Smart Meter Light Aims to Accelerate Digitalization

The coalition committee wants to accelerate the rollout of smart meters and digitize the distribution networks

July 2, 2026

Source: E & M powernews

The coalition committee aims to accelerate the rollout of smart meters and digitize the power grids. Energy associations welcome this direction and are calling for swift implementation.

On the evening of July 1, thecoalition committee of the CDU/CSU and SPD met in Berlin. It passed resolutions on various topics, including the energy sector. The plans to digitize the power grids and accelerate the expansion of smart metering systems have met with overwhelming approval from associations in the energy sector and industry.

According to the committee’s decisions, the goals for the smart meter rollout are to be made more ambitious, a more cost-effective version of a digital electricity meter (Smart Meter Light) is to be introduced for households, and the digitization of distribution grids is to be accelerated. This is intended to enable more efficient control of power grids and better utilization of flexible electricity rates.

Energy Sector Satisfied

On behalf of the German Association of Energy and Water Industries (BDEW), Chief Executive Kerstin Andreae welcomed the coalition’s “Program for Recovery and Employment.” She noted that the planned reduction of reporting requirements through a reversal of the burden of proof is a step in the right direction. She also described the intention to improve financing options for energy infrastructure and mobilize private capital as a sound goal.

“The goal of accelerating the expansion of the distribution grid is particularly positive,” said Andreae. This, she noted, would require bold adjustments to the legal framework. Transparency in the form of a data platform for smart meters is important and appropriate, she argued, but must be implemented in a way that balances the corresponding bureaucratic burden and, above all, respects the security requirements of critical infrastructure.

The grid connection of industrial facilities or power plants is a highly relevant issue from an economic perspective. Under current law, a grid operator is not permitted to prioritize certain customer groups. Legislators must therefore quickly enact clear legal rules that enable grid operators, with legal certainty, to allocate capacity in accordance with their regionally varying grid conditions, Andreae concluded.

The Association of Municipal Enterprises (VKU) sees the resolutions as having the potential to spur investment. VKU Chief Executive Ingbert Liebing explained that the planned financing of energy infrastructure through the proposed Germany Fund, in particular, sends an important signal. Municipal utilities are explicitly considered as potential recipients there.

Avoid Creating Duplicate Structures

However, with regard to the announced new regulations for the smart meter rollout, the VKU urges careful planning. According to the association’s assessment, the installation of smart metering systems is currently gaining significant momentum. Additional regulatory interventions should therefore not lead to further delays or complications in the rollout.

The German Renewable Energy Federation (BEE) also views the accelerated digitization of distribution grids positively. BEE President Ursula Heinen-Esser described digital grids as a prerequisite for intelligent control of the energy system and lower system costs. The association also views the approach of jointly developing software for distribution system operators as a unified solution in a positive light. According to the BEE, this could lead to greater standardization.

At the same time, the association is calling for the planned connection guarantee to apply not only to large industrial facilities but also to renewable energy plants, storage systems, and flexible consumers. The German Electrical and Electronic Manufacturers’ Association (ZVEI) called the decision to accelerate the expansion of the distribution grid an important signal, as Managing Director Wolfgang Weber explained. However, the association is critical of the planned introduction of a so-called “Smart Meter Light.” In the ZVEI’s assessment, this could create unnecessary duplicate structures.

Involving Households in the Energy Transition

Support for this, on the other hand, comes from the energy company Octopus Energy Germany. In addition to the introduction of a “Smart Meter Light,” the company welcomes the planned establishment of a central data platform for grid operators. Managing Director Bastian Gierull explained that both measures could help significantly accelerate the installation of digital electricity meters and involve consumers more closely in the energy transition.

According to the coalition, the share of smart metering systems is set to rise significantly by 2030. This is intended to create the conditions for more efficient management of the power grids in light of the increasing expansion of renewable energy and to drive forward the digitization of the energy system. It remains unclear when the announced measures will be implemented into law.

The resolutions of the coalition committee from July 1 are available online.

Susanne Harmsen