Smart Meters Explained

A smart meter is a digital device that automatically records your business's gas and electricity usage in real-time. It replaces traditional meters and sends readings directly to your energy supplier, eliminating the need for manual meter readings.

What are the benefits of smart meters?

  • Accurate Bills – No more estimated bills; you only pay for what you use.

  • Real-Time Data – Monitor your energy use and spot inefficiencies to reduce costs.

  • Time Savings – Automated readings save time and reduce admin tasks.

  • Better Energy Management – Helps businesses make informed decisions about energy use.

  • Supports Sustainability Goals – Enables smarter usage, contributing to lower carbon footprints.

How do smart meters work?

Smart meters use secure wireless networks to transmit your energy usage data directly to your supplier at regular intervals. Many also come with in-home displays (IHDs) or online portals so you can track usage instantly. Business smart meters may integrate with energy management systems for more advanced analysis.

Are smart meters mandatory for businesses?

While not legally required for all, smart meters are being rolled out across the UK as part of a government initiative. Many suppliers encourage businesses to upgrade, especially if they use over a certain threshold of energy.

Will a smart meter disrupt my business?

Installation is straightforward and usually takes under an hour per meter. Your energy broker or supplier will schedule installation at a convenient time to avoid disruption.

Can I switch suppliers with a smart meter?

Yes. Most modern smart meters (SMETS2) are interoperable, meaning they continue to function even if you switch suppliers. Older models (SMETS1) may lose smart functionality temporarily, but this is often resolved remotely.

How secure is the data?

Smart meter data is encrypted and transmitted via a secure network. Your supplier only receives data relevant to billing, and you can control how much usage data is shared and when.

Are smart meters linked to Half-Hourly (HH) settlements?

Yes. Smart meters—especially for businesses—can record energy usage in 30-minute intervals, which aligns with Half-Hourly (HH) settlement processes. This means your supplier can bill based on your actual usage every half hour, rather than using estimates. HH data helps secure better tariffs, improve load management, and support participation in demand-side response schemes.