When customers complain about high gasoline costs regulators never blame the gas pumps, so why are regulators questioning the accuracy of smart meters in Bakersfield, California and in Dallas, Texas?  Because they are answering the wrong question.  We know these meters are accurate; they’ve been through years of testing before deployment.  In fact, I’ll buy anyone who reads my blog a three-star lunch if they can show me an inaccurate smart meter installed by a utility.

The other wrong question is to ask why the bills have gone up.  The reason is that, without a controlled experiment, it is impossible to determine the answer.  There are too many variables: rates change, temperatures change, household occupants change, household appliances change (how about that new big screen television?), and even billing periods change (ranging from 27 to 33 days for a monthly bill).

Here’s the right question: are bills for customers with smart meters any different from bills for customers without smart meters?  The simple way to find out is by selecting a statistically valid random sample of customers with smart meters and customers without smart meters, then comparing the two groups.  Because I know the meters are accurate, I know what the result of this test will be: both groups will show the same changes, because the changes are from all those other factors, not from the meter.  People’s gasoline bills go up because they drive more or pump prices go up, not because the pumps are changed.

But, you say, what about the information feedback from smart meters that will lower consumption?  Good point, but that information is not being delivered yet.  We’ll see those savings, but not immediately.

Stay tuned for more on getting smart meter benefits to consumers.