More than half of households around the world will have smart electricity meters within a decade, according to a new report from Navigant Research.
Market Data: Smart Meter Global Forecasts puts the global penetration rate of smart meters at 41.2% in 2019 – a figure that is expected to rise to nearly 59% by 2028.
Each smart meter acts as both a data collection point and a communications node, the research firm explained. This enables greater returns on utility investment while maximising the benefits provided to utilities and their customers.
“Smart meters have the highest deployment rates of any smart grid technology, and the global market, although slowing slightly, continues to expand,” said Michael Hartnack, research analyst at Navigant Research. “Across all regions, the Middle East & Africa demonstrates the highest potential for growth in smart meter deployments, while Asia Pacific accounts for the highest percentage of overall global smart metering revenue.”
Globally, the smart meter market is driven by ongoing utility investment in grid intelligence, security and edge computing technologies.
There are considerable variations in deployment around the world: most markets are continuing to install first-generation smart meters, while second-generation projects have been launched in parts of Europe and North America. Some regions are wrapping up their major deployments, while other regions, such as India and much of the Middle East, are just beginning their projects.
In the UK the smart meter rollout deadline was recently extended by four years, with the Government saying that energy firms should have installed smart meters for 85% of customers by the end of 2024.
However, there is some doubt over whether the new target is achievable, with research conducted by Frontier Economics for Energy UK suggesting that unless consumers are required to accept smart meter installations they will only reach around 68% of households in the next five years.