Smart meters are an important part of the energy transition. They transmit the data directly to the grid operator. This makes it easier to manage the utilization of the electricity grid and customer billing. You can find out what a smart meter is, how it works and in which cases it is mandatory here.
What is a smart meter?
A smart meter is a smart meterthat sends and receives data via a communication network. It consists of a digital meter and a communication module, also known as a smart meter gateway. The former measures and stores the energy or material flow, the latter transmits the data between the consumer and the network operator.
What is the Difference between a smart meter and digital meter?
A digital electricity meter simply shows the current meter reading and a detailed breakdown of consumption over time. It only becomes a smart meter when a communication unit, the smart meter gateway, is added. The smart metering system sends encrypted readings to the grid operator, making manual readings unnecessary.
How does a smart meter work in a PV system?
A smart meter measures, stores and analyses energy consumption. It passes this data on to the grid operator in encrypted form via a smart meter gateway. The grid operator evaluates the data and can thus better control the load on the electricity grid. The consumer can access the data at any time via an app or a customer area.
Is my data safe?
Despite all the concerns, smart meters are secure. The Federal Office for Information Security (BSI) thoroughly checks the hardware and software of the meter operators for data protection before use. The devices are only approved for installation after certification. Nevertheless, like all digital communication infrastructures, smart meters are vulnerable to hacker attacks, similar to internet and email traffic.
Is a smart meter mandatory?
Smart meters are mandatory for consumers who consume between 6,000 and 100,000 kWh of electricity per year. The same applies to electricity generating systems such as PV systems with a nominal output of over 7 kWp. There is also a requirement for households with controllable consumption devices such as a heat pump or a wall box.
The previous metering systems aimed at a fair distribution of energy production costs. Accuracy is important, but it should also be economically viable for the customer. Future metering systems will focus on energy savings, balancing consumption and production, and compatibility with the energy transition.
The electricity market will be gradually digitized in the coming years. This is what the 2016 law on digitizing the energy transition provides for. The new Metering Point Operation Act (MsbG) is the heart of this legislative package. The MsbG regulates the widespread introduction of intelligent measuring systems. This process is known as the "smart meter roll-out." The aim is to make the electricity grid more intelligent in a decentralized energy world and to give consumers more precise information about their energy consumption.
When should the changeover take place?
All measuring points that meet the mandatory criteria mentioned above are already equipped with a smart meter. In addition, measuring point operators must install modern measuring devices in all new buildings and major renovations.
From 2025, every household can apply for a smart metering system, which must be installed within four months. Metering point operators can charge a one-off fee of €30 for this service.
Before installing a modern meter or a smart meter system, the meter operator must notify you at least three months in advance. They must also inform you about the possibility of switching to another operator. Two weeks before installation, you should receive a written notification of the specific installation date, which should include at least one alternative date.
Where will the smart meter be installed?
The smart meter is installed in the distribution box installed in the house. It is connected to the Internet or the mobile network. In households with a photovoltaic system, the smart meter is also connected to the inverter of the PV system.
Installing a smart meter can be problematic if the meter cabinet is already in place. There is not always enough space. Any problems with installing the meter should be discussed with the network operator. In the worst case, the meter cabinet will have to be replaced.
When does a smart meter make sense?
In addition to the mandatory installation, a smart meter in combination with an energy management system is interesting. They are also interesting if you want to get a dynamic electricity tariff. From 2025, electricity suppliers must offer these tariffs and a smart meter is necessary for this. However, this tariff is only worthwhile if electricity consumption is high.
How much does a smart meter cost?
The prices for smart meters are regulated by law and range between €20 and €50 per year. Additional services such as direct marketing or monitoring of consumption and generation systems generate further costs. Depending on the additional service, these cost between €10 and €30 per year.
| Household | gross price cap |
| electricity consumption up to 10,000 kWh/year | 20 €/year |
| electricity consumption over 10,000 to 20,000 kWh/year | 50 €/year |
| PV system or with an output of up to 15 kW | 20 €/year |
| PV system or with an output of over 15 kW to 25 kW | 50 €/year |
| controllable consumption device according to § 14a EnWG such as a heat pump or charging station for electric cars | 50 €/year |
Who are the best-known manufacturers of smart meters?
The smart meters are provided and installed by the network operator. As a consumer, you have no choice about the manufacturer. Nevertheless, we list Overview a few on:
- Apator Metrix
- B Meters
- Diehl Metering
- Discovergy
- EAD systems
- Ei Electronics
- Engelmann Sensor
- Friendcom
- Kamstrup
- Landis+Gyr
- Lansen Systems
- Maddalena
- Qundis
- Radiocraft
- Relay
- Sinapsitech
- Solvimus
- Weptech
What are the advantages and disadvantages of smart meters?
Smart meters not only provide a better overview of electricity consumption, they also eliminate the need to read the meter. They ensure effective grid utilization and drive the energy transition forward. However, this results in additional costs for consumers and possible gaps in data security.
| Advantages of Smart Meters | Disadvantages of Smart Meters |
| better overview of power consumption | additional costs for consumers |
| no meter reading necessary | data security |
| effective network utilization | |
| driving forward the energy transition |
