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Utility Week 4th July

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26 | 4th - 10th July 2014 | utIlIty WEEK Operations & Assets Market view A smart way to regain trust Smart meters will give energy suppliers the opportunity to rebuild customer trust and transform the industry, says Nicolas Grant. I mproving trust in the energy market is at the front of all our minds at the moment, with energy suppliers last week welcom- ing an investigation of the energy market by the Competition Markets Authority. At British Gas, we strongly believe an in- depth and thorough review of the market will help us to improve trust, so we can continue to focus on providing affordable energy, good service, and innovative products that help customers reduce their energy consumption and save money on their energy bills. The day before the investigation was announced, we made an announcement of our own – the millionth smart meter installed in a customer's home. We strongly believe this technology is central to rebuild- ing trust, as it puts control back in the hands of our customers, giving them the tools and insight to make more informed decisions about how they're using energy at home. But the upgrade to smart meters is not simple; it's one of the most complex projects under way in the sector and is by far the larg- est infrastructure upgrade to our homes since the introduction of gas central heating in the 1970s. But British Gas is fully committed to it and is leading the way in installing meters and building the supply chain, and educat- ing industry and customers about the trans- formative role smart meters play in making energy easier to understand and control. Taking the lead has meant we've learned valuable lessons, especially about how peo- ple are actually using their smart meters and smart energy monitors. Recent research showed us that 79 per cent of those using their smart energy monitor are now more aware of their energy use – and 40 per cent have already implemented some sort of energy efficiency measure as a result. In short, the opportunity for smart meters to drive behavioural change is huge. However, there's still plenty to be done. I recently joined stakeholders from across the smart meter programme at a smart meter- ing update conference, and came away with many useful insights – not least about how important it is to maintain customer engage- ment. I feel the first step in this is raising awareness. We can't assume people know what smart meters are, so we need to focus on the benefits they bring. If customers know what smart meters are, and why they should want one, they're more likely to be at home for the installation and use the tools that come with smart meters to best effect. We're seeing that customer engagement reflected in customer satisfaction, with our smart meter customer net promoter scores con- sistently 40 per cent higher than customers without smart meters – attributable mainly to that shi of control and accurate bills. As an industry, we have some way to go to get all 50 million smart meters on the walls ahead of 2020. But it's not enough for smart meters to be installed and then ignored – the technology will only truly be smart if it's used in a smart way, which is why it is important that we engage customers in the technology when our installers upgrade their meters in the home. Customers also need to be given sim- ple ways to use the new information they get from smart meters. So our smart meter customers get a personalised report track- ing their energy use from wherever they are showing how much they're spending across lighting, heating and cooking; different days of the week; and providing personalised tips on how to be more energy efficient. And of course the technology to enable smart meters simply has to work. We've been focusing over the past four years on creating the right platform to support not only smart meters, but further innovation. We're now trialling pay-as-you-go smart meters, and customers are already benefiting from free electricity on our time-of-use trials. What it all boils down to is helping cus- tomers be in control. By being in control, they will have greater trust in their energy suppliers. By 2020, our energy habits, and as a result, the way energy companies are seen, could be very different; and it's up to us as the industry to get the country there as effi- ciently – and as smartly – as possible. Nicolas Grant, smart programme and infrastructure director, British Gas WatER Up to £900 million available in Thames contract Thames Water has gone out to tender with a contract worth between £600 million and £900 million for partners in an infrastructure alliance for its AMP6 investment pro- gramme for 2015-20. The work will cover the maintenance of its clean water network, including repair and construc- tion of new mains, and leak detection. Responses must be submitted by 16 July. REnEWablEs Sheffield biomass plant generates for the first time The Blackburn Meadows biomass plant in Sheffield generated electricity for the first time last week. The 30MW renewable energy plant is owned and run by Eon, and is the company's third biomass plant in the UK. The £120 mil- lion facility will also supply hot water to a new £20 million low-carbon district heating network, which is due to be completed in early 2015. WatER Abstraction may fall at River Kennet The Environment Agency is proposing to reduce the amount of water Thames Water abstracts from the River Kennet. The agency is consulting on a reduction in Thames's abstraction limit at Axford pumping station, from 13,100 cubic metres of water a day to 6,000, when the river levels are low. This is designed to protect the river, a designated Site of Special Scientific Interest. The EA also wants to revoke the utility's licence at Ogbourne pumping station. Both conditions will become effective on 1 April 2017, subject to consultation. Briefs Brexit

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