Smart Meters

Lord Watts Excerpts

Tuesday 20th November 2018 Lords Chamber

[Lord Henley]

My Lords, the companies have been installing the SMETS 1 meters and we are now moving on to SMETS 2. Changes happen when one moves from a SMETS 1 to a SMETS 2 but the same benefits will still be available when consumers switch supplier in due course, and they will be able to benefit from those. There will be a slight delay in that but by 2020, all those who switch will find that they have the same benefits on SMETS 1 as they have on SMETS 2.

[Lord Watts (Lab)]

My Lords, when it is 2020 and everyone has the smart meters, it will be possible for those smart meters to choose the lowest cost provider. If they do that, consumers will all swap to one provider and that will put the rest of the companies into bankruptcy, meaning there will be no competition at all.

[Lord Henley]

My Lords, I know that noble Lords opposite do not like competition but the advantage of this system is that it offers choice to the consumer and, as the noble Lord quite rightly says, will offer the ability for people to move on to an app that will allow them to choose the cheapest supplier. Once there is competition, I think the noble Lord will find that the 60 or 70 supplier companies involved will compete among themselves to offer the best possible deals.