3. Tapping the Utility button will show electricity and gas usage or all statistics.

  4. Cycle through daily, weekly and monthly views by tapping the calendar button.

The bill calculation procedure is is below. Find the total kilowatt-hour for the given billing period and multiply the cost of electricity per kWh. For instance, if total energy consumption is 900 kWh for a month at a rate of 12 cents per kWh, then the billing amount will be $108.

Procedure to read a single-phase meter

Press the “select” button on the meter front. Then, scroll through the options to find "View Meter Data." It will display the meter data on the screen.

What are the benefits of a smart meter?

Below are some advantages behind installing a smart meter.

Safety

According to Australian standards, a smart meter is made to comply with the electromagnetic exposure limit developed by ARPNSA, short for Australian Radiation Protection and Nuclear Safety Agency. The government’s energy department authorities are confident that smart meters pose no threat to public health.

Smooth switching between retailers

The daily reading ability eliminates the need to wait for weeks or months before switching retailers. In addition, connecting, disconnecting, or switching to another electricity retailer is cheaper and more manageable if they offer better plans, which will allow saving on electricity bills.

Flexible pricing

The smart meter enables flexible pricing that includes raising and lowering the cost of electricity based on demand.

Better accessibility of information

A smart meter houses a user-friendly digital interface, known as an ‘IHD’ (in-home display). IHD lets users track energy consumption, energy usage level, and cost at any time. It provides the users with their consumption and pricing information on the internet.

Easy outage detection

The smart meter allows distributors to check electricity outages quickly and monitor the quality of your energy supply. It helps minimise the duration and number of electricity outages and can overcome and inform the user regarding fluctuating voltage.