The government has revised its estimation of the value of the smart meter roll-out. Issued on the 10th November the updated Impact Assessment found that benefits of rolling out the new technology amounted to approximately £2.4bn, with gross costs of £0.4bn which left the net present value at around £2.0bn by the year 2030.
By 2020 the government wants energy suppliers to have installed smart meters in all homes and small businesses across England, Wales and Scotland. This will bring an end to estimated billing as smart meters give more accurate and regular energy usage data.
The average dual-fuel no-domestic premise should see savings of approximately £128 by 2020, rising to £147 in 2030.
Certain factors have made this estimation update necessary including fossil fuel prices having an impact on the figures and anticipated costs of the roll-out as a whole have increased by around £54mn, while gross benefits have reduced by around £415mn.