Smart Meters for Business FAQs

Smart Meters For Business: Your FAQs Answered

Commercial smart meters are always a hot topic in the business energy industry. With P432 changes on the horizon, this has taken on renewed importance and raised some questions as consumers move over to half-hourly settlement.

Smart meters are quite simply the most important hardware for understanding and reducing energy consumption. The shift from traditional metering and the rollout of non-domestic smart meters is supported by government programmes as part of the UK’s energy infrastructure upgrade. This is expected to lead to up to £1.5 billion in energy consumption reductions where consumers engage with their data and make changes to their behaviour.

In this blog, we look at some frequently asked questions around smart meters. Smarter Business’s team is always available to guide you through new installations, upgrades, what happens if you are switching supplier or moving premises, and how to consolidate your business energy across multiple properties.

What is a smart meter?

A smart meter is a new generation of electricity and gas meters that automatically and securely shares your business energy consumption data with you and your supplier at regular intervals.

Is it the law to have a smart meter in the UK?

Suppliers are obliged to offer smart meters to qualifying businesses, but consumers are under no legal obligation to install a smart meter.

Under P432 and Market-Wide Half-Hourly Settlement, the suitability of smart meters for the collection of half-hourly data has come to the fore – and these metering capabilities are of critical importance for businesses without meters or those looking to maximise their data collection and monitoring potential.

How big is the smart meter market in the UK?

At the end of Q3 2024, 37 million smart and advanced meters were installed in homes and small businesses around the UK. At the close of the quarter, 65% of meters in the country were smart or advanced meters according to Government figures.

What is the difference between SMETS1 and SMETS2?

The difference between SMETS1 and SMETS2 is the generation of tech. The acronym SMETS means Smart Metering Equipment Technical Specifications. SMETS1 is the first-generation meters that were initially installed. They generally employed 3G network functionality. SMETS2 is an upgrade to these early models, although functionality is much the same as SMETS1 are upgraded remotely.

As we prepare for 3G switch-off in 2033 and 4G communication hubs are erected, it’s natural to want the best performance from metering infrastructure. This transition is expected to be seamless, but it is always a good idea to talk to an energy specialist to ensure every component of your energy monitoring maximises value for your business.

Will a smart meter work if I switch suppliers?

If you have a SMETS2 smart meter, you can switch supplier with little to no interruption when it comes to data collection and automatic readings. If you are switching business energy supplier with Smarter Business, your dedicated account manager will ensure the transition is hassle-free with minimal disruption.

Should I get a smart meter for my business?

Yes. Every business stands to benefit from installing a smart meter. Commercial smart meters – together with smart energy monitoring software – have the potential to unlock a range of benefits. By arming yourself with smart meter data and making the right changes, you can enjoy the following benefits:

– Visibility of accurate consumption data.
– Expedited action around unusual consumption patterns and spikes in usage.
– Time-of-use cost-saving benefits.
– No more manual meter reads. Reduced risk of human error and billing inaccuracies.
– Data-driven business energy management and strategies.
– Understand consumption to lower consumption – and reduce energy bills.
– A key to environmental benchmarking, monitoring, and reporting.
– Negotiate better business energy tariffs.
– Get ahead of future policy changes that may effect meter changes.

How does my business get a smart meter?

You do not need to wait for your business energy supplier to contact you to get the ball rolling on your business smart meter installation or upgrade. Our team is on hand to advise you on the best course to take, with guidance on cost and implementation so you can tap into the benefits and maximise the value for your business.