While a total of 66.18 lakh smart meters have been successfully installed in 18 states across the country, the Kerala State Electricity Board (KSEB) is yet to make any progress in this regard. Surprisingly, not a single smart meter has been installed by the KSEB, even though 1.32 crore smart meters need to be installed in Kerala. The deadline for all power consumers in the country to have smart meters is December 31, 2025.
Among the 18 states, several have made significant strides in smart meter installation. States like Assam, Bihar, Haryana, Himachal Pradesh, Punjab, Rajasthan, Tamil Nadu, Uttar Pradesh, and Delhi have installed over 1 lakh smart meters each. However, West Bengal, Andhra Pradesh, Mizoram, and Odisha have fewer than 20,000 meters each.
In states like Tripura, Telangana, Karnataka, and Gujarat, only pilot projects under the Integrated Power Development Scheme (IPDS) are underway, with limited smart meter installations. On the other hand, several states have not yet begun the smart meter project, including Maharashtra, Jharkhand, Chhattisgarh, Uttarakhand, Arunachal Pradesh, Goa, Manipur, Meghalaya, Nagaland, and Sikkim.
To support the implementation of the project, states will receive a subsidy ranging from 15% to 22%, with an additional 33% subsidy allocated to states in dire need of assistance.
The smart meter installation plan in Kerala is divided into four stages, targeting coverage of 37 lakh consumers in the first stage. Companies may charge Rs 6,000 for prepaid meter installation and its maintenance for a period of 10 years, while the cost of a smart meter ranges from Rs 2,500 to Rs 3,500. However, despite initiating tender proceedings, the KSEB’s progress has been suspended due to strong opposition from labor unions.
Smart meters offer numerous advantages, accurately recording real-time electricity consumption and proposing the replacement of the existing slab system. The new system eliminates fixed charges for consumers, with higher rates applicable during nighttime usage.
The central government has directed that the first phase of the smart meter project, which enables upfront payment of electricity tariffs, must be completed by December 31, 2023. Government offices above the block level, as well as industrial and commercial consumers, are required to transition to the prepaid system before the deadline. Prepaid meters should be installed in areas where electrical divisions experienced revenue losses exceeding 15% in urban areas and 25% in rural areas during the previous year. All remaining consumers must switch to the system before March 31, 2025, as per the directive from the central government.
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