Smart Meter means an end to average payments?

Hi, Does the fitting of a smart meter mean the current averaging system will end? Once a smart meter is fitted will we get debited monthly for the actual amount of energy used resulting in high winter bills and low summer bills?

Hi @Mike_SH,

I doubt it - the ‘average payments’ system is there to prevent ‘bill shock’ over the winter (our winter bills are around £100 per month, summer ones are around £30) and don’t currently have any relationship between the actual billing amount and the direct debit amount: so I can’t see why smart meter meter readings would make any difference to this.

I also doubt it.
As energy companies pay for energy in advance, when you actually pay for the energy you use is not quite as important as it might at first seem.

Can anyone from Bulb confirm the monthly debits will continue be an average of 12 months use when on a Smart Meter?
That will probably help Bulb’s cash-flow as well and will get round the possibility of customers getting unexpected large debits following a faulty meter transmission.

Well, their terms and conditions at Terms & Conditions | Bulb

3.17. Your automatic monthly payment amount will be based on the cost of the energy we think you'll use during a year with Bulb split into 12 equal monthly payments. We will inform you of your payment amounts and payment dates when we set up your account with us.
Can anyone from Bulb confirm the monthly debits will continue be an average of 12 months use when on a Smart Meter?

No confirmation from Bulb needed. There’s no way this is going to happen. The 1/12-of-annual direct debit system is standard now. No change in metering system (which is unrelated to account billing) is going to make any difference from that.

Also, plenty of people (including @Hooloovoo and myself) have smart meters - billing is no different.

Also, plenty of people (including @Hooloovoo and myself) have smart meters - billing is no different.

I was just having a giggle at this. Imagine if it was altered, and your on a smart tarrif with readings taken every half hour, would you be expected to pay as per your actual usage every half hour…

No Phillip , I’d still expect monthly bills but was just a little thrown by the second comment in the Bulb roll-out email. Metered, real time billing by the minute is obviously just for mobile phones… probably.

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That’s not really any different to how it works now. Are you confusing “the bill” with “the monthly payment”?

Right now, you submit meter readings each month and the accurate bill for the exact amount used that month is deducted from your Bulb account. The same happens when you have a smart meter, regardless of tariff type. That doesn’t affect the monthly payment which is calculated at 1/12 of your expected annual usage.

You’re always being billed for your exact usage. The amount deducted is typically higher in winter, lower in summer. But this is “buffered” from your personal bank account by having another account with the supplier. Technically, yes, the supplier could make even half-hourly deductions from your supplier-account based on real time usage if they wanted. But you wouldn’t see that in your private bank account. You’d still make one top-up payment in every month.

Does that help clear things up?