Smart Meters Enable a Cheaper, Cleaner, More Flexible Grid – The Energy Mix

Smart Meters Enable a Cheaper, Cleaner, More Flexible Grid – The Energy Mix

 

Report on Smart Meter Deployment in Canada and its Alignment with Sustainable Development Goals

Executive Summary

A report by the Canadian Climate Institute highlights that while a majority of Canadian homes are equipped with smart meters, regional disparities in deployment are hindering the full realization of benefits crucial for a net-zero electricity grid. The effective use of smart meters is fundamental to advancing several United Nations Sustainable Development Goals (SDGs), particularly those related to energy, infrastructure, and climate action. This technology enables demand flexibility, which is essential for managing a cleaner, more efficient, and smarter electricity system as Canada progresses towards greater electrification.

The Role of Smart Meters in Achieving Sustainable Development Goals

Smart meters are a foundational technology for modernizing Canada’s energy infrastructure, directly contributing to the achievement of key SDGs.

SDG 7: Affordable and Clean Energy

Smart meters promote access to affordable, reliable, and modern energy services by:

  • Enabling time-of-use pricing, which allows consumers to lower their energy bills by shifting consumption to off-peak hours.
  • Facilitating the integration of distributed renewable energy sources, such as residential solar panels, through net metering programs.
  • Improving grid efficiency, which reduces overall system costs for utilities, with savings passed on to consumers.

SDG 13: Climate Action

The technology is a critical tool for climate change mitigation. By enabling utilities to manage peak demand, smart meters reduce the reliance on carbon-intensive gas peaker plants, thereby lowering greenhouse gas emissions. This “peak shaving” capability is vital for building a resilient, low-carbon electricity grid capable of meeting net-zero targets.

SDG 9 & SDG 11: Industry, Innovation, and Infrastructure & Sustainable Cities and Communities

Smart meters represent a significant upgrade to national infrastructure, making it more resilient, intelligent, and sustainable. They are a cornerstone of the “smarter” grid required for sustainable cities, supporting the widespread adoption of electric vehicles (EVs) and electrified heating systems by providing the necessary tools for managing increased electricity demand efficiently.

SDG 12: Responsible Consumption and Production

By providing real-time data on electricity usage, smart meters empower consumers to make informed decisions, fostering more responsible consumption patterns. This visibility into energy use encourages conservation and efficiency at the household level.

Technological Framework and Benefits

Defining Smart Meter Technology

Smart meters are advanced digital devices that measure and record electricity consumption in near real-time, replacing traditional analogue meters that require manual, infrequent readings. Their key feature is two-way communication between the utility and the consumer, which unlocks numerous benefits.

Primary Benefits

  1. Operational Efficiency for Utilities: Smart meters automate data collection, reducing the administrative and billing costs associated with manual meter reading.
  2. Consumer Empowerment: Customers receive accurate, timely bills and detailed insights into their energy consumption, enabling better energy management.
  3. Demand Flexibility: Utilities can implement dynamic pricing schemes, such as time-of-use rates, to incentivize a shift in electricity consumption away from peak periods. This balances the load on the grid and can defer costly capital investments in new generation capacity.
  4. Grid Modernization: The technology supports a more diverse and flexible grid by enabling programs like net metering, where customers can sell self-generated electricity back to the utility.

Status of Smart Meter Deployment Across Canada

National Progress

Canada has been an early adopter of smart meter technology, with an estimated 82% of all meters classified as “smart” by the end of 2018. However, deployment remains uneven across the country.

Provincial and Territorial Rollout Status

  • Completed Deployments: British Columbia, Quebec, Ontario, and Nova Scotia have completed their rollouts. These provinces are now leveraging the technology for demand response programs.
    • British Columbia: Completed in 2015, the program delivered an estimated $235 million in benefits in its first five years.
    • Quebec: In the 2024-2025 season, flexible rate schemes enabled a demand shift of 530 MW per peak event.
    • Nova Scotia: Recently completed its deployment to over 500,000 customers, with anticipated savings of $203 million over 20 years.
  • Ongoing Deployments: Other jurisdictions are in the process of upgrading their infrastructure.
    • New Brunswick: Reached 61% of customers as of 2023.
    • Saskatchewan: SaskPower had completed 24% of its installations as of December 2024.
    • Alberta: Fortis plans to install 760,000 meters by 2029 in its service area.
    • Prince Edward Island: Regulators approved a rollout in 2023.
    • Nunavut: A pilot project in Iqaluit has installed 4,000 meters, marking the first deployment North of 60°.

Future Outlook: Electrification and Grid Flexibility

The value of smart meters is set to increase significantly as Canada pursues greater electrification of transportation and heating. As electricity’s share of residential energy use grows, managing demand will become paramount to maintaining grid stability and affordability.

Innovative rate designs, enabled by smart meters, are already being offered to support this transition. Examples include Ontario’s Ultra-Low Overnight rate and BC Hydro’s optional time-of-use rates for EV owners. These programs provide customers with flexible options tailored to new electric technologies, reinforcing the principles of SDG 7 and SDG 12.

The continued success of smart meters in contributing to Canada’s climate and energy goals depends on regulatory frameworks that permit utilities to design and implement effective, customer-centric demand flexibility programs.

1. Which SDGs are addressed or connected to the issues highlighted in the article?

SDG 7: Affordable and Clean Energy

  • The article’s core subject is the deployment and use of smart meters to manage electricity consumption, promote energy conservation, and support a “net-zero electricity grid.” This directly relates to providing affordable, reliable, sustainable, and modern energy for all.

SDG 9: Industry, Innovation and Infrastructure

  • The discussion revolves around upgrading national electricity infrastructure by replacing traditional analogue meters with smart meters. This represents a technological innovation (“a key technology”) to create a more flexible, resilient, and sustainable energy grid.

SDG 11: Sustainable Cities and Communities

  • The article focuses on household electricity consumption and how smart meters can empower consumers in urban and rural settings to manage their energy use. It mentions specific programs in provinces and cities (e.g., Iqaluit) aimed at making energy systems more efficient and sustainable for communities.

SDG 13: Climate Action

  • The article explicitly links smart grid technology to climate goals, stating that a “future net-zero electricity grid” is the objective. It notes that demand flexibility can “mean lower emissions if utilities can avoid using emissions-intensive gas peaker plants,” directly connecting the technology to climate change mitigation efforts.

2. What specific targets under those SDGs can be identified based on the article’s content?

SDG 7: Affordable and Clean Energy

  • Target 7.2: By 2030, increase substantially the share of renewable energy in the global energy mix.
    • The article supports this target by mentioning that smart meters “enable customers who have solar panels to sell electricity they generate at home back to the grid (known as net metering), making it easier for the grid to bring on more diverse sources of generation.”
  • Target 7.3: By 2030, double the global rate of improvement in energy efficiency.
    • The article highlights that smart meters give customers “greater visibility into their energy use, enabling better conservation practices.” It also describes how time-of-use pricing incentivizes shifting consumption, which optimizes grid load and improves overall system efficiency.

SDG 9: Industry, Innovation and Infrastructure

  • Target 9.1: Develop quality, reliable, sustainable and resilient infrastructure… to support economic development and human well-being.
    • The article describes the smart meter rollout as a way of “making Canada’s electricity grid more flexible” and smarter, which contributes to its reliability and sustainability.
  • Target 9.4: By 2030, upgrade infrastructure and retrofit industries to make them sustainable, with increased resource-use efficiency and greater adoption of clean and environmentally sound technologies.
    • The entire article is an example of this target in action, detailing the nationwide effort to upgrade electricity metering infrastructure with “a key technology” (smart meters) to improve energy efficiency and support a “cleaner” grid.

SDG 11: Sustainable Cities and Communities

  • Target 11.b: By 2020, substantially increase the number of cities and human settlements adopting and implementing integrated policies and plans towards inclusion, resource efficiency, mitigation and adaptation to climate change, and disaster risk resilience.
    • The article provides examples of jurisdictions implementing such plans, stating, “Several jurisdictions have already completed their smart meter rollouts, including British Columbia, Quebec, Ontario, and most recently, Nova Scotia.” It also mentions the specific deployment of “4,000 meters in Iqaluit—the first smart meter deployment North of 60°.”

SDG 13: Climate Action

  • Target 13.2: Integrate climate change measures into national policies, strategies and planning.
    • The article frames the smart meter initiative within Canada’s broader climate strategy, as reported by “The Canadian Climate Institute.” The goal of a “net-zero electricity grid” and building “bigger, cleaner, smarter electricity systems” demonstrates the integration of climate measures into national energy policy.

3. Are there any indicators mentioned or implied in the article that can be used to measure progress towards the identified targets?

SDG 7: Affordable and Clean Energy

  • Implied Indicator for Target 7.2: The capacity of customer-generated renewable energy fed into the grid. The article implies this by stating smart meters facilitate “net metering” for customers with solar panels.
  • Indicator for Target 7.3: Reduction in peak electricity demand. The article provides a specific example: “more than 400,000 households participated in flexible rate schemes, enough to shift 530 MW of demand off each instance of peak demand” in Quebec.

SDG 9: Industry, Innovation and Infrastructure

  • Indicator for Target 9.1/9.4: Proportion of customers covered by modern infrastructure. The article provides several data points for this, such as “82% of meters in Canada were classified as smart meters” by 2018, New Brunswick reaching “61% of customers,” and SaskPower completing “24% of its installations.”

SDG 11: Sustainable Cities and Communities

  • Indicator for Target 11.b: Number of households participating in resource efficiency programs. The article quantifies this for Quebec: “more than 400,000 households participated in flexible rate schemes.”

SDG 13: Climate Action

  • Implied Indicator for Target 13.2: Reduction in greenhouse gas emissions from the power sector. This is implied by the statement that demand shifting can help utilities “avoid using emissions-intensive gas peaker plants.”

4. Table of SDGs, Targets, and Indicators

SDGs Targets Indicators Identified in the Article
SDG 7: Affordable and Clean Energy 7.2: Increase share of renewable energy.

7.3: Improve energy efficiency.

Facilitation of “net metering” for solar panels.

Reduction in peak demand (e.g., “530 MW of demand” shifted in Quebec).

SDG 9: Industry, Innovation and Infrastructure 9.1: Develop quality, reliable, sustainable and resilient infrastructure.

9.4: Upgrade infrastructure with clean and sustainable technologies.

Percentage of customers with smart meter installations (e.g., “82% of meters in Canada,” “New Brunswick… 61% of customers,” “SaskPower… 24%”).
SDG 11: Sustainable Cities and Communities 11.b: Increase cities adopting integrated policies for resource efficiency and climate mitigation. Number of households participating in demand response programs (e.g., “more than 400,000 households” in Quebec).
Number of meters deployed in specific communities (e.g., “4,000 meters in Iqaluit”).
SDG 13: Climate Action 13.2: Integrate climate change measures into national policies and planning. Avoidance of “emissions-intensive gas peaker plants” (implied reduction in GHG emissions).
Implementation of national/provincial strategies towards a “net-zero electricity grid.”

Source: theenergymix.com