The unit cost for domestic and business meters may be the same, but the available plans and tariffs could drastically differ, and certain meters will be better equipped to help you manage your company's energy use and cost.
What are the different types of energy meters?
Multiple kinds of energy meters are available for businesses depending on their needs. To help you determine the right one for you, we’ve explained the most common options and how they could be beneficial.
Half-hourly Meter: As the name suggests, this kind of energy meter will take meter readings automatically every 30 minutes. The benefit of this is that users have a better understanding of their energy usage and can make sure their bills are accurate.
If your electricity meter has a 00 or 05-08 in the upper left corner of your MPAN or if you have an electricity consumption of over 100kWh per half an hour you will likely have a half-hourly meter.
Standard Meter: As the name suggests, this is your standard generic meter which uses one rate when measuring your business’ energy usage. This device is the most similar to a domestic credit meter, it has to be regularly read and meter readings must be sent off. Because of the way this meter works, you will be charged the same rate regardless of the time of day.
If your business doesn’t use a significant amount of energy you will likely be on this meter, if so your MPAN should begin with 03.
Economy 7 Meter: Economy 7 meters has two rates, one for during the day and one for seven hours overnight. Night time usage will be significantly cheaper than the rates during the day, up to 50% cheaper, making it a great option for any business with later operational hours.
Economy 10 Meter: Similar to the Economy 7 meter, this has two different rates for day and night, however, the nightly rates last for 10 hours rather than 7.
This could be a good option for businesses that have 24/7 operations or primarily night workers.
Evening, Weekend, and Night Meter: Similar to the Economy meters these meters use different rates for evenings, weekends, and overnight usage. The overnight ratings will be the cheapest of the bunch.
Maximum Demand Meter: This category contains two rates. 1-rate Maximum Demand meters are similar to standard meters, they use a single rate to calculate your energy bill. 2-rate Maximum Demand meters are more similar to Economy 7 meters and offer cheaper off-peak rates.
Seasonal Time-of-Day Meter: These are the most complex meters as they calculate your energy rates depending on the different times, days, and even months. Your energy rates will vary massively across the year. These could be beneficial to seasonal workers.
Multi-metered MPAN: This option may be best for large-scale groups or sites, as they can have multiple meters connected via one MPAN but the business will receive one bill.
Business Smart Meter: These work like a traditional smart meter for your home, except they are installed in your business space.
The Difference Between Domestic and Business Energy Meters?
The unit cost for domestic and business energy services could be the same, however, the available tariffs and plans offered to you will be significantly different.
The main differences between the two can be broken down into five categories:
Capacity and Load
Domestic energy meters are designed for the small-scale energy usage of households. Whereas business energy meters are designed to optimise higher capacity and loads associated with the larger usage of a commercial and industrial scale.
Accuracy and Precision
Business energy meters typically offer more accuracy and precision compared to household electrical meters. Commercial and industrial operations have significantly higher energy bills so the accuracy of their bills affects cost allocation.
Tariff Structures
The tariffs available for businesses are typically more complex than for residential customers. Business tariffs are tailored to commercial and industrial needs and facto in demand charges, peak/off-peak rates, and other variables based on the specific requirements of the business.
Data Monitoring and Management
Since businesses require a more accurate understanding of their energy usage, business energy meters often come with advanced data monitoring and managing – this can include remote monitoring, interval data recording, and compatibility with energy management systems (EMS).
Regulatory Compliance
Both domestic and business energy meters have specific regulator standards they must meet, however, business meter regulatory requirements are often dictated by accuracy, meter type, and their installation.
In summary, each energy meter will measure energy consumption, but different business meters are designed to handle higher capacities and will offer discounts at different times. They offer greater accuracy and precision but come with more complex tariff structures and allow advanced data monitoring and management.