NEWS

A smart meter can only deliver its benefits when it can communicate reliably. If its communications route goes down, the meter may still record energy use, but the wider system loses much of its value. 

A new consultation from DESNZ attempts to address this challenge. It proposes changes to the Smart Energy Code’s Virtual WAN Transition Document, allowing 4G SM WAN communications to be temporarily disabled for some Virtual WAN Communications Hubs using soft-launch firmware. Those hubs would then use the customer’s internet connection instead.

Putting the technical jargon to one side, there’s a simple problem: the rollout is still dealing with unresolved communications issues, while suppliers remain under pressure to install more smart meters. In this article, we’ll tell you what’s changed and why it matters.

What is DESNZ changing?

Some smart meters need another way to connect when the standard wide-area network is unavailable or unreliable. That is where Virtual WAN Communications Hubs come in. They can connect to the DCC through the consumer’s internet connection and a Virtual WAN Device. Where the 4G signal is strong enough, they can use the 4G smart metering wide area network instead.

DESNZ says both routes have worked well in the right conditions. The problem sits in the middle. Some areas have a 4G signal, but it is not strong enough or stable enough to support effective communication with the DCC. In those cases, the hub may still choose 4G instead of the internet route.

This creates a practical problem for energy suppliers:

• The hub may appear connected but fail to communicate properly
• Installations may be harder to complete
• Suppliers may lose confidence in Virtual WAN where 4G quality is poor

DESNZ’s proposed workaround is to temporarily disable 4G communications for certain soft-launch hubs. Those devices would then use the consumer’s internet connection instead. The arrangement is opt-in, so suppliers can choose whether to participate.

The bigger problem

DESNZ expects later hubs to use WANSA2, the next version of the WAN Selection Arrangements. This should deal with the 4G selection issue and apply to 4G Release 2 Virtual WAN Communications Hubs. However, this means the current arrangements are still transitional. For a period of time, two versions of the selection rules may operate at once. Soft-launch hubs may use WANSA1, while newer hubs move to WANSA2.

When DESNZ confirmed that it would implement the temporary disablement arrangements, industry responses were mostly positive, but not without concern. Some suppliers wanted more flexibility rather than a broad-brush switch-off approach. Others raised questions about customers switching suppliers, broadband availability, and reduced resilience when 4G is disabled as a fallback option.

These are not minor technical details. They affect how installations work in real homes and businesses, how suppliers handle problems and how customers experience the system once the engineer has left. If those questions still need answering, pushing harder on smart meter installations now simply moves more operational risk into the future.

Keeping installation numbers high

DESNZ says the temporary disablement arrangements should support increased numbers of installations during the Virtual WAN soft launch. It also wants to use those installations to identify issues around device replacement, fault resolution and other operational areas.

In a controlled soft launch, that logic has a place. Testing a limited number of hubs can reveal how the system performs outside the lab. But as a wider rollout principle, it creates a problem. Suppliers already need to install more smart meters, handle faults and keep the existing network working. Adding more devices before the communications model is settled makes that job harder.

DESNZ says no more than 10,000 hubs could be affected, with the actual number likely to be around 5,000 to 8,000 because not all suppliers will opt in. That limits the scale of this specific issue, but the principle still matters. A reliable rollout should not create avoidable work later.

If communication fails, suppliers may face:

• Further engineer visits after installation
• More fault handling and customer contact
• Lower confidence in smart metering

Smart meter value depends on stable communications, not installation volume alone. The government should not keep forcing growth while parts of the solution remain temporary.

Looking ahead

DESNZ describes the 4G disablement arrangements as temporary, with re-enablement expected on 31 May 2027, unless the department later moves that date. 

However, that does not change the bigger issue. It makes no sense for the government to keep forcing energy suppliers to install an increasing number of smart meters when the long-term communications hub solution has not been defined. That kicks the problem into the long grass. The priority now should be reliable communications, not more devices that may need fixing later.