Northern Ireland smart meter rollout design proposed

Proposals for the rollout of smart meters in Northern Ireland have been put forward for consultation by the state ministry of the economy.

The proposal is for the rollout of approximately 920,000 smart electricity meters in homes and businesses.

This follows an earlier cost-benefit analysis on electricity and gas smart meters, which found a best-case benefit-cost ratio for an electricity smart meter rollout approaching 1.6 with an NPV of £301 million (in 2022 figures), whereas a gas smart meter rollout would provide low or even negative value for money.

The proposal is that the Northern Ireland Electricity Networks, the transmission and distribution networks owner, is best placed to procure and install smart meters and to develop a new data system for storage and management of the data – in essence a continuation of the current role as the meter purchaser and installer.

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To drive the deployment an oversight group is proposed, comprising the Department of Economy, the Utility Regulator and other consumer protection representation, with widespread roles including ensuring the necessary legislation and regulation is in place, setting metrics, undertaking research and evaluating the programme as it evolves.

The group also is to be charged with agreeing on an indicative rollout timeline and prioritising and sequencing the rollout.

Consumer protection is considered paramount and they should have a say in who can access their personal meter data as well as assist in the co-design of the metering and data systems.

To ensure buy-in a consumer communications approach and campaign also should be designed.

“My department is committed to completing the design plan for the rollout of smart meters with the principle that consumers must be front and centre of its design, and they must be supported throughout its delivery,” said Economy Minister Conor Murphy at the launch of the consultation.

“Creating a digitalised energy system is a key objective of the Northern Ireland energy strategy and will play a central role in delivering a just and sustainable energy transition.”

Smart meters were proposed as a tool in the energy strategy to enable the development of an accessible and digitalised energy system where data provides value for consumers and a more efficient system operation.

The current 2030 target in the energy strategy for net zero by 2050 is for 80% of electricity consumption to be from renewable sources.

In the cost-benefit analysis, the scenario of a ‘fast’ rollout with smart meters installed over a six year period starting in 2027 was found to deliver the greatest benefits.

The other options considered were a phased rollout through replacements of traditional meters at their end of life and a mixed fast/phased approach.

The consultation is open until 12 December 2024.