A fresh attempt by the Maharashtra State Electricity Distribution Company Limited (MSEDCL) to replace conventional electricity meters with smart meters has kicked up a storm. The row escalated after lakhs of consumers received messages informing them that their existing meters would be replaced, prompting allegations that the utility was trying to force the switch.
MSEDCL maintains that smart meters will make billing more accurate, reduce complaints and allow consumers to track their power consumption in real time. Consumer groups, employee unions and opposition parties, however, argue that the rollout raises questions over consumer choice, billing and the possibility of prepaid electricity in the future.
Pallavi Smart explains what smart meters are, why MSEDCL is pushing for them, and why the move is facing resistance.
Q) What is a smart meter?
Most electricity consumers in Maharashtra still use conventional meters. Under this system, meter readers visit homes and establishments every month to record electricity consumption, based on which bills are generated.
Smart meters do away with manual readings. They transmit consumption data digitally, allowing both consumers and the utility to monitor usage remotely. Consumers can check their power consumption and bills through a mobile application, while MSEDCL can access readings without sending personnel to the field.
The utility says this will help reduce billing disputes and improve service delivery.
“With the possibility of digital meter-reading, smart meters will completely eliminate human errors, which would lead to billing concerns. In today’s world of digitalisation, the MSEDCL is also taking steps to ensure better service through help of technology,” said an official.
The utility also says smart meters will become increasingly important as more consumers install rooftop solar systems.
“With increasing use of solar power, they will require smart meters. It will also allow them to switch from solar to thermal power as per their requirements, and accordingly keep a check on their usage,” said the official.
Another major change is that the electricity supply can be disconnected and restored remotely. At present, MSEDCL staff must physically visit a consumer’s premises to disconnect power in case of non-payment of bills.
Q) Why are consumer groups objecting?
Consumer organisations say the decision on whether to install a smart meter should be left to consumers. Their objections grew after MSEDCL sent messages stating that existing meters would be replaced within 48 hours.
According to these groups, the messages created the impression that consumers had little choice in the matter.
They also point out that several cases relating to smart meters are pending before courts and argue that the utility should not be pushing the rollout until those issues are settled.
Another concern relates to billing. Consumer activists cite complaints from some consumers who claim their bills increased substantially after smart meters were installed.
Some organisations also fear that smart meters could eventually be used to introduce prepaid electricity. They argue that if consumers are required to recharge their electricity accounts in future, supply could be cut off automatically once the balance is exhausted.
Q) Why are electricity employees’ unions opposed to the programme?
Electricity employees’ unions have opposed the smart meter rollout, arguing that it is part of a gradual move towards privatisation of the power sector.
Rajesh Kathale, Maharashtra representative of the Electricity Employees Federation of India, said, “We oppose the way in which this change is being implemented. The MSEDCL is not asking consumers but changing meters on its own at several places. Despite being a government entity, they are trying to operate as a private sector, which indicates their purpose of profit making. Whereas MSEDCL was established for electricity access to all the public, irrespective of their financial status, as it never worked on the principle of profit-making.”
Kathale also referred to complaints received by the union regarding allegedly inflated bills after the installation of smart meters.
“It clearly indicates faulty reading,” he said.
Unions have also raised concerns over jobs, arguing that automated meter-reading could eventually make thousands of meter readers redundant.
Q) What has the government said?
The issue was discussed repeatedly in the Maharashtra Legislative Assembly when concerns were raised over smart prepaid meters. The government had then said such meters would not be imposed on ordinary consumers.
Then, energy minister Devendra Fadnavis had also stated that smart prepaid meters would not be installed compulsorily.
“Following various concerns raised over MSEDCL’s plan of installing smart meters, Maharashtra CM Devendra Fadnavis had assured that such changes will not take place. It was also stated then that consumers’ consent and freedom of choice would be respected,” said Kathale.
MSEDCL, meanwhile, says it is encouraging consumers to adopt smart meters and not forcing them to do so.
Q) What triggered the latest controversy?
The immediate trigger was a message sent by MSEDCL informing consumers that their meters would be replaced within 48 hours. Consumer groups and employee unions say the wording contradicts earlier assurances that smart meters would not be imposed.
The messages led to confusion among consumers and sparked protests by opposition parties.
MSEDCL, however, says the communication has been misunderstood.
“But it has been misinterpreted, causing confusion and panic among consumers,” said the official.
The utility says over 1.20 crore consumers have already switched to smart meters and that billing-related complaints have fallen in areas where they have been installed.
“In fact, our billing-related concerns have reduced significantly wherever existing meters are replaced with smart meters. More than consumers, there are few groups who are raising objections with vested interest,” said an official from the MSEDCL.
Smart meters transmit consumption data digitally, allowing both consumers and the utility to monitor usage remotely (File Photo) 
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