As the chorus of consumers crying out about the alleged risks of smart meters becomes increasingly louder, some utilities are trying to quiet the protests by offering customers the option to keep their analog meters. On Feb. 1, the California Public Utilities Commission (CPUC) voted to allow Pacific Gas and Electric Co.'s (PG&E) customers to opt out of using smart meters. In the first two weeks after the announcement was made, the utility received 4,400 opt-out enrollment forms. Out of this number, 2,800 currently have analog meters, so no changes will be made.a press conference earlier this month announcing the opt-out program that the utility said that some customers are uneasy about smart meters for "widely diverse and, sometimes, deeply personal reasons."
"No matter how [much] third-party evidence we provide that the technology is safe and beneficial, no matter how many experts concur that there are no health risks related to smart meters, the simple fact is that there will remain those customers who are genuinely uncomfortable with the program," she added. When the CPUC voted on Feb. 1 to allow PG&E to create an opt-out program, the utility was given 20 days to implement the decision. However, PG&E began taking requests immediately. "We're making good progress with those customers that want to opt out, and we do think that meter choice is important," says Snapper. "That said, we strongly believe in the benefits of smart meters for our customers and for the future of the smart grid." PG&E customers electing to retain or return to an analog meter will be charged an initial fee of $75 and a monthly charge of $10. Low-income customers electing to opt out will be charged an initial fee of $10 and a monthly charge of $5. The fees are necessary because utilities that deploy smart meters will have to continue to employ meter readers for customers who retain analog meters. "That speaks to a need to maintain the IT and billing system changes that we need to do to reintroduce analog meters, because you're restructuring an old way of billing customers," Snapper explains. Customers with analog meters are likely to be in the minority and spread out over a wide geographic area. This can cause the meter reader's efficiency to decrease substantially, according to Ron Chebra, vice president of management operations and consulting at KEMA. "Instead of walking house to house and just reading the meter, [the meter reader has] to know which one to read and which one not to read," he notes. "The fact that you still have to have a meter reader is an additional cost." Utilities also have to monitor what happens when people move into or out of homes that have one type of meter or another. A home without a smart meter may not appeal to someone who wants one, and vice-versa. "[Utilities] have to keep an inventory of all the parties that have opted in or opted out, so the logistics become a real challenge," Chebra adds.
Consumers Energy, which serves Michigan, has not yet installed smart meters, but the utility has decided to offer an opt-out program in advance of a rollout. "We feel the meters are safe, secure and provide a lot of benefits for our customers, but we also recognize that some customers do have concerns," says Roger Morgenstern, smart grid communications coordinator for the utility. Like PG&E, Consumers Energy will charge an initial enrollment fee and a monthly fee for those who do not want smart meters, but the utility has not determined the cost. "We're in the process of figuring out what those costs will be so we can propose the cost structure to the Michigan Public Service Commission," Morgenstern explains. "For the handful of customers that have expressed an interest [in opting out], we have assured them that we will have these questions, in terms of charges and processes, figured out before we deploy in August." The utility expects to begin its large-scale smart meter installation this summer, and full deployment is expected take about seven years. Approximately 60,000 meters are scheduled to be installed through this December. "We're taking a proactive stance," says Morgenstern. "Our public service commission wants to know what the opt-out program is going to look like, but we have not been ordered to issue an opt-out program." Although it is expected that the number of analog meters that will remain in service will be small, the overall effect on the smart grid remains to be seen. In addition to cost issues for utilities that implement opt-out programs, technical problems could arise. Utilities who choose cellular technology for their smart meters will likely not face problems, because each meter communicates directly with a tower. However, meters that use mesh networks could run into trouble. "If there were holes in the network or holes in the environment, the efficiency of the network could be compromised," says Chebra. "In the case where it's a meter to a tower, really there's not much of a difference whether your house has a smart meter or my house has a smart meter." PG&E has planned for disruptions that could be caused by its smart meter opt-out program. "We would make plans to enhance parts of the grid over the wireless network if there was any degradation due to a concentration of opt-outs in a certain area," says Snapper.
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"There are some customers who see the potential of what smart meters bring, and there are some customers who simply don't want one," says Greg Snapper, a spokesperson for the utility. "We're at a place where we can offer choice to both types of customers." With 8.9 million smart meters installed, PG&E is almost finished with its full deployment. The utility expects to have almost 9.7 million smart meters in total. "What we're finding is, the majority of our customers are accepting of smart meter technology, and they're taking advantage of the many benefits," says Snapper. Customers who are opposed to smart meters often complain of their adverse health effects. Helen Burt, senior vice president and chief customer officer for PG&E,
"No matter how [much] third-party evidence we provide that the technology is safe and beneficial, no matter how many experts concur that there are no health risks related to smart meters, the simple fact is that there will remain those customers who are genuinely uncomfortable with the program," she added. When the CPUC voted on Feb. 1 to allow PG&E to create an opt-out program, the utility was given 20 days to implement the decision. However, PG&E began taking requests immediately. "We're making good progress with those customers that want to opt out, and we do think that meter choice is important," says Snapper. "That said, we strongly believe in the benefits of smart meters for our customers and for the future of the smart grid." PG&E customers electing to retain or return to an analog meter will be charged an initial fee of $75 and a monthly charge of $10. Low-income customers electing to opt out will be charged an initial fee of $10 and a monthly charge of $5. The fees are necessary because utilities that deploy smart meters will have to continue to employ meter readers for customers who retain analog meters. "That speaks to a need to maintain the IT and billing system changes that we need to do to reintroduce analog meters, because you're restructuring an old way of billing customers," Snapper explains. Customers with analog meters are likely to be in the minority and spread out over a wide geographic area. This can cause the meter reader's efficiency to decrease substantially, according to Ron Chebra, vice president of management operations and consulting at KEMA. "Instead of walking house to house and just reading the meter, [the meter reader has] to know which one to read and which one not to read," he notes. "The fact that you still have to have a meter reader is an additional cost." Utilities also have to monitor what happens when people move into or out of homes that have one type of meter or another. A home without a smart meter may not appeal to someone who wants one, and vice-versa. "[Utilities] have to keep an inventory of all the parties that have opted in or opted out, so the logistics become a real challenge," Chebra adds.
Consumers Energy, which serves Michigan, has not yet installed smart meters, but the utility has decided to offer an opt-out program in advance of a rollout. "We feel the meters are safe, secure and provide a lot of benefits for our customers, but we also recognize that some customers do have concerns," says Roger Morgenstern, smart grid communications coordinator for the utility. Like PG&E, Consumers Energy will charge an initial enrollment fee and a monthly fee for those who do not want smart meters, but the utility has not determined the cost. "We're in the process of figuring out what those costs will be so we can propose the cost structure to the Michigan Public Service Commission," Morgenstern explains. "For the handful of customers that have expressed an interest [in opting out], we have assured them that we will have these questions, in terms of charges and processes, figured out before we deploy in August." The utility expects to begin its large-scale smart meter installation this summer, and full deployment is expected take about seven years. Approximately 60,000 meters are scheduled to be installed through this December. "We're taking a proactive stance," says Morgenstern. "Our public service commission wants to know what the opt-out program is going to look like, but we have not been ordered to issue an opt-out program." Although it is expected that the number of analog meters that will remain in service will be small, the overall effect on the smart grid remains to be seen. In addition to cost issues for utilities that implement opt-out programs, technical problems could arise. Utilities who choose cellular technology for their smart meters will likely not face problems, because each meter communicates directly with a tower. However, meters that use mesh networks could run into trouble. "If there were holes in the network or holes in the environment, the efficiency of the network could be compromised," says Chebra. "In the case where it's a meter to a tower, really there's not much of a difference whether your house has a smart meter or my house has a smart meter." PG&E has planned for disruptions that could be caused by its smart meter opt-out program. "We would make plans to enhance parts of the grid over the wireless network if there was any degradation due to a concentration of opt-outs in a certain area," says Snapper.
During
"There are some customers who see the potential of what smart meters bring, and there are some customers who simply don't want one," says Greg Snapper, a spokesperson for the utility. "We're at a place where we can offer choice to both types of customers." With 8.9 million smart meters installed, PG&E is almost finished with its full deployment. The utility expects to have almost 9.7 million smart meters in total. "What we're finding is, the majority of our customers are accepting of smart meter technology, and they're taking advantage of the many benefits," says Snapper. Customers who are opposed to smart meters often complain of their adverse health effects. Helen Burt, senior vice president and chief customer officer for PG&E,
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