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Smart meter and dynamic electricity tariff

In short: A smart meter (intelligent metering system) measures electricity consumption digitally and sends it via a communication module. It enables tariffs whose price depends on the time of day.

In more detail: A “modern measuring device” is a digital meter without remote transmission. Only with an additional communication device (smart-meter gateway) does it become an intelligent metering system.

In Depth

  • Installation duty: Installation is staggered by law: mandatory mainly for larger consumption (from about 6000 kWh a year) and for larger generation plants. Those who consume less can usually request one. Costs are capped by law.
  • Dynamic tariff: The unit price follows the exchange electricity price, usually hourly or quarter-hourly. Suppliers must offer such tariffs. Power is often cheap at night or with plenty of wind and sun.
  • Who benefits? Households that can shift consumption: heat pump, EV charging, washing machine, battery. Those with little flexibility risk extra costs during price peaks.
  • Own measurement: Consumption can be viewed in an app or on the display. That makes standby hogs visible.
  • Data protection: The data is especially sensitive because it reveals habits. Strict security requirements (BSI) and data minimisation in transmission apply.
  • Grid fees: Controllable devices (heat pump, wallbox) can be throttled temporarily by the grid operator in exchange for a discount.

See also: switching electricity supplier, standing charge and unit price