Smart meters plan is a 'revolution'

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Smart meters mean suppliers can remotely record customers' gas and electricity use, and let them see how much energy they are using.

British Gas said every household in Britain could reduce its energy use, cut carbon emissions and save money as a result of smart meters.

The company, which already has a smart meter trial under way, said the move would herald the biggest revolution in energy use since British Gas converted all the nation's homes to natural gas in the 1970s.

Phil Bentley, managing director, said: "Smart meters will lead to the single greatest revolution in energy use since British Gas converted all the nation's homes to natural gas in the 1970s.

"Smart meters will also ensure our homes are as energy efficient as possible, and they will open the gateway to new technologies for renewable electricity generation in the home - and the 'smart grid' of the future."

Replacing gas and electricity meters with new smart meters will lead to households using less energy, helped by real-time cost information on screen in the home - saving more money by using appliances at cheaper off-peak times, the company said.

Smart meters will also bring a transformation in customer service with an end to estimated bills and waiting in for meter readings, it was said.

Climate Change and Energy Secretary Ed Miliband said the cost of replacing the meters would be spread over a "long period" of 10 to 20 years.

He told GMTV: "This is a big deal because basically we've got 47 million meters across this country and what we're saying today is we want every one of those replaced within about 10 years. It basically does away with estimated readings so the companies will know how much you're using so you won't get that frustrating thing of overpaying on your bills."