Smart Meter Trial Approved in New South Wales to Improve Energy Management

The Australian Energy Regulator (AER) has given the green light for a trial involving 5,600 smart meters in New South Wales to showcase their advantages for consumers and the energy market.

This trial, conducted by Endeavour Energy, is made possible through new regulatory powers that allow a temporary waiver from specific requirements using the Energy Innovation Toolkit.

It encompasses smart meters in Greater Western Sydney, the Blue Mountains, the Southern Highlands, and the Illawarra region, with an expected completion date in 2025.

“Innovations in energy like this play a critical role in providing benefits to consumers down the line,” stated AER Chair Clare Savage.

Smart meters are specifically designed to offer customers real-time online insights into their electricity usage, empowering consumers to manage their energy consumption. This allows access to deals that promote shifting usage to lower-demand periods, potentially reducing energy costs.

The Australian Energy Market Commission has recommended a full adoption of smart meters by 2030. The review concluded that a “rapid rollout would assist customers in lowering their household expenses in the short term and result in savings for all energy users in the long term.”

To support this endeavor, the federal government has unveiled a $50 million (US$34 million) loan from the Clean Energy Finance Corporation (CEFC) to Intellihub, Australia’s leading smart metering provider.

This funding aims to expedite the deployment of smart meters and behind-the-meter (BTM) devices, giving consumers more control over their energy consumption and expenses.

The CEFC emphasized the importance of smart meters in Australia’s shift towards cleaner energy, enabling users to monitor and manage energy from sources like solar panels, batteries, and electric vehicle charging infrastructure.

Other states in Australia are also preparing for this transition.

Queensland is gearing up for a major smart meter rollout, slated to commence in 2024 as one of the most extensive programs.

The Queensland government has also proposed a regulatory change allowing households with smart meters to switch back to flat tariffs, following consumer confusion and unexpected bill hikes due to time-of-use tariffs.

In response to concerns about “bill shock,” the state government has advocated for these new regulations through the Energy and Climate Change Ministerial Council.

However, in Victoria, the rollout has faced significant opposition.

Stop Smart Meters Australia (SSMA) is a volunteer advocacy group formed in response to community objections against the Victorian government’s Advanced Metering Infrastructure rollout.

They argue that the implementation of smart meters goes against essential energy objectives aimed at safeguarding consumers’ long-term interests in terms of price, quality, safety, and reliability.

They assert that the proposed rules do not align with the legal requirements of the National Electricity Law (NEL) and the National Energy Retail Law (NERL), both of which prioritize the long-term well-being of electricity customers and the security of the national electricity system.