Do you need to have a sensible meter?

Every home in the UK is being offered a smart meter in a multi-billion pound rollout that is changing the way we consume and pay for energy.

The devices, which replace traditional meters that have to be read manually, provide real-time readings that detail how much gas and electricity you are using, and how much it is costing you.

But the rollout has been controversial, with some customers left struggling with “dumb” devices, and plans afoot to use the devices to charge households more to use power at peak times.

They also allow energy providers to remotely switch those who fall behind on bills over to pre-payment meters.

Here, Telegraph Money explains the pros and cons of smart meters – and whether or not you have to get one.

Smart meters measure the amount of gas and electricity you use on an almost real-time basis, and send this information to both an “in-home display” device, and your energy supplier.

It does this automatically via a secure smart data network, with an aim to let households see how much their energy usage is costing them – and see how a change in behaviour can save money – while helping to ensure they’re paying the correct amount for their usage.

However, it has recently been reported that the technology used to send this information differs around the UK, with the Midlands, Wales and southern England using cellular technology to send data to providers, while northern England and Scotland use longer-range radio frequencies, which has been found to cause issues.

No – smart meters are not mandatory. Bill payers can refuse to have the devices installed, and you can do this indefinitely.

However, energy companies can force customers to replace their current meter if it is deemed a safety hazard or is no longer functioning correctly. If you need to get a traditional meter replaced, you’ll likely be given a smart meter – but if you don’t want to use the “smart” settings you can request for it to be placed into “dumb” mode so it functions as a traditional meter.

The biggest potential benefit to having a smart meter is getting to access cheaper energy deals. “Time of use” tariffs drop the price of electricity when demand is low and increase it in times of high usage, so you have the opportunity to run the washing machine or charge an electric car during the times when energy is at its cheapest. Whether these tariffs benefit you depends on how much electricity you typically use.

More useful for gas-reliant households is the demand flexibility service (DFS). This scheme, overseen by the Electricity System Operator and handled by individual providers, offers households money back on their energy bills if they avoid using electricity at times of high demand. Households must have a smart meter to participate.

Encouraging people to use electricity at non-peak times is also part of the Government’s net zero drive.

“By shifting some electricity use away from peak periods, this will ease pressure on the grid and reduce reliance on backup fossil fuel generation and the need for new infrastructure like pylons,” the Government said.

The table below details the providers taking part in the Demand Flexibility Service.