Each country is at a different stage of smart meter adoption. Let’s grab our passports and find out how other countries are managing the transition to smart meters.
We’ve discussed the ups and downs of the UK’s smart meter rollout many times. Due to be completed in 2019 but still in operation, the rollout has been beset by technical and budgetary problems, as well as a global pandemic that slowed it down. But how does the UK’s experience compare to the rest of the world? Have other countries found it as difficult as we have to get smart meters installed into homes and businesses?
In this article, we’ll travel across the globe to see how other countries are doing with their smart meter rollouts and examine if there are any lessons for the UK.
Europe
Before we get started, let’s recap where the UK sits on the smart meter spectrum. Currently, 64% of UK homes have a smart meter installed. The rollout is due to be completed next year, but with installation numbers flatlining, reaching 100% looks unlikely.
Compared to its closest neighbours in Europe, the UK is performing poorly. France is currently at 93% smart meter penetration while Spain has completed its rollout, achieving 100% coverage. In Italy, every home has a smart meter, with 82% of homes having newer, second-generation meters.
However, other countries are still figuring out how to roll smart meters out to their citizens:
- Germany has not started its rollout yet, although around 20% of households have them anyway. Mandatory smart meters are planned for 2025
- Finland has 100% smart meter penetration, but is replacing the first generation of meters with new ones with more visibility features
- Hungary has 650,000 smart meters currently installed, representing around 15% of households, but is aggressively stepping up the pace of installations
North America
Across the Atlantic in North America, smart meters are finally beginning to take hold after a slow start. At the end of 2023, 130 million smart meters were installed in the US and 15 million in Canada, meaning around 80% of households have smart meters in those countries.
While these numbers are good – especially compared to the UK – there is a strong drive to achieve more. By 2029, the powers that be want to get to 94% in the US and 96% in Canada.
Asia Pacific
In the APAC region, smart meter take-up is growing fast. Of course, there are wild variations from country to country, but growth is generally strong. Currently, there are around 818 million units installed in the APAC region, with that number forecasted to reach 1.2 billion by 2029.
In East Asia, China, Japan and South Korea have led the charge to smart meter adoption, as you may expect. These countries made ambitious plans to roll out smart meters to their citizens, and most have been successful. China has completed its rollout, while Japan’s rollout is in its final stages. Both countries are now looking to replace first-generation meters with new units. Korea’s rollout has suffered from delays, but it is still expected to be completed by the end of 2024.
With East Asia’s rollouts virtually finished, South and Southeast Asia are the fastest-growing areas in the region for smart meter adoption. India and Bangladesh are both embarking on big pushes to get smart meters installed in homes and businesses. In India, the focus is on replacing its 250 million prepayment energy meters with smart meters. The Philippines, Thailand and Indonesia are also getting started with smart meter rollouts.
Finally in this region, Australia and New Zealand. The Australasian nations are focusing on a market-driven smart meter rollout rather than a government-mandated push. However, this approach has worked well. Smart meter penetration in New Zealand is now at 90%.
Lessons for the UK
The UK is facing enormous challenges with its smart meter rollout, and while all nations are different, there are lessons it can learn.
For example, the UK has not done an effective job of selling the many benefits of smart meters to consumers, with many just not seeing a reason to get one installed. On the other hand, New Zealand has reached 90% penetration with a market-led approach where consumers have demanded new smart meters.
It’s also clear that many other nations haven’t experienced the same technical and supply problems that the UK has. What are they doing differently to ensure that when it’s time to get a smart meter, there’s one available and someone to fit it?
If the UK wants to get anywhere near to 100% smart meter penetration by the end of 2025, it needs to start watching how other nations have achieved this milestone and replicate their methods.