Lok Sabha Question No. 178 (STARRED), answered on 2025-12-11
Subject: Impact of Installation of Smart Prepaid Meters
Ministry: POWER
Asked by: Mrs Ruchi Vira

THE MINISTER OF POWER

(SHRI MANOHAR LAL)

(a) to (c):  A Statement is laid on the Table of the House. *******

## GOVERNMENT OF INDIA MINISTRY OF POWER

LOK SABHA STARRED QUESTION NO.178 ANSWERED ON 11.12.2025

IMPACT OF INSTALLATION OF SMART PREPAID METERS

†*178.  MRS RUCHI VIRA:

Will the Minister of POWER be pleased to state:

(a) whether the decision of the Government to install smart prepaid meters is affecting every household;

(b) if so, the details thereof along with the corrective steps proposed to be taken by the Government to solve the practical difficulties faced by consumers; and

(c) whether  the  Government  proposes  to  offer  postpaid  services  in  the  best interests of consumers and if so, the details thereof?

A N S W E R

STATEMENT REFERRED TO IN REPLY TO PARTS (a) TO (c) IN RESPECT OF LOK SABHA  STARRED  QUESTION  NO.  178  FOR  REPLY  ON  11.12.2025  REGARDING IMPACT OF INSTALLATION OF SMART PREPAID METERS

(a) to (c):

I. A total of 4.93 Cr smart meters have been installed across the country with 1.6 Cr  smart  meters  functioning  in  prepaid  mode.  Under  the  Revamped  Distribution Sector Scheme (RDSS), smart metering works for 19.79 cr consumers in prepaid mode, 2.11 lakh feeders and 52.53 lakh DTs, totaling 20.33 Cr smart meters, have been  sanctioned  based  on  the  proposal  submitted  by  the  States/distribution utilities and 3.58 Cr smart meters have been installed. The balance smart meters have been installed by States under their State plans/ other schemes.

II. Post paid service has traditionally been the default mode. However, considering the  benefits  offered  to  both  consumers and distribution  utilities, deployment  of smart prepaid meters has been undertaken under the Revamped Distribution Sector Scheme (RDSS). The installation of prepaid smart meters is being prioritised for Government establishments, commercial, industrial and high-load consumers and subsequently for other consumers based on demonstration of benefits.

The following benefits have been envisaged for consumers:

- i. Convenience of recharge with small recharges
- ii. Emergency credit in meter to avoid disconnection on zero balance
- iii. Tracking of consumption
- iv. Error free billing

Besides  the  consumers,  prepaid  smart  metering  helps  improve  the  billing  and collection  efficiency  of  the  Distribution  Utility  while  providing  benefits  like Automatic Energy accounting, improved Load forecasting, use of data analytics for demand  side  management  and  facilitate  an  enabling  ecosystem  for  energy transition.  The  benefits,  accruing  to  the  distribution  utilities,  eventually  gets passed on to the consumers in the form of better services and lower costs.

III. Initially, there were some challenges in the implementation of smart metering works  due to  inadequate  consumer  awareness regarding  the  benefits  of  smart meters. To improve consumer engagement and enhance confidence, the Ministry has  issued  various  advisories/Standard  operating  Procedures  (SoPs).  These include:

-  Incentivising consumers for prepaid meter installation through rebate in bill;
-  No  penalty  on  consumer  based  on  maximum  demand  recorded  by  smart meter;
-  Mechanism for recovery of past arrears in easy instalments;
-  Installation of check meters for enhancing confidence in accuracy of smart meters.
-  Smart  meter  mobile  apps  are  being  made  available  to  allow  for  regular tracking of consumption of electricity and for easy recharge;
-  Advance alerts for balance and emergency credit to consumers

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