A guide to smart meters for business

Commercial smart meters track your gas and electricity usage automatically and send this data to your supplier. This means you’ll get accurate, real-time billing without the hassle of estimated readings.  

These smart devices are particularly useful for businesses because they offer detailed insights into energy consumption patterns, helping you find ways to cut costs. 

A key benefit of using a business energy monitor like a smart meter is that it can highlight peak usage times. When you know more about how and when you use energy, you can consider different types of energy tariffs, like time-of-use tariffs, which charge different rates based on when you use energy. 

What are the benefits of smart meters for business? 

Switching to smart meters for small businesses or larger setups can offer several advantages: 

• Accurate billing: No more estimated energy bills; you’ll only pay for the energy you use 
• Improved energy efficiency: Track your usage to identify and reduce energy waste to be more energy efficient 
• Lower costs: Businesses can switch to more suitable tariffs or reduce peak-time consumption 
• Enhanced troubleshooting: Problems can be detected earlier thanks to the constant data flow, potentially avoiding disruptions 
• Free installation: Smart meter installation is typically free, making it easier to get started 

For businesses with high energy consumption, upgrading to business gas and electricity meters with smart features can lead to similar cost-saving benefits as electricity meters. 

For landlords renting out commercial spaces, suppliers may offer specific tariffs that incorporate smart meters into their services, simplifying billing for both landlords and tenants. 

How much do smart meters cost? 

Installation of a smart meter for business is generally free.  

But the Department for Energy Security and Net Zero estimates that the overall cost of the nationwide smart meter rollout will be around £13.5 billion from 2013 to 2034. This should provide £19.5 billion of benefits over the same   

These costs are likely passed on to consumers via energy bills. So, you might see a slight increase in your bills regardless of whether you have a smart meter fitted at your premises. 

How much can smart meters save? 

Research from the Behavioural Insights Team (BIT) has estimated that smart meters could cut business electricity consumption by an average of 3.4% and lower gas usage by about 3.0%. 

If you run a micro business that uses 10,000 kWh of electricity a year, this could cut your usage by about 340 kWh. If your unit rate is 25.9p per kWh (the average rate for 2024), this would save you about £88 a year. 

While smart meter prices for installation are covered, it's essential to consider potential changes to your energy tariffs once the meter is in place. 

How to switch to a business smart meter 

Switching to a business smart meter is a straightforward process. Follow these steps: 

• Review your current contract: Check the end date and your switching window. Most contracts allow switching between 30 days and four months before they expire. 
• Gather your information: Have your MPAN (electricity) and MPRN (gas) numbers ready, along with recent bills, to provide accurate data during comparisons. 
• Request a smart meter: Contact your business energy supplier to arrange for the installation. They will set up an appointment for an engineer to visit your premises. 
• Prepare for installation: Clear the area around your current meter to facilitate a smooth installation process. 

The installation usually takes about an hour per meter. Note that business gas meters and electricity meters will require separate setups. 

Smart meters for small businesses 

For small businesses, smart meters can be an excellent way to monitor energy use without taking up too much of your time. These businesses often benefit the most from streamlined billing and tailored energy-saving advice. 

Small business owners can also explore combined business energy monitors, which integrate data from both gas and electricity smart meters for a complete overview. 

What happens to your smart meter if your energy supplier goes bust?

If the new supplier doesn’t support the smart meter, it will function as a regular meter, and you’ll need to take manual readings. Find out more in our guide that explains what to do if your energy supplier goes bust.

How to find the best smart meter tariff 

Different suppliers offer various smart meter prices and tariffs. To find the best deal for your business simply compare what’s on offer from a range of suppliers and choose the one that best suits your needs. 

Why invest in business gas meters and electricity smart meters? 

Combining business gas meters with electricity smart meters gives a complete picture of energy usage, enabling businesses to: 

• Track and manage total energy costs effectively 
• Identify inefficiencies across gas and electricity consumption 
• Simplify billing by consolidating into one streamlined process 

For landlords, this can be particularly useful when managing multiple locations or units. Some landlord electricity suppliers offer bundled packages that cater to these needs, ensuring tenants and landlords have clear and accurate billing. 

Smart meters are becoming an essential tool for businesses of all sizes. Whether you're a small business owner or managing a larger commercial operation, upgrading to smart meters for business can help you optimize energy usage, save money, and reduce your carbon footprint. 

To find the best deal and get started with a business smart meter, contact the experts at Bionic on 0800 140 4667 or leave your postcode in the box on the right. Their specialists can help you compare options and choose the ideal tariff for your needs.