How smart are smart meters?
By Michelle Warren • Bankrate.com

One solution is to pair a smart meter with an indoor monitor that displays real-time information that shows people exactly how much they're using and when. A report from the Energy Saving Trust in the U.K. determined that without visual displays, people find it harder to benefit from smart meters and save electricity. Focus group research showed most people prefer a graphic indicator of real-time energy consumption that keeps track of daily expenditure, as well as cumulative spending.

Here at home, a 2005 study by Ontario's Hydro One determined that homeowners tend to reduce their energy consumption by seven to 10 percent when given an easy way to monitor their power use in real time. The 500-home pilot project used technology to transmit data wirelessly from an outside meter to a portable indoor display, giving people a "live" account of how much electricity they were consuming. At the time, Hydro One came out as a big proponent of indoor monitors, but the technology is not part of its current smart meter rollout.  

"They aren't really co-linked," says Peter Porteous, CEO of Blue Line Innovations, the St. John's, Newfoundland and Labrador-based company behind the pilot project technology. "Smart meters are an investment in infrastructure and the benefit is occurring for the utility," he says. "Our product benefits the consumer."

Blue Line makes the PowerCost Monitor, a standalone product that provides homeowners with feedback on consumption as it occurs. The wireless, portable energy-reporting devices feature a sensor that attaches to the outdoor electricity meter (it is not compatible with all meters) and transmits the information wirelessly to an LCD display.

"We give people a picture every 30 seconds of exactly what's going on in their home," says Porteous, adding when most people get the monitor, they wander around their house testing how much energy each item eats up. In addition to displaying real-time information, the PowerCost Monitor provides a 30-day forward-looking estimate (both in dollars and kilowatt hours) based on current consumption habits and illustrates the cost associated with specific appliances or behaviour changes.

If homeowners like Leblanc want this type of immediate feedback, they'll have to purchase a PowerCost Monitor or similar unit at a local hardware store. Prices range from $99 to $119.

Utility providers offer online monitoring
Some utility providers are offering monitoring options, says Holmsen, who advises people visit their local utility website for more information.

However, the feedback from utilities isn't quite as immediate as indoor devices.

Toronto Hydro, for example, has introduced online monitoring. "You can register online to see how much energy you use," says spokeswoman Tanya Bruckmueller, adding a daily usage chart breaks down information hour by hour so people can get a snapshot of their consumption habits, as well as tips on how to reduce usage.

The final tally
While consumers like Leblanc look forward to being able to take action to manage their bill, a lot of people are concerned that smart meters are simply going to mean paying more for electricity (the actual cost of the meter will be recovered through electricity rates or a monthly fee -- at Hydro One, for example, its $1.65 a month).

If people continue with the same habits, using the washing machine or dishwasher during peak periods, that will be the case. However, the overall idea is to reduce consumption, and consumers -- by monitoring energy use online or investing in an indoor monitor for real-time feedback -- will have new tools to help cut those costs.

Whether they'll have the time and motivation to do laundry at midnight to save money remains to be seen.

Michelle Warren is a freelance writer living in Toronto.