In Spain, the National Commission for Markets and Competition is pushing for consumers with smart meters to benefit from hourly wholesale power prices from April 2015, reports Argus Media.
The energy and markets regulator CNMC said small power consumers should have their power tariffs calculated according to time-of-use prices.
The regulator has reportedly advised government that utilities should run a trial phase of the new billing system from 1 January to April before it is deployed to low-consumption consumers.
Under the proposals, households with smart meters that use less than 10kW of power can pay the regulated consumer price or PVPC, which will be calculated according to the OMIE day-ahead and intra-day hourly wholesale power prices with a supplement for regulated system costs.
Customers using 10-15kW will select from similar market-led offers from distributors or choose a standardised annual tariff.
Households that have yet to receive a smart meter and use less than 10kW will have to pay a quarterly fixed price for the power they consume, which is calculated quarterly from the OMIP forward power prices for the period.
The package of recommendations for the timing of the introduction of the hourly tariff are awaiting approval by Spain’s industry ministry before they can be implemented.
Spain’s smart meter rollout
Spain plans to replace its 28 million conventional meters on contracts of 15kW or less with smart meters by 2018.
This means that a further 60TWh of annual power demand, or nearly 25% of the Spanish total, will be tracking prices on the OMIE electricity pool from 2018, says the Argus Media report.
The government aims to have installed new meters at about 35% or 8.75 million of the affected supply points by the end of this year.
Power distributors have said they can meet the deadline and have installed about 8 million smart meters to date.