Cost charged internally for a meter change?

rogerblack

I note the smart meter rollout being alleged to cost many billions.

I recently had an electricity meter swapped out, and it took around 20 minutes.
Making some realistic assumptions, I came to the conclusion that a total price for this of around 50 pounds wasn't unreasonable for someone doing 10/day. (as he claimed).
(20 for the meter, 10 for the van, and 20 for the guy, (1000/week)).

On the basis of this, changing all the electricity meters in the country would be around 600m.

Clearly, gas meters will take a little longer to fit, and be somewhat more expensive.

I was wondering if it's solely this, or if the internal processes are inefficient enough to bump up the above 50 quid significantly.

Wilt

£20 for a smart meter? :think:

spiro

Smart roll out equals 2 new meters, new comms hub, optional in home display - doubt they will be able to fit 10 per day, meters are more expensive plus all the system changes that we be required by a large number of the different participant types in the market.

Plus your maths is wrong - 30m elec meters at £50 per meter is £1,500m double that with gas (£3,000m) and then add the comms units and you are up to around £3,500m.

Wywth

A recent post on this board shows a standard gas meter is being sold for about £400 a piece on ebay.

I think the typical £50 charge (where applied) made by a supplier only covers the labour.

chanz4

rogerblack wrote: »

I note the smart meter rollout being alleged to cost many billions.

I recently had an electricity meter swapped out, and it took around 20 minutes.
Making some realistic assumptions, I came to the conclusion that a total price for this of around 50 pounds wasn't unreasonable for someone doing 10/day. (as he claimed).
(20 for the meter, 10 for the van, and 20 for the guy, (1000/week)).

On the basis of this, changing all the electricity meters in the country would be around 600m.

Clearly, gas meters will take a little longer to fit, and be somewhat more expensive.

I was wondering if it's solely this, or if the internal processes are inefficient enough to bump up the above 50 quid significantly.

What about the ongoing certification that the engineer requires, also the cost of servicing them/ renting them.

chanz4

Wywth wrote: »

A recent post on this board shows a standard gas meter is being sold for about £400 a piece on ebay.

I think the typical £50 charge (where applied) made by a supplier only covers the labour.

Your referring to commercial meters, u6 residential are about £50

Wywth

chanz4 wrote: »

Your referring to commercial meters, u6 residential are about £50

Yes, I didn't look too closely.

U6 / G4 domestic meters appear to be offered for about £150 (or £350 from "Mr Khan")

Edit: Whoops, they both appear to be from the same seller £150 for a new one, £350 for a used one

Someone else is selling them cheaper, but claims they "usually retail at £75 each"
(but I'm not sure where you can legitimately obtain one of these retail from)

Edit 2: Google shows a few other offerings about £90-£100 each

chanz4

They can be obtained, but the ones on ebay are not the sellers property hence saying can contact him 24x7

[Deleted User]

I have seen a price somewhere for the electric smart at approx £80 each, they appear to be a lot more complex than a standard digital meter.Also the monitor is nt a cheapo one neither. the smart gas is a little e6 meter, it only has to transmit the reads to the nearby electric meter which does all the main work. If all is straightforward it can be done in 45 mins for both. My electric smart took no more than 20 mins to fit but the lad had come 50 miles to fit it. He told me he was on a basic 18k a year plus overtime and not on a bonus scheme. Other fitters I have met have been on a bonus scheme and are rattling them off as fast as possible and making an excuse to householders with difficult to get to meters and leaving.

Terrylw1

There are lots of factors to metering costs, such as:

- meters purchased...which can be out of the control of a supplier since they only contract to a Meter Asset Provider (MAP) who has an existing system of procurement with manufactures. So, they may purchase from various.

- the size of the portfolio drives the Meter Operators contract e.g. ex PES suppliers had vastly larger portfolios in their old regions over suppliers from other regions or new entrants to the market.

- type of meter drives the recertification schedule since each meter has an agreed life.

- supplier opportunity. An elec meter change can incur a charge of as little as £20 to the Meter Operator which covers the cost of all labour. So, there is an element of profit here since meter rental is already forced on the supplier by the Deemed contract policy.

Something to consider when it comes to charging for meter changing is why do they target PPM's and not charge for the rest? The labour charge is the same and credit meters tend to have a long life anyway and don't need all the extra servicing so surely its in their interest? Then we have all the other non essential works such as checking meter details, connecting additional load, fuse changes, searches, etc...which are all done for free and they cost the supplier the same to do them...

Smart is costing a wedge to change systems across the industry, devise test & roll out new processes, retrain staff, buy new equipment and fit them all. The consultants are loving it! Given its driven by regulation & beyond, if its hits us its going to be in the tariff prices.

C_Mababejive

I wonder who is or will be fitting all these smart gas meters and what is the current rate of progress?

Under the proposed GDN RIIO formula and quoting from OFGEM supporting document-Cost efficiency..

"4.27. We recognise that the companies may incur certain set-up costs in
preparation for the rollout of the programme and have proposed to provide a one-off
additional allowance in the first year of the programme of £0.30 per smart meter forecasted to be installed. This gives a total proposed one-off allowance across the
industry of £6.3m.

4.28. We also propose to develop an uncertainty mechanism to manage the actual rollout of the smart metering programme. This is discussed in the uncertainty
chapter of the Finance document.