I contend that one of the arguments for eMeter (Smart Meters) made in Chris King's business case blog is not a benefit but perhaps a cost! The impact of it is so large that it is even giving the Smartgrid concept a black eye!

Chris King includes one of the Smart Meter benefits as being "Customer benefits. Enhanced Energy efficiency, lower peak demand, automation, etc and finally improved customer satisfaction."

Smart Meters DO NOT improve energy efficiency! They can MEASURE both TRMS and KVA allowing the utility to bill for capacity based on KVA - however the meter does not improve efficiency. Smart meters do not lower demand!! People do.

Unfortunately few Smart Meters (if any) provide a real time display to the customer such that they can reliably adjust their useage patterns. Equally important is that studies have shown energy meters in the home do not provide persistent lsavings! (See FSEC studies) The energy monitoring meters only help the few that are truly motivated. As for the automation of the home/business loads - there is little long term proof that smart meters provide the real benefit above good "EnergyStar" appliances or good building Energy Management automation. Smart Meters as a customer benefit - is giving smartgrid a bad name!

Customers do not want Time-of-Use billing -- they want low or free energy. Arguing that a Smart Meter improves customer satistfaction is much like saying that having a colonoscopy done improves your satisfaction with your family doctor -- WHAT -- they are two different doctors right??

Smart Meters may be a correct direction, they may make it easier for utilities to identify outages, reduce labor for billing - but they don't truly improve end-user customer satisfaction. Remember end-users want it FREE AND renewables (Solar) for homes/businesses are being marketed as a way to obtain freedom from the utility company.

The point is that his analysis claims the benefits out weigh the cost by 2-to-1. I would argue the analysis is skewed for marketing purposes. The benefits are still there - but only for the utility. Very little DIRECT benefits for the end-customers.

If you consider the negative perception impacts of smart meters on the smartgrid community as a whole - then the benefits may be only 1-to-1.