20 July,2026 07:33 AM IST | Mumbai | Rajendra B. Aklekar
Representation pic/istock
Across Mumbai and Maharashtra, electricity distribution companies are replacing conventional digital electricity meters with internet-connected smart meters as part of a nationwide modernisation programme.
The rollout, being carried out by utilities including BEST, Adani Electricity, Tata Power, MSEDCL and Torrent Power, has triggered growing consumer complaints, with residents alleging forced installations, lack of prior notice and higher electricity bills.
Power companies, however, maintain that smart meters are aimed at improving efficiency, reducing losses and giving consumers better control over their electricity consumption. mid-day examines what smart meters are, why they are being introduced and why they have become the centre of controversy.
Unlike conventional electronic meters that record monthly electricity consumption and require manual readings, smart meters automatically transmit electricity usage data to the power company through a communication network. Consumers can also monitor their electricity consumption in real time through a mobile application.
>> Automatic meter readings
>> Real-time electricity usage
>> Remote fault detection
>> Tamper alerts
>> Power outage notifications
>> Optional prepaid facility
The rollout is part of the Revamped Distribution Sector Scheme (RDSS) launched by the Union Ministry of Power.
The scheme aims to modernise India's electricity distribution network, improve operational efficiency and reduce transmission and commercial losses.
Scheme value: Rs 3.03 lakh crore
Objective
>> Reduce Aggregate Technical and Commercial (AT&C) losses to 12-15%
>> Bridge the gap between electricity supply costs and revenue
>> Modernise power distribution infrastructure
No.
According to power officials, consumers are not charged for smart meters. The devices remain the property of the electricity distribution companies, similar to existing electricity meters. Officials say consumers are only expected to cooperate when technicians arrive to replace existing meters.
Electricity will no longer cost the same throughout the day.
Consumers using power during peak evening hours will pay more, while those using electricity during off-peak and daytime solar hours will pay less.
According to officials, tariffs may vary by 10-20 per cent, depending on the time of use.
>> Run washing machines during off-peak hours
>> Charge electric vehicles during the day or late at night
>> Shift other high-power appliances away from evening peak hours
Smart meters can operate in prepaid mode, but consumers will not be shifted automatically.
The Ministry of Power has clarified that prepaid billing is optional, and MSEDCL has informed the Bombay High Court that it will be introduced only for consumers who choose it voluntarily.
>> Alleged increase in electricity bills after installation
>> Replacement of meters without prior notice
>> Lack of consumer awareness
>> Installation without consent
>> Police assistance during some installations
In several parts of the country, smart meter installations have sparked protests.
Consumer groups and residents have raised several concerns over the smart meter rollout. Among them are:
>> Bills have allegedly gone up after meter replacement
>> Meters are being changed without prior notice
>> Residents are not being told how Time-of-Day tariffs work
>> Some installations are allegedly being carried out without the consumer's consent
>> In some cases, police have reportedly accompanied installation teams
Power companies, however, maintain that smart meters are part of a nationwide power sector modernisation programme and say the meters do not increase electricity consumption.
Before
>> Manual meter readings
>> Monthly usage records
>> No real-time consumption data
After
>> Automatic readings
>> Live consumption monitoring
>> Optional prepaid facility
>> Time-of-Day billing capability
Kamalakar Shenoy, consumer activist
âSmart meters are illegal, lack proper government certification, cause inflated bills, and pose radiation risks. No public awareness programmes have been conducted, and consumers have been kept uninformed about the legal implications, risks and their rights under the Electricity Act, 2003."
Shenoy said his group has filed court cases against utility companies and regulators, alleging fraud and consumer rights violations. It has also prepared template letters for consumers seeking to oppose meter replacement and demand conventional meters.
He questioned the need for the rollout, claiming Maharashtra had already met the RDSS target for reducing distribution losses. He also alleged that consumers are not being informed about Time-of-Day (ToD) tariffs and argued that smart meters should be tested, certified and sealed by the State Legal Metrology Department. He demanded that smart meters installed without due process be removed and conventional meters reinstated.
2.4 crore
Smart meters planned across Maharashtra
1 crore+
Meters already installed, according to submissions before the Bombay High Court
1.5 crore+
Meters installed statewide, according to recent official updates
Area Distributor
South & Central Mumbai BEST
Mumbai suburbs Adani Electricity, Tata Power
Eastern suburbs beyond Vikhroli MSEDCL
Bhiwandi, Mumbra, Shil, Kalwa Torrent Power
Unlike conventional electronic meters that record monthly electricity consumption and require manual readings, smart meters automatically transmit electricity usage data to the power company through a communication network. Consumers can also monitor their electricity consumption in real time through a mobile application.
>> Automatic meter readings
>> Real-time electricity usage
>> Remote fault detection
>> Tamper alerts
>> Power outage notifications
>> Optional prepaid facility