New 'smart meters' draw mixed reactionsOct 25 - Dan Gearino The Columbus Dispatch, OhioUtilities are investing in high-tech meters that not only track energy use but also provide other kinds of information. At the same time, their customers are divided in their willingness to accept the new technology, according to a new report from J.D. Power and Associates. The study has relevance for central Ohio, where American Electric Power has installed "smart meters" in 110,000 households, part of a test that might precede a wider rollout. The meters give customers new tools to track their electricity usage, and they allow two-way communication with the utility. J.D. Power, a California-based research firm, says that about one in 10 customers has no interest in the new meters, while about the same number have an extremely high interest. The "indifferent" segment, as the study calls it, will object to covering the costs for the new meters and will be unwilling to take action to gain benefits from the meters. At the same time, the "innovator" segment will want more information than the utility can provide, and may be frustrated that the meters don't do more. "Now that we're beginning to understand people from the perspective of their relationship with energy, we're making progress," said Peter Shaw, senior director of the smart-energy practice at J.D. Power. Between those extremes is a group that J.D. Power calls the "automate" segment, which represents about 1.5 out of 10 customers. This group is willing to give the utility increased data and control if the result is a reduction in costs. That leaves about 65 percent of customers in other segments. J.D. Power declined to provide a full breakout of customers and their attitudes. The study was based on surveys of more than 38,000 people nationally taken in July and August. Central Ohio has examples of the "indifferent" and "innovator" groups, based on interviews conducted by The Dispatch for an Aug. 21 report about AEP's project. On one hand, some customers were unaware their homes were in the test area. On the other hand, several customers said the meters did not provide enough information. AEP officials are in the early stages of analyzing data from the meters and soliciting opinions. The company's $150 million smart-meter initiative involves selected neighborhoods in central and east-central Ohio. Half of the money comes from a federal grant. "What we're trying to understand is what they need so we can provide it for them," said Karen Sloneker, director of customer services and marketing for AEP Ohio, speaking about the project in August. The best approach, Shaw said, may be to develop a plan for each customer segment. "The industry is going to use this to develop service offerings around where customers are today, and a big piece of that is where they are behaviorally ... in terms of how they use energy," he said.
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