In 2024, the global smart metering market witnessed a positive growth rate, reaching a value of $26.65 billion. This is expected to continue in 2025 as well, with the market expected to reach $29.29 billion in valuation, growing at a CAGR of 9.9%. Several factors have contributed to the increased adoption of smart meters within the energy infrastructure over the last few years. Some of them are- the need for greater transparency into the handling of metering data, greater focus on renewable energy integration and improving utility-consumer communication.
Smart meters transmit data in near real-time, enabling utilities to quickly respond to evolving energy demands, and optimize operations across multiple touchpoints. However, in this context, one thing that remains critical for utilities- how quickly they can adapt to new trends and practices with the rising implementation of smart meters.
Smart Metering Trends Utilities Need to Look Out For in 2025
Enhancing sustainability via microgrid management
The implementation of smart meters within the AMI (Advanced Metering Infrastructure) plays a critical role in promoting sustainability for the energy sector. One significant trend within this context is how they can support renewable energy integration via microgrid management. With smart meters transmitting data regularly, utility providers can facilitate the establishment and development of microgrids which can either operate autonomously or in conjunction with the main grid.
Let’s consider a scenario where a community or a region is equipped with solar panels that are able to generate excess electricity during peak sunlight hours. By integrating with smart metering solutions, utilities can now send the surplus energy generated from these panels back to the grid. When the solar generation is at peak during a hot summer noon, smart metering solutions can automatically redirect the surplus energy to homes that may be consuming more than their solar output. This approach reduces the reliance on non-renewable energy sources like fuels, with the community or region being able to meet its energy demands in a more sustainable manner.
Reducing carbon footprint via real-time feedback mechanisms
By adopting smart meters, utilities are able to facilitate instant energy feedback, which in turn encourages the consumer to develop responsible consumption habits. During peak hours, it becomes increasingly important to monitor consumption as it helps energy companies maintain grid stability. Another significant output of energy feedback is how utilities are able to reduce overall carbon footprint, by ensuring that customers do not regularly consume energy beyond defined thresholds. By adopting data management solutions like Grid, utilities can enable the monitoring of consumption data via mobile apps, with the customer being notified whenever their energy use is exceeding threshold limit during high-demand periods. This high-level transparency into energy consumption allows end consumers to turn off high-intensive appliances or shift heavy usage tasks like washing machines to off-peak hours.
Efficient complaint resolution
Smart meters generate vast amounts of incoming data at regular intervals, which can be used by utilities to streamline the complaint resolution process. Implementing a centralized complaint management system that integrates data from multiple meters can help identify patterns in customer discrepancies. Issues like consumers receiving unexpectedly high electricity bills can be quickly verified by assessing the smart metering data. Energy companies can verify the bill against actual energy consumption and determine if there were instances of miscalculation or malfunction.
Grid further enhances this process by providing utilities with robust dashboards and analytics capabilities, enabling them to track resolution times and categorize complaints by type. Recurring issues are identified and addressed by a utility in a more proactive manner. By setting up timely responses- such as complaint acknowledgement within a 24-hour period or resolving them within 10 days, energy providers can significantly reduce customer complaints and enhance overall experience.
Leveraging big data in for analysis
Processing large amounts of incoming smart metering data effectively can help utilities derive insights to identify bottlenecks and improve business processes. After implementing smart meters within the AMI, utilities often grapple with challenges of data overload, storing, processing and analyzing. In order to address these issues efficiently, utilities implement advanced analytics platforms that leverage ML algorithms to filter and analyze the data in a more coherent manner. A utility that has deployed an analytics software is now able to identify trends/patterns in consumption data across regions and demographics. By effectively analyzing this information, utilities can create targeted demand response programs or promotional rates for energy-efficient appliances and specific consumer segments. In this aspect, platforms like Grid provide utilities with advanced widgets and custom filters, which allows them to enhance forecasting capabilities and optimize resource allocation as and when required.
Adoption of 5G and LPWAN technologies
The increased adoption of both 5G and LPWAN (Low Power Wide Area Network) is changing the way utilities manage operations and communicate with their customers. Each technological capability services a distinct purpose, catering to unique communication needs within the metering industry.
5G offers ultra-high bandwidth and low latency that enables real-time data transmission- critical for applications that require immediate responsiveness. Within a smart grid infrastructure, 5G can facilitate near real-time communication between utility control centers and the smart meters. With this capability, energy consumption patterns can be monitored almost instantaneously, and immediate adjustments can be made to energy distribution based on fluctuating demand.
In contrast, LPWAN is designed for long-range, low-power communication, which makes them ideal for rural areas where connectivity may be limited. For instance, a utility that is deploying smart meters in remote agricultural areas can leverage LPWAN capabilities to transmit small amounts of data over long distances, eliminating the need to rely on constant power sources. Additionally, LPWAN’s ability to cover large areas allow utilities to connect devices in remote locations without extensive infrastructural investment.
Cybersecurity threats and mitigation strategies
As the reliance on smart meters and associated data-driven applications grows, so do the requirements for cybersecurity capabilities that protect the grid infrastructure and customer data. The real-time data sharing features of smart meters make them an attractive prospect for cybercriminals. To address these issues properly, utilities must adopt comprehensive security measures, encompassing numerous aspects of smart metering deployment.
If a cyber attack ends up compromising the data of even a single meter, it could result in widespread issues like data manipulation or unauthorized access to customer information. Going ahead, utilities will employ strong encryption protocols to secure the data transmitted between smart meters and the central management system. Using a PKI (Public Key Infrastructure) helps ensure that all forms of communication remain encrypted, which prevents instances of unauthorized interception of sensitive data. What this means is that even if cybercriminals somehow manage to intercept data packets, they would not be able to decipher the information inside it without proper decryption keys.
The implementation of IDS (Intrusion Detection Systems) is another security trend that enables utilities to keep track of suspicious activities. If a smart meter starts sending unusually high volumes of data or makes an attempt to communicate with unauthorized endpoints, the IDS can detect and trigger alerts for immediate investigation into the matter. The utilities are able to proactively mitigate sensitive issues before they escalate, maintaining the integrity of the smart grid infrastructure.
Before we wrap up…
By embracing these trends and innovations, utilities can not only enhance service delivery but also strengthen their relationship with consumers. Utilities need to critically assess their metering infrastructure at continuous intervals and stay informed about emerging trends. Businesses that prioritize smart metering strategies today will be better positioned to tackle the complexities of the energy sector and stay ahead of consumer expectations.
