B.C. Hydro says even a small number of smart meter holdouts will cost it millions of dollars in extra work.
Hydro expects to spend more than $7 million in capital and operating costs in the first year of a proposed opt-out program for customers who refuse to accept a wireless smart meter, company documents show.
The calculations assume only 10,000 people choose to pay the monthly opt-out fees, out of more than 60,000 current holdouts.
The new estimates were contained in the Crown power company’s application to the B.C. Utilities Commission last week. The commission will decide whether to approve monthly fees of between $20 and $35 for customers who want to keep their analog meters or turn off the wireless transmitter on new smart meter devices.
Hydro wants an expedited decision in order to have the fees in place by Dec. 2.
That’s possible, Hydro argues, because Energy Minister Bill Bennett passed a cabinet order last month prohibiting the commission from examining wider concerns about the smart meter program. Under the government order, the commission can choose to lower or raise the fees, but can’t eliminate them entirely.
The B.C. government announced the opt-out program in July after a backlash by some Hydro customers over the perceived negative health effects caused by wireless transmissions.
The smart meters transmit home power usage data directly to B.C. Hydro, eliminating the need for meter readers. The cost of continuing manual meter readings every two months is estimated at $1.7 million, Hydro said in its submission.
There are also additional costs for altering Hydro’s smart meter grid, changing computer software and installing portable “check meters” to gauge electricity theft, according to the utility.
Those costs could change depending on how many remain as holdouts willing to pay the fees, Hydro said.
Costs increase as more customers refuse the meters, Hydro charts show. At 20,000 holdouts, capital and operating costs rise to more than $12 million, Hydro estimated.
The government began installations in 2011 for its $1-billion smart meter program, and has so far installed almost 1.9 million devices across the province.
Critics of the smart meter program appeared unconvinced by Hydro’s arguments to the utilities commission.
“The entire purpose of this so-called smart metering infrastructure was to save B.C. Hydro money,” said Jim Smith, president of StopSmartMeters.ca.
“Therefore the holdouts … are not costing B.C. Hydro money. They are preventing [Hydro] from achieving 100 per cent of the savings they had anticipated. And yet [Hydro] turns this around and makes it sound like somehow it’s costing people more.”
Smith said he believes thousands of holdouts will simply refuse to pay the fees, even if the commission approves them.
Hydro’s submission also proposes a $65 fee for customers who try to block or obstruct installers from exchanging a meter, if required.
