London, U.K. --- (METERING.COM) --- July 22, 2011 - Britain’s balancing and settlement company ELEXON has launched a consultation to examine the potential benefits of using more accurate, up-to-date data available from smart meters in homes and smaller businesses in the U.K.

In particular EXELON is seeking views on the proposal of mandating half hourly settlement for these customers and discontinuing non half hourly settlement at some point in the future after April 2014 when the mandated rollout of smart meters begins.

The aim is to inform the cost-benefit analysis work and to help identify the benefits and barriers of such settlement.

Homes and smaller businesses in the U.K. account for almost 29.3 million metering systems, and smart meters are expected to be installed by the end of 2019.

According to ELEXON benefits of mandated half hourly settlement should be realized in the following areas:

  • Accuracy
  • Demand forecasting
  • Product innovation
  • Energy management products
  • Customer invoicing and more accurate billing
  • Reduced energy bills
  • Reduced agency costs
  • Settlement cashflows
  • Reduced distribution use of system (DUoS) charges
  • Better system planning
  • Demand side response.

The consultation is also intended to build on the recently completed cost-benefit analysis of mandating half hourly settlement for larger commercial customers. This found that there would be significant benefits – around £85 million over the next five years – but that the barriers of half hourly DUoS charges need to be addressed.

The consultation closes on September 12, 2011.