According to a report released by the American Council for an Energy-Efficient Economy (ACEEE) on January 9, 2020, most utilities are missing the opportunity to utilize advanced metering infrastructure (AMI) to help customers conserve energy.[1] AMI has grown rapidly in the past decade, now accounting for nearly half of all meters in the U.S. At the end of 2019, there were 98 million smart meters deployed by utilities and by the end of 2020, that number could reach 107 million.[2] However, ACEEE found that these smart meters are being underutilized by utilities; of the 52 utilities ACEEE surveyed, only one, Portland General Electric (PGE), was found to use smart meters to their fullest potential. PGE taps into all six use cases ACEEE identifies for applying API data: time of use rates, real-time energy use feedback for customers, behavior-based programs, data disaggregation, grid-interactive efficient buildings, and conservation voltage reduction.
These use cases leverage AMI data by pairing it with customer engagement tools, pricing strategies, and programs that support customer action. A failure to optimize AMI investments can lead to regulators denying future grid modernization efforts. In 2019, for example, Virginia regulators rejected Dominion Energy’s proposal for a smart meter deployment.
[1] https://aceee.org/sites/default/files/publications/researchreports/u2001.pdf
[2] https://www.edisonfoundation.net/iei/publications/Documents/IEI_Smart%20Meter%20Report_2019_FINAL.pdf