World Electricity Meter Report 2009

World Electricity Meter Report
Ed 7 2009
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ABS Energy Research 2009 All rights reserved. This publication is protected by copyright. No part of it may be reproduced, stored in a retrieval system or transmitted, in any form or by any means, electronic mechanical, photocopying, recording or otherwise without the prior written permission of the publishers.
Table of Contents
1.0 Executive Summary ................................................................................... 18 Overview........................................................................................................................................ 18 Overview ................................................................................................................................... 18 The Future................................................................................................................................. 19 AMR - AMI................................................................................................................................. 20 Manufacturers and company consolidations............................................................................. 21 Outlook ...................................................................................................................................... 23 2.0 Meter population and demand .................................................................. 25 2.0 Meter population and demand................................................................................................. 25 Overview ................................................................................................................................... 25 Timetable for advanced metering deployments up to 2015 (current information) .................... 26 Deployments ............................................................................................................................. 26 Demand..................................................................................................................................... 28 3.0 Outlook and demand drivers..................................................................... 35 3.0 Outlook and demand drivers ................................................................................................... 35 Outlook ...................................................................................................................................... 35 Positive and negative factors .................................................................................................... 35 Drivers ....................................................................................................................................... 36 New household connections ..................................................................................................... 37 New commercial and industrial connections............................................................................. 39 Replacement of aging meters ................................................................................................... 39 Prepayment meters................................................................................................................... 39 4.0 Terminology of meters............................................................................... 40 4.0 Terminology of meters............................................................................................................. 40 Overview ................................................................................................................................... 40 Electromechanical induction meters, also called mechanical or Ferraris meters ..................... 40 Solid state, also called static, or electronic ............................................................................... 40 Digital meters ............................................................................................................................ 40 Time of use meters (TOU) ........................................................................................................ 40 Demand meters......................................................................................................................... 41 Demand Response ................................................................................................................... 41 Automatic Meter Reading (AMR) .............................................................................................. 41 Advanced meters ...................................................................................................................... 41 Advanced Metering Infrastructure (AMI) ................................................................................... 41 Smart meters ........................................................................................................................... 42 Ripple Control ........................................................................................................................... 42 Meter Data Management (MDM) .............................................................................................. 43 Communication modules........................................................................................................... 43 5.0 Meter companies Big players and rising stars................................... 44 5.0 Meter companies Big players and rising stars.................................................................... 44 Overview ................................................................................................................................... 44 The origins of the metering industry - electricity, gas and water............................................... 44 The metering industry in 2009................................................................................................... 46 Market shares ........................................................................................................................... 47 Company shares in meter sales by value 2008 ........................................................................ 47 Rising stars................................................................................................................................ 47 6.0 Country Profiles.......................................................................................... 50 Contents .................................................................................................................................... 50 6.1 Country Profiles Europe ................................................................................. 51 Contents .................................................................................................................................... 51 6.1.1 Austria .................................................................................................................................. 52 Population, household and meter base .................................................................................... 52 Annual demand for all meters ................................................................................................... 52 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () .................................................................................................................................................. 52 www.absenergyresearch.com
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Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................... 53 Meter technology....................................................................................................................... 53 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value ()53 Market shares in value 2008 ..................................................................................................... 54 Type approval and verification .................................................................................................. 54 Utility background...................................................................................................................... 54 6.1.2 Belgium................................................................................................................................. 56 Population, household and meter base .................................................................................... 56 Annual demand for all meters ................................................................................................... 56 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () .................................................................................................................................................. 56 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................... 57 Meter technology....................................................................................................................... 57 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () 57 Market shares in value 2008 ..................................................................................................... 58 Type approval and verification .................................................................................................. 58 Utility background...................................................................................................................... 58 6.1.3 Bulgaria ................................................................................................................................ 60 Population, household and meter base .................................................................................... 60 Annual demand for all meters ................................................................................................... 60 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () .................................................................................................................................................. 60 Meter technology....................................................................................................................... 61 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () 61 Market shares in value 2008 ..................................................................................................... 62 Type approval and verification .................................................................................................. 62 Utility Background ..................................................................................................................... 62 6.1.4 Czech Republic .................................................................................................................... 64 Population, household and meter base .................................................................................... 64 Annual demand for all meters ................................................................................................... 64 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () .................................................................................................................................................. 64 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................... 65 Meter technology....................................................................................................................... 65 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () 65 Market shares in value 2008 ..................................................................................................... 66 Type approval and verification .................................................................................................. 66 Utility background...................................................................................................................... 66 6.1.5 Denmark ............................................................................................................................... 68 Population, household and meter base .................................................................................... 68 Annual demand for all meters ................................................................................................... 68 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () .................................................................................................................................................. 68 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................... 68 Meter technology....................................................................................................................... 69 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () 69 Utility background...................................................................................................................... 69 6.1.6 Estonia.................................................................................................................................. 71 Population, household and meter base .................................................................................... 71 Annual demand for all meters ................................................................................................... 71 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () .................................................................................................................................................. 71 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................... 71 Meter technology....................................................................................................................... 72 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () 72 Market shares in value 2008 ..................................................................................................... 72 Type approval and verification .................................................................................................. 72 Utility background...................................................................................................................... 73 6.1.7 Finland.................................................................................................................................. 74
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Population, household and meter base .................................................................................... 74 Annual demand for all meters ................................................................................................... 74 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () .................................................................................................................................................. 74 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................... 75 Meter technology....................................................................................................................... 75 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () 75 Utility background...................................................................................................................... 75 6.1.8 France .................................................................................................................................. 77 Population, household and meter base .................................................................................... 77 Annual demand for all meters ................................................................................................... 77 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () .................................................................................................................................................. 77 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................... 78 Meter technology....................................................................................................................... 78 History of AMR/AMI in France................................................................................................... 78 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () 79 Tariff system.............................................................................................................................. 80 Type approval and verification .................................................................................................. 80 Market shares in value 2008 ..................................................................................................... 81 Utility background...................................................................................................................... 81 6.1.9 Germany............................................................................................................................... 83 Population, household and meter base .................................................................................... 83 Annual demand for all meters ................................................................................................... 83 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () .................................................................................................................................................. 83 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................... 83 Meter technology....................................................................................................................... 84 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () 84 Market shares in value 2008 ..................................................................................................... 85 Type approval and verification .................................................................................................. 85 Utility background and market characteristics .......................................................................... 85 6.1.10 Greece................................................................................................................................ 87 Population, household and meter base .................................................................................... 87 Annual demand for all meters ................................................................................................... 87 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () .................................................................................................................................................. 87 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................... 87 Meter technology....................................................................................................................... 88 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () 88 Market shares in value 2008 ..................................................................................................... 88 Type approval and verification .................................................................................................. 88 Utility background...................................................................................................................... 89 6.1.11 Hungary .............................................................................................................................. 90 Population, household and meter base .................................................................................... 90 Annual demand for all meters ................................................................................................... 90 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () .................................................................................................................................................. 90 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................... 91 Meter technology....................................................................................................................... 91 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () 91 Market shares in value 2008 ..................................................................................................... 91 Type approval and verification .................................................................................................. 92 Utility background...................................................................................................................... 92 6.1.12 Ireland................................................................................................................................. 94 Population, household and meter base .................................................................................... 94 Annual demand for all meters ................................................................................................... 94 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () .................................................................................................................................................. 94 www.absenergyresearch.com
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Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................... 94 Meter technology....................................................................................................................... 95 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () 95 Market shares in value 2008 ..................................................................................................... 95 Type approval and verification .................................................................................................. 95 Utility background...................................................................................................................... 95 6.1.13 Italy ..................................................................................................................................... 97 Population, household and meter base .................................................................................... 97 Annual demand for all meters ................................................................................................... 97 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () .................................................................................................................................................. 97 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................... 98 Meter technology....................................................................................................................... 98 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 100 Market shares in value 2008 ................................................................................................... 100 Type approval and verification ................................................................................................ 100 Utility background.................................................................................................................... 101 6.1.14 Latvia ................................................................................................................................ 102 Population, household and meter base .................................................................................. 102 Annual demand for all meters ................................................................................................. 102 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 102 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 102 Meter technology..................................................................................................................... 103 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 103 Market shares in value 2008 ................................................................................................... 103 Type approval and verification ................................................................................................ 104 Utility background.................................................................................................................... 104 6.1.15 Lithuania ........................................................................................................................... 105 Population, household and meter base .................................................................................. 105 Annual demand for all meters ................................................................................................. 105 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 105 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 105 Meter technology..................................................................................................................... 106 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 106 Market shares in value 2008 ................................................................................................... 106 Type approval and verification ................................................................................................ 106 Utility background.................................................................................................................... 107 6.1.16 Netherlands ...................................................................................................................... 108 Population, household and meter base .................................................................................. 108 Annual demand for all meters ................................................................................................. 108 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 108 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 109 Meter technology..................................................................................................................... 109 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 110 Market shares in value 2008 ................................................................................................... 110 Type approval and verification ................................................................................................ 110 Utility background.................................................................................................................... 111 6.1.17 Norway ............................................................................................................................. 112 Population, household and meter base .................................................................................. 112 Annual demand for all meters ................................................................................................. 112 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 112
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Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 112 Meter technology..................................................................................................................... 113 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 113 Utility background.................................................................................................................... 113 6.1.18 Poland .............................................................................................................................. 114 Population, household and meter base .................................................................................. 114 Annual demand for all meters ................................................................................................. 114 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 114 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 114 Meter technology..................................................................................................................... 115 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 115 Market shares in value 2008 ................................................................................................... 115 Type approval and verification ................................................................................................ 116 Utility background.................................................................................................................... 116 6.1.19 Portugal ............................................................................................................................ 117 Population, household and meter base .................................................................................. 117 Annual demand for all meters ................................................................................................. 117 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 117 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 117 Meter technology..................................................................................................................... 118 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 118 Market shares in value 2008 ................................................................................................... 118 Type approval and verification ................................................................................................ 119 Utility background.................................................................................................................... 119 6.1.20 Romania ........................................................................................................................... 120 Population, household and meter base .................................................................................. 120 Annual demand for all meters ................................................................................................. 120 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 120 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 121 Meter technology..................................................................................................................... 121 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 122 Market shares in value 2008 ................................................................................................... 122 Type approval and verification ................................................................................................ 123 Utility background.................................................................................................................... 123 6.1.21 Slovak Republic................................................................................................................ 125 Population, household and meter base .................................................................................. 125 Annual demand for all meters ................................................................................................. 125 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 125 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 126 Meter technology..................................................................................................................... 126 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 126 Market shares in value 2008 ................................................................................................... 127 Type approval and verification ................................................................................................ 127 Utility background.................................................................................................................... 127 6.1.22 Slovenia............................................................................................................................ 129 Population, household and meter base .................................................................................. 129 Annual demand for all meters ................................................................................................. 129 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 129
Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 130 Meter technology..................................................................................................................... 130 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 130 Market shares in value 2008 ................................................................................................... 130 Type approval and verification ................................................................................................ 131 Utility background.................................................................................................................... 131 6.1.23 Russia............................................................................................................................... 132 Population, household and meter base .................................................................................. 132 Annual demand for all meters ................................................................................................. 132 Russian meter production in units, 2000 to 2008.................................................................... 133 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 133 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 133 Meter technology..................................................................................................................... 134 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 134 Market shares in value 2008 ................................................................................................... 134 Type approval and verification ................................................................................................ 135 Utility background.................................................................................................................... 136 6.1.24 Spain ................................................................................................................................ 138 Population, household and meter base .................................................................................. 138 Annual demand for all meters ................................................................................................. 138 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 138 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 139 Meter technology..................................................................................................................... 139 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 139 Market shares in value 2008 ................................................................................................... 140 Type approval and verification ................................................................................................ 140 Utility background.................................................................................................................... 140 6.1.25 Sweden............................................................................................................................. 141 Population, household and meter base .................................................................................. 141 Annual demand for all meters ................................................................................................. 141 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 141 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 142 Meter technology..................................................................................................................... 142 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 143 Market participants.................................................................................................................. 143 Market shares in value 2008 ................................................................................................... 144 Utility background.................................................................................................................... 144 6.1.26 Switzerland ....................................................................................................................... 145 Population, household and meter base .................................................................................. 145 Annual demand for all meters ................................................................................................. 145 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 145 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 146 Meter technology..................................................................................................................... 146 Market shares in value 2008 ................................................................................................... 147 Type approval and verification ................................................................................................ 147 Utility background.................................................................................................................... 148 6.1.27 Turkey............................................................................................................................... 150 Population, household and meter base .................................................................................. 150 Annual demand for all meters ................................................................................................. 150 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 150
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Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 150 Meter technology..................................................................................................................... 151 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 151 Market shares in value 2008 ................................................................................................... 151 Type approval ......................................................................................................................... 152 Inspection and verification....................................................................................................... 152 Utility background.................................................................................................................... 152 6.1.28 Ukraine ............................................................................................................................. 154 Population, household and meter base .................................................................................. 154 Annual demand for all meters ................................................................................................. 154 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 154 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 154 Meter technology..................................................................................................................... 155 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 155 Market shares in value 2008 ................................................................................................... 155 Type approval and verification ................................................................................................ 156 Utility background.................................................................................................................... 156 6.1.29 United Kingdom ................................................................................................................ 157 Population, household and meter base .................................................................................. 157 Annual demand for all meters ................................................................................................. 157 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 157 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 158 Meter technology..................................................................................................................... 158 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 159 Market shares in value 2008 ................................................................................................... 160 Type approval and verification ................................................................................................ 160 Utility background.................................................................................................................... 160 6.2 Country Profiles The Americas.....................................................................162 Contents .................................................................................................................................. 162 South America Overview .......................................................................................................... 163 Population, household and meter base .................................................................................. 163 Annual demand for all meters ................................................................................................. 163 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 163 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 164 Meter technology..................................................................................................................... 164 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 164 6.2.1 Argentina ............................................................................................................................ 165 Population, household and meter base .................................................................................. 165 Annual demand for all meters ................................................................................................. 165 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 165 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 166 Meter technology..................................................................................................................... 166 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 166 Market shares in value 2008 ................................................................................................... 166 Type approval and verification ................................................................................................ 167 Utility background.................................................................................................................... 167 6.2.2 Brazil................................................................................................................................... 169 Population, household and meter base .................................................................................. 169 Annual demand for all meters ................................................................................................. 169 www.absenergyresearch.com
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Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 169 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 170 Meter technology..................................................................................................................... 170 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 171 Market shares in value 2008 ................................................................................................... 171 Market access ......................................................................................................................... 171 Type approval ......................................................................................................................... 172 Utility background.................................................................................................................... 173 6.2.3 Chile ................................................................................................................................... 174 Population, household and meter base .................................................................................. 174 Annual demand for all meters ................................................................................................. 174 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 174 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 175 Meter technology..................................................................................................................... 175 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 175 Type approval and verification ................................................................................................ 176 Utility background.................................................................................................................... 176 6.2.4 Canada ............................................................................................................................... 177 Population, household and meter base .................................................................................. 177 Annual demand for all meters ................................................................................................. 177 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value, $ and ....................................................................................................................................... 177 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value ($) ................................................................................................................................................ 177 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 178 Meter technology..................................................................................................................... 178 Market trend ............................................................................................................................ 178 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 179 Market shares by value 2008 .................................................................................................. 179 Electricity standards ................................................................................................................ 180 Type approval and verification ................................................................................................ 180 Utility background.................................................................................................................... 181 6.2.5 Mexico ................................................................................................................................ 183 Population, household and meter base .................................................................................. 183 Annual demand for all meters ................................................................................................. 183 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value ($) ................................................................................................................................................ 183 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 183 Meter technology..................................................................................................................... 184 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value ($) ................................................................................................................................................ 184 Market shares by value 2008 .................................................................................................. 185 Electricity standards ................................................................................................................ 185 Type approval and verification ................................................................................................ 185 Utility background.................................................................................................................... 186 6.2.6 United States of America.................................................................................................... 187 Population, household and meter base .................................................................................. 187 Annual demand for all meters ................................................................................................. 187 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value ($) ................................................................................................................................................ 187 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 187 Meter technology..................................................................................................................... 188 Market trend ............................................................................................................................ 188
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Annual demand for meters by technology, forecast from 2008 to 2012, volume and value ($) ................................................................................................................................................ 188 Market shares value by 2008 .................................................................................................. 189 Electricity meter market shares in the USA, by value 2008.................................................... 189 Market shares of principal suppliers of AMR to electrical utilities in the USA by value, 2008 190 Electricity standards ................................................................................................................ 190 Type approval and verification ................................................................................................ 191 Utility background.................................................................................................................... 192 6.3 Asia Pacific ...................................................................................................194 Contents .................................................................................................................................. 194 6.3.1 Australia.............................................................................................................................. 195 Population, household and meter base .................................................................................. 195 Annual demand for all meters ................................................................................................. 195 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 195 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 196 Meter technology..................................................................................................................... 196 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 196 Market shares in value 2008 ................................................................................................... 197 Type approval ......................................................................................................................... 197 Initial verification...................................................................................................................... 198 Meter regulations .................................................................................................................... 198 Utility background.................................................................................................................... 199 6.3.2 China .................................................................................................................................. 201 Population, household and meter base .................................................................................. 201 Annual demand for all meters ................................................................................................. 201 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 201 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 202 Meter technology..................................................................................................................... 202 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 202 Historical development............................................................................................................ 203 Prices ...................................................................................................................................... 204 Tariffs ...................................................................................................................................... 204 Prepayment meters................................................................................................................. 204 Electricity meter market shares in China, by value 2008........................................................ 204 Standards ................................................................................................................................ 205 Type approval ......................................................................................................................... 206 Market participants.................................................................................................................. 207 Utility background.................................................................................................................... 207 6.3.3 India.................................................................................................................................... 210 Population, household and meter base .................................................................................. 210 Annual demand for all meters ................................................................................................. 210 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 210 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 211 Market trend ............................................................................................................................ 211 Meter technology..................................................................................................................... 211 Prices ...................................................................................................................................... 212 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 212 Market shares in value 2008 ................................................................................................... 212 Metering regulations................................................................................................................ 213 Type approval ......................................................................................................................... 213 Standards ................................................................................................................................ 214 Market participants.................................................................................................................. 215 Utility background.................................................................................................................... 215 6.3.4 Indonesia ............................................................................................................................ 217 www.absenergyresearch.com
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Population, household and meter base .................................................................................. 217 Annual demand for all meters ................................................................................................. 217 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 217 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 218 Meter technology..................................................................................................................... 218 Prepayment meters................................................................................................................. 218 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 218 Market shares in value 2008 ................................................................................................... 219 Type approval and verification ................................................................................................ 219 Utility background.................................................................................................................... 219 6.3.5 Japan.................................................................................................................................. 221 Population, household and meter base .................................................................................. 221 Annual demand for all meters ................................................................................................. 221 Installed capacity of watt-hour meters in Japan...................................................................... 221 Customers (2001) ................................................................................................................... 222 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 222 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 222 Meter technology..................................................................................................................... 223 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 223 Tokyo Electric Power Company (TEPCO) .............................................................................. 224 Shikoku Electric Power Company in Japan ............................................................................ 224 Type approval and verification ................................................................................................ 224 Market shares in value 2008 ................................................................................................... 225 Utility background.................................................................................................................... 226 6.3.6 Korea, South....................................................................................................................... 227 Population, household and meter base .................................................................................. 227 Annual demand for all meters ................................................................................................. 227 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 227 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 228 Meter technology..................................................................................................................... 228 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 229 Utility background.................................................................................................................... 229 6.3.7 Malaysia ............................................................................................................................. 230 Population, household and meter base .................................................................................. 230 Annual demand for all meters ................................................................................................. 230 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 230 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 231 Meter technology..................................................................................................................... 231 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 232 Market shares in value 2008 ................................................................................................... 232 Type approval ......................................................................................................................... 233 Utility background.................................................................................................................... 234 6.3.8 New Zealand ...................................................................................................................... 235 Population, household and meter base .................................................................................. 235 Annual demand for all meters ................................................................................................. 235 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 235 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 236 Meter technology..................................................................................................................... 236 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 236
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Type approval and verification ................................................................................................ 237 Utility background.................................................................................................................... 237 6.3.9 Philippines .......................................................................................................................... 239 Population, household and meter base .................................................................................. 239 Annual demand for all meters ................................................................................................. 239 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 239 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 239 Meter technology..................................................................................................................... 240 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 240 Market shares in value 2008 ................................................................................................... 240 Type approval and verification ................................................................................................ 240 Utility background.................................................................................................................... 240 6.3.10 Taiwan .............................................................................................................................. 242 Population, household and meter base .................................................................................. 242 Annual demand for all meters ................................................................................................. 242 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 242 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 243 Meter technology..................................................................................................................... 243 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 243 Market shares in value 2008 ................................................................................................... 244 Type approval ......................................................................................................................... 244 Utility background.................................................................................................................... 244 6.3.11 Thailand............................................................................................................................ 245 Population, household and meter base .................................................................................. 245 Annual demand for all meters ................................................................................................. 245 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 245 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 246 Meter technology..................................................................................................................... 246 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 246 Market shares in value 2008 ................................................................................................... 247 Type approval ......................................................................................................................... 247 Utility background.................................................................................................................... 247 6.3.12 Vietnam ............................................................................................................................ 249 Population, household and meter base .................................................................................. 249 Annual demand for all meters ................................................................................................. 249 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 249 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 249 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 250 Meter technology..................................................................................................................... 250 The installed base of electricity meters in Vietnam, 2004 to 2006.......................................... 250 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 251 Market shares in value 2008 ................................................................................................... 251 Type approval ......................................................................................................................... 251 Utility background.................................................................................................................... 252 6.4 Middle East...................................................................................................253 Contents .................................................................................................................................. 253 Middle East - Overview................................................................................................................ 253 Population, household and meter base .................................................................................. 253 Annual demand for all meters ................................................................................................. 253
13
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 254 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 254 Meter technology..................................................................................................................... 254 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 254 6.4.1 Iran ..................................................................................................................................... 255 Population, household and meter base .................................................................................. 255 Annual demand for all meters ................................................................................................. 255 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 255 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 256 Meter technology..................................................................................................................... 256 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 256 Major participants.................................................................................................................... 257 Standards and type approval .................................................................................................. 257 Type approval and verification ................................................................................................ 258 Utility background.................................................................................................................... 259 6.5 Africa.............................................................................................................260 Contents .................................................................................................................................. 260 Africa - Overview ......................................................................................................................... 260 Population, household and meter base .................................................................................. 260 Annual demand for all meters ................................................................................................. 260 Meter demand in Africa by geographic region ........................................................................ 261 Meter production in Africa ....................................................................................................... 261 6.5.1 Egypt .................................................................................................................................. 262 Population, household and meter base .................................................................................. 262 Annual demand for all meters ................................................................................................. 262 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 262 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 263 Meter technology..................................................................................................................... 263 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 263 Market shares in value 2008 ................................................................................................... 263 Market shares in value 2008 (continued)................................................................................ 264 Type approval and verification ................................................................................................ 264 Utility background.................................................................................................................... 265 6.5.2 South Africa ........................................................................................................................ 266 Population, household and meter base .................................................................................. 266 Annual demand for all meters ................................................................................................. 266 Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () ................................................................................................................................................ 266 Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $) ................................................................................................................. 267 Meter technology..................................................................................................................... 267 Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () ................................................................................................................................................ 268 Market shares by value 2008 .................................................................................................. 268 Type approval and verification ................................................................................................ 269 Utility background.................................................................................................................... 269 7.0 Metrology, standards, type approval and verification.......................... 272 7.0 Metrology, standards, type approval and verification............................................................ 272 Legislation for measuring instruments .................................................................................... 272 Enforcement of measuring instrument legislation - legal control ............................................ 272 National metrology institutes ................................................................................................... 272 Global metrology infrastructure ............................................................................................... 273 Regional metrology infrastructures ......................................................................................... 274
14
Europe..................................................................................................................................... 275 Americas Infrastructure ........................................................................................................... 278 Asia Pacific Infrastructure ....................................................................................................... 278 CIS, Central Asia Infrastructure .............................................................................................. 279 African Infrastructure............................................................................................................... 279 8.0 Standards .................................................................................................. 280 8.0 Standards .............................................................................................................................. 280 International Standards ........................................................................................................... 280 Terminology............................................................................................................................. 280 International Electrotechni-cal Commission (IEC) .................................................................. 281 American National Standards Institute (ANSI)........................................................................ 281 National Standards.................................................................................................................. 282 9.0 Methodology and technical notes .......................................................... 283 Overview...................................................................................................................................... 283 Overview ................................................................................................................................. 283 Contents .................................................................................................................................. 283 9.1 ABS Metering Database of statistics and market commentary............................................. 284 Overview ................................................................................................................................. 284 Literature search ..................................................................................................................... 284 Regulators ............................................................................................................................... 284 National energy projections and demand forecasts................................................................ 284 Government enquiries............................................................................................................. 284 Competition authorities ........................................................................................................... 284 Parliamentary questions and enquiries................................................................................... 285 SEC Filings.............................................................................................................................. 285 Metrological Bureaux .............................................................................................................. 285 Trade Associations.................................................................................................................. 285 Socio / economic studies ........................................................................................................ 285 Sub-metering........................................................................................................................... 285 Company reports and presentations....................................................................................... 285 Press ....................................................................................................................................... 285 Electricity ................................................................................................................................. 286 Gas.......................................................................................................................................... 286 Water....................................................................................................................................... 287 9.2 Compilation an analysis of official statistics for creation of the installed base and to define the metrics of annual demand and projections.................................................................................. 288 Overview ................................................................................................................................. 288 Households population of each country ................................................................................. 288 Economic data ........................................................................................................................ 288 Electricity customers ............................................................................................................... 288 Meter production statistics ...................................................................................................... 288 Import / export statistics .......................................................................................................... 288 9.3 Market estimation and projections using official statistics and the metrics of annual demand and projections in four stages ..................................................................................................... 289 Overview ................................................................................................................................. 289 The installed base of electricity meters in 2008 recorded historically where available........... 289 Theoretical calculation of annual demand for new meters in 2008......................................... 290 Theoretical calculation of annual demand for new meters in 2008 (continued) ..................... 292 Theoretical calculation of annual demand for new meters in 2008 (continued) ..................... 293 Specific reports of annual meter demand ............................................................................... 294 Forecasting for 2008 to 2012 .................................................................................................. 294
15
Table of Tables
Table 2.1: Countries deploying large advanced metering projects ............................................................ 27 Table 2.2: Composition of demand in 27 leading European countries ...................................................... 28 Table 2.3: Composition of demand in 10 leading Asian meter markets..................................................... 29 Table 2.4: The customer base of electricity consumers and annual demand, 2008.................................. 30 Table 6.1: ESI characteristics Austria ........................................................................................................ 55 Table 6.2: ESI characteristics Belgium....................................................................................................... 59 Table 6.3: ESI characteristics Bulgaria ...................................................................................................... 63 Table 6.4: ESI characteristics Czech Republic .......................................................................................... 67 Table 6.5: ESI characteristics Denmark ..................................................................................................... 70 Table 6.6: ESI characteristics Estonia........................................................................................................ 73 Table 6.7: ESI characteristics Finland........................................................................................................ 76 Table 6.8: ESI characteristics France ........................................................................................................ 82 Table 6.9: ESI characteristics Germany..................................................................................................... 86 Table 6.10: ESI characteristics Greece...................................................................................................... 89 Table 6.11: ESI characteristics Hungary .................................................................................................... 93 Table 6.12: ESI characteristics Ireland....................................................................................................... 96 Table 6.13: ESI characteristics Italy ......................................................................................................... 101 Table 6.14: ESI characteristics Latvia ...................................................................................................... 104 Table 6.15: ESI characteristics Lithuania ................................................................................................. 107 Table 6.16: ESI characteristics Netherlands ............................................................................................ 111 Table 6.17: ESI characteristics Norway ................................................................................................... 113 Table 6.18: ESI characteristics Poland .................................................................................................... 116 Table 6.19: ESI characteristics Portugal .................................................................................................. 119 Table 6.20: ESI characteristics Romania ................................................................................................. 124 Table 6.21: ESI characteristics Slovak Republic...................................................................................... 128 Table 6.22: ESI characteristics Slovenia.................................................................................................. 131 Table 6.23: ESI characteristics Russia..................................................................................................... 136 Table 6.24: ESI characteristics Spain ...................................................................................................... 140 Table 6.25: ESI characteristics Sweden................................................................................................... 144 Table 6.26: ESI characteristics Switzerland ............................................................................................. 149 Table 6.27: ESI characteristics Turkey..................................................................................................... 153 Table 6.28: ESI characteristics Ukraine ................................................................................................... 156 Table 6.29: ESI characteristics United Kingdom ...................................................................................... 161 Table 6.30: ESI characteristics Argentina ................................................................................................ 168 Table 6.31: ESI characteristics Brazil....................................................................................................... 173 Table 6.32: ESI characteristics Chile ....................................................................................................... 176 Table 6.33: ESI characteristics Canada ................................................................................................... 182 Table 6.34: ESI characteristics Mexico .................................................................................................... 186 Table 6.35: ESI characteristics United States .......................................................................................... 193 Table 6.36: ESI characteristics Australia.................................................................................................. 200 Table 6.37: ESI characteristics China ...................................................................................................... 209 Table 6.38: ESI characteristics India........................................................................................................ 216 Table 6.39: ESI characteristics Indonesia ................................................................................................ 220 Table 6.40: ESI characteristics Japan...................................................................................................... 226 Table 6.41: ESI characteristics Korea, South........................................................................................... 229 Table 6.42: ESI characteristics Malaysia ................................................................................................. 234 Table 6.43: ESI characteristics New Zealand .......................................................................................... 238 Table 6.44: ESI characteristics Philippines .............................................................................................. 241 Table 6.45: ESI characteristics Taiwan .................................................................................................... 244 Table 6.46: ESI characteristics Thailand.................................................................................................. 248 Table 6.47: ESI characteristics Vietnam .................................................................................................. 252 Table 6.48: ESI characteristics Iran ......................................................................................................... 259 Table 6.49: ESI characteristics Egypt ...................................................................................................... 265 Table 6.50: ESI characteristics South Africa ............................................................................................ 271 Table 8.1: Four main bodies which determine standards ........................................................................ 280 Table 8.2: IEC Standards for Watt-hour Meters ....................................................................................... 281 Table 8.3: ANSI Standards for Watt-hour Meters..................................................................................... 281 Table 9.1: Sources for installed base of electricity meters....................................................................... 290
16
Table of Figures
Figure 3.1: Population growth and household size in the developed and developing world, 1985 to 2030 .................................................................................................................................................................... 38 Figure 3.2: Numbers of households by region, 1985 to 2030 .................................................................... 38 Figure 7.1: Regional metrology organisations.......................................................................................... 274 Figure 7.2: Member countries of EURAMET e.V., 2007 .......................................................................... 275 Figure 9.1: New and replacement installations of meters in the United Kingdom.................................... 291 Figure 9.2: New and replacement installations of meters in the Brazil .................................................... 292 Figure 9.3: New and replacement installations of meters in the Bangladesh .......................................... 292
17
1.0 Executive Summary

Overview
Overview The next five to ten years will see extraordinary growth and change in the world metering market. The meter industry has launched into the most important technological development since the introduction of the Ferraris induction meter over a century ago. This development has been brewing for several years but in the last 12 to 18 months has taken off in a spectacular way with a number of governments, mainly in Europe and Asia mandating the establishment of smart meter networks. These national metering systems will have two-way fixed network meters and advanced network systems, some offering a multitude of functionalities. In 2008, there were 1,698 million electricity meters installed in the world, and annual demand in 2008 was 129 million meters. This will rise at an unprecedented annual rate of 8.1% to 176 million meters in 2012. The value of the market will rise even faster, from 3.4 billion ($5.0 billion) in 2008, at an annual rate of 18.0% (euro) to 6.6 billion ($8.4 billion) in 2012. 61% of this demand (in units) is in Asia, and out of that 40% is in China. The rate of growth (in units) will be highest in Europe at an average of 15.6% a year, (meter units) followed by Asia at 8.7%. In value European growth will reach 25.8% (euro) and Asia 24.7%. The reason for this extraordinary growth is the surge of decisions by governments and utilities to invest in advanced metering, mostly nationally or in some cases in large cities. This is an acceleration beyond expectations, of conversion from electromechanical meters, to basic electronic and now to AMI. A study conducted by FERC in the United States has measured the penetration of advanced metering in the USA at 6% of endpoints in October 2006. This survey is one of the few sources of data on real experience of advanced metering. It must be remembered that it is a studyc conducted in the US, which is a market with different characteristics from a country such as India. (See comments below.) In Europe demand for electromechanical meters will fall from 19% of all meters sold in 2008 to 3% in 2012 and in Asia from 32% to 9%. Demand for basic electronic meters will decline from 43% to 11% in Europe and from 48% to 22% in Asia. In contrast residential AMI meters will escalate from 20% to 79% in Europe and in Asia from zero to 55% by 2012, mainly in four countries; China, Korea, Japan and Taiwan. ABS has identified 32 countries making large investments in advanced metering, not including existing AMR installations, mainly in the USA, some of which are bordering on AMI.18 of them in Europe. The installed base of AMI units in these 32 countries will increase from 16.6 million in 2009 to 416 million of these completed in 2015, and 448 million by 2020. In the intervening period there will be many more projects. Some of these projects extend beyond 2015. This count includes national or large city-wide schemes and does not include smaller local schemes and C&I AMI metering. The impetus for these massive installations comes from both governments and utilities. 15 of the projects have been initiated by utilities and will account for 130 million end points by 2015 and 17 have been initiated by governments, accounting for 286 million endpoints in 2015.
Continued on next page 18
Overview, Continued
Overview (continued) The first national scheme was in Italy, for which the moving force was ENEL, not the Italian government and this was decided before the current fears about security of supply and energy efficiency had assumed their present importance. In quick sequence, the Swedish government demanded monthly meter readings by 2009, then the provincial government of Ontario, the state governments of California in the US and Victoria in Australia. ERDF of France will deploy of 32 million, Spain will deploy 27 million, the UK 29 million, Netherlands 7.5 million. The UK deployment will also measure gas, with a total of 49 million meters for both electricity and gas.
The Future
The sudden decisions to install advanced metering merit further examination, because while it is very exiting and on the face of it a large opportunity for meter vendors, there are limitations to what the international meter manufacturers should plan for and all may not be as it seems. Meter companies should evaluate what is their addressable market. We also recommend that companies look beyond the AMI installations in time, to assess what will come after that. This is akin to military planning. There is a tremendous burst of interest and an explosion of energy during the war, but afterwards an entirely different situation pertains. We consider five countries plus the CIS to be restricted; China, Japan, Korea, Taiwan and Iran. Other markets are open but with varying dergrees of accessibility. There are 1.7 billion end points in the world and 446 million are in countries which have taken the decision to deploy advanced meters. This looks like large market for the meter companies but of this 446 million, a big slice, 247 million are in countries which we have classified as restricted. There may be some sales of technology and systems but probably limited, leaving potential of only 199 million. In most of these contacts have not yet been awarded. What about the rest? We have analysed the prospects in three regions which already are taking up advanced metering and which we believe will continue to do so aggressively in the next ten years, North America, Europe and Asia Pacific. The prospects in these regions are quite different and are described in detail in the body of the report. The international meter companies have always prioritised the markets. However, some of the markets which are not addressable are very large and the size of the global addressable market is reduced accordingly. We have classified the makets into open market, which are addressable, and restricted markets, which are either difficult or impossible to penetrate.
Continued on next page
19
Overview, Continued
AMR - AMI The definition of AMI has attracted much discussion and there are many different views as to what it is and where the boundaries are between AMR and AMI. Different companies have different views and we are even told that different people within the same company have different views. The issue is complicated by the fact that there are installations of meters which have AMI capabilities but which are only used for AMR one-way communication to read meters. The earliest AMR systems involved suppliers retrofitting electromechanical meters with an ERT Encoder / Receiver / Transmitter), which is a device enabling communication from the meter to a meter reader. Retrofitting existing meters with an AMR attachment is the fastest, lowest-cost way to implement an AMR service. These retrofits are available for as little as US$10 per device. Alternatively, for around US$100, traditional meters can be replaced entirely by an AMR meter. Communication can be via a walk-by or drive-by meter reader using a emote device, or via a fixed network, which can use radio frequency, cell phones, telephone lines or power line carriers. With mobile AMR a radio transceiver in a vehicle broadcasts a radio wake-up signal to all ERT-equipped meters within range and receives meter reading, tamper information, and other information back from the ERTs. A point has now been reached where the distinction between AMR and AMI is blurred between AMI, which has two-way fixed network communication and AMR with one-way drive-by communication. There are many AMR installations in existence, notably in the US, which have only one-way communication but also many which have two-way communication capabiolity which is not used. Most large AMR schemes now being installed use hybrids somewhere along the spectrum of AMR / AMI and generally represent a more advanced form of AMR. Once a utility undertakes the cost of installing AMR, it is a natural step to leverage the AMR for more sophisticated AMI applications. Conversely, it was thought that this could also retard the growth of AMI in the US since there is already such a large stranded investment in one-way AMR technology. However, we are told that utilities are now considering the benefits of AMI sufficient to accept these stranded costs of legacy AMR, although this may be modified by the financial crisis. There is disagreement about the definition of AMI, both in the industry and even, we are told, within meter companies. In October 2006 FERC (US Federal Energy Regulatory Commission) completed a survey of utilities in the USA to assess the penetration of AMI in the USA and its applications. This is a valuable study because AMI is so new that it is only in the USA and Italy that there is enough real experience of AMI to measure and evaluate it on a reasonably broad base. The study found penetration of advanced metering in the USA to be low, at 6% of end points. Most usefully, the survey measured the extent to which AMI provides multiple benefits beyond meter reading savings. In the USA the most important single use for advanced metering by utilities was to enhance customer service, mentioned by 71%. The second most important was to address tampering, 44%. This is important in considering the advantages of AMI in countries where there is a high incidence of energy theft, such as India and several countries in South America.
20
Overview, Continued
AMR - AMI (continued) It is interesting that some of the most frequently mentioned uses of advanced metering when discussing it in the industry are at the lowest end of the scale of usefulness in this survey; remote connect/disconnect, pricing advice, water and gas meter reads, and last of all, pre-payment metering.
Manufacturers and company consolidations
As pointed out in the last edition of this report, recent years have seen a consolidation of meter companies, as has been the case in many industrial sectors. These consolidations started first to address over capacity of production in the meter industry and then to grasp the opportunities offered by new technologies. These new technologies do not simply consist of technically better meters but of more advanced systems within which the meters operate. The years 2006 and 2007 saw this development coalescing. 2008 has seen the industry take up this capability, in a wave of decisions by governments and utilities to move to the next generation energy measurement, advanced metering systems. The global market has been dominated by three companies; Landis+Gyr, Actaris and Elster. Actaris is now ItronActaris after being acquired by the dominant US electricity metering and AMR/AMI company, Itron. In the same way that Elster and Landis+Gyr have each absorbed a number of other meter and technology companies under the one mark, Elster or Landis+Gyr, it is expected that Actaris will become Itron International. The industry has seen that its future lies in providing the technology for two way communications and smart capabilities, far beyond traditional metering. In some markets this is moving beyond energy metering and management to other services. The three globally dominant groups have now emerged as global leaders not only in metering but in energy measurement technology. They own the traditional big three meter companies, but also a whole range of companies offering other technologies. Landis+Gyr had revenue of 913.2 million in 2007, mostly in electricity metering and systems. The group owns Enermet, Ampy+Email and Hunt+Cellnet. ItronActaris had revenue of $1,910 million in 2008. In 2007 Actaris was sold to Itron of the United States and the new company ItronActaris emerged. Itron brought with it the leading position in electricity metering and AMI/AMR in the USA, and Actaris contributed strong positions globally in all utility sectors. Overall, in 2006 Elster was the largest of the three in value, with total revenue of $1,784 million (1.4 billion). (We do not have a more recent figure.) In electricity metering Elster is third in volume after ItronActaris and Landis+Gyr. Elster Group has acquired Coronis Systems, French developer of ultra-low-power wireless solutions founded in 2000, with the objective of expanding its AMI capability. The United States, China, and India are markets in a category different from others in that they are so large and either have or are developing such strong meter industries that they are to a degree self-contained. As previously mentioned, the largest supplier of electricity meters in the United States is Itron. The second most important supplier of electricity meters in the US is General Electric (GE). As is often the case with US companies, the domestic market is so large that GE has failed to make significant inroads into export meter markets outside South and Central America. In China the large Chinese meter companies as mentioned above, dominate their own domestic market as well as being significant exporters. However, the bulk of Chinese exports are of cheap low quality meters. India has a strong local meter manufacturing capability, like China split between high and poor quality products, lead by Genus, Secure Meters, India Meters Ltd and Larsen & Toubro.
21
Overview, Continued
Manufacturers and company consolidations (continued) The Japanese meter market is sizeable and is dominated by the Osaki Meter Company, which has a 40% share of the domestic market. Japan has about twenty meter manufacturers. ABS monitors the metering industry and in each report we identify the rising stars, companies which are rising through the field and successfully penetrating first, regional markets and then the international market. Many of these companies are dominant in their own countries. These have two characteristics in common. Firstly, it goes without saying that they are ambitious. But we can take a lesson from history. All of the global big three originate from countries with small or medium sized markets; France, Germany, Switzerland. The first two were considered large markets until China and India appeared on the world stage. It is interesting that GE and Osaki have not made global impacts in the metering markets, nor have the Chinese and Indian companies in quality markets. The last four categories of companies all have one thing in common, they have huge home markets. Is that the dis-incentive to expansion overseas? We have identified six companies which are already making their mark outside their own countries and with one exception they are located in countries without giant markets, indeed some of their home markets are rather small. El Sewedy is in our view the rising metering company which is making the largest impact internationally. It has arrived on the international scene very recently and is now the equal fifth largest meter company in the world in sales value. El Sewedy has emerged very quickly in the last two or three years to become a major competitor in the international meter industry. As the dominant meter company in Egypt, with a 50% share, El Sewedy may also diversify into gas and water metering. The company has ambitious plans for international expansion in several regions and is poised to move into the top ranks of meter suppliers. El Sewedy sells meters to 70% of African countries, supplying them from its factories in Egypt, Ghana, and Ethiopia and Zambia. The company is also expanding its presence in the Middle East with a factory in the UAE and is exporting pre-payment meters to India, where it is also building a factory. El Sewedy first attracted international attention with its acquisition of Iskra of Slovenia in 2006. Iskra had financial difficulties running up to 2006 and with a 2% 3% share of the global electricity meter market was seeking a partner. Iskra has a significant share of the European market with a presence in almost all countries and a 20% market share in Germany, 37% in the Netherlands, 13% in Switzerland, 12% in Austria and 5% in France. Energomera is the leading company in the Russian market with a 38% share in 2008. Energomera has increased its market share each year for the last five years and is now the dominant supplier in Russia and also in the Ukraine. The company is a significant meter producer by international standards, among the top 10 in the world in value of meter sales. If the large Chinese companies are not included in the ranking, because they do not compete in the international market as opposed to regional markets in the developing countries, Energomera ranks as tenth in sales value.
22
Overview, Continued
Manufacturers and company consolidations (continued) Apator SA owns Pafal SA, Metrix SA, the leading supplier of gas meters in Poland and Powogaz, the leading water meter supplier. Grupa Apator is a Polish capital group operating in the switchgear and metering markets, making both electromechanical and solid state meters. It consists of 8 entities, 6 domestic and 2 foreign ones. Grupa Apator is actively seeking to expand in foreign markets and ahs been active in neighbouring countries, including the CIS. ZPA is a Czech company and has the leading share in the Czech Market with 45%. Initially, the company focused on ripple control receivers, and ZPA is one of the leading producers of these systems today. In the late 1990s, production was expanded to include solid state meters, initially under a Swiss license but today ZPA develops and produces these systems independently. The leading player in the Romanian meter market is AEM SA with a share by value over 81%, which is successor to Luxten Lighting Company AEM Timisoara (LLC AEM), a state-owned company which was privatised in 1998. AEM is Romanias market leader in metering. The company manufactures electricity, gas, water and heat meters, meter calibrating equipment and automatic meter-reading systems, as well as lighting equipment and maintenance products. AEM is active in neighbouring countries in south-eastern Europe.
Outlook
It is not necessary to describe the financial and economic problems which are affecting most of the world at present, but we cannot ignore them. In recent months ABS has discussed the outlook for the meter industry with a number of executives in the meter industry. There are both positive and negative factors to the situation, which we discuss below. However, one thing was common to all the discussions, and we would add, to similar conversations we have had with companies in other sectors of the electrotechnical industry. After talking about the various factors affecting the industry everyone admitted they simply do not know what is going to happen. We propose to outline some factors which we believe to be important but not to make a judgement on the outcome. We are presenting the analysis in this report on a BAU (business as usual) basis. There are some factors specific to the energy sector and specific to electrical supply. Positive and negative factors Positive Most companies in the transmission and distribution, and metering industries reported good results for the last quarter of 2008. Revenue was satisfactory. This is largely a result of the escalation of orders in 2007 and 2008 throughout the industry. Already long lead times in the business have been stretched out further. These have been extended in the last two years because of shortages of raw materials on the supply side and many contracts have been drawn out. This has acted to the advantage of the metering industry in the present economic situation and it will carry on into 2009.
23
Overview, Continued
Outlook (continued)
Positive The most important driver in the meter industry at present is the rush to install advanced metering systems in whole countries and cities. Many of these have been decided on in 2007 and 2008, for launch in 2010 and 2011, after about two years planning and system design. Thus the need for finance will not come for another two years, when hopefully there will a recovery under way. Positive Many metering companies are encouraged by the US fiscal stimulus and similar schemes in other countries. A caution we must add here, is that it is not by any means assured that all countries will be able to finance these ambitious plans. Germany and Britain have already suffered failed gilt auctions. Successful bond issues may become increasingly difficult for governments to achieve. Positive The metering business is more than ever concerned with conserving energy. In the current economic climate that is a very good place to be. Positive ABS is building a database of national or city level AMI projects in the pipeline and so far we have identified just 32 projects covering 416 million endpoints by 2015. Of these 69% have been mandated by government and 31% by utilities. Some of the government mandated projects involve financial support but a government mandate can include other financial measures to aid the project. Although it is very possible that in the current situation some governments will run out of money, they are more likely to be able to support these large investments than utilities which are dependent on revenues. Negative A negative and worrying side of this is that many companies, while they still have a plentiful backlog of orders to fulfil, reported a slow down in larger new orders. In the normal course of business this suggests a possible slow down in about 12 months. This has been reported especially in the US. Negative Pressure on credit is extremely tight, but easing. Negative The crisis is now well into its second stage, having moved beyond the initial financial collapse into a manufacturing meltdown. We hear many reports of crisis in the manufacturing sectors of exportdriven economies like Germany, Japan, Korea and Taiwan and the meltdown of the freight business with Capsize vessels laid up in many ports. Every reader of this report knows this, but what is relevant to the electricity and metering industry is that this has already led to shrinkage of revenue in the electricity utilities. In most industrial countries about one third of revenue from power sales is from the industrial sector. In China it is a staggering 75%, and in Russia 50%. China has recently announced the largest advanced metering project roll-out in the world, in the next five years.and this is to be financed with governemtn money, so it will hopefully not be adversely affected.
24
2.0 Meter population and demand

2.0 Meter population and demand
Overview In 2008, there were 1,698 million electricity meters installed in the world. Annual demand in 2008 was 129 million meters. This will rise at an unprecedented annual rate of 8.1% to 176 million meters in 2012. The value of the market will rise even faster, from 3.4 billion ($5.0 billion) in 2008, at an annual rate of 18.0% to 6.6 billion ($8.4 billion) in 2012.
9,000,000,000 8,000,000,000 7,000,000,000 6,000,000,000 Value $ and euro 5,000,000,000
200,000,000 180,000,000 160,000,000 140,000,000 120,000,000 100,000,000 Meter units
4,000,000,000 80,000,000 3,000,000,000 2,000,000,000 1,000,000,000 0 $ euro Units 60,000,000 40,000,000 20,000,000 0
2008 4,993,418,164 3,396,883,124 129,000,402
2009 5,327,948,715 4,194,909,611 137,589,467
2010 6,233,811,708 4,908,181,125 147,936,873
2011 7,036,348,323 5,540,093,158 158,904,348
2012 8,357,991,433 6,580,750,328 176,038,489
Overview (continued)
61% of this demand (units) is in Asia, and out of that 40% is in China. The rate of growth (in units) will be highest in Europe at an average of 15.6% a year, followed by Asia at 8.7%. The lowest growth will be in the CIS with only 0.5% a year. The entire meter stock of Russia will be replaced by 2011/12 so we do not anticipate the market speeding up. The reason for this extraordinary growth is the surge of decisions by government and utilities to invest in advanced metering, mostly nationally or in some case in large cities. ABS has identified 32 countries making large investments in advanced metering, 18 of them in Europe. The installed base of AMI units in these 32 countries alone will increase from 16.6 million in 2009 to 416 million in 2015. In the intervening period there will be many more projects. Some of these projects extend beyond 2015 and the total will reach 373 million. The impetus for these massive installations comes from governments and utilities. 15 of the projects have been initiated by utilities and will account for 130 million end points by 2015 and 17 have been initiated by governments, accounting for 286 million endpoints in 2015.
25
2.0 Meter population and demand, Continued

Timetable for advanced metering deployments up to 2015 (current information)
1,200
1,000
800 Million endpoints
600
400
200
0
19 90 19 91 19 92 19 93 19 94 19 95 19 96 19 97 19 98 19 99 20 00 20 01 20 02 20 03 20 04 20 05 20 06 20 07 20 08 20 09 20 10 20 11 20 12 20 13 20 14 20 15
AMR
AMI
Deployments
The first national scheme was in Italy, for which the moving force was ENEL, not the Italian government and this was decided before the current fears about security of supply and energy efficiency had assumed their present importance. In quick sequence, the Swedish government demanded monthly meter readings, then the provincial government of Ontario, the state governments of California in the US and Victoria in Australia. In Scandinavia the utilities in the other countries in the region started to follow the example of Sweden on their own initiative and now Denmark and Finland are already well on their way to having national AMI coverage. Norway is lagging behind its neighbours but the Norwegian Energy Authority has advised the government that it should mandate advanced metering in Norway. These schemes vary in their objectives. All cater for electricity, but some also include gas, water and heat. The largest planned is in China, which will cover 170 million consumers. This amounts to about half the customer base in China and it has not been announced what will be done with the remaining consumers. The most inclusive is a relatively small scheme in Greenland, which covers electricity, gas, water and heat and covers the entire population of 43,000 households. In Europe Italy has already established its national AMI network covering 36 million consumers, the first of its kind in the world. France has announced a deployment of 32 million, Spain of 27 million, the UK 29 million, Netherlands 7.5 million. The UK deployment will also measure gas, with a total of 49 million meters for both electricity and gas. In Asia, the Korean government has announced a decision to establish a Homenet, incorporating many home services with energy measurement and management in 22 million households.
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Table 2.1: Countries deploying large advanced metering projects
Country China Italy United Kingdom France Spain Korea, South United States Taiwan Japan Netherlands Germany Portugal Canada Sweden New Zealand Finland Ireland Chile Denmark Norway Indonesia Russia South Africa Austria Australia Greece United Arab Emirates Poland Malta Estonia Greenland Belgium EL EL EL, G EL EL Homenet, EL EL, G, W EL EL EL, G EL EL EL, G EL EL EL EL EL EL EL EL EL EL EL, G EL, G EL EL EL EL EL EL, G, W, H EL, G Utility Endpoints 170,000,000 37,000,000 29,000,000 32,000,000 27,000,000 22,000,000 20,100,000 12,400,000 >20,000,000 7,500,000 7,148,113 6,500,000 4,300,000 4,300,000 4,000,000 3,200,000 3,000,000 3,000,000 2,900,000 2,600,000 1,500,000 550,000 420,000 400,000 400,000 325,000 200,000 160,000 159,000 150,000 43,000 ni
27

Demand The following table compares the annual meter demand in 2008 with the total number of customers in each country. The following tables for Europe and Asia show a consolidation of the meter sales from 2008 to 2012 by category. These are derived from the combined totals of 27 European countries out of a total of 35, contributing 93% of demand in Europe. These countries were surveyed in detail. In Europe, demand for electromechanical meters will fall from 19% of all meters sold in 2008 to 3% in 2012 and basic electronic meter will decline from 43% to 11%. In contrast residential AMI meters will escalate from 20% to 79%.
Table 2.2: Composition of demand in 27 leading European countries

2008 Units Euro Residential Electromechanical Electronic Ripple control AMR AMI Prepayment C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 2,633,745 67,039,030 7,203,500 154,164,500 36,000 2,230,000 37,500 2,565,000 2,782,660 211,921,400 684,030 49,223,420 655,590 111,099,860 5,927 8,752,420 2,212,303 55,344,906 6,830,300 131,247,200 36,000 2,230,000 47,500 3,465,000 2,851,400 231,852,300 467,300 31,995,200 655,325 104,571,375 4,580 7,736,900 1,690,260 42,634,580 5,858,750 125,791,500 36,000 2,230,000 45,500 3,100,000 6,051,900 403,575,500 426,400 28,750,200 551,416 93,982,844 4,020 6,886,500 1,089,260 25,375,580 4,612,550 96,504,000 36,000 2,230,000 32,500 2,260,000 10,420,700 669,107,500 284,300 19,467,140 537,710 93,123,070 3,990 6,815,800 739,000 16,327,000 3,951,300 83,874,500 36,000 2,230,000 30,500 2,080,000 20,221,000 1,324,663,000 167,300 11,904,140 509,800 88,568,000 3,955 6,789,800 14,038,952 606,995,630 2009 13,104,708 568,442,881 2010 14,664,246 706,951,124 2011 17,017,010 914,883,090 2012 25,658,855 1,536,436,440
In Asia the consolidation is of the 10 major countries contributing 96% of demand. In Asia, demand for electromechanical meters will decline from 32% of all meters sold in 2008 to 9% in 2012 and basic electronic meter will decline from 48% to 22%. In contrast residential AMI meters will escalate from zero to 55% by 2012. This is mainly in three countries, China, Korea and Taiwan.
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Table 2.3: Composition of demand in 10 leading Asian meter markets
2008 Electromechanical Electronic Ripple control Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 23,245,000 221,720,000 37,860,000 347,850,000 0 0 6,521,500 86,270,000 220,000 17,600,000 2,540,000 52,060,000 4,263,000 383,065,000 29,875 46,081,000 2009 14,734,750 164,171,700 24,550,000 255,490,000 0 0 4,527,000 60,710,000 32,317,001 737,520,000 2,563,000 53,900,000 4,975,000 441,585,000 35,165 51,758,000 2010 9,506,086 122,042,297 25,206,000 269,148,000 0 0 4,530,000 60,925,000 43,545,002 1,163,650,000 2,700,000 63,060,000 5,447,000 484,045,000 35,865 52,220,000 2011 7,729,049 104,732,246 22,878,500 264,166,500 0 0 4,530,000 60,925,000 54,280,003 1,411,125,000 2,870,000 74,110,000 5,664,000 501,145,000 36,365 52,550,000 2012 7,653,684 101,842,016 22,020,500 265,522,500 0 0 4,530,000 60,925,000 60,600,004 1,633,125,000 3,130,000 91,010,000 6,026,001 530,249,205 37,365 53,210,000
Some countries are convernig from electromechanical meters to basic electronic meters. India has legislated for a total conversion from electromechanical to basic electronic meters over a period of years to conform to State and Energy Authority programmes, and Indian meter production is now converting to solid state products. Iran has announced a conversion to residential solid state meters over a period of twenty years, and has formed a partnership between the main state-owned meter manufacturer in Iran and Actaris to jump-start its relatively small production of solid state meters. There remains a large base of electromechanical meters in the world but it is being whittled down steadily, and sooner than expected in view of the stranded cost involved.
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Table 2.4: The customer base of electricity consumers and annual demand, 2008
Country United States Canada Mexico North America Albania Austria Belgium Bosnia and Herzegovina Bulgaria Croatia Cyprus Czech Republic Denmark Estonia Finland France Germany Greece Hungary Iceland Ireland Italy Latvia Lithuania Luxembourg Macedonia Malta Netherlands Norway Poland Portugal Romania Serbia and Montenegro Slovakia Slovenia Spain Sweden Switzerland Turkey United Kingdom Europe Total Consumers 147,419,565 13,000,000 33,631,061 194,050,626 830,002 5,368,537 5,059,000 1,280,002 5,313,879 2,250,002 448,738 5,675,689 2,922,053 500,002 3,248,724 33,451,604 44,956,943 7,450,000 5,521,273 130,002 2,298,815 37,275,981 1,100,001 1,390,091 163,942 650,000 246,000 7,528,191 2,634,751 16,332,790 6,591,597 8,726,004 3,300,000 2,250,000 876,683 27,360,580 5,263,131 4,000,000 29,874,620 28,500,002 310,769,627 Sales in 2008 10,042,000 1,896,500 1,885,800 13,824,300 63,643 133,770 231,500 54,803 621,100 142,145 29,409 357,640 275,200 23,950 337,200 936,300 1,470,650 323,460 633,550 7,972 38,060 1,455,610 50,890 168,400 7,091 36,983 14,088 301,161 168,700 662,620 237,040 579,816 297,100 52,960 36,005 1,399,500 297,100 205,250 1,171,500 1,870,020 14,692,185
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Table 2.4: The customer base of electricity consumers and annual demand, 2008 (continued)
Country Armenia Azerbaijan Belarus Georgia Kazakhstan Kyrgyzstan Moldova Russia Tajikistan Turkmenistan Ukraine Uzbekistan CIS Bahrain Iran Iraq Israel Jordan Kuwait Lebanon Oman Palestine Qatar Saudi Arabia Syria United Arab Emirates Yemen Middle East Afghanistan Australia report water meters Bhutan Brunei Cambodia China Fiji Hong Kong India Indonesia Japan Korea, North Korea, South Laos Macau Malaysia 7,355,000 Total Consumers 700,000 1,300,000 3,700,000 1,700,000 5,200,000 1,055,437 1,400,000 66,000,000 900,000 800,000 18,500,000 4,800,000 106,055,437 235,000 20,000,000 2,912,000 2,519,976 1,372,483 385,000 1,205,576 632,064 1,440,532 150,000 5,567,394 5,063,721 1,324,003 1,475,805 44,283,553 234,000 10,134,048 10,947,964 22,364 57,333 393,824 385,000,000 135,040 2,750,000 144,000,000 40,502,776 88,051,445 5,500,000 22,217,471 649,625 Sales in 2008 51,552 128,776 185,992 84,083 346,710 49,824 63,225 5,838,000 48,201 47,559 776,250 261,901 7,882,073 9,151 1,338,050 414,635 196,553 65,466 29,963 87,322 37,598 18,542 11,573 537,692 300,066 94,346 218,043 3,359,000 34,804 395,550 423,595 3,036 3,283 19,938 52,025,000 5,975 121,949 13,604,500 1,528,030 3,300,100 227,475 300,050 59,073 10,054 412,040
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Country Maldives Mongolia Myanmar Nepal New Zealand Pakistan Papua New Guinea Philippines Singapore Sri Lanka Taiwan Thailand Vietnam Asia Pacific Algeria Egypt Libya Mauritania Morocco Sudan Tunisia Mahgreb Angola Benin Botswana Burkina Faso Burundi Cameroon Cape Verde Central African Republic Chad Comoros Congo Republic Congo DR Cote d'Ivoire (IvoryCoast) Djibouti Equatorial Guinea Ethiopia Gabon Gambia, The Ghana Guinea Guinea-Bissau Kenya 254,545 110,000 320,451 25,000 545,500 58,000 15,000 32,000 40,000 109,000 360,000 520,000 700,050 10,600 1,396,000 180,000 75,000 1,580,000 166,000 8,000 650,000 Total Consumers 41,000 220,000 1,000,000 1,684,200 1,484,510 18,996,355 224,000 14,580,000 1,132,000 4,352,550 12,387,370 18,352,498 66,016,891 858,422,263 6,547,480 24,439,112 1,214,428 75,000 6,979,973 1,280,625 3,144,315 43,680,934 Sales in 2008 3,588 24,161 46,402 152,219 290,520 1,192,242 11,886 625,540 62,128 271,136 427,025 932,040 1,525,050 78,038,391 330,000 1,316,040 66,212 7,412 348,000 84,000 158,000 2,309,665 17,494 19,583 6,531 17,793 1,876 30,000 4,300 1,041 2,049 3,047 12,193 28,889 24,724 29,082 863 196,000 12,279 3,982 149,971 11,193 517 57,191
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Country Lesotho Liberia Madagascar Malawi Mali Mauritius Mozambique Namibia Niger Nigeria Rwanda Sao Tome and Principe Senegal Seychelles Sierra Leone Somalia South Africa Swaziland Tanzania Togo Uganda Zambia Zimbabwe Sub-Saharan Africa Argentina Bolivia Brazil Chile Colombia Ecuador Guyana Paraguay Peru Suriname Uruguay Venezuela South America Bahamas, The Barbados Belize Bermuda Virgin Islands, British Cayman Islands Costa Rica Cuba Total Consumers 45,000 30,000 218,000 160,000 260,000 357,000 255,000 2,455 90,000 4,500,000 25,000 25,000 698,000 127,000 47,000 85,000 7,431,440 47,000 593,220 80,000 301,000 260,000 585,000 23,377,261 10,125,800 2,079,360 55,842,150 4,742,867 9,394,706 3,983,677 134,000 1,125,714 4,761,632 78,000 1,373,520 8,515,435 102,156,862 65,000 116,000 70,000 35,000 12,645 20,000 1,152,930 4,270,000 Sales in 2008 2,867 3,426 17,000 10,672 22,020 28,000 57,000 444 5,902 240,000 4,541 1,271 61,530 10,500 2,307 6,808 564,120 2,738 46,633 16,785 22,021 21,000 37,911 1,816,094 508,235 101,830 3,601,800 259,100 591,039 258,180 8,715 63,738 305,582 5,004 84,610 303,516 6,091,348 3,600 6,062 3,791 4,287 646 1,019 69,893 217,079
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Country Dominican Republic El Salvador Grenada Guadaloupe Guatemala Haiti Honduras Jamaica Netherlands Antilles Nicaragua Panama Puerto Rico Saint Lucia Trinidad and Tobago Central America & Carribean World Total Consumers 935,000 1,507,298 35,000 140,000 1,798,610 475,000 909,060 564,000 65,000 611,402 709,214 1,388,478 50,000 364,000 15,293,637 1,698,090,200 Sales in 2008 74,349 112,022 2,544 8,149 147,629 22,416 94,114 27,390 3,931 60,743 49,067 56,599 2,138 19,876 987,346 129,000,402
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3.0 Outlook and demand drivers

3.0 Outlook and demand drivers
Outlook It is not necessary to describe the financial and economic problems which are affecting most of the world at present, but we cannot ignore them. In recent months ABS has discussed the outlook for the meter industry with executives in the meter industry, as well as in the broader electrotechnicala industry. There are both positive and negative factors to the situation, which we discuss below. However, one thing was common to all the discussions. After talking about the various factors affecting the industry everyone admitted they simply do not know what is going to happen. We propose to outline some factors which we believe to be important but not to make a judgement on the outcome. We are presenting the analysis in this report on a BAU (business as usual) basis. There are some factors specific to the energy sector and specific to electrical supply.
Positive and negative factors
Positive Most companies in the transmission and distribution, and metering industries reported good results for the last quarter of 2008. Revenue was satisfactory. This is largely a result of the escalation of orders in 2007 and 2008 throughout the industry. Lead times which were already long have been stretched out. These have been extended in the last two years because of shortages of raw materials on the supply side and many contracts have been drawn out. This has acted to the advantage of the metering industry and will extend further into 2009. Positive The most important driver in the meter industry at present is the rush to install advanced metering systems in whole countries and cities. Many decisions have been taken in 2007 and 2008, for launch in 2010 and 2011, after about two eyars for planning nad design. Thus the need for finance will not come for another two years, when hopefully there will a recovery under way. (See below under a new Driver Advanced Metering.) Positive Many metering companies are encouraged by the US fiscal schemes in other countries. However, this may not be as seems. It is not by any means assured that all countries will be ambitious plans and in some countries there is political expenditure. Germany and Britain have already suffered Successful bond issues may become increasingly difficult achieve. Positive The metering business is more than ever concerned with conserving energy. In the current economic climate that is a very good place to be.
stimulus and similar straightforward as it able to finance these opposition to such failed gilt auctions. for governments to
35
3.0 Outlook and demand drivers, Continued

Positive and negative factors (continued) Positive ABS is building a database of national or city level AMI projects in the pipeline and so far we have identified just under 32 projects covering 416 million endpoints by 2015. Of these 69% have been mandated by government and 31% by utilities. Some of the government mandated projects involve financial support but a government mandate can include other types of financial measures to aid the project. Although it is very possible that in the current situation some governments will run out of money, they are more likely to be able to support these large investments. Negative A negative and worrying side of this is that many companies, while they still have plenty of orders to fulfil, reported a slow down in new orders in the last quarter of 2008. In the normal course of business this suggests a possible slow down in about 12 months. Negative Pressure on credit is extremely tight, but easing. Negative The crisis is now well into its second stage, having moved beyond the initial financial collapse into a manufacturing meltdown. This has specific implications for the energy bbusiness. We hear many reports of crisis in the manufacturing sectors of export driven economies like Germany, Japan, Korea and Taiwan and the meltdown of the freight business with Capsize vessels being laid up in many ports. Every reader of this report knows this, but what is relevant to this industry is that this has already led to a shrinkage of revenue in the electricity utilities. In most industrial countries about one third of revenue from power sales is from the industrial sector. In China it is a staggering 75%, and in Russia 50%. China has recently announced the largest advanced metering project roll-out in the world, in the next five years. We understand this will be funded by the government.
Drivers
Traditionally demand for meters has been driven by different factors in the developed and the developing world. In the developed countries the drivers were new construction and the replacement of aging meters as they reach the end of their design lives. In the developing countries, where the advent of electricity is much more recent, the drivers have been economic development and increasing electrification. In many such countries there is still relatively little replacement. Two other drivers existed to varying degrees. In both developed and developing countries there has been a trend to substitute electronic meters for electromechanical meters, more so in developed countries. The technology of meters has also been up-graded, mainly in developed countries, the principal example being AMR. Other technology up-grades such as ripple control, time-of-use metering, have also been introduced in some countries or cities. One important driver for AMR has determined the pattern of its geographical expansion, the frequency of meter reads. In the USA meters have traditionally been read with a high frequency so there has been a good business case for AMR. In most European countries reading is much less frequent so the business case loses much of its attraction. Many utilities are quite happy to bill in advance on estimated bills, with a yearly or two yearly reconciliation. The result of this has been that the US has lead the world in deploying 1-way drive-by AMR, with which the utility reads the users meter but cannot communicate with the user.
36

Drivers (continued)
A new driver - Advanced Metering All of this has changed with 2-way fixed network advanced metering. The utility can communicate with the user and vice versa, opening up a host of new functionalities. This, of course, cost more money. Quite a lot of regulators and utilities have conducted cost benefit analysis studies of AMR and AMI and their results have been broadly in agreement. Three conclusions stand out. Cost savings have been measured to the utility ranging from 0% - 15%. More cost benefits accrue to the customer than to the utility, if externalities are included. Consumers do learn to save energy, probably up to about 15%. This may not sound much but in 2007 the total revenue of all utilities was $347.8 billion. A saving of 15% would amount to $52 billion. Initially the reaction of the industry was rather lukewarm. But then several things happened which may have tipped the balance in favour of advanced metering. Enel installed a national AMI system in all households in Italy and announced after trials that it was delivering annual savings of 500 million for an investment of 2.1 billion. Secondly, security of energy supply became a compelling issue when Russia started to cut off gas supplies and oil price escalated. Thirdly, the environmental argument reached a new pitch of intensity. In the light of these developments, the arguments for the increased investment in AMI had to be reassessed. The result has been that some governments started to review advanced metering investments and started to legislate for them. This started in 2007 and moved ahead in earnest in 2008. By 2006 there were 114 million electricity AMR endpoints in the world, 55 million of them in the USA. According to FERC, about 6% of homes and businesses had AMI, which gives a total of about 9 million endpoints. We have counted the existing and planned AMI projects and these will amount to about 370 million by 2015. This demonstrates very clearly the level of activity in the last two years to move the technology ahead. However, the traditional drivers remain important for the part of the market not yet touched by advanced metering.
New household connections
The increase in the number of households is driven by two demographic factors, the growth in the population, and the reduction in household size. The population of the developed world has reached a plateau, where increases in some countries are being off-set by countries with declining populations. Populations in the developing world are increasing and are predicted to surge ahead. There is a world-wide trend towards smaller households. Today the range of household size across the world is wide, from the largest at over 6 members in Africa to the smallest nuclear households averaging 1.9 in Sweden. In the developed world the average has dropped from 2.9 members in 1985 to 2.4 in 2007 and in the developing countries it has fallen from 5.1 to 4.2.
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Figure 3.1: Population growth and household size in the developed and developing world, 1985 to 2030
7,000,000 6.0
6,000,000
5.0
5,000,000 4.0 Population 4,000,000 3.0 3,000,000 2.0 2,000,000 Hpusehold size
1,000,000
1.0
0 More developed regions Population Less developed regions More developed regions Household size Less developed regions
1985 1,114,217 3,723,141 2.9 5.1
2000 1,187,980 4,867,069 2.5 4.4
2015 1,214,394 5,939,972 2.2 3.8
2030 1,209,507 6,902,473 2.1 3.3
0.0
Source: UN World Population Prospects
Figure 3.2: Numbers of households by region, 1985 to 2030

1,600
1,400
1,200
Thousands of households
1,000
800
600
400
200
0 North America Europe 1985 2000 Asia 2015 2030 Africa Latin America
Source: UN World Population Prospects


New commercial and industrial connections Replacement of aging meters Commercial and industrial growth is fuelled by economic development.
The rate of replacement depends on two factors; the size of the installed base and the design life of the meters. This is a complex equation because at any one time it is the installed base in the year of installation which determines whether a meter is to be replaced. Additionally, the replacement lives differ for different types of meter. Electromechanical meters commonly have lives of 20-25 years, whereas solid state meters can have lives as short as 10 years for particular types, more commonly for 15 years. Conversion from electromechanical to basic solid state meters. The progression from electromechanical to solid state meters come s at two levels of technology. For some years, utilities have been replacing electromechanical meters with basic or dumb solid state meters. These do not have two-way communications capability. They offer the same functions with some technical advantages over electromechanical meters.
Prepayment meters
The use of prepayment meters is increasing and they are increasingly popular among both utilities and customers will grow much further. These can be electromechanical and in the past they were, but today are solid state.
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4.0 Terminology of meters

4.0 Terminology of meters
Overview Metering is undergoing a sea change. It used to be simply a means to measure the amount of electricity used by consumers so that they could be billed. It is becoming far more than this. Over the last century two basic types of meter evolved, each called by a number of different names.
Electromechani cal induction meters, also called mechanical or Ferraris meters
The electromechanical, or induction, meter was invented over a hundred years ago and has been the principal meter used around the world for revenue metering. This meter is also referred to as an induction or Ferraris meter, after its inventor. It is essentially a motor in which the speed is related to both the current passing through the motor and the applied voltage, which is why it is described as mechanical. In revenue metering, the meter must be accurate to better than 2% or 1% (depending upon regulatory requirements) over a specified load range. Electromechanical meters are reliable, but exhibit a tendency to run slower over time due to the build-up of friction in the mechanical elements. They typically last for 20 to 30 years with an average of around 25 years. There are electromechanical meters aged 40 to 50 years still in operation, mostly in countries with strong engineering traditions such as Germany, Sweden and the USA. Electromechanical meters have difficulty metering very low loads with accuracy. The meters are more susceptible to tampering than the solid state meters that are succeeding them, and this is an important factor in the developing markets, where revenue theft is a significant factor.
Solid state, also called static, or electronic
The term solid state refers to an item that performs its function without moving parts. The solid state electricity meter has no mechanical parts and uses electronic circuits to measure power. Solid state meters have greater functionality than electromechanical meters and are the platform for advanced metering. The electricity marketplace has already transitioned from electromechanical to solid-state meters for more complex applications such as metering for commercial and industrial customers and transmission and distribution metering. Solid-state electricity metering at the residential level is only now beginning to gain some significant penetration.
Digital meters
A digital meter is a solid state meter which displays this usage on a liquid crystal display (LCD). A dial meter has on its face a revolving disk and a series of dials and pointers. Electromechanical meters traditionally use revolving dials. These two basic types have evolved with a number of refinements in recent years.
Time of use meters (TOU)
Time of Usage (TOU) metering involves dividing the day, month and year into tariff slots and with higher rates at peak load periods and low tariff rates at off-peak load periods. While this can be used to automatically control usage on the part of the customer (resulting in automatic load control), it is often simply the customers responsibility to control his own usage, or pay accordingly (voluntary load control). This also allows the utilities to plan their transmission infrastructure appropriately.
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4.0 Terminology of meters, Continued

Demand meters The cost of supplying electric service not only depends on the amount of energy (kWh) consumed, but also on the power requirement of a facility, known as electric demand. Electric demand is the maximum amount of electricity used at any single point in time by a facility. Demand is measured in kilowatts (kW) by an electric demand meter. The highest level of electric demand during a billing month is called the peak demand. Demand charges recover a portion of the cost of providing the generating capacity and equipment needed to supply a customer's peak electrical demand and the monthly bill includes a charge for kWh of energy and kW of demand. The demand portion of the charge is based on the peak demand recorded in kW during the billing month.
Demand Response
Demand response is the reaction (usually a reduction of energy use) by a consumer at times of peak energy usage in response to a price signal or contract term. Demand response is a market based solution to address system pricing, supply or reliability conditions.
Automatic Meter Reading (AMR)
This term broadly encompasses any form of automation of the meter reading process, including drive-by and hand-held meter reading systems. Historically, meters were read by a human that visually read the meter dials and wrote the digits on a paper pad for later manual data entry. A form of remote meter reading was developed in the 1980s that uses low power, unlicensed radio transmitters (communication modules), embedded in the meter. These modules periodically transmit a message that corresponds to total energy accumulation. There have been many developments in AMR technology and they range from hybrids when humans are involved in drive-by and walk-by systems and completely automated systems using rain, telephone lines, power lines and WIF technology. The sea change which is now happening comes with the advent of advanced meters, loosely termed, smart meters. AMR is not necessarily smart metering because it only requires data to be sent one way.
Advanced meters
Advanced meters are those that have the capability to measure and record interval data (at least hourly for electricity), and communicate the data to a remote location in a format that can be easily integrated into an advanced metering system. An advanced metering system has the capability to accept data from one or more advanced meters, and process the data into information on energy use, which can be used to develop appropriate management action.
Advanced Metering Infrastructure (AMI)
The term Advanced Metering Infrastructure applies only to fixed network systems and requires two-way communication. Fixed network systems dramatically reduce or eliminate the need to have personnel in the field for meter reading. A fixed network is any communication network that is in place all the time (is not moving) and reaches the meters. The meters are equipped with communication capabilities, usually by radio or power line.
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Advanced Metering Infrastructure (AMI) (continued) Most fixed network systems can read any meter any time, and support a wide variety of complex rates. These systems have proven to have value that extends far beyond simple meter data acquisition. The capabilities of a fixed network system are far greater than those of a drive-by system, but a drive-by system is simpler and has a lower initial acquisition cost. To avoid the confusion that arises when drive-by systems are referred to as automatic meter reading (AMR), a new term was coined to describe fixed network systems. That term, Advanced Metering Infrastructure (AMI), is rapidly gaining acceptance. It applies only to fixed network systems capable of supporting complex rates.
Smart meters
Smart metering means different things to different people. Broadly, it is a concept embracing two distinct elements; meters that use new technology to capture complex energy use information, and communication systems that can capture and transmit energy use information as it happens, or almost as it happens. Competition in the energy market first drove the need for better meters. For large industrial consumers, it became cost effective both to install sophisticated metering that measured consumption over specific times of day; and to access the resulting data over a telephone line. Such capability was out of reach for residential customers who continue, largely, to rely on manual readings with profiling to estimate consumption at different times of day. This is beginning to change. Smart meters are being introduced even at a residential level, due to a mix of technological improvements, political pressure and innovative commercial approaches. The term smart meter covers a mix of capabilities. As opposed to dumb meters, smart meters have one over-riding characteristic; two-way communications, which give service providers more information whilst at the same time enabling them to transmit commands back to the meter, for example, to cut off or restrict supply. Dumb meters only have one-way communication. Smart meters may have other capabilities, such as the ability to interact with consumption and tariff, enabling the meter to display consumption in terms of money as well as energy They may have routing capabilities enabling the meters to act as communications hubs, routing traffic to other devices, enabling communication over longer distances that would be impossible otherwise, or connecting gas and water meters, where power requirements restrict communications capability. Smart metering, however, is more than installing some new, though undoubtedly clever, meters. By using the rich, real-time data and the command capability provided by smart meters across the business, utilities can achieve a host of benefits. These include more accurate bills, better grid management, more accurate forecasting and lower operational costs. There is no single successful approach to smart metering. The appropriate blend of business processes and technology employed will depend, amongst other things, on the objectives that have been set, the structure of the business and the nature of the customer base.
Ripple Control
Utilities can partially control peak demand by installing a ripple control receiver and device which enables the utility to switch down power or to switch it for specified appliances off when it wishes. It cannot single out individual end points but sends a message to all ripple control receivers or meters attached to that type of appliance within its area of control. In this report wee have included ripple control meters in the meter tables, but not ripple control receivers.
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Ripple Control (continued) Typically water heaters and night storage heaters are controlled this way. Because they are storage appliances ripple control can be used without affecting the consumer, and usually the consumer will not even be aware of it. Ripple control involves communication one way from utility to a class of appliances, not to or from individual users, as in AMR, so it is not classified as either 1-way or 2-way communication capable.
Meter Data Management (MDM) Communication modules
Advanced meters provide a lot of data and it is a separate task to manage this. MDM software enables the full use of all the data in varying functions.
It is sometimes assumed that AMR can only be operated with solid state meters. This is not the case. Electromechanical meters can be retrofitted with a communication module to provide AMR capability. The standard electric meter has no communication capability. It must be added. Electromechanical meters are not densely packaged, and typically contain enough empty space to allow a half-moon shaped communication retrofit module to be added. The retrofit module usually contains optical sensors that detect the revolutions of the rotating disk in the induction meter, and the module periodically (or upon request) transmits the accumulated total of disk revolutions, from which consumption is readily calculated. Modules are available from many vendors to fit most induction meters manufactured since the mid 1970s. Today most utilities find it cheaper to buy new solid state meters suitable for AMR and to substitute them.
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5.0 Meter companies Big players and rising stars

5.0 Meter companies Big players and rising stars
Overview As pointed out in the last edition of this report, recent years have seen a consolidation of meter companies, as has been the case in many industrial sectors. These consolidations started first to address over capacity of production in the meter industry and then to grasp the opportunities offered by new technologies. These new technologies do not simply consist of technically better meters but of more advanced systems within which the meters operate. The years 2006 and 2007 saw this development coalescing. 2008 has seen the industry take up this capability, in a wave of decisions by governments and utilities to move to the next generation energy measurement, advanced metering systems.
The origins of the metering industry electricity, gas and water
For the last hundred years the meter industry has been dominated by half a dozen large manufacturers, producing classical products with technologies refined but essentially unaltered since the early 1900s. The global market was dominated by three companies; Landis+Gyr, Actaris and Elster. Actaris is now ItronActaris after being acquired by the dominant US electricity metering and AMR/AMI Company, Itron. In the same way that Elster and Landis+Gyr have each absorbed a number of other meter and technology companies under the one mark, Elster or Landis+Gyr, it is expected that Actaris will become Itron International. These three companies have changed hands and have been through many permutations but they still remain core players in the global meter industry, albeit with a very different complexion and can claim with some justification to be central to the history of the industry to date. ItronActaris is involved in electricity, gas, water and heat metering. Elster is strong in gas and water, to a lesser but still significant extent in electricity, and not in heat metering. Landis+Gyr is primarily involved in electricity metering, with a small involvement in gas and heat. All three companies have extensive systems and technology resources: Landis+Gyr The company has revenue of 913.2 million in 2007, mostly in electricity metering and systems. Landis+Gyr was founded in Switzerland in 1896. The company was bought by Siemens in 1998 who sold it to KKR in 2002. It was bought by its present owner, Bayard Group of Australia in 2004. In 2004, Bayard acquired Landis+Gyr of Switzerland, followed by Ampy+Email of Australia. In 2005, Bayard bought Hunt Technologies, the US-based AMR Company. In 1994, Hunt Technologies launched the first power line carrier-based AMR system to be broadly deployed by electric utilities. Since then, the company has added a radio frequency-based mobile AMR system and a multi-utility system that reads electric, water and gas meters. In 2006, Bayard bought Enermet of Finland. Enermet is leader in providing AMR and AMI Systems in Scandinavia which is a leader in advanced metering technology and had a 10% share of the European market.
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5.0 Meter companies Big players and rising stars, Continued

The origins of the metering industry electricity, gas and water (continued) Cellnet, a leading provider of utility advanced metering and communications solutions, was acquired in 2007 and is Bayards largest acquisition to date. Cellnet provides intelligent communication and automation solutions to energy and water businesses worldwide. The company's offerings include AMI, in-premise networks, AMR, SCADA and distribution automation. Cellnet's has over 14 million endpoints under contract and contracted revenue of over $2.2 billion over the next 15 years. In June 2007 meter2cash was acquired. In 2009 Bayard Group changed its name to Landis+Gyr Holdings. ItronActaris ItronActaris had revenue of $1,910 million in 2008. Actaris owes its origins to a partnership founded in France in 1872 making gas meters. This became the Compagnie de Compteurs in 19000, and was taken over by Schlumberger in 1970. The company acquired many smaller meter companies. In 2001 Schlumberger ceased its meter activities and Actaris came into existence in a leveraged buy-out. In 2007, Actaris was sold to Itron of the United States and the new company ItornActaris emerged. Itron brought with the leading position in electricity metering and AMI/AMR in the USA, and Actaris contributed strong positions globally in all utility sectors. Itron has provided handheld computer meter data collection systems used by meter readers since the companys foundation in 1977 and automatic meter reading (AMR) since 1986. In July 2004, Iron acquired Schlumberger's electricity metering business (SEM), founded in 1899, which included electricity meter manufacturing and sales operations in the US) and the electricity meter operations of certain foreign affiliates of Schlumberger in Canada, Mexico, Taiwan and France. As a result of this acquisition, Itron became the largest supplier of electricity meters in the US. In 2006 acquired Flow Metrix, a developer and manufacturer of advanced leak detection systems for underground pipelines. Its MLOG leak detection system uses acoustic sensors to detect water loss from water distribution systems, which combined with AMR technology enables the monitoring of water pipelines. Also acquired in 2006 were Quantum Consulting, a Berkeley-based consulting group, particularly in the area of efficiency and demand-response planning, and ELO Tecnologica, a leading distributor (and now manufacturer) of meters and AMR equipment in Brazil and elsewhere in South America. In 2007 Itron purchased Actaris, one of the top three meter manufacturers in the world, taking the company into number two position globally. Elster Group Overall, in 2006 Elster was the largest of the three in value, with total revenue of $1,784 million (1.4 billion). (We do not have a more recent figure.) In electricity metering Elster is third in volume after ItronActaris and Landis+Gyr. Elster has the most complex genealogy of the big three meter companies. It originates from the merging of some of the oldest companies in the metering industry. American Meter Company (AMCO) was founded in Pennsylvania in 1836, Elster Meters was founded in Berlin in 1848, G. Kromschroeder AG was established in Osnabruck in 1865, Kent Water Meters was founded in London 1885 and Westinghouse Electricity Metering Company founded in Raleigh, North Carolina in 1894. In 1985 Ruhrgas acquired Elster Gas Metering and AMCO in 1988 and Instromet in 2001.
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The origins of the metering industry electricity, gas and water (continued) In 1990 ABB began operations in 1988 following a merger of Asea and Brown Boveri. ABB purchased majority shareholding in the Kent Group in 1990. In 1996 ABB-UK acquired GEC Meters Ltd in the UK and the company was renamed ABB Metering Systems Ltd. Westinghouse Electricity Metering Company was bought in 1997. In 2002 ABB Electric and Water Metering was sold to Ruhrgas to create Ruhrgas Industries. Ruhrgas Industries was sold to CVC Capital in 2003 and the Elster Group was formed. Elster Group has acquired Coronis Systems, French developer of ultra-low-power wireless solutions founded in 2000, with the objective of expanding its AMI capability with Coronis' radio frequency-based AMI technology that applies to water and gas utility networks. Coronis' Wavenis technology also augments Elster Integrated Solutions (EIS) existing EnergyAxis AMI solutions.
The metering industry in 2009
In 2009, the global metering industry is still dominated by these three groups, but in a different configuration from the past. The first steps in this progression started several years ago as the leading traditional meter manufacturers, described above, changed hands and re-invented themselves. Following their strategic policies to move on from classical products, ABB and Siemens withdrew from the meter business. It was a situation similar to that of cables, both industries suffering from over-capacity and declining prices, and facing competition from new directions. The industry has seen that its future lies in providing the technology for two way communications and smart capabilities, far beyond traditional metering. In some markets this is moving beyond energy metering and management to other services. For example, Japanese utilities are offering services which are not directly related, such as burglar alarm warnings when occupants of homes are absent and energy is used by intruders; a watch service for elderly people and students, remote control of household appliances. Korea will set up a comprehensive home net in the next five years offering functionality far beyond energy measurement. Meters are, of course, an essential constituent of this service but advanced products are now engineered far beyond the limitations of classical meters. The industry has bifurcated into two types of supplier; the large companies which offer all aspects of energy management and measurement and small suppliers of meters only. Large utilities are tending to buy from the large, all-embracing suppliers because they need more than simply to purchase meters and also require a higher level of financial backing from contractors. The smaller suppliers are still selling to smaller, regional and local utilities. They are also being acquired by larger meter companies and they are seeking to move up technology chain, either as part of a larger group or independently. Three globally dominant groups have now emerged as global leaders not only in metering but in energy measurement technology. They own the traditional big three meter companies, but also a whole range of companies offering other technologies. With these groups it is not always possible to split revenues between the three utility sectors and they are each involved in all three. This is compounded by the trend, albeit slower than originally envisaged toward multi metering.
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Market shares When combined, ItronActaris had the largest share in meter sales by value at 17% of the global total, followed by Landis+Gyr with 13%. When revenue from systems and technology is added the position reverses and Landis+Gyr had 19.5% and ItronActaris 16%. Third and fourth in meter sales are Sanzing and Holley of China with 6% and 5% respectively. The surprise is the new arrival El Sewedy of Egypt, which in 2008 we estimate ranked equal fifth in sales value with Elster, both at 4%. Elster rose to 5.5% if technology and systems are added. Company shares in meter sales by value 2008 Shares of national markets are shown in the individual country chapters.
Itron/Actaris Landis+Gyr El Sewedy (Iskra) Elster Holley Jiangsu Linyang Electronics Sanzing Llondian Grupa Apator Pafal Genus Shenzhen Star Conlog Schneider MZEP Energomera Elektromed PRI Sagem Sherkat Kontorsazi ZPA AEM Timosoara PRI EDMI Inkotex Meters 0% 2% 4% 6% 8% 10% 12% 14% 16% 18% 0.4% 0.5% 0.5% 0.6% 0.3% 0.50% 1.0% 1.3% 1.0% 0.5% 0.5% 1% 0.5% 0.3% 1.5% 3% 3% 6% 4% 4% 5% 13% 17%
Rising stars
ABS monitors the metering industry and in each report we identify the companies which are rising through the field and successfully penetrating first, regional markets and then the international market. Many of these companies are dominant in heir own countries. They have two characteristics in common. Firstly, it goes without saying that they are ambitious. No business can succeed without that. Secondly, we can learn from history. All of the global big three originate from countries with small or medium sized markets; France, Germany, Switzerland. The first two were considered large markets until China and India appeared on the world stage. In comparison, why have GE and Osaki not made global impacts in the metering markets? Why have the Chinese and Indian companies not become global players, at least in quality markets? The last four companies all have one thing in common, they have huge home markets. Is that the barrier to expansion overseas?
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Rising stars (continued) We have identified five companies which are already making their mark outside their own countries and with one exception they are located in countries without giant markets, some of them are rather small. El Sewedy El Sewedy is now the equal fifth largest meter company in the world in sales value. El Sewedy has emerged very quickly in the last two or three years to become a major competitor in the international meter industry. As the dominant meter company in Egypt, with a 50% share, El Sewedy may also diversify into gas and water metering. The company has ambitious plans for international expansion in several regions and is poised to move into the top ranks of meter suppliers. El Sewedy sells meters to 70% of African countries, supplying them from its factories in Egypt, Ghana, and Ethiopia. The company is also expanding its presence in the Middle East and is exporting pre-payment meters to India. In the Americas El Sewedy has two major developments. It has established a factory in Brazil to supply the South American market, and another in Mexico to supply ANSI standard electromechanical and electronic meters to North America. El Sewedy first attracted international attention with its acquisition of Iskra of Slovenia in 2006. Iskra had financial difficulties running up to 2006 and with a 2% 3% share of the global electricity meter market was seeking a partner. Iskra has a significant share of the European market with a presence in almost all countries and a 20% market share in Germany, 37% in the Netherlands, 13% in Switzerland, 12% in Austria and 5% in France. If the big Chinese meter companies are excluded this takes El Sewedy into the top 5 companies in the world. Energomera Energomera is the leading company in the Russian market with a 38% share in 2008. Energomera has increased its market share each year for the last five years and is now the dominant supplier in Russia and also in the Ukraine. The company is a significant meter producer by international standards, among the top 10 in the world in value of meter sales. If the large Chinese companies are not included in the ranking, because they do not compete in the international market as opposed to regional markets in the developing countries, Energomera ranks as tenth in sales value. Apator Apator SA owns Pafal SA, Metrix SA, the leading supplier of gas meters in Poland and Powogaz, the leading water meter supplier. Grupa Apator is a Polish capital group operating in the switchgear and metering markets, making both electromechanical and solid state meters. It consists of 8 entities, 6 domestic and 2 foreign ones. Grupa Apator is actively seeking to expand in foreign markets and has been active in neighbouring countries, including the CIS. Pafal was established in 1897 as a branch of a factory in Berlin H. Aron Elektrizittszhler-Fabrik. In 1999, when the America company Polycorp was making a bid for Pafal it was reported to have an 83% share of the electricity meters market in Poland. The company is supplying meters to RWE in Germany and E.ON in Germany and Hungary.
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Rising stars (continued)
ZPA ZPA is a Czech company and has the leading share in the Czech Market with 45%. ZPA was established in the 1950s as a state-owned enterprise. The company was privatised in 1994. Initially, the company focused on ripple control receivers, and ZPA is one of the leading producers of these systems today. In the late 1990s, production was expanded to include solid state meters, initially under a Swiss license but today ZPA develops and produces these systems independently. The company now focuses on solid state meters and also AMR systems. In 2006, Kilcullen Kapital Partners invested in ZPA and the company has been rebranded as ZPA Smart Energy. ZPA now has wider ambitions outside the Czech Republic and has so far exported to Bulgaria, Poland, Slovakia, Serbia and the Netherlands. The company supplies meters to CEZ, the main utility in Czech Republic and to its distribution subsidiary in Bulgaria. ZPA is the main supplier to Prazska energetika, the distributor in Prague. AEM The leading player in the Romanian meter market is AEM SA with a share by value over 81%, which is successor to Luxten Lighting Company AEM Timisoara (LLC AEM), a state-owned company which was privatised in 1998. AEM is Romanias market leader in metering. The company manufactures electricity, gas, water and heat meters, meter calibrating equipment and automatic meter-reading systems, as well as lighting equipment and maintenance products. AEM is active in neighbouring countries sin south-eastern Europe.
Established global player Actaris Landis+Gyr Elster El Sewedy Energomera Apator ZPA AEM
Annual meter demand in home country 900,000 205,000 1,470,000 1,316,000 5,800,000 662,000 358,000 580,000
Large national player Osaki GE Chinese companies Indian companies
Annual meter demand in home country 4,825,000 10,042,000 52,000,000 15,504,000
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6.0 Country Profiles

Contents This chapter contains the following topics: Topic
6.1 Europe 6.2 Americas 6.3 Asia Pacific 6.4 Middle East 6.5 Africa
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6.1 Country Profiles Europe

Contents This chapter contains the following topics:
6.1.1 6.1.2 6.1.3 6.1.4 6.1.5 6.1.6 6.1.7 6.1.8 6.1.9 6.1.10 6.1.11 6.1.12 6.1.13 6.1.14 6.1.15 Austria Belgium Bulgaria Czech Republic Denmark Estonia Finland France Germany Greece Hungary Ireland Italy Latvia Lithuania 6.1.16 6.1.17 6.1.18 6.1.19 6.1.20 6.1.21 6.1.22 6.1.23 6.1.24 6.1.25 6.1.26 6.1.27 6.1.28 6.1.29 Netherlands Norway Poland Portugal Romania Slovak Republic Slovenia Russia Spain Sweden Switzerland Turkey Ukraine United Kingdom
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6.1.1 Austria
Population, household and meter base
Population 2008 8,205,533 Number of households 2008 3,755,000 Installed electricity meter base 2008 5,368,537
Annual demand for all meters
Annual demand was 134,000 meters (units) in 2008 rising to 585,000 in 2011 and dropping to 546,000 in 2012. The value will increase in this period from 5.8 million ($8.6 million) to 33.5 million ($42.5 million). The growth will be particularly strong in 2011 and 2101 as the AMI roll-out gathers pace.
50,000,000 45,000,000
700,000
600,000 40,000,000 35,000,000 Value $ and euro 30,000,000 25,000,000 20,000,000 15,000,000 10,000,000 100,000 5,000,000 0 $ euro Meter units 0 300,000 500,000
400,000
200,000
2008 8,582,742 5,838,600 133,770
2009 11,929,110 9,393,000 165,270
2010 24,494,744 19,287,200 294,500
2011 45,772,248 36,041,140 585,200
2012 42,514,063 33,475,640 545,700
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The composition of the market will is changing rapidly in terms of value, as expensive AMI meters are installed, with the roll-out starting in 2009 and intensifying in 2010 and 2010. The contribution of the IGC segment will decline from 23% in 2008 to 2% in 2012.
2008 Residential Industrial, grid, commercial Units 94% 75% 5% 22% 2009 95% 83% 5% 15% 2010 97% 92% 3% 7% 2011 98% 96% 1% 4% 2012 98% 96% 2% 4%
Units
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Meter units
6.1.1 Austria, Continued

Market size by segment forecast from 2008 to 2012 by segment, IGC and residential, volume and value ( and $)
2008 Units Residential 126,700 4,559,000 6,701,730 7,070 1,279,600 1,881,012 133,770 5,838,600 8,582,742 165,270 9,393,000 11,929,110 2009 157,200 8,020,000 10,185,400 8,070 1,373,000 2010 285,900 17,864,700 22,688,169 8,600 1,422,500 1,806,575 294,500 19,287,200 24,494,744 2011 576,600 34,618,640 43,965,673 8,600 1,422,500 1,806,575 585,200 36,041,140 45,772,248 2012 536,600 31,998,640 40,638,273 9,100 1,477,000 1,875,790 545,700 33,475,640 42,514,063
$ Units
Industrial, grid, commercial
$ Units
Total meters
Meter technology
Advanced meters are now being tested in Austria. Energie AG, based in Linz, has equipped 1,000 households with Siemens meters, AMIS (Automated Metering and Information System). The results have been successful and 100,000 households will have been fitted with the AMIS meters by 2009, increasing by a further 400,000 by 2014.
Annual demand for meters by technology, forecast from 2008 to 2012, volume and value ()
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 9,000 819,000 700 630,000 7,000 1,155,000 70 124,600 115,000 2,875,000 1,000 55,000
2009 100,000 2,400,000 500 25,000
2010 74,000 1,702,000 500 22,500
2011 45,000 1,035,000 300 13,500
2012 35,000 805,000 300 13,500
55,000 4,785,000 700 630,000 8,000 1,240,000 70 133,000
210,000 15,960,000 400 200 8,500 1,232,500 100 190,000
530,000 33,390,000 300 140 8,500 1,232,500 100 190,000
500,000 31,000,000 300 140 9,000 1,287,000 100 190,000
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Market shares in value 2008 Landis+Gyr were the market leader in Austria in 2008, with a 57% share, followed by Actaris and Iskra with 12% each.
60%
57%
50%
40%
30%
20% 12% 10% 12% 7%
11%
1% 0% Actaris Landis+Gyr Elster Iskra EMH Others
Type approval and verification
The European Measuring Instruments Directive (MID) applies. Electricity meters are verified between 8 to 20 years; depending on physical condition. The mandatory verification and re-verification system is supplemented by random inspection.
Utility background
The Austrian electricity grid is structured in hierarchical order. The Verbundgesellschaft owns and operates more than 90% of the 220 kV (102 km) and 380 kV (1,145 km) transmission lines, so-called supra-regional networks. More than 80% of the 110 kV level (6,385 km) transmission lines are owned by the provincial utilities, the rest by Verbundgesellschaft and other utilities. The supra-regional network is connected to neighbouring countries. VerbundAustrian Power Grid GmbH (APG) owns and operates the 110 kV, 220 kV and 380 kV high voltage transmission network and owns subsidiaries which together generate 45% of Austrian electricity. The main tasks of Verbundgesellschaft are to balance production and demand in the high-voltage grid through construction and operation of large power plants via its subsidiaries, and to import and export electricity. There are three control areas with independent TSOs, the Verbund-Austrian Power Grid and two regional grid owners; Powergrid-Tiroler Wasserkraftwerke and Voralberger Kraftwerke. The EHV grid is subdivided into four areas supplying 23 sub-grids of the provincial electricity companies. There are 137 local distribution companies, mostly municipally owned.
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Table 6.1: ESI characteristics Austria
Largest generator by capacity - 45% Top 3 producers by capacity - 75% VEG, Verbund Elektrizitat-serzeugungs GmbH 45% EVN Energie Versorgung Niederosterreichische 13% STEWEAG-STEG, EAG O, KELAG, TIWAG, Vorarlberger Kraftwerke AG, BEWAG and Linz AG Large numbers of cross-holdings are a feature of the Austrian electricity industry. The generation sector is (from a national point of view) highly concentrated Large companies present in market Largest Verbund Other significant - RWE, E.ON, EdF TSOs 3 Legally unbundled Verbund-Austrian Power Grid GmbH (APG) 220/380 kV TIRAG, Powergrid-Tiroler Wasserkraftwerke AG VKW Netz and TIRAG are in the German not the Austrian control block Number of DNOs - 137 Legally unbundled
Source: ABS ESI 2008 Edition 14
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6.1.2 Belgium
Annual demand was 232,000 meters (units) in 2008 falling to 206,000 in 2012. The value will increase in this period from 101 million ($148 million) to 125 million ($159 million).
20,000,000 18,000,000 16,000,000 14,000,000 12,000,000
235,000 230,000 225,000 220,000 215,000
10,000,000 210,000 8,000,000 6,000,000 4,000,000 2,000,000 0 $ euro Meter units 205,000 200,000 195,000 190,000
2008 14,920,500 10,150,000 231,500
2009 12,585,700 9,910,000 228,500
2010 13,652,500 10,750,000 211,500
2011 17,538,700 13,810,000 215,500
2012 16,865,600 13,280,000 205,500
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The share of the C&I sector will decline slightly in terms of value from 21% to 16%.
2008 Residential Industrial, grid, commercial Units Units 98% 79% 2% 21% 2009 98% 82% 2% 18% 2010 98% 85% 2% 15% 2011 97% 85% 3% 15% 2012 97% 84% 3% 16%
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6.1.2 Belgium, Continued

2008 Units Residential Euro $ Units Industrial, grid, commercial Euro $ Units Total meters Euro $ 226,000 8,050,000 11,833,500 5,500 2,100,000 3,087,000 231,500 10,150,000 14,920,500 2009 224,000 8,160,000 10,363,200 4,500 1,750,000 2,222,500 228,500 9,910,000 12,585,700 2010 207,000 9,000,000 11,430,000 4,500 1,750,000 2,222,500 211,500 10,750,000 13,652,500 2011 210,000 11,710,000 14,871,700 5,500 1,750,000 2,667,000 215,500 13,810,000 17,538,700 2012 200,000 11,180,000 14,198,600 5,500 2,100,000 2,667,000 205,500 13,280,000 16,865,600
Meter technology
Belgium is developing plans to introduce smart metering funded by an increase in distribution tariffs.
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 2,000 260,000 15,000 1,230,000 5,000 1,750,000 500 350,000 5,000 650,000 20,000 1,640,000 4,000 1,400,000 500 350,000 20,000 2,600,000 20,000 1,640,000 4,000 1,400,000 500 350,000 50,000 6,500,000 15,000 1,230,000 5,000 1,750,000 500 350,000 50,000 6,500,000 15,000 1,230,000 5,000 1,750,000 500 350,000 200,000 6,200,000 9,000 360,000 2009 190,000 5,510,000 9,000 360,000 2010 160,000 4,480,000 7,000 280,000 2011 140,000 3,780,000 5,000 200,000 2012 130,000 3,250,000 5,000 200,000
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Market shares in value 2008
70% 62% 60%
Actaris was the leader in 2008 with 62% followed by Landis+Gyr with 33%.
50%
40% 33% 30%
20%
10% 2%
1% 0% Actaris Landis+Gyr Elster
Iskra
The European Measuring Instruments Directive (MID) applies. Electricity meters are verified between 8 to 20 years; depending on physical condition. The mandatory verification and re-verification system is supplemented by random inspection. Electricity and gas meters initial verification period is from 10 to 20 years. Cold water meters, the initial verification period is 16 years (8 years if > 10 m3 /h). Warm water meters 8 years.
Utility background
The existing power system in Belgium was, and still is, dominated by the private company Electrabel. Next to Electrabel, there is a smaller public utility, SPE (Samenwerkende vennootschap voor de Productie van Elektriciteit/Societ Cooperative de Production d'Electricit). The high-voltage network is operated by ELIA, an independent public limited company founded in June 2001, in order to comply with the federal requirements of independency. ELIAs former shareholders (Electrabel and SPE) have reached an agreement with the federal government on the future shareholder structure. Electrabel and SPE have reduced their participation from 70% to 30% of the shares, while Publi-T (a cooperative company representing the Belgian municipalities) has taken a 30% stake, and 40% of the shares will be listed in principle on the stock exchange.
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Utility background (continued) Within the old structure, which is now changing, electricity was distributed by a number of municipal and inter-municipal companies, some of which have Electrabel as a shareholder. The financial participation of Electrabel in these companies will be reduced to a maximum of 30%. The present inter-municipal electricity companies (inter-communales) will be nominated as distribution system operators (DNO) for their respective territory. The DNO can only supply electricity to captive customers. Once all customers become eligible, the only activity of the DNO will be the distribution of network operations.
Table 6.2: ESI characteristics Belgium

Largest generator by capacity 85% Top 3 producers by capacity 93% Electrabel - 84% SPE 8% (EdF and Centrica (50%), municipalities (50%) Large companies present: Largest Electrabel Other significant EdF, Essent, Nuon, Centrica TSO 1 Legally unbundled ELIA Systems Operator, 40% free float, 30% municipalities, 27.45% Electrabel and 2.55% SPE ELIA owns 100% of EHV network 150-380 kV and 90% of HV network 30-70 kV Sells to distributors and large customers DNOs 27 Electrabel possesses shares in about 80% of the DNOs These DNOs are legally unbundled. The other DNOs are directly controlled by the municipalities
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6.1.3 Bulgaria
Annual demand was 621,000 meters (units) in 2008 falling to 132,000 in 2012 because the new owners of the privatised Bulgarian distribution companies will complete a replacement programme of all meters. The value will drop in this period from 13 million ($19 million) to 4 million ($5 million).
25,000,000
700,000
600,000 20,000,000 500,000 Value $ and euro 15,000,000
10,000,000
300,000
200,000 5,000,000 100,000
0 $ euro Meter units
2008 19,369,308 13,176,400 621,100
2009 9,251,950 7,285,000 254,450
2010 6,616,700 5,210,000 174,200
2011 6,489,700 5,110,000 164,200
2012 5,055,235 3,980,500 132,150
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The share of the C&I sector will decline slightly in terms of value from 21% to 15%.
60
Meter units
400,000
6.1.3 Bulgaria, Continued

2008 Units Residential Euro $ Units Industrial, grid, commercial Euro $ Units Total meters Euro $ 592,000 10,360,000 15,229,200 29,100 2,816,400 4,140,108 621,100 13,176,400 19,369,308 2009 224,000 4,540,000 5,765,800 30,450 2,745,000 3,486,150 254,450 7,285,000 9,251,950 2010 149,000 3,250,000 4,127,500 25,200 1,960,000 2,489,200 174,200 5,210,000 6,616,700 2011 147,000 3,795,000 4,819,650 17,200 1,315,000 1,670,050 164,200 5,110,000 6,489,700 2012 125,000 3,375,000 4,286,250 7,150 605,500 768,985 132,150 3,980,500 5,055,235
Meter technology
With the privatisation of the distribution utilities and their acquisition by E.ON, CEZ and EVN all electromechanical meters have been changed for basic electronic meters and this has now been completed. This means that the replacement rate for meters will be very low for some years and the market will decline. 10% of all meters are three-phase meters. There will be some limited AMI meters in the C&I sector. Having just completed a complete change of the metre stock it is unlikely that the new owners will wish to incur the stranded costs of a second change in the immediate future.
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 28,600 2,116,400 500 700,000 30,000 2,160,000 450 585,000 25,000 1,750,000 200 210,000 17,000 1,105,000 200 210,000 7,000 448,000 150 157,500 580,000 9,280,000 10,000 900,000 2,000 180,000 200,000 2,400,000 20,000 1,800,000 4,000 340,000 130,000 1,560,000 15,000 1,350,000 4,000 340,000 120,000 1,440,000 12,000 1,080,000 15,000 1,275,000 100,000 1,200,000 10,000 900,000 15,000 1,275,000 2009 2010 2011 2012
61

35%
Actaris was the leader in 2008 with a 29% share, followed by Carat with 19%.
30%
29%
25%
20%
19%
15% 13% 12% 10% 6% 5% 2% 0% Actaris Landis+Gyr Iskra EMH Carat MPS ZPA Others 11% 8%
Type approval and verification Utility Background
The European Measuring Instruments Directive (MID) applies.
The Bulgarian energy sector was reorganised in 2000. Six independent power generators, thermal power plants including Kozloduy nuclear power plant, a transformed NEK, and seven distribution companies were established from the former NEK. The new NEK is now the grid operator, the single buyer of electricity from the independent power generators, and the only supplier of electricity to the distribution companies. Restructuring is planned for two phases. The first was planned up to 2001 and the second from 2001 to 2010. NEK will privatise its electric generation facilities but the national utility will remain state controlled. Bulgaria's electric power transmission network consists of transmission lines of 750 kV, 400 kV, 220 kV and 110 kV; step-down substations; medium and low voltage distribution networks that supply the industrial, public and residential customers; transformer stations and nodal substations, and installed medium voltage transformer capacity. The system of 400, 220 and 110 kV lines, which have a total length of about 12,269 km, operates in a ring mode. Three distribution groups, E.ON, CEZ and EVN have consolidated the distribution sector. Seven distribution companies in three regions operate the distribution networks; these were successfully privatised in 2004. CEZ of the Czech Republic won the competitive bidding procedure for the privatisation of the Sofia City, Sofia Region and Pleven electricity distribution companies. The Plovdiv and Stara Zagora electricity distribution companies went to EVN of Austria, and the Varna and Gorna Oryahovitsa utilities to E.ON of Germany.
62

Table 6.3: ESI characteristics Bulgaria
Generators > 5% - 7 NEK EAD, Natsionalna Elektricheska Kompania EAD, 100% state-owned, owning the greatest part of hydrocapacity NPP in Kozloduy, 100% state-owned 6 thermal generators (privatised or in course of privatisation), several CHP producers (mainly DHCs, in course of privatisation), Bulgaria is a significant electricity exporter TSO 1 NEK Natsionalna Transmission Company JSC 100% state-owned Accounting separation DNOs 9 companies in three groups West Bulgaria Sofia Oblast Stolichno Pleven Southeast Bulgaria Plovdiv Stara Zagora North-eastern Bulgaria Varna Gorna Oryahovitza Accounting separation, 67% privatised, sold to E.ON, CEZ and EVN in 2004
63
6.1.4 Czech Republic

Annual demand was 358,000 meters (units) in 2008 hardly rising to 362,000 in 2012. The value will remain static this period at 12 million ($18 million) although the dollar value has declined due to depreciation.
20,000,000 18,000,000 16,000,000 14,000,000 Value $ and euro 12,000,000
368,000 366,000 364,000 362,000 360,000 Meter units
10,000,000 8,000,000 6,000,000 4,000,000 2,000,000 0 $ euro Meter units
++ 358,000 356,000 354,000 352,000 350,000
2008 17,809,344 12,115,200 357,640
2009 15,104,491 11,893,300 358,740
2010 15,318,105 12,061,500 355,540
2011 15,735,300 12,390,000 366,440
2012 15,208,250 11,975,000 362,040
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The value of the C&I sector will remain constant at around 16% to 18%.
64
6.1.4 Czech Republic, Continued

2008 Units Residential Euro $ Units C&I Euro $ Units Total meters Euro $ 351,600 10,235,200 15,045,744 6,040 1,880,000 2,763,600 357,640 12,115,200 17,809,344 2009 352,700 10,013,300 12,716,891 6,040 1,880,000 2,387,600 358,740 11,893,300 15,104,491 2010 348,500 9,881,500 12,549,505 7,040 2,180,000 2,768,600 355,540 12,061,500 15,318,105 2011 359,400 10,210,000 12,966,700 7,040 2,180,000 2,768,600 366,440 12,390,000 15,735,300 2012 355,000 9,795,000 12,439,650 7,040 2,180,000 2,768,600 362,040 11,975,000 15,208,250
Meter technology
In the last five years electronic meters have been deployed and no electromechanical meters are manufactured or installed. Electromechanical meters are no longer produced in the Czech Republic. The installed base of residential meters is still 65% - 70% electromechanical meters but this proportion is being reduced. The energy supplier E.ON Tschechien has placed a contract for metering technology with GRLITZ Austria for smart metering, to enable remote reading of 1,800 residential meters. The order was the culmination of a successful pilot project. In August 2006, E.ON Tschechien commenced AMR tests jointly with Grlitz of Austria. The metering technology in an entire village was converted; 65 standard electricity meters were replaced with smart meters and the substation which supplied the locality were adapted accordingly. GPRS wireless communication technology has been employed. No widespread introduction of AMI is expected. One obstacle is that there is no legal basis for disconnecting meters in the Czech Republic, although there are other reasons for introducing smart technology. All payments for residential use are based on advance calculations and the utilities are happy to have the money upfront.
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 6,000 1,800,000 40 80,000 6,000 1,800,000 40 80,000 7,000 2,100,000 40 80,000 7,000 2,100,000 40 80,000 7,000 2,100,000 40 80,000 1,600 115,200 2,700 213,300 3,500 206,500 19,400 970,000 20,000 980,000 320,000 8,320,000 320,000 8,000,000 315,000 7,875,000 310,000 7,440,000 305,000 7,015,000 2009 2010 2011 2012
65

Market shares in value 2008 ZPA, a Czech company has the leading share with 45%, followed by Actaris with 26% and Landis+Gyr with 25%. ZPA was established in the 1950s as a state-owned enterprise. The company was privatised in 1994. Initially, the company focused on ripple control receivers, and ZPA is one of the leading producers of these systems today. In the late 1990s, production was expanded to include solid state meters, initially under a Swiss license but today ZPA develops and produces these systems independently. The company now focuses on solid state meters and also AMR systems. In 2006, Kilcullen Kapital Partners invested in ZPA and the company has been rebranded as ZPA Smart Energy. ZPA now has wider ambitions outside the Czech Republic and has so far exported to Bulgaria, Poland, Slovakia, Serbia and the Netherlands. The company supplies meters to CEZ, the main utility in Czech Republic and to its distribution subsidiary in Bulgaria. ZPA is the main supplier to Prazska energetika, the distributor in Prague.
50% 45% 40% 35% 30% 26% 25% 20% 15% 10% 5% 0% Actaris Landis+Gyr ZPA Iskra EMH 25% 45%
3%
2%
The European Measuring Instruments Directive (MID) applies. A mandatory re-verification system is in place involving CMI and AMCs as verification authorities with a similar subdivision of work as in the case of initial verification. Repairers are not permitted to re-verify instruments. The re-verification interval for electricity meters is 16 years.
Utility background
CEZ is the dominant utility. There have been several unsuccessful attempts to privatise the company but it remains state-controlled with one third in private ownership. CEZ produced 75% of the electricity in 2004, with 65% of the installed capacity. 15 large generating companies are registered. On 1 January 2001, a new energy regulatory authority began operating in the Czech Republic. This authority determines electricity prices.
66

Utility background (continued) The electricity market was totally opened by 2006. The electricity transmission system in the Czech Republic includes an extensive array of transmission lines and substations. It consists of approximately 2,800 km of 400 kV lines and approximately 1,560 km of 220 kV lines. Additionally, approximately 130 km of 110 kV lines supply electricity to a well-developed 110 kV network. Distribution is now carried out by two consolidated regional distribution companies and one sales company, plus a distribution company for the city of Prague. On 1 January 2005, E.On Distribuce took over the business of the former JCE Jihocesk energetika, a.s. and the former JME Jihomoravsk energetika, a.s. The business of the other five distribution companies, majority owned by CEZ, was transferred to two new companies, CEZ Distribuce (distribution) and CEZ Prodej (sales) on 1 January 2006. Until 2006, distribution was carried out by 8 regional companies: The distribution companies are responsible for the purchase and sale of electricity in their areas, operation and maintenance of the low voltage network, and generation of electricity from small hydro sources, with JCE and ZCE also involved in heat generation. JME has the largest customer base and supplies the biggest area while JCE has the smallest customer base and PRE supplies the smallest area.
Table 6.4: ESI characteristics Czech Republic

Largest generator by capacity 65% Top 3 producers by capacity 75% Installed capacity 2005 16,009 MW CEZ a.s produced 75% of the electricity in 2004, with 65% of the installed capacity. CEZ is state-owned 15 large generating companies are registered. The largest of has 2.6% of the countrys capacity. Dalkia Ceske republika - 417 MW (2.6%) Elektrany Opatovice 363 MW (2.3%) Energotrans 352 MW (2.25) Chempetrol 298 MW (1.9%) ISPAT - 254 MW (1.6%) United Energy - 236 MW (1.5%) Sokolovska uhelna 220 MW (1.4%) TSO 1 state-owned company, legally unbundled CEPS a.s., Cesk energetick prenosov spolecnost stateowned Electricity market operator responsible for balancing, OTE Opertor trhu s elektinou DNOs 360 Formerly 8, 7 since January 2005. In January two companies owned by E.ON were merged. Legal unbundling from supply mandatory in 2006 for major DNOs. E.ON Distribuce a.s. (consisted of 2 former regional distribution companies) and CEZ Distribuce a.s. (consisted of 5 former regional distribution companies) are the legally unbundled entities created by E.ON-controlled and CEZcontrolled formerly-integrated regional electricity distribution companies PRE Distribuce a.s. (majority owned by Prask energetika Holding a.s. which is controlled by the City of Prague). Several dozen operators of local distribution systems are not subject to unbundling obligations.
67
6.1.5 Denmark
Annual demand was 275,000 meters (units) in 2008 falling to 247,000 in 2012. The value will fall in this period from 35 million ($51 million) to 22 million ($28 million).
300,000
60,000,000
50,000,000
250,000
40,000,000 Value $ and euro
200,000 Meter units
30,000,000
150,000
20,000,000
100,000
10,000,000
50,000
2008 51,106,314 34,766,200 275,200
2009 36,053,014 28,388,200 273,200
2010 41,554,654 32,720,200 221,200
2011 31,597,854 24,880,200 256,200
2012 28,001,214 22,048,200 247,200
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The value contribution of the C&I sector will remain fairly constant at 5% to 7%.
2008 Residential Industrial, grid, commercial Units Euro Units Euro 96% 95% 4% 5% 2009 78% 93% 4% 7% 2010 84% 94% 5% 6% 2011 96% 93% 4% 7% 2012 96% 93% 4% 7%
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6.1.5 Denmark, Continued

Meter technology AMI technology is also being introduced on a large scale in Denmark. In 2004, two of the five leading utilities in Denmark, Sydvest Energi and NESA, announced plans to introduce AMR across their network of over 700,000 customers between 2005 and 2010. The Sydvest project is the largest single AMR system Enermet has delivered in the Nordic market to date, covering 156,000 customers. A decision ahs just been announced for 43,000 households in Greenland to be connected wit advanced metering for electricity, gas and water. Although it is small, it is the first national multi-utility scheme in the world and will be watched with interest.
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 11,000 1,485,000 200 365,200 11,000 1,485,000 200 365,200 11,000 1,485,000 200 365,200 11,000 1,485,000 200 365,200 9,000 1,215,000 200 365,200 260,000 32,760,000 260,000 26,460,000 210,000 30,870,000 245,000 23,030,000 238,000 20,468,000 4,000 156,000 2,000 78,000 2009 2010 2011 2012
Utility background
The structure of the energy sector in Denmark is changing rapidly, and that of the electricity supply industry is complex and has many participants. There are over 100 undertakings ranging from municipal companies, to co-operatives, private companies and even joint stock companies. All organisations are members of Danske Elvaerkers Forening (the Danish Association of Electricity Supply Undertakings). Historically, there were two separate transmission systems operators in Denmark. ELKRAFT covered Eastern Denmark including the islands of Zealand and LollandFalster separated from mainland Denmark by the Great Belt water channel. ELTRA served Mainland Western Denmark. The two systems are not linked, but a link is planned for 2010. In 2006 the two companies, ELKRAFT and ELTRA were merged, creating one national TSO, Energinet.dk, which is responsible for the security of electricity supply. Distribution is carried out by 125 small local distribution companies.
69
6.1.5 Denmark, Continued

Table 6.5: ESI characteristics Denmark
DONG Energy and Swedish Vattenfall (owned by the Swedish state) 2 major generators Large number of smaller generating companies/plants (each with less than 100 MW of capacity) are owned by municipalities, cooperatives or manufacturing industry Large companies present: Largest ELSAM, Other significant E2, VF, E.ON TSO 1 Energinet.dk owns the 400 kV transmission lines and international interconnectors Created in 2006 with the merger of Eltra, Elkraft System, Elkraft Transmission, and Gastra. Legally unbundled A number of regional transmission companies of 132/150 kV and to some extent 60 kV are owned by the distribution network companies DNOs 125 Around 110 distribution network companies (50 of these very small) own and operate low-voltage networks. The sector has mixed ownership: State ownership for those owned by DONG Energy, municipal ownership or cooperatives consisting of the local network users, mostly suppliers as well NESA is the largest distributor, serving Copenhagen Legally unbundled
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6.1.6 Estonia
Population 2008 1,307,605 Number of households 2008 560,000 Installed electricity meter base 2008 500,002
Annual demand was 24,000 meters (units) in 2008 rising to 122,000 in 2010 and falling to 51,000 units in 2012. The value will increase in this period from 875,000 million ($1.3 million) to 4.5 million ($5.7 million).
140,000
18,000,000 16,000,000 14,000,000
120,000
100,000 12,000,000 Value $ and euro 10,000,000 8,000,000 6,000,000 40,000 4,000,000 2,000,000 0 $ euro Meter units 20,000 80,000 Mater units
60,000
2008 1,286,544 875,200 23,950
2009 4,219,131 3,322,150 28,850
2010 16,555,022 13,035,450 121,850
2011 6,790,144 5,346,570 61,210
2012 5,676,900 4,470,000 51,000
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value ()
2008 Units Residential Euro $ Units Industrial, grid, commercial Euro $ Units Total meters Euro $ 22,250 627,000 921,690 1,700 248,200 364,854 23,950 875,200 1,286,544 2009 22,900 2,626,000 3,335,020 5,950 696,150 1,023,341 28,850 3,322,150 4,219,131 2010 113,000 12,000,000 15,240,000 8,850 1,035,450 1,315,022 121,850 13,035,450 16,555,022 2011 59,000 5,088,000 6,461,760 2,210 258,570 328,384 61,210 5,346,570 6,790,144 2012 49,000 4,236,000 5,379,720 2,000 234,000 297,180 51,000 4,470,000 5,676,900
71
6.1.6 Estonia, Continued

Meter technology Estonia no longed installs electromechanical meters and will have peak of residential AMI installations in 2010.
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 1,700 248,200 5,950 696,150 8,850 1,035,450 2,210 258,570 2,000 234,000 750 111,000 17,900 2,506,000 108,000 11,880,000 54,000 4,968,000 45,000 4,140,000 21,500 516,000 5,000 120,000 5,000 120,000 5,000 120,000 4,000 96,000 2009 2010 2011 2012
Actaris had the largest market share in 2008 with 59%.
70% 60% 50% 40% 30% 20% 10% 0% Actaris Landis+G yr Others 38% 59%
4%

72
6.1.6 Estonia, Continued

Utility background The electricity market is dominated by a single state-owned vertically integrated company (Eesti Energia, the largest Baltic energy utility), which controls 97% of the production capacity and an 88% retail market share, while it also controls all of the transmission and 85% of the distribution networks. The government is committed to maintaining its vertically integrated structure. Eesti Energia owns two-thirds of the Estonian distribution network. The remaining networks are owned by Fortum Elekter, Narva Elektrivrgud, and over 60 other small municipal utilities. Under the new Electricity Market Act, large distribution networks will be legally unbundled from Eesti Energia. Supply and distribution are not separated.
Table 6.6: ESI characteristics Estonia

Largest generator by capacity 90% Top 3 producers by capacity 100% Narva Elektrijaamad (90%), owns 2 oil shale plants, Eesti Elektrijaam and Balti Elektrijaam, Eesti Energia State-owned, vertically integrated JSC Kohtla-Jrve Soojus Large companies present: Largest Eesti Energia TSO 1 Legally unbundled Eesti Energia Pohivork DNOs 3 major, 60 small municipals Eesti Energia (66%), Fortum Elekter, Narva Elektrivorgud Legally unbundled
73
6.1.7 Finland
Annual demand was 337,000 meters (units) in 2008 falling to 268,000 in 2012. The value will fall in this period from 36million ($52 million) to 28 million ($36 million).
60,000,000
450,000 400,000
50,000,000 350,000 40,000,000 Value $ and euro 300,000 250,000 30,000,000 200,000 20,000,000 150,000 100,000 10,000,000 50,000 0 $ euro Meter units 0 Meter units
2008 52,288,194 35,570,200 337,200
2009 45,174,154 35,570,200 337,200
2010 44,716,954 35,210,200 333,200
2011 53,384,704 42,035,200 398,200
2012 36,049,204 28,385,200 268,200
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () There will be no change in the small value contribution of the C&I sector.
74
6.1.7 Finland, Continued

Meter technology
AMI technology is also being introduced on a large scale in Finland. Vattenfall, E.ON and Fortuma have all decided to deploy smart technology in Finland as well as in Sweden.
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 12,000 1,080,000 200 365,200 12,000 1,080,000 200 365,200 8,000 720,000 200 365,200 8,000 720,000 200 365,200 8,000 720,000 200 365,200 325,000 34,125,000 325,000 34,125,000 325,000 34,125,000 390,000 40,950,000 260,000 27,300,000 2009 2010 2011 2012
Utility background
There are many players in the Finnish electricity generation sector, but it is dominated by a small number of companies. The share of the three largest companies (including Fortum and PVO) of the total installed capacity is estimated to be in the range of 45% - 50%. The power transmission network comprises the national grid, separate regional networks and distribution networks controlled mainly by local supply companies. The companies selling network services are called grid operators, regional network operators and distribution network operators, according to the network they operate. Fingrid Plc is the national grid company which is responsible for the technical operation of the Finnish power system. The company sells grid services to all parties in the electricity market on equal and non-discriminating terms. The company attends to these tasks through its three subsidiaries.
75
6.1.7 Finland, Continued

Utility background (continued) Fortum's local subsidiaries distribute electricity for small customers in their distribution network areas in the Nordic countries. Fortum accounts for about 5% of the small customer electricity distribution market. In 1998, the companys subsidiaries distributed 6.9 TWh of electricity in Finland, and 13.9 TWh in Sweden. Distribution is carried out by 104 small local distribution companies with three regional companies. The major regional distributors are Hmeen Shk Oy, LounaisSuomen Shk-Osakeyhti and Savon Voima Oy. The number of distribution network operators has been reduced during the past 20 years, from nearly 200 companies to the present figure.
Table 6.7: ESI characteristics Finland

Generators > 5% - 2 with 83% of total, largest has 61% Fortum 61% Pohjolan Oima 22% Large companies present: Largest FORTUM Other significant VF, E.ON TSO 1 Fingrid Oyj Ownership DNOs 104 Accounts
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6.1.8 France
Annual demand was 936,000 meters (units) in 2008, increasing steadily to 1,036,000 in 2010 and then jumping to 7,156,000 in 2012 as the national smart meter roll-out commences. The value will increase in this period from 28 million ($41 million) to 500 million ($636 million).
8,000,000
700,000,000
600,000,000
7,000,000
6,000,000 500,000,000 5,000,000 Meter units 400,000,000 4,000,000 300,000,000 3,000,000 200,000,000 2,000,000 100,000,000
Value $ and euro
1,000,000
0 $ euro Units
2008 41,285,832 28,085,600 936,300
2009 35,610,808 28,040,006 935,503
2010 61,963,300 48,790,000 1,035,500
2011 15,989,300 12,590,000 235,500
2012 636,054,100 500,830,000 7,155,500
The trial for the national smart meter installation which will be complete in 2010 will double the market in 2010, to 46 million in 2010 from 21 million in the previous year. It will increase again in 2011 and will leap to 359 million with the start of the roll-out in 2012. Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The composition of the market will change in terms of value after 2010 with the trial smart meter installation and the full roll-out. The contribution of the IGC segment will decline from 23% in 2008 to 2% in 2012.
77
6.1.8 France, Continued

2008 Units Residential Euro $ Units C&I Euro $ Units Total meters Euro $ 900,800 19,845,600 29,173,032 35,500 8,240,000 12,112,800 936,300 28,085,600 41,285,832 2009 900,003 19,800,006 25,146,008 35,500 8,240,000 10,464,800 935,503 28,040,006 35,610,808 2010 1,000,000 40,600,000 51,562,000 35,500 8,190,000 10,401,300 1,035,500 48,790,000 61,963,300 2011 200,000 4,400,000 5,588,000 35,500 8,190,000 10,401,300 235,500 12,590,000 15,989,300 2012 7,120,000 492,640,000 625,652,800 35,500 8,190,000 10,401,300 7,155,500 500,830,000 636,054,100
Meter technology
France is following Italy, with one of the largest national smart meter schemes in the world. France has always been a leader in metering development. The Electricit de France (EDF) strategy has varied, depending on the type of customer and France has the most complex tariff system in the world. In January 2008 EDRF announced a plan to replace 35 million meters in France with smart meters. The project has already started with the award of a pilot contract running 300,000 smart meters to ATOS Origin. ATOS won the contract late in 2008, against three rival bidders (Capgemini, Logica and IBM). Each bidder was architect of the proposed system and led a consortium of companies delivering MDM data management, WAN, data concentrators, LAN and the meters. The meter companies in the ATOS consortium are Actaris, Landis+Gyr and Iskra. The same meter companies were involved in the Capgemini and Logica consortia. The IBM consortium partnered with Sagem, Elster and Iskra. The entire smart meter project is scheduled to become operational in 2017, after a five year roll-out starting in 2012. France is a major user of ripple control. In our tables we only include meters, but if ripple control receivers were included the market share would be different.
History of AMR/AMI in France
In France smart meters with limited functionality have already been installed under the EURIDIS programme. By 2001 just under 20% of all meters were smart by this definition, and this has risen to bout 30%. EURIDIS technology was introduced in the early 1990s. It is not as automated as AMR, but it is a pragmatic method of remote reading. By using a magnetic coupler and a handheld terminal, meters connected to the EURIDIS bus can be read at an easily accessible location. The EURIDIS local bus consists of a two-wire cable connected to a magnetic coupler, generally installed at the boundary of the clients installations. The operator connects a hand-held unit to the magnetic coupling socket, through which the unit emits signals to contact each meter (or other remote terminal) on the network in turn and access its data. For security, each data transmission is preceded by an authentication based on an exchange of random numbers, ciphered using a secret key specific to each meter. The EURIDIS protocol also complies with the IEC 62056-31 standard, which guarantees openness and inter-operability between the equipment of different manufacturers.
78

History of AMR/AMI in France (continued) By using a magnetic coupler and a handheld terminal, meters connected to the EURIDIS bus can be read at an easily accessible location. Such a solution offers considerable time savings; 100 meters can be read in five minutes. EDF was the first electricity company to use EURIDIS automatic meter reading; the company started with small business customers in 1990 and expanding to include residential customers in 1993. Over the years, EDF has systematically moved from electromechanical to solid state meters, integrating the EURIDIS communication software for remote reading and programming. All these solid state meters are connected to a EURIDIS bus for the setting of parameters. 54% of them are read monthly by the EURIDIS tele-report system; the remainder are directly read using the customers own phone lines. The EURIDIS system is always used in new housing developments, both residential complexes and individual homes, because installation of the EURIDIS bus is both low-cost and easy. Electricit de Strasbourg (ES), the second largest distribution, with 430,000 customers in a region in the east of France has been using EURIDIS meter reading since 1995.
2008 Units Electromechanical Unit price Euro Units Electronic Unit price Euro Units Ripple control Residential AMR Unit price Euro Units Unit price Euro Units AMI Unit price Euro Units Prepayment Unit price Euro Units C&I C&I AMI Unit price Euro Units Grid Grid AMI Unit price Euro 0 0 0 900,000 22 19,800,000 0 0 0 0 0 0 600 51 30,600 200 75 15,000 35,000 214 7,490,000 500 1,500 750,000 2009 3 2 6 900,000 22 19,800,000 0 0 0 0 0 0 0 0 0 0 0 0 35,000 214 7,490,000 500 1,500 750,000 2010 0 0 0 700,000 22 15,400,000 0 0 0 0 0 0 300,000 84 25,200,000 0 0 0 35,000 214 7,490,000 500 1,400 700,000 2011 0 0 0 200,000 22 4,400,000 0 0 0 0 0 0 0 0 0 0 0 0 35,000 214 7,490,000 500 1,400 700,000 2012 0 0 0 120,000 22 2,640,000 0 0 0 0 0 0 7,000,000 70 490,000,000 0 0 0 35,000 214 7,490,000 500 1,400 700,000
79

Tariff system France has the most complex tariff system in the world; this is due to the fact that they have always charged customers the actual cost of the electricity at the time it is used. In addition, the customer is supposed to pay for the investment needed to supply him with electrical power. Bills for all customers thus always include two items, one for the charge of the contracted demand and one for the actual kilowatthour usage. The tariff policy divides customers into three groups: residential customers, small commercial and industrial customers / large industrial customers. The residential customers are billed according to the "Blue Tariff". They have several options available to them: single-rate, two-rate (usually day and night), and seasonal rate, called "Tempo". In the case of Tempo, the year is divided into 300 cheap "blue days," 43 average "white days," and 22 expensive "red days." Each day is then divided into two periods (day and night). An interesting feature of this option is that the blue, white, and red days occur randomly. A signal is sent to the customer by means of the ripple control system the day before the change is due to take place. The Tempo tariff may prove to be economical for relatively large residential customers who watch their consumption carefully, but it requires quite a complex installation, which is why it has not been successful so far. The "Yellow Tariff" applies to the small commercial and industrial customers whose contracted demand lies between 36 and 250 kVA. There are four tariff periods with two seasons: winter (November to March) and summer. In addition, each 24-hour period is divided into night (8 hours) and day. When a customer exceeds the contractual demand, he is penalised in proportion to the time he exceeded this value. The Yellow Tariff population is about 200,000 customers and is currently increasing by 5,000 per year. The "Green Tariff" deals with large industrial customers whose contractual demand is above 250 kVA and who are usually supplied from the medium and high voltage networks. There are several options available, the simplest and most common being a division of the year into two seasons (winter and summer). The winter days are then divided into three periods (peak, day, and night) while the summer days have two periods (day and night). Sundays are always charged at the lower rate. A more complex option works on the same principle except that an intermediate period between summer and winter is added to make three seasons. Even more complex options exist for larger customers with random conditions concerning specific weeks or specific days. For these, AMR and telephone communications are mandatory tools.
Responsibility for legal metrology is at the central government level. The SousDirection de la Mtrologie (SDM) is part of the Ministry of Economy, Finance, and Industry. Fundamental metrology in France is the responsibility of the Bureau National de Mtrologie (BNM). The BNM is an agency under the authority of the Ministry. Fundamental metrology in France is the responsibility of the Bureau National de Mtrologie (BNM). The BNM is an agency under the authority of the Ministry.
80

Type approval and verification (continued) Greater use is now being made of external non-governmental organisations to perform type approval and certification work, inspections, and re-verifications. Evidence of accreditation by COFRAC, the national accreditation body for testing laboratories, or equivalent accreditations, is also generally sought. Type approval is carried out by LNE (Laboratoire National d'Essai- dpartement Certification des Instruments de Mesure). Initial verification Verification and inspection is administered through 24 Regional Directorates for Industry, Research and the Environment (DRIRE) who are accountable to the Ministry through the Regional Action and SMI Directorate (DAR-PMI). DRIRE inspectors perform initial verification although approved external laboratories or manufacturers verify some types of instrument. For many categories owners of instruments are required by law to maintain a Metrological Information booklet and keep it available for DRIRE inspection. The booklet retains details of verifications and repairs and any qualified company carrying out statutory periodic verification. Inspection and re-verification A comprehensive self-verification system exists for manufacturers for initial verification of new instruments and re-verification of repaired instruments, allowing them to self-declare conformity of their instruments with legal and type approval requirements. Electricity meters are subject to verification, but there is no specified re-verification period. Market shares in value 2008 The French market is very changeable because of the dominance of one utility and a small number of tenders. Actaris, Landis+Gyr and Sagem Communications are the three leading companies.
Utility background
France is the second-largest electricity market in Europe after Germany. The electricity sector is dominated by the 85% state-owned monopoly, Electricit de France (EDF), which produces, transports, and distributes the bulk of electricity in France. In November 2005, the French Government sold 15% of the shares in EDF to the public. In November 2000, Compagne National du Rhone, teamed up with Belgium's Electrabel to create a joint venture to challenge EDFs monopoly. The new company, Energie du Rhone, markets energy generated at Compagnie Nationale du Rhone's 19 hydropower stations, which currently supply 3% of French electricity consumption. Societ Nationale d'Electricit et de Thermique (SNET) is France's second-largest electricity company in terms of installed capacity, with several coal plants, and is more than 80% owned by the state coal company, Charbonage de France (CDF), with EDF owning the remaining shares. The company produces less than 3% of French electricity and has 140 customers.
81

Utility background (continued) In another step toward liberalisation, the Electricity Transmission Network (Gestionnaire du Rseau de Transport dElectricit) (RTE) has been created and owns the country's high tension transmission network. RTEs mission is to assure all clients fair access to the network. In January 2008, Elctricit Rseau Distribution France (ERDF) was created as network operator for all the distribution networks in France, including those operating under concession agreements with local municipalities. EDRF is a wholly-owned subsidiary of EDF. Table 6.8: ESI characteristics France
Largest generator by capacity 85% Top 3 producers by capacity 95% Electricit de France (85%, state-owned) CNR SNET TSO 1 Legally unbundled RTE Gestionnaire du Rseau de Transport dElectricit State-owned DNOs There are over 150 municipal distribution concessions in operation. EDRF, a whollyowned subsidiary of EDF, is responsible for operation of the distribution networks in France.
82
6.1.9 Germany
Annual demand was 1,471,000 meters (units) in 2008 rising to 3,051,000 in 2012. The value will increase in this period from 56 million ($83 million) to 259 million ($329 million).
3,500,000
350,000,000
300,000,000
3,000,000
250,000,000 Valued $ and euro
2,500,000
150,000,000
1,500,000
100,000,000
1,000,000
50,000,000
500,000
2008 82,588,275 56,182,500 1,470,650
2009 93,456,125 73,587,500 1,540,750
2010 118,865,650 93,595,000 1,500,700
2011 219,078,175 172,502,500 2,250,650
2012 329,060,175 259,102,500 3,050,650
2008 Units Residential Euro $ Units Industrial, grid, commercial Euro $ Units Total meters Euro $ 1,430,000 45,580,000 67,002,600 40,650 10,602,500 15,585,675 1,470,650 56,182,500 82,588,275 2009 1,500,000 63,400,000 80,518,000 40,750 10,187,500 12,938,125 1,540,750 73,587,500 93,456,125 2010 1,450,000 81,300,000 103,251,000 50,700 12,295,000 15,614,650 1,500,700 93,595,000 118,865,650 2011 2,200,000 160,800,000 204,216,000 50,650 11,702,500 14,862,175 2,250,650 172,505,500 219,078,175 2012 3,000,000 248,400,000 315,468,000 50,650 10,702,500 13,592,175 3,050,650 259,102,500 329,060,175
Meter units
200,000,000
2,000,000
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6.1.9 Germany, Continued

Meter technology 95% of the residential sector in Germany use electromechanical meters. 80% are three-phase meters with 3/230/400 kV and a maximum current of 40/60 amps. The balance consists of three-phase 100 amp meters and single-phase 40/60 amp maximum current meters. Residential meters are read once per year, either by the DNO reader or the customer who fills out a self completion postcard or reports via the Internet. Meters are increasingly being fitted by meter installers rather than DNOs. Electromechanical meters continue to perform well in Germany, and they deliver speed, reliability, and economy. They reportedly have high reliability and long lives. However, electromechanical meter swill be phased out and a roll-out of AMI meters will start in 2011 although not on the scale of the national installations of France, UK or Italy. Industrial customers use solid state meters to support AMR and AMI systems. Customers with minimum consumption of 100 MWh are equipped with load profile meters. Solid state meters are installed only in about 5% of households. Several smart meter trials are underway in Germany, including those in Linz and Dortmund. The DISPOWER virtual power plant set up in Stutensee provides intelligent power to 100 apartments and houses. In 2008 RE Power announced a plan to install 100,000 smart meters, the first take-up in Germany.
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 40,000 9,400,000 650 1,202,500 40,000 8,800,000 750 1,387,500 50,000 11,000,000 700 1,295,000 50,000 10,500,000 650 1,202,500 50,000 9,500,000 650 1,202,500 50,000 7,000,000 200,000 26,000,000 500,000 55,000,000 1,500,000 141,000,000 2,500,000 235,000,000 1,080,000 28,080,000 300,000 10,500,000 2009 900,000 23,400,000 400,000 14,000,000 2010 550,000 14,300,000 400,000 12,000,000 2011 300,000 7,800,000 400,000 12,000,000 2012 100,000 2,600,000 400,000 10,800,000
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Market shares in value 2008 In 2008 Iskra had the largest share with 28%, followed by Actaris with 25% and Landis+Gyr with 23%
30% 28% 25% 25% 23%
20%
15%
10% 10%
5%
5% 3%
6%
0% Actaris Landis+Gyr Elster Iskra EMH Pafal Others
The European Measuring Instruments Directive (MID) applies. Meters are calibrated at one of 140 meter calibration centres. After calibration, electromechanical meters can stay in service for 16 years and electronic meters for 8 years.
Utility background and market characteristics
The utility market is highly fragmented in Germany, with 4 large utility groups each having a control area in Germany: RWE Energie, E.On, Vattenfall, and EnBW. 70 regional utilities and 800 municipal utilities together account for about 20% of power generation and about two-thirds of distribution. These numbers are constantly decreasing as further mergers take place. Major mergers have reshaped the industry. RWE, the largest energy company in Germany, acquired VEW, the country's sixth largest electricity producer. Veba, Germany's second-largest power company, merged in June 2000 with Viag, the third-Iargest, to create E.On. The newly merged companies will be Europe's third (RWE) and fourth-largest (E.On) electricity companies behind the French state company EDF and Italy's ENEL. In 2003, Vattenfall Europe, owned by Vattenfall of Sweden, became the third largest player in Germany with the acquisition and consolidation of shares in Bewag, VEAG, and HEW. Vattenfall owns 73.8% of HEW, 4.8% of Bewag, and 81.3% of VEAG. The fourth-largest electricity company is EnBW. Mergers and acquisitions continue at all levels.
85

Utility background and market characteristics (continued) Because the utility system in Germany is so fragmented, the meter market is serviced with many contracts. The four large national companies and the larger regional companies issue relatively large meter tenders to be fulfilled over several years. Additionally, there are many small orders by the smaller stadtwerke, the small regional and municipal distribution companies. The meter suppliers therefore need either to service a market consisting of a relatively large number of potential customers or to work through regional distributors or agents.
Table 6.9: ESI characteristics Germany

Largest generator by capacity 30% Top 3 producers by capacity 75% E.ON 30% RWE 27% Vattenfall Europe 18% EnBW 7% TSOs 4 Legally unbundled EnBW Transportnetze Ag RWE Net AG E.ON Netz GmbH Vattenfall Europe Transmission GmbH DNOs 950 Accounts
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6.1.10 Greece
Annual demand was 323,000 meters (units) in 2008 fluctuating to 320,000 in 2012. The value will increase in this period from 16 million ($23 million) to 23 million ($29 million). The peak in 2010 is a large installation of electromechanical meters.
350,000
35,000,000
30,000,000
300,000
250,000
20,000,000
200,000
15,000,000
150,000
10,000,000
100,000
5,000,000
50,000
2008 23,104,872 15,717,600 323,460
2009 12,111,990 9,537,000 191,000
2010 18,097,500 14,250,000 274,000
2011 15,240,000 12,000,000 195,000
2012 29,400,500 23,150,000 320,000
Merter units
87
6.1.10 Greece, Continued

Meter technology Greece will start to install AMI meters in 2011 and will increase the rate in 2012.
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 18,300 3,477,000 150 345,000 16,500 2,475,000 20,000 3,000,000 20,000 3,000,000 20,000 3,000,000 10 600 4,500 432,000 34,000 2,890,000 75,000 6,000,000 250,000 18,750,000 305,000 11,895,000 2009 170,000 6,630,000 2010 220,000 8,360,000 2011 100,000 3,000,000 2012 50,000 1,400,000
Landis+Gyr had the largest market share with 61% in 2008 followed by Actaris with 37%
70% 61% 60%
50%
40%
37%
30%
20%
10% 2% 0% Actaris Landis+Gyr Other

88
6.1.10 Greece, Continued

Utility background The vertically integrated, majority state-owned Public Power Corporation (PPC) dominates the Greek electricity industry. In 2005, PPC generated and supplied 96% of electricity consumed. PPC owns the transmission network, and owns and operates the distribution network and supply. Independent generation consists of two gas fired power plants and some renewable generation. Independent retail supply is negligible. In the past, the Public Power Corporation or DESMIE (Diachiristis Elinmou Sistimatos Metaforas Iliktrikis Energias) was solely responsible for transmission. However, new electricity producers and customers will require access to the network therefore, a new body, known as the Hellenic Transmission System Operator (HTSO) has been established. HTSO is an S.A. company, 51% of which belongs to the Public Sector, and 49% to the electricity production companies existing in Greece. HTSO S.A. is a company with a double role. The distribution system consists of medium and low voltage lines. The medium voltage system includes overhead lines and underground cables at 20 kV, 15 kV and a small number of 22kV and 6.6 kV in the district of Attiki, while the low voltage lines are at the range of 380/220 kV. The total length of the distribution system exceeds 200,000 km.
Table 6.10: ESI characteristics Greece

Largest generator by capacity 96% Top 3 producers by capacity 97% DEH (PPC), Public Power Corporation, 100% state-owned IPPs, Terna Energy SA 150 MW, Hellenic Petroeum 400 MW, Mytilineos Group's 722 MW Large companies present: Largest PPC Other significant None TSO 1 HTSO Hellenic Transmission System Operator Responsible operation, maintenance and development of the electric power transmission system, balancing and settlement Legally unbundled, 51% government, 49% DEH/ other Generators DNO 1. Owned by PPC Legally unbundled July 2007 None
89
6.1.11 Hungary
Annual demand was 634,000 meters (units) in 2008 rising slightly in 2009 and then declining to 472,000 in 2012. The value will fall in this period from 14 million ($21million) to 12 million ($16 million).
25,000,000
700,000
600,000 20,000,000 500,000 Value $ and euro 15,000,000
10,000,000
300,000
200,000 5,000,000 100,000
2008 20,889,817 14,210,760 633,550
2009 19,069,939 15,015,700 648,125
2010 17,371,060 13,678,000 564,530
2011 16,752,062 13,190,600 524,240
2012 15,831,947 12,466,100 472,245
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The largest proportion electromechanical meters. of expenditure in Hungary will continue with
2008 Residential Industrial, grid, commercial Units Units 99% 93% 1% 7%
2009 98% 93% 1% 7%
2010 97% 93% 1% 7%
2011 96% 93% 1% 7%
2012 94% 93% 1% 7%
90
Meter units
400,000
6.1.11 Hungary, Continued

2008 Units Residential Euro $ Units C&I Euro $ Units Total meters Euro $ 626,530 13,194,420 19,395,797 7,020 1,016,340 1,494,020 633,550 14,210,760 20,889,817 2009 641,100 14,007,200 17,789,144 7,025 1,008,500 1,280,795 648,125 15,015,700 19,069,939 2010 558,000 12,730,000 16,167,100 6,530 948,000 1,203,960 564,530 13,678,000 17,371,060 2011 518,000 12,267,000 15,579,090 6,240 923,600 1,172,972 524,240 13,190,600 16,752,062 2012 466,000 11,534,000 14,648,180 6,245 932,100 1,183,767 472,245 12,466,100 15,831,947
Meter technology
Residential meters are electromechanical. The large commercial and industrial sectors use solid state meters.
$
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 1,530 174,420 7,000 987,000 20 29,340 560,000 11,200,000 65,000 1,820,000
2009 560,000 11,200,000 72,000 1,872,000
2010 470,000 9,400,000 70,000 1,610,000
2011 420,000 7,980,000 70,000 1,610,000
2012 380,000 7,220,000 50,000 1,150,000
3,500 420,000 5,600 515,200 7,000 966,000 25 42,500
8,000 920,000 10,000 800,000 6,500 897,000 30 51,000
15,000 1,650,000 13,000 1,027,000 6,200 855,600 40 68,000
20,000 1,900,000 16,000 1,264,000 6,200 855,600 45 76,500
Actaris has the largest market share with 53%, followed by Apator of Poland with 26% and Elster with 10%. Actaris has a factory in Godollo, which was opened in 1999 with a production capacity for 600,000 meters a year to supply Hungarian utilities and neighbouring countries. Capacity has been expanded to 1.5 million electromechanical and solid state meters. Actaris in Godollo is active in Romania and Bulgaria. At the time of opening the Hungarian factory, Actaris claimed a 65% share of the market for electricity meters in Hungary and this is estimated between 45% - 55% in 2006. In 2001 Actaris acquired Ganz Meter Company. Iskra supplies meters from Slovenia. Iskra has a partner office in Hungary. We do not know how many of the meters imported are used in Hungary or resold. The numbers of units imported are large in relation to the size of the Hungarian market, especially when Hungary has the large Actaris facility producing in the country.
91
60% 53% 50%
40%
30% 26%
20%
10% 10% 3% 1% Elster Iskra Apator Other
2% 0% Actaris Landis+Gyr
The European Measuring Instruments Directive (MID) applies. A mandatory re-verification system operates in Hungary, supplemented by random inspection. These procedures are conducted by OMH and its verification offices. The verification interval for electricity meters is 15 years.
Utility background
There are eight power plant companies, six distribution companies and the Magyar Villamos Muvek Rt. (MVM Rt Hungarian Power Companies Ltd.) providing power in Hungary. As a key stage within the liberalisation process, the National Control Centre ("OVT"), the division of MVM Rt. responsible for operation control of the Hungarian power system, has been transformed into a company limited by shares called MAVIR Magyar Villamosenergia-ipari Rendszerirnyt Rszvnytrsasg (MAVIR Hungarian Power System Operator Company, MAVIR Rt.). Since 1 January 2001, MAVIR has been functioning as an Independent System Operator whereas the ownership of the national grid has been kept by MVM Rt. The ownership of MAVIR Rt. was transferred from MVM Rt. to the Ministry of Economic Affairs on 1 February 2002. MVM Rt is responsible for the co-ordination of the industry. The company owns and operates the national HV grid and buys energy in bulk from the generation companies (98% of electricity is produced in MVM Rt-owned generation companies) and sells to various distribution companies. There are in addition, nine industrial auto-producers that sell excess power to MVM Rt, which it then sells to the distribution companies.
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Table 6.11: ESI characteristics Hungary
Largest generator by capacity 30% Top 3 producers by capacity 65% Installed capacity 7,770 MW - 40 Generators 12 generation companies; 10 of which privately-owned (Tractebel, RWE, AES, ATEL, EdF, Croesus, EON). Magyar Villamos Muvek Rt (MVM) had a technical 40% share of production in 2004. The top 3 have 65% and 6 companies each have at lea\st 5%. Magyar Villamos Mvek Rt. (MVM Zrt.) controls about 80% to 85% of power plant capacity on a long-term basis, including Paks NPP. TSO 1 state-owned company providing transmission and public wholesale MAVIR Magyar Villamosenergia-ipari Reendszeriranyito Rt Legally unbundled DNOs 6 regional distribution / supply companies owned by RWE, E.ON, EDF
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6.1.12 Ireland
Annual demand was 38,000 meters (units) in 2008 rising sharply to 68,000 in 2012. The value will increase in this period from 1.5 million ($2.2 million) to 5.3 million ($6.7 million).
80,000
8,000,000
7,000,000
70,000
6,000,000
60,000
Value $ and euro
5,000,000
50,000 Meter units
4,000,000
40,000
3,000,000
30,000
2,000,000
20,000
1,000,000
10,000
2008 2,176,335 1,480,500 38,060
2009 3,362,960 2,648,000 53,010
2010 3,721,100 2,930,000 57,005
2011 3,911,600 3,080,000 37,005
2012 6,718,300 5,290,000 68,005
2008 Units Residential Euro $ Units Industrial, grid, commercial Euro $ Units Total meters Euro $ 36,050 1,100,500 1,617,735 2,010 380,000 558,600 38,060 1,480,500 2,176,335 2009 51,000 2,268,000 2,880,360 2,010 380,000 482,600 53,010 2,648,000 3,362,960 2010 55,000 2,580,000 3,276,600 2,005 350,000 444,500 57,005 2,930,000 3,721,100 2011 35,000 2,730,000 3,467,100 2,005 350,000 444,500 37,005 3,080,000 3,911,600 2012 66,000 4,950,000 6,286,500 2,005 340,000 431,800 68,005 5,290,000 6,718,300
6.1.12 Ireland, Continued

Meter technology Ireland has announced support for smart metering and ESB is working on a roll-out to start in 2011/2012. The first pilots of 6,000 AMI meters were installed in 2008. This pilot was originally going to be for 25,000 trial households but has been reduced. The final decision has not yet been taken but it is almost certain to be approved and the government is highly supportive, despite Irelands dire economic situation.
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 2,000 360,000 10 20,000 2,000 360,000 10 20,000 2,000 340,000 5 10,000 2,000 340,000 5 10,000 2,000 340,000 5 10,000 6,000 468,000 21,000 1,638,000 25,000 1,950,000 35,000 2,730,000 66,000 4,950,000 50 2,500 30,000 630,000 30,000 630,000 30,000 630,000 2009 2010 2011 2012
Market shares in value 2008 Type approval and verification Utility background
Market data is not available for Ireland.
The Electricity Supply Board (ESB) is the national body responsible for electricity supplies and was established under the Electricity Supply Act in 1927. At that time there were over 300 suppliers, today ESB is the sole utility. EirGrid Plc has taken over the operation of Ireland's electricity transmission system from ESB National Grid (ESBNG). The Irish national grid was originally established as a 110 kV network but as the demand for electricity grew, 220 k and 400 kV lines were built. The 400 kV lines are used to carry power to Dublin from the large Moneypoint coal-fired generation station in the Shannon Estuary. The distribution network operates at 110, 38, 20 and 10/5 kV. There were 105,666 substations and the total capacity of these was 15,440 MVA. Low voltage is at 10/5 kV.
95
6.1.12 Ireland, Continued

Table 6.12: ESI characteristics Ireland
Largest generator by capacity 85% Top 3 producers by capacity 90% Large companies present: Largest ESB Other significant ni TSO 1 EirGrid plc DNOs 1 ESB Networks Managed
96
6.1.13 Italy
Annual demand was 1,456,000 meters (units) in 2008 and will decline as the final AMI installations by Enel and the municipal distributors are completed. The value will decrease from 66 million ($97 million) to 23 million ($29 million).
120,000,000
1,600,000
1,400,000 100,000,000 1,200,000 80,000,000 Value $ and euro 1,000,000 Meter units
60,000,000
800,000
600,000 40,000,000 400,000 20,000,000 200,000
2008 97,436,010 66,283,000 1,455,610
2009 54,461,410 42,883,000 935,610
2010 48,380,650 38,095,000 809,010
2011 43,370,500 34,150,000 711,010
2012 29,419,550 23,165,000 462,010
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () With the completion of the residential AMI installations the proportion in terms of value of the C&I sector will regain importance.
97
6.1.13 Italy, Continued

2008 Units Residential Euro $ Units Industrial, grid, commercial Euro $ Units Total meters Euro $ 1,453,000 65,400,000 96,138,000 2,610 883,000 1,298,010 1,455,610 66,283,000 97,436,010 2009 933,000 42,000,000 53,340,000 2,610 883,000 1,121,410 935,610 42,883,000 54,461,410 2010 803,000 36,150,000 45,910,500 6,010 1,945,000 2,470,150 809,010 38,095,000 48,380,650 2011 703,000 31,650,000 40,195,500 8,010 2,500,000 3,175,000 711,010 34,150,000 43,370,500 2012 453,000 20,400,000 25,908,000 9,010 2,765,000 3,511,550 462,010 23,165,000 29,419,550
Meter technology
Italy has the largest park of smart meters in the world, although this is about to be overtaken by China and the UK (if gas meter are included). There are now no electromechanical meters. In 2001, Enel began replacing the traditional electromechanical meters with new integrated solid state meters at a rate of 700,000 meters per month; the whole residential customer base of 30 million is now served with solid state meters. With EU market liberalisation, Enel Distribuzione decided to take a number of major actions involving complete re-engineering of the distribution and commercial processes, the introduction of new technologies like SAP, CRM, billing, and a new credit management system. The major system functionalities are remote meter reading, remote management of customer contracts (e.g. voltage change, tariff change, connection, disconnection), and remote monitoring of the low voltage network (quality of service and energy balance). The system components are the meter, the concentrator, the modem, and the central system. For the metering business, Enel created the Telegestore System in alliance with IBM and completely replaced Enels meters that were connected to the low-voltage grid. This system is described as an Automated Meter Management (AMI) system and is not simply a remote meter reading system (AMR). Since the early 1990s, Enel had been experimenting with systems to manage meters remotely using power line as the means of communication. These trials allowed Enel to test different technologies and at the same time, to acquire knowledge of remote meter reading. More importantly, the trials have proved that using power line communication in low-voltage grids for data exchange is technically feasible. A complete system was implemented in several Italian cities covering nearly 70,000 customers, 40,000 of which were in the Rome area. This installation was successful from a technical point of view, but the project was abandoned when the availability of more competitive technologies emerged. A completely solid state and integrated meter, instead of a traditional electromechanical meter integrated with an external solid state communication device, was produced. The public telecommunication network (GSM) has been used for communication between the secondary substation and the central system instead of power line communication in the medium / high- voltage network.
98

Meter technology (continued) The lessons learned from this project, in terms of both technology and economics, allowed Enel to prepare a business plan to develop and implement an automatic meter management system capable of managing all the customers in the low-voltage network with a payback period of five years. The project started in June 2000 with the development of a remote metering management system, which used the lowvoltage distribution grid as a data carrier in combination with the public telecommunication network. Enel claims that for an investment of 2.1 billion savings of 500 million are being achieved each year. The key features of Telegestore are as follows: Active and reactive energy measurement AMR functions Time of use, time of the year contract management functions Remote connect / disconnect for load control Fraud detection / anti-tampering functions Customer information Prepayment (without card) enabling Demand power management Low-voltage grid energy management Individual customer service quality level monitoring Potential development of value added services for energy market
The logistics of the project were enormous and involved the following: 350,000 concentrators 30 million meters 2 billion investment Involvement of more than 15,000 people over 3 continents 650 local firms used to replace the meters 5 meter assemblers More than 50 suppliers of meter components
Enel Distribuzione has almost completed its roll-out of smart meters. Among other distributors, ACEA of Rome has contracted to install 1.5 million smart meters and has already started. AEM Torino and ASM Brescia have also announced their intention to install smart meters.
99

2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 2,600 858,000 10 25,000 2,600 858,000 10 25,000 6,000 1,920,000 10 25,000 8,000 2,480,000 10 20,000 9,000 2,745,000 10 20,000 1,450,000 65,250,000 930,000 41,850,000 800,000 36,000,000 700,000 31,500,000 450,000 20,250,000 3,000 150,000 3,000 150,000 3,000 150,000 3,000 150,000 3,000 150,000 2009 2010 2011 2012
The largest market share is held by Enel with its proprietary meter at 50%, followed by Landis+Gyr with 41%. The meter was designed by Enel with the help of external designers to ensure system integration. They are produced by international contract manufacturers in Shenzen, China, ensuring high volumes of production with low defect rates. They are all developed according to international standards (CEN 61036, CEN 61268). Enel opened a public worldwide tender procedure for the procurement of the meters.
60%
50% 50%
41% 40%
30%
20%
10%
7%
1% 0% Actaris Landis+Gyr
0% Elster
1% Iskra ENEL Other

100

Utility background Enel is Italy's dominant electricity company, founded in 1962 by the Italian government. The company, which continued under state-ownership until November 1999, produced about 70% of Italy's electricity usage in 2000. In 1999, the Bersani Decree implemented the EU Directive, beginning the liberalisation of the electricity market. The November 1999 Enel privatisation stock sale was Europe's largest IPO. The government floated 32% of the company, which sold for 18 billion on the Milan and New York stock exchanges. Enel has divested three generation companies with 15,000 MW installed capacity: the 5,438 MW Elettrogen to Endesa in 2001; the 7,009 MW Eurogen in 2002 to Edipower, a consortium led by Edison; and the 2,611 MW Interpower to Electrabel and Energia in 2002. Enel has sold its distribution networks in Italy's large urban centres. Additionally, it has already sold off many local grids, including the Rome network to ACEA in 2001 and the Turin and Milano networks to AEM. However, local electricity companies have complained that Enel is blocking some of their access. In July 2002, the Italian government issued a bill that would require Enel to reduce its distribution network to less than 10% of market share within three years.
Table 6.13: ESI characteristics Italy

Largest generator by capacity 55% Top 3 producers by capacity 75% Enel Produzione Enipower Euroge Edison Elettrogen Tirreno Power TSO 1 Terna SpA is the fully independent TSO. Ownership GRTN Gestatore della ete di transmissione nazionale S.p.a. DNOs 170 Legally unbundled
101
6.1.14 Latvia
Population 2008 2,245,423 Number of households 2008 904,000 Installed electricity meter base 2008 1,100,001
Annual demand was 51,000 meters (units) in 2008 falling to under 19,000 in 2012. The value will decline from 1.3 million ($1.9 million) to 0.6 million ($0.8 million).
60,000
2,000,000 1,800,000 1,600,000 1,400,000 Value $ and euro 1,200,000 1,000,000 800,000 600,000 400,000 200,000 0 $ euro Meter units
50,000
40,000 Meter units
30,000
20,000
10,000
2008 1,886,716 1,283,480 50,890
2009 1,002,602 789,450 20,250
2010 823,506 648,430 19,160
2011 791,820 623,480 19,110
2012 761,238 599,400 18,600
2008 Units Residential Euro $ Units Industrial, grid, commercial Euro $ Units Total meters Euro $ 48,990 1,028,880 1,512,454 1,900 254,600 374,262 50,890 1,283,480 1,886,716 2009 18,600 576,600 732,282 1,650 212,850 270,320 20,250 789,450 1,002,602 2010 18,510 564,580 717,017 650 83,850 106,490 19,160 648,430 823,506 2011 18,510 564,080 693,522 600 77,400 98,298 19,110 623,480 791,820 2012 18,000 522,000 662,940 600 77,400 98,298 18,600 599,400 761,238
6.1.14 Latvia, Continued

Meter technology Latvia has a mixed base of electromechanical and electronic residential meters. There are no reports of any AMI activity.
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 1,900 254,600 1,650 212,850 650 83,850 600 77,400 600 77,400 24,490 293,880 24,500 735,000 2009 9,300 306,900 9,300 269,700 2010 9,260 305,580 9,250 259,000 2011 9,260 305,580 9,250 240,500 2012 9,000 297,000 9,000 225,000
Actaris had the largest market share in 2008 with 61%, followed by Elgama with 39%.
70% 61% 60%
50%
40%
39%
30%
20%
10%
0% Actaris
0% Landis+Gyr Elgama
103
6.1.14 Latvia, Continued

Type approval and verification Utility background The European Measuring Instruments Directive (MID) applies.
Latvia imports all its coal, natural gas, and oil products. The major energy resource is peat which is used in the form of milled peat, peat blocks and peat briquettes. In recent years, peat has constituted about 20% - 25% of Latvia's primary energy supply. Latvenergo is the state utility responsible for the electricity sector and it has 4 generating subsidiaries, one HV network and 7 regional distribution networks. Latvenergo, owns the integrated electric system in Latvia, and the regional sales are carried out by seven regional networks; the Eastern, Western, Central, Southern, Northern, North-eastern, and Riga networks. The network has 5,505 km of transmission lines and 112,246 km of distribution lines. There are seven small local private distribution companies.
Table 6.14: ESI characteristics Latvia

Largest generator by capacity 95% Top 3 producers by capacity 100% Latvenergo, 60% of consumption State-owned Private generation (wind, small HPP, CHPP) companies covering 5% of total consumption Large companies present: Largest Latvenergo Other significant None TSO 1 Latvenergo's daughter company JSC Augstsprieguma tikls acts as TSO Accounts DNOs 7 private distribution and sales companies
104
6.1.15 Lithuania
Annual demand was 168,000 meters (units) in 2008 falling to 80,000 in 2012. The value will drop in this period from 9 million ($13 million) to 5 million ($7 million).
180,000 160,000 140,000 120,000
16,000,000
14,000,000
12,000,000
Value $ and euro
10,000,000 100,000 8,000,000 80,000 6,000,000 60,000 4,000,000 40,000 20,000 0 Meter units
2,000,000
2008 13,439,181 9,142,300 168,400
2009 5,569,585 4,385,500 116,500
2010 6,697,726 5,273,800 126,700
2011 4,732,020 3,726,000 85,600
2012 6,751,320 5,316,000 80,000
2008 Units Residential Euro $ Units Industrial, grid, commercial Euro $ Units Total meters Euro $ 163,700 8,418,500 12,375,195 4,700 723,800 1,063,986 168,400 9,142,300 13,439,181 2009 112,000 3,760,000 4,775,200 4,500 625,500 794,385 116,500 4,385,500 5,569,585 2010 122,500 4,690,000 5,956,300 4,200 583,800 741,426 126,700 5,273,800 6,697,726 2011 81,400 3,180,000 4,038,600 4,200 546,000 693,420 85,600 3,726,000 4,732,020 2012 76,000 4,796,000 6,090,092 4,000 520,000 660,400 80,000 5,316,000 6,751,320
105
6.1.15 Lithuania, Continued

Meter technology Lithuania has a mixed base of electromechanical and electronic meters but is converting to electronic. By the end of 2010 all new meters will be electronic. There will be a relatively small AMI installation by 2012.
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 4,700 723,800 4,500 625,500 4,200 583,800 4,200 546,000 4,000 520,000 45,700 4,798,500 500 50,000 1,400 140,000 36,000 3,276,000 80,000 960,000 38,000 2,660,000 2009 60,000 1,680,000 52,000 2,080,000 2010 20,000 560,000 102,000 4,080,000 80,000 3,040,000 40,000 1,520,000 2011 2012

70%
Landis+Gyr had the largest market share in 2008 with 30% followed by Elgama with 11%.
60%
59%
50%
40%
30% 30%
20% 11% 10%
0%
0% Actaris Landis+Gyr Elgama Others

106
6.1.15 Lithuania, Continued

Utility background Lietuvos Energija (Lithuanian Energy), a joint-stock company formed by the reorganisation of the Lithuanian state power system in 1995, is the largest electric power company in Lithuania. The state holds an 86.5% share in the company, with Vattenfall owning an additional 10.1%. Besides transmitting and distributing electricity, Lietuvos Energija also purchases all electricity generated in Lithuania and distributes it to Lithuanian consumers. Transmission services are undertaken by a single national network company, Lietuvos Energija. There are two main distribution system operators, Rytu Skirstomieji Tinklai AB and VST AB. These companies are also public suppliers, which mean that they are obliged to supply electricity to all customers requesting supply within their designated territories. In addition to these companies, there are three other businesses active in the supply market including some new entrants. These companies are the largest and retain over 85% of the market. Privatisation of the distribution companies is expected.
Table 6.15: ESI characteristics Lithuania

Largest generator by capacity 70% Top 3 producers by capacity 80% Three main electricity generators (Ignalina NPP, Lithuanian Thermal PP and Vilnius CHP) TSO 1 Lietuvos Energija Legally unbundled DNOs 2 networks, East and West since 2001 Legally unbundled Ryt Skirstomieji Tinklai AB, VST AB and Visagino Energija V are the main public suppliers, out of 7 licensed. Five supply companies are on the market as independent suppliers for eligible customers, out of 20 licensed.
107
6.1.16 Netherlands
Annual demand was 301,000 meters (units) in 2008 rising to 492,00 in 2010 and it will escalate to 1,509,000 in 2012 as the AMI roll-out gets under way. The value will increase in this period from 19 million ($28 million) to 123 million ($157 million).
180,000,000 160,000,000 140,000,000 120,000,000 Value $ and euro
1,600,000
1,400,000
1,200,000
1,000,000 100,000,000 800,000 80,000,000 600,000 60,000,000 40,000,000 20,000,000 0 $ euro Meter units 400,000 Meter units
200,000
2008 27,769,300 18,890,680 301,161
2009 50,850,800 40,040,000 414,000
2010 58,775,600 46,280,000 492,000
2011 96,608,900 76,070,000 830,000
2012 156,571,950 123,285,000 1,509,000
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The proportionate contribution of the C&I sector will decline in terms of value as the AMI roll-out start in 2011/12.
108
6.1.16 Netherlands, Continued

2008 Units Residential Euro $ Units Industrial, grid, commercial Euro $ Units Total meters Euro $ 290,000 16,000,000 23,520,000 9,006 2,890,680 4,249,300 299,006 18,890,680 27,769,300 2009 400,000 35,700,000 45,339,000 14,000 4,430,000 5,511,800 414,000 40,040,000 50,850,800 2010 480,000 42,080,000 53,441,600 12,000 4,200,000 5,334,000 492,000 46,280,000 58,775,600 2011 820,000 72,520,000 92,100,400 10,000 3,550,000 4,508,500 830,000 76,070,000 96,608,900 2012 1,500,000 120,000,000 152,400,000 9,000 3,285,000 4,171,950 1,509,000 123,285,000 156,571,950
Meter technology
In The Netherlands, the government in September 2007 proposed that all households (running to 12 million electricity and gas meters, 7.5 million electricity, and 5 million gas) should have smart meters by 2013 as part of a national energy reduction plan. This is running behind the original schedule but the roll-out will start in 2009/10. A cost benefit analysis was conducted and it concluded that the most important costs would amount to 1,589 million versus most important benefits of 2,289 million. The net benefit was therefore positive but 85% of the benefits will accrue to households who will bear only 5% of the cost, whereas the cost will be borne principally by the metering companies, followed by the energy suppliers and the local networks. It will be most cost effective with a large scale rollout. The Dutch grid operator Continuon started with a pilot project in 2006. Some 50,000 smart meters have been installed with selected customers to build experience with all operational aspects of smart meters. The smart meter (Metripoint) registers both electricity and gas and communicates through PLC. A new energy supplier and certified metering company in the Netherlands, Oxxio, started in 2006 to offer smart meters to its customers. Customers with a smart meter also have entry to a personal website with the actual energy use and energy costs. Oxxio's smart meter registers both electricity and gas and communicates through GSM / GPRS. Oxxio engaged IBM Global Business Services to create a new subsidiary business unit, and then outsourced the infrastructure-management and operation of the company to IBM. Oxxio Metering uses a customised Automated Meter Management (AMI) solution developed by ENEL. IBM designed a unique wireless data communication module that gathers data from the smart meters and sends it directly to Oxxio's central control facility. Oxxio, the largest supplier in the Netherlands and NUON have both started a 100% replacement with AMI meters. Delta Comfort and Delat netwerkbedriejf have also conducted pilots.
109

2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 9,000 2,880,000 6 10,680 14,000 4,340,000 12,000 4,200,000 10,000 3,550,000 9,000 3,285,000 90,000 10,800,000 300,000 33,000,000 400,000 40,000,000 800,000 72,000,000 1,500,000 120,000,000 200,000 5,200,000 100,000 2,700,000 80,000 2,080,000 20,000 520,000 2009 2010 2011 2012
In 2008, Iskra had the leading share with 35%, followed by Landis+Gyr with 33% and Actaris with 8%.
40% 35% 35% 33%
30%
25%
24%
20%
15%
10%
8%
5%
0% Actaris Landis+Gyr Iskra Others

110

Utility background Generation, transmission and distribution have been vertically disaggregated into 4 generators, one transmission company and 7 distribution companies. Three suppliers dominate the distribution market in terms of connections; ESSENT, NUON and ENSCO have 85.4% of customer connections. Opening of the market took place ahead of schedule in 2004 and major consolidation of companies is now taking place. In the face of competition from RWE Energie and E.On from Germany and EdF from France, the Dutch utilities have realised that they are small players in a big market dominated by a number of very large companies and they need to expand their strengths if they are to compete. As yet virtually inactive abroad, they are actively seeking links with internationals. There is no obligation to privatise the power industry in the Netherlands but many of the regional distribution companies have been sold. The big five distribution companies are at the start of a programme to sell shares traditionally owned by communities and provinces to private investors but the outcome is not certain. At present there is a measure disagreement between the municipalities which wish to sell their distribution businesses and the public, together with the political establishment, which wish to retain control in public ownership. Tennet is manager of the highways of the Netherlands high-voltage grid (380 and 220 kV). As the national grid administrator / TSO, Tennet is responsible for this highvoltage grid which connects all regional electricity grids with each other and with the European grid. It monitors the reliability and continuity of the electricity supply throughout the country. It makes its high-voltage grid available impartially for electricity transmission and ensures the necessary balance between supply and demand. Since October 2001, the state has been the sole shareholder in Tennet.
Table 6.16: ESI characteristics Netherlands

Largest generator by capacity 27% Top 3 producers by capacity 74% Essent N.V. (27% of market; publicly owned) Electrabel Nederland N.V. (25% of market, owned by Suez group) Nuon N.V. (22% of market, publicly owned) TSO 1 Tennet b.v. Ownership DNOs 20, 4 major groups Legally unbundled
111
6.1.17 Norway
Annual demand was 169,000 meters (units) in 2008 rising to 349,000 in 2012 with the AMI roll-out. The value will increase in this period from 15 million ($23 million) to 23 million ($29 million).
400,000
35,000,000
30,000,000
350,000
300,000
250,000 Meter units 20,000,000 200,000 15,000,000 150,000 10,000,000 100,000 5,000,000
50,000
2008 22,718,409 15,454,700 168,700
2009 16,236,569 12,784,700 178,700
2010 31,149,544 24,527,200 336,200
2011 28,196,794 22,202,200 339,200
2012 28,996,894 22,832,200 349,200
6.1.17 Norway, Continued

Meter technology Norway lags behind the other Scandinavian countries in introducing advanced metering. New legislation is expected to mandate smart metering in Norway, where in June 2007 the energy authority NVE recommended legislation requiring smart meters to be installed by 2013. The Norwegian network, modelled on that of Sweden, would cost 500 million and affect 2.6 million customers.
2008 Electromechanical Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 16,000 752,000 200 365,200 16,000 752,000 200 365,200 4,000 732,000 200 365,200 4,000 732,000 200 365,200 4,000 732,000 200 365,200 120,000 13,200,000 130,000 10,400,000 330,000 23,430,000 335,000 21,105,000 345,000 21,735,000 32,500 1,137,500 32,500 1,267,500 2,000 2009 2010 2011 2012
Electronic
Residential
AMR
AMI
Prepayment
C&I
C&I AMI
Grid
Grid AMI
Utility background
The electricity supply industry in Norway has grown from a history of municipal, town, county and national government provision of services. There were, as a result of this structure, a great number of producers and suppliers of electricity. Statnett is responsible for coordinating supply and demand in the power system in Norway. Stattnet owns more than 75% of the overall grid in Norway, the Main Grid. A further 19 companies own the other installations in the Main Grid system. Statnett also owns the Norwegian share of power lines and sub sea cables to foreign countries. There are 150 distribution companies in Norway. The distribution companies can purchase power from any of the generating companies.
Table 6.17: ESI characteristics Norway

Generators - 2 with 38% of total Stadtkraft 32.7% Norsk-Hydro 5.7% 177 generating companies Large companies present: Largest Stadtkraft TSO 1 Stattnett SF Ownership Network access Regulated third party access Monitoring of wholesale/balancing market TSO Import capacity as % of installed capacity 18% DNOs 150 Legally unbundled/Accounts
Source: ABS ESI 2008 Edition 14 www.absenergyresearch.com

113
6.1.18 Poland
Annual demand was 662,000 meters (units) in 2008 rising to 892,000 in 2012. The value will increase in this period from 27 million ($40 million) to 36 million ($45 million).
1,000,000 900,000 800,000 700,000 600,000 500,000 400,000 300,000 200,000 100,000 0
50,000,000 45,000,000 40,000,000 35,000,000 Value $ and euro 30,000,000 25,000,000 20,000,000 15,000,000 10,000,000 5,000,000 0 $ euro Meter units
2008 39,567,255 26,916,500 662,620
2009 35,627,278 28,052,975 684,885
2010 38,550,017 30,354,344 740,276
2011 40,725,344 32,067,200 784,070
2012 45,271,944 35,647,200 892,070
Meter units
6.1.18 Poland, Continued

Meter technology Residential meters are largely electromechanical but these are being replaced with electronic meters. Poland has ordered and installed a 100 unit pilot test using Synaptech AMR technology. Vattenfall, which now owns GZE, a leading Polish distribution company, is installing smart meters in its distribution companies and will be extending this to Poland. Installations will increase in 2011 and 2012 but not to the level of a national roll-out.
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 6,000 420,000 5,000 800,000 26,500 10,997,500 120 324,000 14,000 980,000 5,000 800,000 27,825 11,547,375 60 87,600 24,000 1,680,000 5,000 800,000 29,216 12,124,744 60 87,600 40,000 2,800,000 5,000 800,000 29,000 12,035,000 70 102,200 80,000 5,600,000 5,000 800,000 27,000 11,205,000 70 102,200 25,000 575,000 600,000 13,800,000 2009 18,000 378,000 620,000 14,260,000 2010 12,000 252,000 670,000 51,410,000 710,000 16,330,000 780,000 17,940,000 2011 2012
Major participants Poland has a long tradition of meter manufacture. The market leader is Pafal a Polish company, with 50% in 2008. Pafal is owned by Apator which also had a 4% share. Landis+Gyr was second with 35%. Pafal SA, owned by Grupa Apator, which also owns Metrix SA, the leading supplier of gas meters. Grupa Apator is a Polish capital group operating in the switchgear and metering markets, making both electromechanical and solid state meters. It consists of 8 entities, 6 domestic and 2 foreign ones. Grupa Apator is actively seeking to expand in foreign markets. Pafal was established in 1897 as a branch of a factory in Berlin H. Aron Elektrizittszhler-Fabrik. In 1999, when the America company Polycorp was making a bid for Pafal it was reported to have an 83% share of the electricity meters market in Poland. The company is supplying meters to RWE in Germany and E.ON in Germany and Hungary.
115
6.1.18 Poland, Continued
60%
50%
50%
40% 35%
30%
20%
10% 2% 0% Actaris Landis+Gyr Elster Iskra Pafal Apator Others 2% 3% 4% 4%
Type approval and verification Utility background
The Polish electricity industry has been reorganised into three layers of companies dedicated to the generation, transmission, and distribution sub-sectors. The TSO is Polskie Sieci Elektroenergetyczne SA. After consolidation there are 14 distribution companies. In the distribution segment, two group consolidations have already taken place, creating the Group G-8 (eight distributors in Central and Northern Poland) and the ENEA Energy Group which comprises five merged companies. There are plans to create three additional consolidated power distributors: L-6 Group (six distribution companies from Eastern and South-eastern Poland); the K-7 Group (seven companies in Central and Southern Poland); and W-5 Group (five companies in South-western Poland). The government has privatised only two distributors: STOEN to RWE; and Grnolskiego Zakadu Elektroenergetycznego (GZE) to Swedens Vattenfall.
Table 6.18: ESI characteristics Poland

Largest generator by capacity 15% Top 3 producers by capacity 35% 4 major power stations out of 17 have been privatised (20% of total capacity) TSO 1 PSE Operator SA Legally unbundled DNOs 14 distribution companies in geographical groups Accounts
116
6.1.19 Portugal
Annual demand was 237,000 meters (units) in 2008 rising to 1 million in 2012. The value will increase in this period from 8 million ($12 million) to 46 million ($59 million).
70,000,000
1,200,000
60,000,000
1,000,000
50,000,000 800,000 Value $ and euro Meter units 40,000,000 600,000 30,000,000 400,000 20,000,000
10,000,000
200,000
2008 12,103,495 8,233,670 237,040
2009 8,480,425 6,677,500 272,510
2010 35,861,625 28,237,500 592,510
2011 60,674,250 47,775,000 952,010
2012 58,610,500 46,150,000 1,001,010
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () In the next five years the C&I market is going to be dwarfed by the AMI residential share in value.
2008 Units Residential Euro $ Units Industrial, grid, commercial Euro $ Units Total meters Euro $ 230,450 5,073,050 7,457,384 6,590 3,160,620 4,646,111 237,040 8,233,670 12,103,495 2009 269,000 6,215,000 7,893,050 3,510 462,500 587,375 272,510 6,677,500 8,480,425 2010 590,000 27,900,000 35,433,000 2,510 337,500 428,625 592,510 28,237,500 35,861,625 2011 950,000 47,500,000 60,325,000 2,010 275,000 349,250 952,010 47,775,000 60,674,250 2012 1,000,000 46,000,000 58,420,000 1,010 150,000 190,500 1,001,010 46,150,000 58,610,500
117
6.1.19 Portugal, Continued

Meter technology Portugal has not taken a final decision whether to establish a smart grid but in 2009 EDP Inovacao is leading a consortium to pilot an advanced meter system in small towns and villages. The new smart grid will be called the Inovgrid, which will be rolled-out nationally to all 6.5 million Portuguese consumers by 2014 if it goes ahead. There is some political opposition due to the cost. However, EDP Disitrbucuicao supports the Inovgrid and as part of MIBEL, the Iberian Electricity Market there will be pressure to parallel Spains smart grid. Portugal has one of the most innovative mindsets among European utilities, witnessed by its approach to renewables in which it is a European leader, and ABS believes the decision will be positive. Conversion to AMI meters has been included in the forecasts.
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 6,500 2,925,000 90 235,620 3,500 437,500 10 25,000 2,500 312,500 10 25,000 2,000 250,000 10 25,000 1,000 125,000 10 25,000 9,000 495,000 460,000 25,300,000 950,000 47,500,000 1,000,000 46,000,000 450 13,050 230,000 5,060,000 260,000 5,720,000 130,000 2,600,000 2009 2010 2011 2012
The largest market share in 2008 was Bruno Janz with 26%, followed by Landis+gyr with 18% and Sagem Communications with 17%.
35%
30% 26% 25%
29%
20%
18% 17%
15% 10% 10%
5%
0% Actaris Landis+Gyr Bruno Janz SAGEM COMMUNICATIONS Others
6.1.19 Portugal, Continued

Type approval and verification Utility background The European Measuring Instruments Directive (MID) applies.
The electricity industry has changed from a vertically integrated monopoly structure to a dual market structure (regulated and free market running in parallel). The Portuguese electricity sector has a mixed ownership structure: some companies are fully or partially privatised while others are public-owned. In late 2003, EDP acquired Hidroelectrica Cantabrico, Spains fourth largest electricity utility, in a move to strengthen its position and to ward off Spanish attempts to gain control of the Portuguese market. REN (Rede Electrica Nacional S.A.) is the TSO. REN left EDP in November 2000 when the European energy market was liberalised, requiring the legal separation of electricity transmission and of electricity distribution and production companies. The Portuguese e state became the major shareholder in REN, holding 70% of the respective capital, while EDP retained an interest of 30%. REN S.A. holds the concession to operate the National Electricity Transmission Network and provides a public utility service in mainland Portugal. The EDP Group started a far reaching remodelling of the distribution business in 2000, aimed at securing greater efficiency in the use of resources, notably through the rationalisation of controllable costs. The Groups four distribution companies (EN, CENEL, LTE, SLE) were merged at the beginning of 2000, giving rise to a single business entity, EDP Distribuio Energia, S.A., high and medium voltage binding distributor and holder of the concession for distribution in low voltage electric power. EDP Distribuio, and 10 small distributors operate under a regulated TPA regime. EDP Distribuio is the dominant player accounting for almost 98% of total energy distributed in 2006.
Table 6.19: ESI characteristics Portugal

Largest generator by capacity 65% Top 3 producers by capacity 80% CPPE, Companhia Portuguesa de Produo de Electricidade, SA - 59% Hidrorumo Enernova Seflor Large companies present: Largest EDP Other significant Endesa TSO 1 REN Rede Elctrica Nacional S.A. Ownership DNOs 11Accounts
119
6.1.20 Romania
Annual demand was 580,000 meters (units) in 2008 rising to 630,000 in 2009 and falling to 462,000 in 2012. The value will decline in this period from 17 million ($25 million) to 11 million ($15 million) as the stock of meters is replaced by the new owners of the Romanian distribution companies, E.ON, CEZ mad ENEL.
30,000,000
700,000
25,000,000
600,000
500,000 20,000,000 Value $ and euro 400,000 15,000,000 300,000 10,000,000 200,000 5,000,000 Meter units
100,000
0 $ euro Units
2008 24,647,843 16,767,240 579,816
2009 19,079,210 15,023,000 630,020
2010 17,254,220 13,586,000 597,020
2011 15,482,824 12,191,200 502,020
2012 14,568,424 11,471,200 462,020
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The composition of the market will change slightly in terms of value, as the stock of residential meters is replaced and the replacement volume declines, unless more expensive AMI meters are introduced. The contribution of the IGC segment will increase from 27% in 2008 to 37% in 2012.
120
6.1.20 Romania, Continued

Meter technology
Prior to privatisation 85% of meters were single-phase induction meters: 50% of those are less than 10 years old 75% of those are less than 20 years old
The remaining meters were multi-phase induction meters: 60% of those are less than 10 years old 90% of those are less than 20 years old
ENEL plans to install smart meters in its Romanian subsidiary. The distribution companies are being privatised and the process is almost complete now. E.ON bought the Moldova distribution company, now called E.ON Moldova Furnizara; ENEL bought Dobrogea, now ENEL Energie; CEZ bought Oldenia. CEZ, in line with its policy in the Czech Republic buys only electronic meters in Romania, ENEL installs both electromechanical and electronic meters, and so far E.On has bought only electromechanical meters. There have been AMR installations in the C&I segment and some small pilots of AMI Meters in the industrial sector. Elster has deployed pilot installations of Synaptech AMR technology with eight regional electrical utilities in Romania. As a result of technical approval and successful pilot programmes, the utilities have begun to increase their deployment, with one site now exceeding 1,100 meters.
121

2008 Electromechanical Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 200,000 3,800,000 345,000 5,865,000 0 0 2,000 200,000 10,000 2,360,000 1,000 60,000 21,540 3,963,360 276 518,880 2009 180,000 3,240,000 415,000 5,175,000 0 0 2,000 200,000 10,000 2,360,000 1,000 60,000 22,000 3,960,000 20 28,000 2010 150,000 2,700,000 420,000 6,640,000 0 0 0 0 3,000 708,000 1,000 60,000 23,000 3,450,000 20 28,000 2011 50,000 900,000 420,000 6,300,000 0 0 0 0 3,000 708,000 1,000 60,000 28,000 4,200,000 20 23,200 2012 10,000 180,000 420,000 6,300,000 0 0 0 0 3,000 708,000 1,000 60,000 28,000 4,200,000 20 23,200
Electronic
Ripple control Residential AMR
AMI
Prepayment
C&I
C&I AMI
Grid
Grid AMI
The leading player in the Romanian meter market is AEM SA with a share by value over 81%, which is successor to Luxten Lighting Company AEM Timisoara (LLC AEM), a state-owned company which was privatised in 1998. AEM is Romanias market leader in metering. The company manufactures electricity, gas, water and heat meters, meter calibrating equipment and automatic meter-reading systems, as well as lighting equipment and maintenance products. Elster Rometrics S.r.l.is the Elster company in Romania, and has deployed pilot installations with eight regional electrical utilities in Romania. Elster Rometrics has been appointed Power Line Communications (PLC) specialists for the entire Elster Group. Since the appointment, Elster Rometrics has added India, Norway and Poland to their exclusive agency agreement. India has demonstrated the products to one of their utility customers. Norway has asked for the Emnode with a less expensive three phase meter as requested by a utility. Poland has ordered and installed a 100 unit pilot test for one of their customers. Market share estimated up to 5%. Actaris and Landis+Gyr supply small quantities of C&I meters in Romania.
122
90% 81% 80%
70%
60%
50%
40%
30%
20%
10% 4% 0% Actaris
7% 3%
5%
Landis+Gyr
Elster
AEM
Electromagnetica
The European Measuring Instruments Directive (MID) applies. The maximum verification interval for electricity meters is 5 years.
Utility background
The Romanian government recently transformed the vertically integrated electric company Conel into independent companies each responsible for separate components of the electricity industry. CONEL was divided into four companies: Transelectrica S.A. A national company for the transport of electrical energy electric transmission, electric market management, and foreign electric system interconnection. Transelectrica operates the National Power Transmission System. The part of Transelectrica which administers the energy market is Opcom SA, which processes electricity proposals from market participants, analyses the bids, and determines the merit order of power unit loading. Transelectrica eventually plans to become a large regional electricity exporter by targeting neighbouring countries; possible markets include Greece, Turkey, and Italy. However, the Romanian electricity grid must be integrated into the Western Europe grid before any power export can happen. Termoelectrica S.A. A Commercial company for the production of electrical and thermal energy electricity generation from thermal power plants, district heating, and related fuel supplies. Some power plants owned by Termoelectrica will be privatised and independent power producers will be created. This is expected to attract foreign and domestic capital. Hidroelectrica S.A. A Commercial company for the production and delivery of hydroelectric power.
123

Utility background (continued)
Electrica S.A. A State-run commercial company for the distribution and supply of electrical energy. Electrica was restructured into eight divisions. In early 2003, the Romanian government offered 51% stakes in two of the regional distribution companies, Electrica Banat S.A. in Western Romania and Electrica Dobrogea S.A. in Southeastern Romania. The two companies have a combined total of more than 1.4 million customers. In 2004, ENEL of Italy negotiated the purchase of these two distribution companies.
Table 6.20: ESI characteristics Romania

Generators 52 Generators > 5% - 9 SC Termoelectrica SA SC Hidroelectrica SA NPP Cernavoda IPPs TEC Gavora, TEC Drobeta, TEC Galati TSO independence Ownership Yes Legal form Yes Organisation Yes DNOs Three groups, owned by E.ON, CEZ and ENEL.
124
6.1.21 Slovak Republic

Annual demand was 53,000 meters (units) in 2008 rising to 61,000 in 2012. The value will increase in this period from 2.1 million ($3.1 million) to 2.6 million ($3.3 million).
4,000,000
70,000
3,500,000
60,000
3,000,000
50,000
Value $ and euro
2,500,000 Meter units 40,000 2,000,000 30,000 1,500,000 20,000 1,000,000 10,000
500,000
0 $ euro Units
2008 3,109,932 2,115,600 52,960
2009 3,019,552 2,377,600 58,610
2010 3,177,794 2,502,200 59,420
2011 3,160,014 2,488,200 59,420
2012 3,344,164 2,633,200 61,020
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The C&I will retain its share of about one third of the market in terms of value.
2008 Residential Units Units 49% 67% 4% 33% 2009 53% 63% 5% 37% 2010 53% 62% 5% 38% 2011 53% 61% 5% 39% 2012 54% 63% 5% 37%
125
6.1.21 Slovak Republic, Continued

2008 Units Residential Euro $ Units C&I Euro $ Units Total meters Euro $ 50,700 1,409,000 2,071,230 2,260 706,600 1,038,702 52,960 2,115,600 3,109,932
2009 55,800 1,506,000 1,912,620 2,810 871,600 1,106,932 58,610 2,377,600 3,019,552
2010 56,400 1,539,000 1,954,530 3,020 963,200 1,223,264 59,420 2,502,200 3,177,794
2011 56,400 1,525,000 1,936,750 3,020 963,200 1,223,264 59,420 2,488,200 3,160,014
2012 58,000 1,670,000 2,120,900 3,020 963,200 1,223,264 61,020 2,633,200 3,344,164
Meter technology
The Slovak market remains electromechanical and electronic with very little AMI on the horizon.
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 2,250 675,000 10 31,600 2,800 840,000 10 31,600 3,000 900,000 20 63,200 3,000 900,000 20 63,200 3,000 900,000 20 63,200 700 84,000 800 96,000 1,400 154,000 1,400 140,000 3,000 285,000 25,000 600,000 25,000 725,000 2009 25,000 600,000 30,000 810,000 2010 25,000 575,000 30,000 810,000 2011 25,000 575,000 30,000 810,000 2012 25,000 575,000 30,000 810,000
126

60%
Actaris had the leading market share in 2008 with 49%.
50%
49%
51%
40%
30%
20%
10%
0% Actaris
0% Landis+Gyr Others
The main participants in the Slovak electricity market are a single, dominant generation company and three large distribution/supply companies, which cover the entire territory of the country. Until 1994, Slovensk energetick podnik s.p. (SEP) was the state-owned national electricity utility. However, during Slovakia's initial privatisation efforts in 1994, SEP was transformed into SE and is today the primary generator and transmitter of electric power in Slovakia. SE has responsibility for the high voltage (mainly 400 kV) grid. Three regional utilities (RDUs) operate distribution systems in Bratislava, Zilina and Kosice: Zapadoslovenske Energeticke Zavody Bratislava (ZSE); West Slovakian RDU; 965,000 customers, distributes power in the Western third of the country Stredoslovenske Energeticke Zavody Zilina (SSE); Central Slovakian RDU, distributes power in the central third Vychodoslovenske Energeticke Zavody Kosice (VSE); East Slovakian RDU, distributes power in the Eastern third
In late July 2004, the three distribution companies were sold. 49% of VSE was sold to RWE for 130 million, a stake in SSE to CEZ of Czech Republic and 49% of ZSE to E.ON.
127

Table 6.21: ESI characteristics Slovak Republic
Largest generator by capacity 80% Top 3 producers by capacity 85% Generators > 5% 3 Heavily dominated by new Slovensk elektrrne a.s. (SE a.s, 66% controlled by Italys Enel SpA) Large companies present: Largest Enel Other significant TEKO, RWE, EdF, E.ON TSO 1 SEPS, Slovenska elektrizacna prenosova sustava Legally unbundled Network access Regulated third party access Import capacity as % of installed capacity 37% DNOs 3 SSE, VSE, ZSE Regional distribution companies are dominant in respective areas. SE a.s. distributes directly to large consumers accounting for 5% of total electricity. In addition, about 150 local distribution operators (area-suppliers) are active. Managed
128
6.1.22 Slovenia
Population 2008 2,007,711 Number of households 2008 727,000 Installed electricity meter base 2008 876,683
Annual demand was 36,000 meters (units) in 2008 and will rise to 51,000 in 2012. The value will decline in this period from 1.8 million ($2.7 million) to 4.8 million ($6 million).
10,000,000 9,000,000 8,000,000 7,000,000 Value $ and euro 6,000,000 5,000,000 4,000,000 3,000,000 2,000,000 1,000,000 0 $ euro Units
60,000
50,000
40,000 Meter units
30,000
20,000
10,000
2008 2,676,870 1,821,000 36,005
2009 5,597,525 4,407,500 40,005
2010 8,626,475 6,792,500 44,505
2011 6,061,075 4,772,500 56,005
2012 6,061,075 4,772,500 51,005
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The contribution in value of the C&I sector will decline in value over the next five years.
2008 Residential Units Euro Units Euro 97% 89% 3% 11% 2009 97% 96% 3% 4% 2010 98% 97% 2% 3% 2011 98% 96% 2% 4% 2012 98% 96% 2% 4%
129
6.1.22 Slovenia, Continued

2008 Units Residential Euro $ Units C&I Euro $ Units Total meters Euro $ 35,000 1,625,000 2,388,750 1,005 196,000 288,120 36,005 1,821,000 2,676,870 2009 39,000 4,225,000 5,365,750 1,005 182,500 231,775 40,005 4,407,500 5,597,525 2010 43,500 6,610,000 8,394,700 1,005 182,500 231,775 44,505 6,792,500 8,626,475 2011 55,000 4,590,000 5,829,300 1,005 182,500 231,775 56,005 4,772,500 6,061,075 2012 50,000 4,590,000 5,829,300 1,005 182,500 231,775 51,005 4,772,500 6,061,075
Meter technology
The small Slovenian market will cintinue installing AMR and is beginning to move towards AMI.
2008 Electromechanical Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 0 0 10,000 200,000 0 0 25,000 1,425,000 0 0 0 0 1,000 175,000 5 21,000 2009 0 0 5,000 100,000 0 0 25,000 1,425,000 9,000 2,700,000 0 0 1,000 175,000 5 7,500 2010 0 0 0 0 0 0 30,000 1,710,000 13,500 4,900,000 0 0 1,000 175,000 5 7,500 2011 0 0 0 0 0 0 20,000 1,140,000 35,000 3,450,000 0 0 1,000 175,000 5 7,500 2012 0 0 0 0 0 0 20,000 1,140,000 30,000 3,450,000 0 0 1,000 175,000 5 7,500
Electronic
AMI
Prepayment
C&I
C&I AMI
Grid
Grid AMI
The largest market share in 2008 was for Landsi+Gyr with 57%. We do not have a figure but believe that a high proportion of the 29% of Others is likely to be held by Iskra, the Slovenian meter company which is prominent in Europe.
130
6.1.22 Slovenia, Continued
60%
57%
50%
40%
30%
29%
20% 12% 10%
1% 0% Actaris Landis+Gyr Oskra Others
The European Measuring Instruments Directive (MID) applies. The Slovenian electricity market is situated between three regional markets with different characteristics and prevailing prices the market of Central and Eastern Europe, the Italian market and the market of South-East Europe. Operation of Slovenia's electricity transmission system is the responsibility of stateowned Elektro-Slovenija Eles. The national electricity grid consists of 110 kV, 220 kV, and 440 kV networks. Distribution The activities of the distribution system operator (DSO) are carried out by a state owned DSO named SODO, which rents the networks and contracts most of its activities to the five regional distribution companies, which are the main suppliers. They are 79.5% state-owned.
Table 6.22: ESI characteristics Slovenia

Largest generator by capacity 70% Top 3 producers by capacity 95%, largest 70% Generators > 5% - 2 majority state-owned ELES Elektro Slovenija Slovenske Hidroelektrarne 70% Large companies present: Largest HSE TSO 1 ELES Legally unbundled Network access Regulated third party access Monitoring of wholesale/balancing market Import capacity as % of installed capacity 68% DNOs 5 Legally unbundled in 2007

131
6.1.23 Russia
Annual demand is expected to continue at a fairly static high level, with 5.8 million meters (units) sold in 2008 rising to 5.9 million in 2012. The value in 2008 is estimated at 154 million ($228 million) declining to 150 million ($191 million by 2012.
250,000,000
7,000,000
6,000,000 200,000,000 5,000,000 Value $ and euro 150,000,000
100,000,000
3,000,000
2,000,000 50,000,000 1,000,000
0 $ euro Units
2008 227,663,486 154,873,120 5,838,000
2009 175,895,610 138,500,480 5,839,500
2010 181,984,148 143,294,605 5,891,000
2011 185,454,225 146,026,949 5,840,550
2012 191,055,411 150,437,332 5,890,500
Meter production has increased rapidly in Russia for the last ten years and over 90% of these are sold within Russia, the balance being exported to other CIS countries, over 80% of exports going to Ukraine and Kazakhstan. Since 1995 about 47 million meters have been manufactured in Russia and about 42 million have been used in Russia. At this rate of production the entire stock of Russian meters will have been replaced in the next three to four years. Replacements will then begin a new cycle. The rate of replacement will be based on a shorter life for electronic meters than, as in the past, for the longerlived electromechanical meters, but it will be based on a smaller number installed in the first half of the 1990s, when production was beginning in Russia. Although the population of Russia is declining, the number of households is increasing as they become smaller. There will be continued growth in the residential meter market, which will be accelerated with a conversion to AMI meters some time in the future, although not expected too soon. This suggests that the increase in production and consumption of meters in Russia will start to tail off in about three years although it will still remain high.
132
Meter units
4,000,000
6.1.23 Russia, Continued

Russian meter production in units, 2000 to 2008
7,000,000
6,000,000
5,000,000
4,000,000
3,000,000
2,000,000
1,000,000
0 Meters
2000 1,682,613
2001 2,062,373
2002 3,179,686
2003 4,030,327
2004 5,117,087
2005 5,248,565
2006 5,983,105
2007 6,400,000
2008 6,848,000
Source: Energomera Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () There is some disagreement between different sources regarding the split in value between the residential and C&I markets. Some sources have put the C&I sector far higher.
2008 Residential Units Euro Units Euro 99% 85% 1% 15% 2009 99% 86% 1% 14% 2010 99% 85% 1% 15% 2011 99% 85% 1% 15% 2012 99% 86% 1% 14%
2008 Units Residential Euro $ Units C&I Euro $ Units Total meters Euro $ 5,792,880 136,603,120 200,806,586 45,120 18,270,000 26,856,900 5,838,000 154,873,120 227,663,486 2009 5,791,380 121,454,480 154,247,190 48,120 17,046,000 21,648,420 5,839,500 138,500,480 175,895,610 2010 5,840,880 125,548,605 159,446,728 50,120 17,746,000 22,537,420 5,891,000 143,294,605 181,984,148 2011 5,790,430 128,280,949 162,916,805 50,120 17,746,000 22,537,420 5,840,550 146,026,949 185,454,225 2012 5,840,380 132,691,332 168,517,991 50,120 17,746,000 22,537,420 5,890,500 150,437,332 191,055,411
133

Meter technology Russia has a mixed electromechanical and electronic meter base and is moving towards more electronic meters, with 83% of consumption being electronic. Some AMI metering will be introduced but there is no large scale roll-outs planned to our knowledge. Annual demand for meters by technology, forecast from 2008 to 2012, volume and value ()
2008 Electromechanical Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 1,160,000 16,240,000 4,538,880 108,933,120 0 0 20,000 2,200,000 70,000 8,750,000 4,000 480,000 45,000 18,000,000 120 270,000 2009 1,050,000 11,550,000 4,631,880 97,269,480 0 0 17,500 1,662,500 87,500 10,500,000 4,500 472,500 48,000 16,800,000 120 246,000 2010 950,000 10,450,000 4,761,005 99,981,105 0 0 16,000 1,520,000 109,375 13,125,000 4,500 472,500 50,000 17,500,000 120 246,000 2011 800,000 8,800,000 4,835,161 101,538,386 0 0 13,800 1,311,000 136,719 16,132,813 4,750 498,750 50,000 17,500,000 120 246,000 2012 750,000 8,250,000 4,902,482 102,952,113 0 0 12,000 1,140,000 170,898 19,824,219 5,000 525,000 50,000 17,500,000 120 246,000
Electronic
AMI
Prepayment
C&I
C&I AMI
Grid
Grid AMI
The leading company in the Russian market is Energomera, with a 38% share in 2008. Energomera has increased its market share each year for the last five years and is now the dominant supplier in Russia and also in the Ukraine. The company is a significant meter producer by international standards, among the top 10 in the world in value of meter sales. There are four other smaller companies, the second being Inkotex with 17%, followed by LEMZ (Leningrad) with 14%, MZEP (Moscow) with 12%, and Frunze with 7%. Almost all meters used in Russia are manufactured by Russian companies. Small numbers of C&I meters are imported. Over 80% of meters produced and used in Russia are electronic, converting the installed base from electromechanical to electronic. AMR and other remote reading systems have increased their penetration but are not yet widely used in the domestic sector. In Russia, AMR systems used for automatic meter reading of electric energy are known as Automated System for the Control and Account of Electric Energy (ASCAEE). At present, none of the power systems in Russia have a full-scale ASCAEE with a data collection centre. 20% of the power systems have decentralised ASCAEE. Less than 20% of approximately 260,000 big industrial customers have ASCAEE, and the figure for budget and municipal customers is even lower. More than 90% of the 21 million domestic meters (2.5 grade of accuracy) presently in use should be replaced with 2 grade meters. AMR systems are still uncommon in Russia, with only a few hundred sites.
134

Market shares in value 2008 (continued) In October 2000, RAO UES of Russia approved the concept of AMR systems applied to retail customers and domestic households. In May, the Moscow Electrical Metering Equipment Plant (MZEP) and a number of well-known Russian AMR equipment companies formed an association called Group of Companies the Russian Systems (GCRS).
40%
38%
35%
30%
25%
20% 17% 15% 14% 12% 10% 7% 5% 1% 0%

is yr El st er M Z M ZE P a ex Fr un ze a er go m er A ct ar s+ G In ko t LE th er Is kr s
9%
1%
0.2%
1%
La nd i
Various federal executive authorities carry out accreditation in the Russian Federation in accordance with the relevant legislation. In the course of this, bureaucratic incongruities, overlapping fields of activity and the application of different procedures and criteria in the accreditation process take place. Often, the accreditation and certification activities of several federal executive authorities are superimposed. Thus, it is an important task now to create a unified system. The Accreditation System of the Russian Federation will be such a system in the field of assessing compliance with established requirements for the quality and safety of products and services. State standards of the Russian Federation of series 51000, which have been developed taking into account analogous European standards of series EN 45000, can and must serve as a regulatory basis to create such a system. The basic principle and approach to the creation of this system is prepared by Gosstandart of Russia together with the Economics Ministry of Russia and the RF Chamber of Trade and Industry in accordance with Decree No. 113, dated 2 February 1998, of the Russian Federation Government. The draft of the statement has been developed, taking into account the world practice of carrying out the works on accreditation, present-day requirements of the legislation effective in the country, accumulated potential, and experience in accreditation works.
En
135

Utility background Russia's electricity sector is currently in a transitional period. Since independence, the sector has been dominated by Unified Energy Systems (UES), which is 52% owned by the Russian government. UES, headed by former privatisation minister Anatoly Chubais, controls approximately 70% of the country's distribution system and oversees Russia's 72 regional electricity companies, called energos. In March 2003, Russian President Vladimir Putin signed six bills which intended to substantially reform the industry. According to the reform package, tariff rates on the domestic market would be liberalised by 1 July 2005, and UES would be liquidated beginning in 2006. UESs generation and distribution facilities are expected to be privatised. The transmission grid will remain under state control. The structure, which is already largely formulated and companies created, is as follows: Generation companies 7 Wholesale Generating Companies (WGCs or OGKs) have been spun off from RAO UESR and the Energos, six thermal OGKs and one Hydro OGK. 14 TGCs, Territorial Generating Companies will be created from the assets of the Energos. Transmission and distribution FGC, Federal Grid Company has been created to manage the Unified National Power Grid (UNPG). The System Operator, OAO "UES SO-CDA" controls the operational dispatch of the system, with powers to command generators. FGC will manage 55 trunk grid distribution companies. 11 MRSKs, intra-regional companies manage 64 local distribution companies. Retail companies Competitive Retail Companies will be established on the basis of retail units spun off in the course of regional Energos' restructuring. A number of Guarantee Suppliers will be created with an obligation to ensure uninterrupted supply of electricity to customers in the event of a competitive supply situation.
Table 6.23: ESI characteristics Russia

Generators > 5% - RAO UES, Rosenergoatom After current restructuring there will be 7 WGCs wholesale generating companies (6 thermal, 1 hydro) 14 TGCs territorial generating companies TSO FGC Federak Grid Co operates the 43,294 km long distance bulk transmission network 6 regional united power systems operate in parallel. The Northwest, Mid-Volga, Urals, North Caucasian, and Siberian Systems. The united Far East power system operates independently of the national unified power system.
136

Table 6.23: ESI characteristics Russia (continued)
DNOs FGC manages 55 trunk grid distribution companies 11 MRSKs intra-regional companies manage 64 local distribution companies MRSK Moscow 2 MRSK St Petersburg - 1 MRSK Centre-East 11 MRSK South Centre 4 MRSK South Caucasus 8 MRSK Volga 7 MRSK Centre-Volga 9 MRSK North-West 8 MRSK Ural -4 MRSK Tyumen 1 MRSK Sibir 9 Far East IES
137
6.1.24 Spain
Annual demand was 1,400,000 meters (units) in 2008 rising to 4,600,000 in 2012. The value will increase in this period from 60 million ($88 million) to 152 million ($194 million) as the AMI roll-out gets under way in 2010.
250,000,000
5,000,000 4,500,000
200,000,000
4,000,000 3,500,000
Value $ and euro
2,500,000 100,000,000 2,000,000 1,500,000 50,000,000 1,000,000 500,000 0 $ euro Units 0
2008 87,870,132 59,775,600 1,399,500
2009 47,967,900 37,770,000 1,310,900
2010 110,159,800 86,740,000 2,620,600
2011 157,454,600 123,980,000 3,620,600
2012 193,725,800 152,540,000 4,600,600
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The contribution of the C&I market will decrease from its very high level of 55% in value in 2008 to 9% as the roll-out grows.
138
Meter units
150,000,000
3,000,000
6.1.24 Spain, Continued

Meter technology
In August 2007 Spain enacted a 100% switch to smart meters by 31 December 2018, planning to substitute an average of 10% of meters each year from 2008 to 2018. The two largest utilities, Endesa and Iberdrola, have already embarked on the substitution programme. Between them they account for 76% of electricity end-points in Spain, Endesa having 11 million and Iberdorla 10 million, out of the total 27 million. There are five big distribution companies in Spain, with about 320 small distributors which account for only 25 of energy consumed. 6 distribution companies do not own any meters. In September 2008, the distribution companies owned 23,285,343 meters and customers 3,985,362. Electricity is billed every two months after the meter is read but the supplier can estimate the bill every second billing period. Spain has a large park of 30 - 40 year old electromechanical meters which will be replaced with the AMI meters.
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 247,000 31,616,000 900 990,000 235,000 26,790,000 900 1,260,000 130,000 15,080,000 600 840,000 120,000 14,640,000 600 840,000 100,000 12,200,000 600 840,000 90,000 4,860,000 180,000 9,720,000 2,000,000 62,000,000 3,500,000 108,500,000 4,500,000 139,500,000 1,600 49,600 1,060,000 22,260,000 895,000 490,000 8,820,000 2009 2010 2011 2012
139
6.1.24 Spain, Continued

Market shares in value 2008 The largest market share in 2008 was held by Landis+Gyr with 35%, followed by Actaris with 23%. Spain ahs a strong domestic metering industry with a number of local meter companies.
40% 35%
35%
30%
25%
23%
20%
18%
15%
10% 7% 6% 5% 3% 5%
0% Actaris Landis+Gyr Iskra ZIV Circutor Kamstrup Others
Spain has the fifth largest electricity market in Europe (behind Germany, France, the United Kingdom, and Italy), and it is growing quickly. The Spanish electricity sector is in the midst of restructuring, with considerable privatisation taking place ahead of the scheduled EU mandate. There are five major utility companies in Spain, in descending order of size: the formerly state held Endesa, Iberdrola, Union Fenosa, Hidrocantabrico, and the newly independent Viesgo. The latter was bought from Endesa by Enel in January 2002 and has a 5% market share. This purchase reflects Enel's strategy to regain market share abroad after selling its Elettrogen utility at home to Endesa in 2001. While demand for electricity has rapidly increased within Spain in the past years, domestic supply has not. As such, Spain began to import electricity from Morocco for the first time in December 2001, when cold temperatures created a surge in demand.
Table 6.24: ESI characteristics Spain

Largest generator by capacity 40% Top 3 producers by capacity 80% Endesa - 42% Iberdrola Group Hydroelectrica del Cantabrico SA Union Fenosa TSO 1 REE Red Elctrica de Espaa Ownership DNOs 308 Legally unbundled
140
6.1.25 Sweden
Annual demand was 297,000 meters (units) in 2008 falling off in 2010 to 115,000 as the national AMI roll-out is completed. The value will decline from 32 million ($47 million) to 11 million ($14 million).
50,000,000 45,000,000
350,000
300,000 40,000,000 35,000,000

Value $ and euro
250,000
25,000,000 20,000,000 15,000,000 10,000,000 50,000 5,000,000 0 $ euro Units 0 150,000
100,000
2008 46,618,992 31,713,600 297,100
2009 29,052,012 22,875,600 295,100
2010 10,992,612 8,655,600 115,100
2011 14,203,172 11,183,600 147,100
2012 14,257,782 11,226,600 148,100
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The C&I sector will regain a little of its importance after the completion of the AMI roll-out.
Meter units
30,000,000
200,000
141
6.1.25 Sweden, Continued

2008 Units Residential Euro $ Units C&I Euro $ Units Total meters Euro $ 280,000 30,800,000 45,276,000 17,100 913,600 1,342,992 297,100 31,713,600 46,618,992 2009 278,000 21,962,000 27,891,740 17,100 913,600 1,160,272 295,100 22,875,600 29,052,012 2010 98,000 7,742,000 9,832,340 17,100 913,600 1,160,272 115,100 8,655,600 10,992,612 2011 130,000 10,270,000 13,042,900 17,100 913,600 1,160,272 147,100 11,183,600 14,203,172 2012 130,000 10,270,000 13,042,900 18,100 956,600 1,214,882 148,100 11,226,600 14,257,782
Meter technology
Sweden was one of the first countries whose governments mandated smart metering technology for all households in the country. In March 2003, the Swedish government enacted a bill requiring monthly readings of all electricity meters by 1 July 2009. The roll-out is almost if not entirely complete now. Three major multinational energy groups dominate electricity distribution in Sweden: Vattenfall, Fortum, and Sydkraft. Vattenfall is wholly owned by the Swedish state; Fortum is largely held by the state of Finland; and Sydkraft is part of the German E.On group. These three have close to 1 million customers each, which give them a combined market share of more than 50%. The rest of the market is distributed between some 190 companies with only local or regional presence. 1.2 million large users will have meters which can be read every hour. Vattenfall began purchasing AMR in 2003, with 425,000 units for installation over the following years. It ordered another 200,000 units during 2004, with a remaining 175,000 units purchased in 2005. In addition, it has purchased 150,000 AMR meters from Iskraemco. Sydkraft, now owned by E.On, has installed 5,000 Kamstrup meters, with data read by a combination of GSM and communication via the power network. This will be expanded to cover all of Sydkrafts 1 million customers. Skara Energi, a medium sized energy company in Central Sweden, has appointed Enermet to set up AMR over 7,300 metering points. The total project cost is likely to reach 1.7 billion.
142

2008 Electromechanical Electronic Ripple control Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 17,000 731,000 100 182,600 17,000 731,000 100 182,600 17,000 731,000 100 182,600 17,000 731,000 100 182,600 18,000 774,000 100 182,600 280,000 30,800,000 278,000 21,962,000 98,000 7,742,000 130,000 10,270,000 130,000 10,270,000 2009 2010 2011 2012
Vodafone Sweden and Actaris have jointly developed a machine-to-machine communication service that enables power companies to read their electricity meters (and gas and water meters) via Vodafone's GSM network, which covers the majority of the population. This joint package solution will furnish power companies with a whole new type of meter-reader with inbuilt SIM-card, operation and maintenance of communication systems, and a central data system that collects and transfers meter data to the power companies' billing systems. Electricity meters will be read at nighttime when mobile traffic is lighter. This helps ensure the optimal utilisation of the mobile network and allows larger volumes of meter data to be transferred rapidly (via GPRS) to the power companies' billing systems.
Market participants
Meter companies prominent in the Scandinavian AMR market are Landis+Gyr (through its subsidiary, the former Enermet of Finland}, Senea of Sweden in partnership with Actaris, Echelon, ADD Grup and Iskraemco. Landis+Gyr through Enermet has established a dominant position in providing AMI/AMR in Scandinavia. Senea claims to have won five out of six contracts to supply systems covering entire distribution areas in Sweden since the deregulation of the electricity market. In addition to holding a significant share of the domestic market, it has also exported to Finland and Norway. The company is in partnership with Actaris for marketing, distribution, and project management in the Scandinavian market. Actaris is also going to license and integrate Senea's CustCom radio and PLC communication devices with its electricity meters. The following chart is for the whole of Scandinavia, not just Sweden and includes Denmark, Finland, Norway and Sweden.
143

Market shares in value 2008 54% of all meters sold in Scandinavia in 2008 were by Landis+Gyr, followed by Echelon with 19%, ADD Grup with 12% and Actaris with 10%.
60% 54% 50%
40%
30%
20%
19%
12% 10% 10% 6%
0% Actaris Landis+Gyr ADD Echelon HTS
Utility background
As stated above, Vattenfall, Fortum, and Sydkraft are the three dominating multinational energy groups distributing electricity in Sweden. Vattenfall is owned completely by the Swedish state, the majority of Fortum is held by the state of Finland, and Sydkraft is part of the German E.On group. With 1 million customers each, they hold a combined market share of more than 50%. The remaining market share is distributed among some 190 local or regional companies. Among these, Gteborg Energi and Graninge are the largest with 270,000 and 160,000 customers respectively, while the smallest utilities have fewer than 5,000 power users. All these utilities are now preparing themselves to meet the new requirements from regulators. Sweden is a member of Nordel, the Organisation for Electric Power Cooperation in Nordic countries and has 9 interconnections with Norway, 6 with Denmark, 5 with Finland, and one newly completed with Germany.
Table 6.25: ESI characteristics Sweden

Largest generator by capacity 15% Top 3 producers by capacity 88% Vattenfall 46% Sydkraft Birka Energi TSO 1 Svenska Kraftnt Ownership DNOs 180 Legally unbundled
144
6.1.26 Switzerland
Annual demand was 205,000 meters (units) in 2008 rising in 2009 and then dropping to 177,000 in 2012. The value will decrease in this period from 27 million ($40 million) to 21 million ($27 million).
45,000,000 40,000,000 35,000,000 30,000,000 Value $ and euro 25,000,000 20,000,000
250,000
200,000
100,000 15,000,000 10,000,000 5,000,000 0 $ euro Units 0
50,000
2008 40,283,145 27,403,500 205,250
2009 39,268,400 30,920,000 225,300
2010 31,508,700 24,810,000 208,300
2011 27,878,405 21,951,500 189,800
2012 27,141,170 21,371,000 177,300
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () Switzerland will remain a country with a high proportion contributed to value by the C&I sector.
2008 Residential Units Units 87% 54% 13% 46% 2009 87% 64% 9% 36% 2010 94% 69% 6% 31% 2011 98% 63% 8% 37% 2012 91% 59% 9% 41%
Meter units
150,000
145
6.1.26 Switzerland, Continued

Meter technology
AMI is not expected in large measure in the near future in Switzerland, which is dominated by a large number of very small distributors.
2008 Electromechanical Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 15,000 495,000 155,000 13,485,000 5,000 250,000 0 0 3,300 379,500 600 114,000 26,000 11,700,000 350 980,000 2009 0 0 200,000 19,600,000 5,000 250,000 0 0 0 0 0 0 20,000 9,600,000 300 1,470,000 2010 0 0 180,000 16,020,000 5,000 250,000 0 0 10,000 830,000 0 0 13,000 6,240,000 300 1,470,000 2011 0 0 160,000 12,640,000 5,000 250,000 0 0 10,500 871,500 0 0 14,000 6,720,000 300 1,470,000 2012 0 0 145,000 11,455,000 5,000 250,000 0 0 12,000 996,000 0 0 15,000 7,200,000 300 1,470,000
Electronic
AMI
Prepayment
C&I
C&I AMI
Grid
Grid AMI
146

90.0%
The Swiss market is overwhelmingly dominated by Lands+Gyr, with an 85% share, with Iskra as runner-up with 6%.
85%
80.0%
70.0%
60.0%
50.0%
40.0%
30.0%
20.0% 9%
10.0% 0.2% 0.0% Actaris Landis+Gyr
6%
Iskra
Others
The responsibility for national standards and legislation in metrology lies with the Confederation, whereas enforcement in legal metrology is mainly up to the Cantons. Regulations on metrology are to a far extent harmonised with EC Directives and in line with OIML and WELMEC. The Swiss Federal Office of Metrology (METAS), attached to the Ministry of Justice and Police, is the primary metrology institution of Switzerland. METAS leads the Swiss Verification Service (SVS) and the Swiss Calibration Service (SCS) and designates conformity assessment bodies in the field of metrology. In legal metrology, METAS is the competent authority for all metrological and physical aspects. In accordance with the Federal Constitution, the Cantons are responsible for the enforcement in the field of metrology. The initial and re-verification functions and the survey of pre-packages are performed by their 49 verification offices. An increasing number of verifications in special fields (as utility meters, dosimeters, sound level meters and calibrators, road traffic instruments, portable combustion analysers) have, in agreement with the Cantons, been handed over to 79 verification laboratories, authorised by METAS and operated by public or private organisations or by the manufacturers themselves. METAS supervises all verification activities in Switzerland, advises the cantonal offices and instructs the verification laboratories. METAS is responsible for all Old and New Approach type examinations of measuring instruments and for metrological aspects of other devices. It has most test facilities on-site but may use other test laboratories for special examinations. Type approval certificates for measuring instruments are issued by METAS with the exception of medical devices where the Swiss Federal Office of Public Health (BAG) is the competent authority.
147

Type approval and verification (continued)
Initial verification Initial verification is performed by the 54 local verification offices of the Cantons for most instruments. Gas, electricity, heat and warm water meters, some measuring instruments for medical or environmental protection. Initial verifications and all reverifications are performed by the 49 local verification offices of the Cantons or the 79 authorised private verification laboratories for most instrument special applications are initially verified by verification laboratories. Re-verification Re-verification periods are specified by law: Heat meters - 5 years Electricity meters, statistical survey - 5 years Electronic electricity meters - 10 years Domestic gas meters - 14 years Electro mechanical electricity meters - 15 years
Utility background
The Swiss electric power industry is composed of about 1,170 companies, public and private, that are engaged in the generation, transmission and/or distribution of electric power. There is great diversity of size and activity among these companies. There are three types of electric companies: 90 companies that generate and transmit electricity, 940 that primarily distribute electricity, and 140 that perform all three electric power system functions and are vertically integrated. Five large entities (the Uberlandwerke) cover the whole value chain from generation through transmission to distribution and end user supply: Atel, Axpo, BKW, EOS and EWZ. The key differences between them are ownership and legal form (which covers not only private and public ownership but also differences within these categories such as partnerships, cantonal, city or municipal utility structures, and local cooperatives); size (from large trading and grid owning companies to regional and city utilities, and tiny village structures); and activity (from vertical integration through the whole value chain from generation to end user supply, to part of the chain or just one activity). There are also marked differences between the regions. For example, Suisse Romande, French-speaking Switzerland, is home to some large city based utilities (and the concept of public service is particularly strong), whereas some parts of Eastern Switzerland have a much denser network of small distribution companies. In 2000, the Uberlandwerke formed a joint subsidiary called Etrans, to co-ordinate system operation across the five control areas which make up the Swiss high voltage transmission network that they own, and to form the technical interface with European system operators. Etrans is a member of ETSO (European Transmission System Operators) and the UCTE (Union for the Co-ordination of Electricity Transport). Almost the whole transmission grid is controlled by a group of eight companies: Atel Netz AG in Olten, CKW in Lucerne, BKW FMB Energie in Berne, EGL Grid AG in Laufenburg, EOS in Lausanne, EWZ in Zurich, NOK in Baden, and RE in Poschiavo. Distribution is carried by hundreds of small companies.
148

Table 6.26: ESI characteristics Switzerland
Generators > 5% - 6 with 76% of total, largest has 36% Atel-Aare Tessin AG BKW-FMB Energie AG CKW Centralschweizerische Kraftwerke EGL Elektrizitts-Gesellschaft Laufenburg AG EOS-Energie Ouest Suisse NOK Nordostschweizerische Kraftwerke TSO 7 ATL, Atel-Aare Tessin AG BKW-FMB Energie AG CKW Centralschweizerische Kraftwerke EGL Elektrizitts-Gesellschaft Laufenburg AG EOS-Energie Ouest Suisse EWZ Elektrizittswerk dr Stadt Zurich green not listed NOK Nordostschweizerische Kraftwerke DNOs 800
149
6.1.27 Turkey
40,000,000
1,400,000
35,000,000
1,200,000
30,000,000
1,000,000
Value $ and euro
25,000,000
Meter units
800,000 20,000,000 600,000 15,000,000 400,000 10,000,000 200,000
5,000,000
0 $ euro Units
2008 35,338,800 24,040,000 1,171,500
2009 32,258,000 25,400,000 1,242,700
2010 33,553,400 26,420,000 1,254,700
2011 34,594,800 27,240,000 1,271,700
2012 35,445,700 27,910,000 1,278,700
6.1.27 Turkey, Continued

Meter technology Residential meters are electromechanical. C&I meters are mostly solid state. Turkey is the fourth leader in use of prepayment meters after the United Kingdom and South Africa, with 2 million units in service, but these are confined to gas and water because TEDAS did not permit them. However, the privatised distribution companies will install them and growth is expected. In May 2007 the Turkish Electricity Transmission Company (TEIAS) issued invitations for bids to tender for an AMR system, providing automatic collection of interval data from approximately 3,000 existing three phase solid state meters located at approximately 720 different locations, and with the proven capability to extend this capacity to at least another 10,000 meters. There are no reports of a roll-out of residential AMI in Turkey.
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 1,100,000 16,500,000 500 40,000 10,000 600,000 10,000 700 50,000 5,500,000 1,000 700,000 1,160,000 17,400,000 500 40,000 12,000 720,000 15,000 1,050,000 55,000 6,050,000 200 140,000 1,160,000 17,400,000 500 40,000 14,000 840,000 20,000 1,400,000 60,000 6,600,000 200 140,000 1,170,000 17,550,000 500 40,000 16,000 960,000 20,000 1,400,000 65,000 7,150,000 200 140,000 1,170,000 17,550,000 500 40,000 18,000 1,080,000 20,000 1,400,000 70,000 7,700,000 200 140,000 2009 2010 2011 2012
Turkey has a vigorous domestic meter manufacturing industry which supplies almost all of the market with a small exception of C&I meters. The leading Turkish company is Elektromed with a share of 34% in 2008, followed by Makel, Khler and Basari. In recent years, progress has been achieved in Turkey in the manufacturing of measuring instruments. In May 2005 there were 22 solid state electric meter, 3 natural gas meter and 14 water meter manufacturing firms in Turkey. Elektromed is the leading meter manufacturers in Turkey and is owned by Termikel Group. The company was founded in Ankara in 1994 with a yearly production in excess of 800,000 electricity, water and gas meters and this has risen to 2 million a year now. Eelektromed is one of the leading companies in the world making prepayment digital meters, with over 3,000,000 installed worldwide. Turnover in 2006 was 40 million. Each meter produced is calibrated individually. Market share is estimated at 45% - 55%. Turkey does not import many meters.
151
40%
35%
34%
30% 25%
25%
20%
19%
15% 11% 10% 9%
5% 1% 0% Actaris Landis+Gyr Electromed Makel Khler Basari Others 0.4%
Type approval
The Ministry of Industry and Trade (MIT) has the main responsibility for legal metrology in Turkey. MIT is the final authority and actual measurements are performed by various laboratories authorised by MIT. During production, the first inspection of the meters is done in repairing and calibration stations. The instruments used at these stations are also calibrated by UME, National Metrology Institute. Measuring instruments coming from Third Countries, those instruments can enter Turkish market only after MIT issues type system approvals and stamp each product. Instruments coming from EU countries that have an EC type approval certificate and can circulate freely.
Inspection and verification
MIT has 7 regional metrology centres equipped to handle the required legal measurements such as mass, volume, length, gas and water flow. It has 81 provincial verification offices. In each municipality there is a verification bureau.
Utility background
Until 1994, the organisation responsible for electricity generation, transmission and around 50% of distribution in Turkey was Turkiye Elektrik Kurumu, known as TEK. In that year, TEK was split into two different companies; the Turkish Electricity Generation and Transmission Corporation (TEAS) and the Turkish Electricity Distribution Corporation (TEDAS). In February 2001, Turkey passed the longanticipated Electricity Market Law, which paved the way for a free market in power generation and distribution and in March, 2001 in line with the Electricity Market Law, TEAS was separated into three state-owned companies. TEAS is the company responsible for generation. According to the new Electricity Market Law, in addition there will be private sector generation companies and autoproducers.
152

Utility background (continued) Transmission and distribution have been separated and are owned by TEAS and TEDAS respectively. The TEDAS distribution regions are being transferred to private companies and full privatisation is expected to be complete by the end of 2009. Table 6.27: ESI characteristics Turkey
Generators > 5% - 1 (maximum share 20%) EUAS Electricity Generation Company TSO 1 TEIAS Turkish Electricity Transmission Company Legally unbundled DNOs 9 TEDAS Turkish Electricity Distribution Company + 20 local affiliates and private sector distribution companies Accounts Separate from TSO - Yes
153
6.1.28 Ukraine

25,000,000
Annual demand is static at 776,000 meters and value at 16 million ($23 million), with the US$ value in 2012 lower.
900,000 800,000
20,000,000
700,000 600,000
Value $ and euro
500,000 400,000 10,000,000 300,000 200,000 100,000 0 $ euro Units 0
5,000,000
2008 23,417,100 15,930,000 776,250
2009 19,916,775 15,682,500 775,250
2010 19,916,775 15,682,500 775,250
2011 19,916,775 15,682,500 775,250
2012 19,916,775 15,682,500 775,250
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The C&I sector is important and contributes about one quarter of revenue.
Meter units
15,000,000
6.1.28 Ukraine, Continued

Meter technology There are small sales of electromechanical meters in the Ukraine but the bulk of the market is electronic.
2008 Electromechanical Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 10,000 250,000 730,000 10,220,000 0 0 20,000 1,500,000 1,000 100,000 15,000 3,675,000 250 185,000 2009 10,000 250,000 730,000 10,220,000 0 0 20,000 1,500,000 1,000 100,000 14,000 3,430,000 250 182,500 2010 10,000 250,000 730,000 10,220,000 0 0 20,000 1,500,000 1,000 100,000 14,000 3,430,000 250 182,500 2011 10,000 250,000 730,000 10,220,000 0 0 20,000 1,500,000 1,000 100,000 14,000 3,430,000 250 182,500 2012 10,000 250,000 730,000 10,220,000 0 0 20,000 1,500,000 1,000 100,000 14,000 3,430,000 250 182,500
Electronic
Residential
AMR
AMI
Prepayment
C&I
C&I AMI
Grid
Grid AMI
The Ukrainian market is very fragmented, with no dominant domestic producer and a high proportion of Russian imports. This dates back to the time of the centrally planned economy when production was allocated to one or two of the constituent republics to supply the whole of the USSR. The largest supplier of meters in the Ukraine is the Russian company Energomera, also the largest in Russia, with an 18% market share of the Ukrainian market in 2008, followed by Meridian with 14% and NIK with 12%.
20% 18% 16% 14% 12% 10% 8% 6% 4% 2% 0%

is N IK yr El st er ia n h In ko te x et m as di s+ G El ga m A ct ar om er M ZE P O th e id
19% 18%
14% 12%
7%
7%
7% 6%
4% 2%
4%
En er g
M er
La n
Ko m m un ar
sc h
rs
155
6.1.28 Ukraine, Continued

Type approval and verification More than 1,000 types of measuring instrument are checked by the Derzhstandart. In Ukraine the mandatory verification interval for electricity meters is 8 - 16 years depending on type. For gas meters it is 5 years. For water and heat meters it is 2 years.
Utility background
NEC Ukrenergo is the state enterprise founded in May 1998 to replace the state company Ukrelectroperedacha (responsible for operation of high voltage lines and interstate transmission of electricity) and the National Dispatch Centre - NDC (responsible for dispatch and control of the integrated energy system). Ukrenergo has eight regional divisions and until recently included as a separate division the state enterprise Energorynok, which provided electricity market operation functions. Ukrenergo operates the national grid with a voltage of more than 220 kV and the interstate power networks, with all relevant infrastructures, including automation, control and communications systems. Ukrenergooperates system (bulk) and cross-border 35 kV - 800 kV transmission lines. 27 seven joint-stock electricity distribution companies ensure electricity and also heat supply. The government has already sold the shares of seven of these companies, which are no longer controlled by the state. Currently the state owns 50% + 1 share or more in 14 oblenergos, from 25% +1 share (blocking shareholding) up to 50% shares in seven oblenergos, and six oblenergos are privately owned. A number of attempts have been made to privatise distribution companies.
Table 6.28: ESI characteristics Ukraine

Generators - 1 nuclear, 4 TPP, 2 HPP Energoatom - 9% (state-owned) Dniprohydroenego - 5% (state-owned) Dnisterhydroenergo - 4% (state-owned) JSC Donbassenergo - 14% JSC Zpadenergo - 8% JSC Tsentrenergo - 10% JSC Dniproenergo - 15% IPP Vostokenergo 11 IPPs (energos), 14 state-owned TSO 1 with cross-border power lines NEK Ukrenergo (replacing Ukrelectroperedacha) DNOs 27 energos State-owned oblenergos, 2 regional for Kiev and Sevastapol 25 other regional energos
156
6.1.29 United Kingdom

Annual demand was 1,870,000 meters (units) in 2008 rising to 2,160,000 in 2011 and then dropping slightly to 1,690,000 as current electronic meter renewals come down. A roll-out of AMI will commence in 2012/13 but the contract will not be awarded until the end of 2009 and at least a two year planning period is expected. The value will increase in this period from 69 million ($101 million) to 129 million ($164 million) because off the start of the transition from basic electronic to AMI meters.
2,500,000
2,000,000
1,500,000 Meter units 1,000,000 500,000 2008 101,409,420 68,986,000 1,870,020 2009 75,521,820 59,466,000 1,665,020 2010 79,388,970 62,511,000 1,505,020 2011 179,687,220 141,486,000 2,160,020 2012 163,911,280 129,064,000 1,690,030 0
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The balance between residential and C&I meter revenue will not change appreciably during the period.
2008 Residential Industrial, grid, commercial Units Euro Units Euro 97% 91% 3% 9% 2009 97% 87% 3 13% 2010 96 87% 4% 13% 2011 97% 94% 3% 6% 2012 96% 94% 4% 6%
157
6.1.29 United Kingdom, Continued

Meter technology
The UK government has announced that smart meter will be rolled-out to all domestic households by the end of 2020. It anticipates a period of around two years to design and establish the full details of the roll-out, followed by a ten year roll-out period. In May 2007, the government set in train the requirement for energy suppliers to install smart meters in most businesses by 2012. 90% of meters manufactured in the UK are solid state. Approximately 90% of new meter installations and around 75% of the replacement installations in the UK are now solid state meters. A breakdown of the present installed base of residential meters by electromechanical vs. solid state is not available; however it is known that the market is moving toward solid state metering. One distribution company commented that they can be removed and reinstalled in another property. Electricity is billed every quarter and bills can be estimated. AMI/AMR is used by all the 110,000 C&I or half hourly segment of the UK market in which consumption is read every half hour. In the residential sector less than 1% is currently AMR. A cost benefit analysis conducted by Ofgem concluded that the benefits outweighed the costs for smart metering marginally. However, when other external ties are factored in, the benefits increase. Ofgem concluded that without government intervention the introduction the roll-out of smart metering is likely to be patchy and to take some time. Various options are under consideration, such as the mandatory use of smart meters when electromechanical meters are replaced. Trials are being conducted and four energy companies have taken part in them; EDF Energy, E.ON UK, Scottish and Southern Energy and Scottish Power. There are also six different metering / feedback device companies, four IT specialist companies, two charities and three universities involved. Each participating company has carried out a range of trials to test out consumer response to different interventions including a combination of some or all of the following: improved billing (with and without smart meters), energy efficiency information, community engagement, clip-on visual display units and smart meters. Around 40,000 households are taking part in energy saving trials.
158

Meter technology (continued) The government has proposed that real time display units be provided with any new meters fitted from 2008, and to all households that request them between 2008 2010. It is estimated that these short-term measures will deliver savings of 300,000 tones of carbon per year by 2020. Prepayment meters The UK is a world leader in the use of prepayment meters, which have been available for many years. No other country in Europe uses them widely. Ofgem estimates the number of electricity prepayment meters at 3.8 million, or around 15% of total GB installed electricity meters and there are over 1.5 million gas prepayment meters. Other than the UK, the only other country where prepayment meters are sold in any significant quantity is South Africa. The lack of use of prepayment meters in Continental Europe is said to arise from differing Continental regulation in relation to the ability to cut off electricity supply for non-payment. There are at present four different technologies (meter types - electromechanical, solid state) in use in the UK: Magnetic card (or token) meters were introduced in the late 1980s and were adopted by approximately half of the UK utilities. They are used by 1.5 million customers Smart key meters were introduced in the early 1990s and are used by 1.5 million customers. Customers charge their key at a payment outlet Smart card meters were introduced in the mid 1990s. They were developed by Landis & Gyr and sold to the (then) UK utilities Norweb and Midlands Electricity. They are used by fewer than 1 million customers Key pad meters were developed by PRI in the late 1990s. This is a one-way information system
2008 Electromechanical Units Euro Units Euro Units Euro Units AMI Unit price Euro Prepayment Units Euro Units Euro Units Euro
0 0 1,150,000 14,950,000 0 0 20,000 125 2,500,000 650,000 45,500,000 50,000 6,000,000 20 36,000
2009
0 0 1,110,000 14,430,000 0 0 80,000 125 10,000,000 420,000 27,300,000 55,000 7,700,000 20 36,000
2010
0 0 925,000 12,025,000 0 0 150,000 120 18,000,000 370,000 24,050,000 60,000 8,400,000 20 36,000
2011
0 0 900,000 11,700,000 0 0 970,000 110 106,700,000 230,000 14,950,000 60,000 8,100,000 20 36,000
2012
0 0 370,000 4,810,000 0 0 1,150,000 95 109,250,000 110,000 7,150,000 60,000 7,800,000 30 54,000
Electronic
Residential
AMR
C&I
C&I AMI
Grid
Grid AMI
159

50% 45% 40% 37% 35% 30% 25% 20% 15% 10% 5% 0% Actaris Landis+Gyr Elster Iskra Horstman EDMI
In 2008, Actaris had the largest market share with 43% and Landis+Gyr was second with 37%. These figures exclude peripherals and systems for prepayment meters.
43%
13%
3%
2%
2%
The European Measuring Instruments Directive (MID) applies in all Scandinavian countries.
Utility background
The electricity supply industry in the UK has gone through a radical transformation since it was privatised in 1989. The two most significant changes have been the privatisation of almost all the electricity companies and the introduction of competition. The generation market in England and Wales has changed from a highly concentrated market with a few major players to a market with many diverse generating companies including merchant generators, many of which own only one plant. There are now 38 major power producers in England and Wales. National Grid plc is the transmission network operator in England and Wales, with a central role in the industry. Distribution remains a monopoly business, and under the Utilities Act of 2000 it has become a separately licensable activity. Nine distribution companies operate 12 authorised distribution areas. These companies hold separate licences in respect of each area and are governed by the terms of their distribution licences. They are under a statutory duty to connect any customer requiring electricity within a defined area and to maintain that connection. Many distribution companies have changed hands in the last ten years since privatisation, and some are now referred to as brands. Two new competitive business sectors have emerged in the last few years with the encouragement of the regulator: Meter Asset Providers (MAP) and Meter Asset Managers (MAM), with an estimated market of 800 million annually.
160

Table 6.29: ESI characteristics United Kingdom
Largest generator by capacity 20% Top 3 producers by capacity 40% British Energy - 14% Innogy - 13% Powergen - 12% Edison Mission Energy - 9% AES - 7% TSO 2 Ownership England and Wales - NGC Transco plc Scotland - ScottishPower plc, Scottish & Southern Energy plc Northern Ireland - SONY Viridian DNOs 15 Legally unbundled
161
6.2 Country Profiles The Americas

6.2.1 6.2.2 6.2.3 6.2.4 6.2.5 6.2.6 Argentina Brazil Chile Canada Mexico United States of America
162
South America Overview

Annual demand was 6.1 million meters (units) in 2008 rising to 6.8 million in 2012. The value will increase in this period from $301 million (205 million) to $316 million (249 million).
350,000,000
7,000,000
300,000,000
6,800,000
6,600,000
150,000,000
6,200,000
100,000,000
6,000,000
50,000,000
5,800,000
0 $ euro Units
2008 300,836,769 204,650,863 6,091,348
2009 280,445,536 220,823,257 6,329,149
2010 289,241,586 227,749,280 6,390,069
2011 305,402,769 240,474,621 6,526,964
2012 315,795,448 248,657,833 6,804,677
5,600,000
One country, Brazil accounts for over half of the total for South America, with 3.6 million meters in 2008.
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () Residential meters accounted for 14% of the market in value in 2008 and this will remain about the same, at 12% in 2012.
Meter units
200,000,000
6,400,000
163
South America Overview, Continued

2008 Units Residential Euro $ Units C&I Euro $ Units Total meters Euro $ 5,788,713 141,596,930 208,147,487 302,635 63,053,934 92,689,282 6,091,348 204,650,863 300,836,769 2009 6,041,625 164,227,943 208,569,487 287,524 56,595,314 71,876,048 6,329,149 220,823,257 280,445,536 2010 6,1099.880 173,1168,681 219,924,225 280,189 54,580,598 69,317,360 6,390,069 227,749,280 289,241,586 2011 6,254,744 187,825,772 238,538,730 272,220 52,648,850 66,864,039 6,526,964 240,474,621 305,402,769 2012 6,532,150 197,021,302 250,217,054 272,527 51,636,531 65,578,394= 6,804,677 248,657,833 315,795,448
Meter technology
South America will move very largely to electronic meters, and with AMI in some countries. Chile is planning a roll-out of advanced meters in Santiago.
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 1,901,000 59,360,544 3,779,244 70,727,471 24,019 3,833,512 60,047 6,284,445 24,019 1,390,957 300,233 60,540,155 2,402 2,513,778 2009 1,198,015 33,957,188 4,387,224 84,407,868 28,524 4,817,183 399,338 39,485,103 28,524 1,560,602 285,242 54,339,022 2,282 2,256,292 2010 722,711 17,294,326 4,797,881 93,234,157 38,915 9,001,919 522,576 52,104,701 27,797 1,533,578 277,966 52,289,470 2,224 2,291,129 2011 486,107 10,806,295 5,001,668 99,185,048 75,617 8,907,006 669,748 67,675,785 21,605 1,251,638 270,060 50,392,990 2,160 2,255,859 2012 454,211 10,394,805 5,212,775 101,863,202 86,516 7,149,606 757,018 76,704,828 21,629 1,304,976 270,364 49,311,575 2,163 2,324,956
164
6.2.1 Argentina
18,000,000 16,000,000
600,000
500,000 14,000,000 12,000,000 Value $ and euro 10,000,000 300,000 8,000,000 6,000,000 4,000,000 100,000 2,000,000 0 $ euro Units 0 200,000 400,000 Meter units
2008 15,990,954 10,878,200 508,235
2009 14,030,897 11,047,950 518,435
2010 14,614,843 11,507,750 539,035
2011 15,153,132 11,931,600 559,540
2012 15,030,704 11,835,200 550,040
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The bulk of value is in the residential sector.
165
6.2.1 Argentina, Continued

Meter technology
Demand is higher for electronic residential meters in Argentina. There is some pre-payment metering and a small amount of AMR has been installed but there is no current demand for Ami.
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 5,400 453,600 2,800 1,044,400 35 60,200 5,700 473,100 2,700 1,007,100 35 57,750 6,300 522,900 2,700 1,007,100 35 57,750 6,900 565,800 2,600 989,800 40 66,000 7,400 599,400 2,600 969,800 40 66,000 60,000 960,000 440,000 8,360,000 2009 60,000 960,000 450,000 8,550,000 2010 50,000 800,000 480,000 9,120,000 2011 40,000 640,000 510,000 9,690,000 2012 20,000 320,000 520,000 9,880,000
The Elster company in Argentina, Elster Amco de Sud America had the highest market share in 2008 with 44%, followed by Actaris with 16% and Landis+Gyr with 11%.
166
50% 45% 40% 35% 30% 25% 20% 16% 15% 11% 10% 5% 0% Actaris Landis+Gyr Elster Others 29% 44%
There is no regulation of electricity meters in Argentina. INTI, the NMI of Argentina, has been involved in the technical responsibilities of Legal Metrology since September 2003. One of its goals is to incorporate instruments of public services and medicine to the field of Argentina's Legal Metrology.
Utility background
Argentina has one of the most competitive deregulated power sectors in South America. Since 1991, the government has pursued an aggressive privatisation programme in tandem with the creation of an open electricity market, which has attracted foreign investors and project partners lured by the economic growth in the country. Argentina has two power market zones: Mercado Elctrico Mayorista (MEM) covers most of the country, while Mercado Elctrico Mayorista en la Regin Patagnica Argentina (MEMSP) is responsible for the southernmost region of the country. Both zones are under the administration of the Compaa Administradora del Mercado Mayorista Elctrico SA (CAMMESA), a non-profit organisation headed by the Ministry of Energy and owned by participants on the power grid. The participants are organised into four associations according to function: ATEERA (Transportation), ADEERA (Distribution), AGUEERA (Large electricity-users), and AGEERA (Generators). CAMMESA is also responsible for the functioning of the central grid. Independent companies including some state-owned companies carry out generation, while three primary distribution companies (Edenor, Edesur, and Edelap) and one extra high voltage transmission company (Compaa Nacional de Transporte Energtica en Alta Tensin - Transener), are responsible for transmission. Transener owns and operates the grid (Sistema Argentino de Interconexin - SADI) under a 95-year license agreement entered into with the Argentine government in 1993.
167

Utility background (continued) Smaller distribution companies that share part of their distribution lines operate under a separate organisation: Technical Additional Service of the Transportation Function (PFTT), which reports to CAMMESA.
Table 6.30: ESI characteristics Argentina

Generators - Many Generation companies are restricted to a 10% market share TSO 1 high voltage network SADI 6 regulated monopoly transmission companies Distrocuyo SA Litsa Transba SA Transcomahue SA Transener SA Transnoa SA DNOs 28 regulated monopoly regional / municipal distributors The main distribution companies are Edenor (51% owned by the Argentinean Group EASA - Electricidad Argentina Sociedad Argentina), Edesur (majority owned by a subsidiary of Endesa) and Edelap controlled by AES.
168
6.2.2 Brazil
Annual demand was 3.6 million meters (units) in 2008 rising to 3.9 million in 2012. The value will increase in this period from 140 million ($205 million) to 155 million ($197 million).
4,500,000 4,000,000
250,000,000
200,000,000
3,500,000 3,000,000
Value $ and euro
2,500,000 2,000,000 100,000,000 1,500,000 1,000,000 500,000 0 $ euro Units 0
50,000,000
2008 205,182,600 139,580,000 3,601,800
2009 180,517,800 142,140,000 3,706,600
2010 183,134,000 144,200,000 3,661,500
2011 191,579,500 150,850,000 3,676,500
2012 196,557,900 154,770,000 3,876,400
Brazil currently has 91.5% electrification and 53 million electricity customers. The Prodeem and Luz no Campo programmes of rural electrification have been completed; the latter achieved 600,000 new connections by 2003. A new programme, Luz para Todos expects to provide full electrification by 2008. 2.5 million rural households are without electricity, and of these, 70% will be electrified with grid-connected power and 30% with stand-alone isolated systems in the future.
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The C&I sector will retain about 12% to 14% of the market in terms of value.
Meter units
150,000,000
169
6.2.2 Brazil, Continued

2008 Units Residential Euro $ Units Industrial, grid, commercial Euro $ Units Total meters Euro $ 3,520,500 120,320,000 176,870,000 81,300 19,260,000 28,312,200 3,601,800 139,580,000 205,182,600 2009 3,625,000 122,700,000 155,829,000 81,600 19,440,000 24,688,800 3,706,600 142,140,000 180,517,800 2010 3,580,000 125,100,000 158,877,500 81,500 19,100,000 24,257,000 3,661,500 144,200,000 183,134,000 2011 3,595,000 131,750,000 167,322,000 81,500 19,100,000 24,257,000 3,676,500 150,850,000 191,579,500 e 2012 3,795,000 135,850,000 172,529,000 81,400 18,920,000 24,028,400 3,876,400 154,770,000 196,557,900
Meter technology
Brazil is split between electromechanical and electronic meters for the residential sector. Tariff system In the 1990s, Eletrobras installed 1.5 million meters in poor households, which did not previously have meters, as an energy saving measure. Prior to this, these households had paid a flat amount on the basis that they would consume 30 kWh per month. In reality, they consumed far more. Meter installations have led to a reduction in consumption and additional revenue for the distribution utilities. AMR - AMI The market in Brazil is reported to be looking more towards technology development. Several major utilities have issued RFPs for advanced metering systems, including AMR and smart meters. Brazil had deployed 106,000 AMR units by 2002 and was, at that time, the 11th largest AMR user. It is reported that interest in AMR is growing. Actaris uses the Euridis bus for AMR, with more then 15,000 meters installed in some 300 buildings and is the leading provider of this type of application in Brazil. Pre-payment meters Energy theft is a major problem for Brazilian utilities and there is interest in prepayment metering.
170

2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 1,600,000 52,800,000 1,660,000 38,180,000 10,000 300,000 250,000 29,000,000 500 40,000 80,000 16,400,000 1,300 2,860,000 2009 1,100,000 36,300,000 2,200,000 50,600,000 20,000 600,000 300,000 34,800,000 5,000 400,000 80,000 16,400,000 1,600 3,040,000 2010 550,000 18,150,000 2,600,000 59,800,000 25,000 750,000 400,000 46,000,000 5,000 400,000 80,000 16,400,000 1,500 2,700,000 2011 250,000 8,250,000 2,800,000 64,400,000 40,000 1,200,000 500,000 57,500,000 5,000 400,000 80,000 16,400,000 1,500 2,700,000 2012 200,000 6,600,000 3,050,000 70,150,000 40,000 1,200,000 500,000 57,500,000 5,000 400,000 80,000 16,400,000 1,400 2,520,000
Landis+Gyr had the largest market share in 2008 with 41%, followed by Actaris with 18%. Elster and the Brazilian company Nansen had 13%.
45% 41% 40%
35%
30%
25%
20%
18%
15%
13%
13% 9% 7%
10%
5%
0% Actaris Landis+Gyr Elster Nansen Complant FAE
Market access
In order to access the Brazilian market, foreign suppliers must register with the various electricity power companies since these companies represent 90% of the end-user segment. Such registration in the case of public utilities must conform to public procurement legislation (Law 8666); the major requirement concerning foreign participation in tenders is that foreign suppliers be represented in the Brazilian market. Both the foreign supplier and its legal representative are required to present documentation, including technical and financial qualifications, which need to be officially translated into Portuguese and notarised.
171

Type approval The National Institute of Metrology, Standardisation, and Industrial Quality (INMETRO) were legally created in December 1973. It provides technical support to Conmetro, the National Metrology, Standardisation, and Industrial Quality Council, which is responsible for establishing the national policies on metrology and quality. Brazilian industrial standards and regulations in the electricity power sector have been loosely defined in the past, but the Brazilian Electrical Power Research Centre (CEPEL) and the Electro-Solid states Equipment Certification Association (UCEE) have indicated that there has been a tendency to follow European standards instead. The Brazilian Technical Standards Association (ABNT) for example, is virtually a copy of the ISO and IEC, both European standards. In practice however, the largest Brazilian concessionaires have their own specification requirements and equipment testing / inspection facilities. When turnkey tenders are adopted, the winners do not necessarily follow the same criteria used by the concessionaires, who are reported as concerned primarily with best price. To preserve equipment quality, Eletrobras recently created the NBR 19000 Quality Project - Proquip - through which ISO 9000 standards are being adopted for the supply of electricity power equipment to Brazilian concessionaires. Eletrobras is providing financing for those Brazilian manufacturers who have not yet set up internal quality controls. From 1 June 2001, manufacturers and suppliers have been obliged to comply with a new Brazilian approval regime. This regime has brought in a lot of changes, most notably stricter requirements for product testing and the establishment of new certification assessment bodies (CABs) to evaluate a product's conformity to relevant standards. Accredited CABs are being set up in order to analyse test results and to verify a product's conformity to Brazilian standards. Type examination, product quality assurance, and total quality assurance will be performed. The CABs will be able to issue certificates of conformity to type. Under the new regime, third-party accredited laboratories must be used for product testing. Products manufactured outside of Brazil must be tested by one of the following: Brazilian laboratories accredited by INMETRO Foreign laboratories accredited by INMETRO Foreign laboratories with which INMETRO has established MRAs
The requirements for product testing will become much stricter, and it will no longer be possible for foreign manufacturers to use a local specialist engineer (a member of CREA, the professional Brazilian engineering organisation) to review and endorse existing foreign test reports. An in-country presence is required in the form of a locally registered company (either directly or via an authorised agent) in order to apply for and hold approval in Brazil. The local company applying for approval will also be required to guarantee the supply of spares and maintenance for the product. The Electrical Metrology Division of INMETRO is responsible for the custody of the national metrological standards, which are systematically traced and compared to international standards. This is done though key comparisons under the supervision of the Bureau International des Poids et Mesures and to standards of metrological laboratories of other countries, namely the National Institute of Standards and Technology (NIST / USA) and the Physikalisch-Technische Bundensanstalt (PTB / Germany). In particular, the Electrical Metrology Division maintains highly accurate standards regarding voltage, current, resistance, capacitance, inductance, energy, and power.

Type approval (continued) The main requirements in the metrology legislation have been established by the Instituto Nacional de Metrologa, Normalizao, e Qualidade Industrial (National Institute for Metrology, Normalisation and Industrial Quality, INMETRO) in Act No. 262 of 30 December 2002. The legislation states that new solid state electricity meters, produced in Brazil or imported, are subject to model approval from the date of this Act. The main regulatory advance in metering, following the general rules outlined above, is that utilities are free to adopt and install new and modern metering systems.
Utility background
83% of generation is hydropower. Brazil ranks consistently as one of the world's top hydropower producers. The electricity supply industry is dominated by Eletrobras (Centrais Eltricas Brasileiras SA), a company established in 1962, which is responsible to the Ministry of Mines and Energy. Eletrobras has a wide portfolio of assets in the power industry and accounts for about 60% of the installed generating capacity in Brazil as well as 51% of the country's transmission lines of 230 kV or higher power. Although generation remains mostly under government control, and transmission is not slated for privatisation in the near future, distribution is mostly in private hands. Regulatory difficulties have been blamed for the lack of international interest in Brazilian electricity distribution. New regulations were introduced in February and July 2002 to address these problems and to boost investment. An estimated 80% of Brazilian electricity generation is in public hands. As part of the privatisation programme, three remaining major federally-owned utilities, Eletronorte, Furnas Centrais Eletricas (Furnas), and the Companhia Hidroeletrica do Sao Francisco (Chesf), have been split into several smaller generating and distributing utilities. However, additional privatisation of these companies has been ruled out by the Lula administration. Federal utility Eletrobrs controls about half of the country's installed capacity and most of the large transmission lines. It coordinates and supervises the expansion and operation of the generation, transmission, and distribution systems. Private capital flows resulting from privatisation are expected to play a key role in bolstering the industry, especially as state-owned generators have not had investment capital available. There are 63 distribution utilities.
Table 6.31: ESI characteristics Brazil

Generators Eletrobas controls generation through four subsidiaries Chesf, Electronorte, Eletronuclear, Eletrosul, Furnas Many state utilities TSO Eletrobras controls transmission through four subsidiaries Chesf, Electronorte, Eletronuclear, Eletrosul, Furnas DNOs 64 regional and municipal distribution subsidiaries
173
6.2.3 Chile
Annual demand was 259,000 meters (units) in 2008 rising to 437,000 in 2012. The value will increase considerably in this period from 5 million ($7.5 million) to 18 million ($23 million), as a result of the roll-out of smart metering in Santiago.
25,000,000
500,000 450,000
20,000,000
400,000 350,000
Value $ and euro
250,000 10,000,000 200,000 150,000 5,000,000 100,000 50,000 0 $ euro Units 0
2008 7,509,495 5,108,500 259,100
2009 11,542,395 9,088,500 329,600
2010 14,869,160 11,708,000 361,100
2011 19,706,844 15,517,200 406,900
2012 22,831,044 17,977,200 436,900
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () At present C&I meters constitute about half the value of the market but this will be reduced to 16% with the roll-out of AMI meters by 2012.
174
Meter units
15,000,000
300,000
6.2.3 Chile, Continued

Meter technology
Chiledctra has announced plans to create a smart grid in Santiago, the capitals population, Santiago; is home to 5 millions of Chiles 14 million population. Chile has few energy reserves and energy efficiency is an important issue, after periods in which the country has been deprived of supply by Argentina. The Energy Efficiency Country Programme was established in 2005 and a plan was launched in 2006, with four smart grid pilot projects are already under way. An energy efficiency plan will be drawn up in 2009 for the years 2010 to 2020.
2008 Units Electromechanical Unit price Euro Units Electronic Unit price Euro Units Residential AMR Unit price Euro Units AMI Unit price Euro Units Prepayment Unit price Euro Units C&I C&I AMI Unit price Euro Units Grid Grid AMI Unit price Euro 25,000 10 250,000 220,000 10 2,200,000 0 0 0 0 0 0 500 80 40,000 13,500 187 2,524,500 100 940 94,000 2009 25,000 10 250,000 260,000 10 2,600,000 0 0 0 30,000 118 3,540,000 1,000 80 80,000 13,500 187 2,524,500 100 940 94,000 2010 15,000 10 150,000 280,000 10 2,800,000 0 0 0 50,000 118 5,900,000 2,000 80 160,000 14,000 186 2,604,000 100 940 94,000 2011 10,000 10 100,000 300,000 10 3,000,000 0 0 0 80,000 118 9,440,000 2,000 80 160,000 14,800 184 2,723,200 100 940 94,000 2012 10,000 10 100,000 310,000 10 3,100,000 0 0 0 100,000 118 11,800,000 2,000 80 160,000 14,800 184 2,723,200 100 940 94,000
175
6.2.3 Chile, Continued

Type approval and verification There are two regulatory boards in Chile: CNE, the National Commission of Energy, and SEC, Superintendence of Electricity and Fuels. Electricity meters must be type approved by Certification Bodies authorised by SEC. To obtain this they have to be verified, calibrated, sealed and certified. Re-verification of customer-owned meters is required after 4 years. Utilities own about half the meters and rent them to customers, and the customers own the rest. Utility background With the sale of Endesa and Chiletra in 1988 and 1989, Chile became the first country in Latin America to privatise its electricity sector. Its electricity market is now completely open to private investment and competition. Most of the transmission system is operated by TRANSELEC, a subsidiary of ENDESA. There are two main transmission grids in Chile. The SIC (Sistema Interconectado Central) is the Central Grid of Chile, which interconnects the most important electricity generating plants through a transmission system extending 1,879 km on a North-South axis through Chile, with isolated systems on the peripheries. SIC extends from the Third to the Tenth Regions of Chile and serves 92% of the population. The total power installed in SIC represents 96% and energy supplied 98% of that supplied by the public utilities in the country. This excludes selfproducers, which account for 20% of power capacity installed in Chile. ENDESA has 2,514 MW of capacity in SIC or 66% of the system's capacity of 3,814 MW. CHILGENER stations, with 848.4 MW capacity in SIC provide 17.4% of the system's total consumption. The other grid is SING (Northern Interconnected System), which includes the First and Second regions in the northern part of the country. SING is 1,733 km long, with 152 MW capacity and only serves 6% of the population. Main users are the rapidly expanding mining and industrial companies. There are 20 distribution companies. The largest, CHILECTRA has about 55% of the market, Chilqinta 13% and CGEL 13%. Table 6.32: ESI characteristics Chile
Generators - 3 control 70% of the market (all privatised) ENDESA - 45% Gener - 15% Colbun - 10% Self producers - 12% TSO 4 (2 regional, 2 local) Sistema Interconectado Central (90% market share) Sistema Interconectado del Norte Grande Asyen Magallanes Network access Regulated third party access Wholesale market - Balancing services are provided by the principal distributors and transmission operators organised into two institutions: Centros de Despacho Economico de Carga (CDEC) of SIC and of SING DNOs 20 34 distribution companies
176
6.2.4 Canada
Annual demand was 1,896,500 meters (units) in 2008 fluctuating to 1,826,600 in 2012. The euro value will increase slightly over this period from 110 million ($162 million) to 118 million ($150 million).
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value, $ and
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value ($) The C&I sector will decline in contribution from 15% to 12% in value.
2008 Residential Industrial, grid, commercial Units $ Units $ 95% 85% 5% 15% 2009 95% 85% 5% 15% 2010 96% 87% 4% 13% 2011 96% 87% 4% 13% 2012 96% 88% 4% 12%
177
6.2.4 Canada, Continued

Meter technology
Until recently the residential market in Canada was restricted to electromechanical meters for regulatory reasons. The regulatory procedures changed in 2004 and it is now anticipated that there will be a growing conversion to electronic meters. In Ontario, which accounts for 4.3 million out of 12 million domestic meters; there will be a government mandated conversion to electronic meters by 2010. Other provinces are expected to follow with AMI deployments.
Market trend
Widespread use of AMR was impeded by the regulations for type approval of electronic meters, but this has been addressed. Ontario is leading the way with a provincewide adoption of smart metering for all customers by 2010. Currently, there is extensive use of AMR for large C&I customers, primarily monitored through MV-90 software using dial-up connections. There are also a variety of small AMR pilot projects for residential customers. Various communication media are being used, the most common being drive-by radio communications and power line carrier applications. Until very recently, regulatory policy made wide deployment of residential electronic meters uneconomical compared to the old electromechanical meter technology, which does not have any of the functionality required for advanced metering and system control. As a consequence, Canadian utilities did not rush to adopt the new technology. Under these rules, Measurement Canada required 100% sampling of electronic meters, which meant that deployment of single phase electronic meters would be at 128 times the cost of deploying electromechanical meters. Conversion of the electromechanical meter population to solid state would have added US$192 million per year to the cost of meter maintenance, exclusive of acquisition, initial verification, and installation costs. Verification costs would have risen by 750,000 x (US$25.00 US$0.94) = US$18 million per year. Ontario Province in Canada has opted to shut down its coal generation by 2007 and to reduce its dependence on hydropower. To achieve this, Ontario has to replace 25,000 MW of capacity by 2020. Without the coal plants, and with the forecasted growth in demand, it is critical for Ontario to embrace energy efficiency and reduce peak usage.
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Market trend (continued) Residential and small business customers in Ontario will be offered a standard rate plan to ensure that consumers can both take advantage of time-of-use rates and have the opportunity to shift consumption from periods of high demand and prices to periods of lower demand and prices. The Ontario Government has an interim target for the installation of 800,000 smart electricity meters by 2007 and installation of smart meters for all 4.3 million Ontario customers by 2010.
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units $ Units $ Units $ Units $ Units $ Units $ Units $ 60,000 1,500,000 550,000 26,950,000 0 0 200,000 11,800,000 1,000,000 98,000,000 0 0 85,000 19,975,000 2009 50,000 1,250,000 150,000 7,350,000 0 0 300,000 17,700,000 1,100,000 107,800,000 0 0 85,000 19,507,765 2010 0 0 150,000 7,200,000 0 0 600,000 34,800,000 1,220,000 117,120,000 0 0 84,000 19,740,000 2011 0 0 150,000 7,050,000 0 0 600,000 34,200,000 1,200,000 112,800,000 0 0 84,000 19,740,000 2012 0 0 150,000 6,900,000 0 0 600,000 33,000,000 1,000,000 92,000,000 0 0 75,000 13,725,000
Market shares by value 2008

60%
Itron is the market leader with 50%, followed by Landis+Gyr with 16% and Elster with 13%.
50%
50%
40%
30%
20% 16% 13% 11% 10% 10%
0% ItronActaris Landis+Gyr Elster GE Others
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Electricity standards Type approval and verification Canada uses the ANSI C12 standards for electricity meters.
At present, a mix of federal and provincial regulation governs the Canadian electricity industry. Canada has federal regulations with uniform requirements for type approval, certification, and verification of electricity meters. The Electricity and Gas Inspection Act & Regulations (EGIA) and Weights and Measures Act & Regulation (W&M) are two federal regulations governing electricity metering. For over 100 years, the Canadian electricity utility industry has had the highest level of regulatory intervention for measurement accuracy. The occurrence and severity of Measurement Canadas interventions and policies, and in particular the requirement to verify every solid state meter before it enters into service, places a heavy burden on the utilities' ability to optimise their processes, reduce their costs, introduce new technologies, and meet escalating customer expectations. Measurement Canada recognised that this situation had to change and carried out a series of pilot projects to compare the results of sample testing. These projects were completed in 2004, and sample testing of electronic meters is now being trialled after a 6-year period in service. Initial verification Single phase electromechanical meters are currently verified using sample testing at a cost of about US$0.13 per meter, per year. The seal period is 12 years when reverification is required. The cost of verifying polyphase mechanical meters under present Measurement Canada regulations and specifications, which allow sample testing, is US$0.94 per year. The seal period is 8 years when re-verification is required. Solid state single phase and polyphase meters are sealed for 6 years and can now be re-verified by sample testing. Inspection and re-verification Historically, Measurement Canada required Canadian government inspectors to perform all the sealing and inspection of gas and electricity meters for Canadian markets. However in the last two years, the Canadian government modified the conditions for accreditation to allow metering manufacturers outside Canada to be accredited. This has effectively opened up the Canadian market for electronic meters. In August 2004, Itron Inc received accreditation from Measurement Canada to inspect and seal electricity and natural gas meters at the company's Oconee S.C. factory for direct shipments to Canadian utilities. Itron is the first company outside of Canada to gain such accreditation. In addition, Canada has granted the CENTRON solid state single phase meter a 10year initial seal period allowing the meter to remain in the field for 10 years prior to sampling for accuracy. The CENTRON is the first solid state meter to be granted an extended initial seal period.
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Type approval and verification (continued) The following meter manufacturers are listed as manufacturers of conforming meters, i.e. those that are permitted as main meters: Elster Metering and ex-ABB GE Canada Inc. PML Itron Canada, ex-SchlumbergerSema and ex-Schlumberger Itron Canada / Square D and ex-Schlumberger / Square D Landis+Gyr
Implications for manufacturers The US market does not have federal regulations that inhibit new technology. As the US market moves away from mechanical meters, availability of these meters will decrease. Eventually manufacturers will not be able to sustain the production of obsolete mechanical meters for the Canadian market alone. When this occurs, Canadian utilities will be forced to use electronic meters, and their maintenance costs will increase dramatically. Canadian customers are disadvantaged both in terms of costs and new value-added services. Given the huge extra cost imposed, it is not surprising that electronic meters have not been adopted in significant numbers by utilities in Canada.
Utility background
A key feature of the Canadian electricity market is its regional diversity, as indicated by the differences in fuels used for power generation, the market structure, the regulation, and pricing. While hydropower accounts for 61% of Canadian electricity generation, there is pronounced diversity, with generation coming from a number of other sources. Canadian electricity is generally cost competitive with other North American jurisdictions. Due to the operations of hydraulic systems, most hydro-rich provinces have surplus energy available for domestic and international trade. Canadian legislation requires that exports must be authorised by the NEB and that interested Canadian electricity buyers be provided with the opportunity to purchase the electricity, for use in Canada, on similar terms and conditions as the proposed export sale. Exports to the US have generally accounted for less than 9% of domestic generation in recent years. The electricity transmission interests in several provinces are considering membership in regional transmission organisations (RTOs), which are expected to facilitate access by Canadian exporters to US markets and access by Canadians to US supplies. RTO formation could lead to more north-south trade and further integration of US and Canadian electricity markets. To the extent that Canadian competitiveness can be maintained, higher export revenue would result. Market integration could also result in an upward movement of prices. Under Canada's constitution, the electricity regulatory authority falls under the jurisdiction of the provinces. In most provinces, a few dominant utilities provide the bulk of generation, transmission, and distribution. Although some of these utilities are privately owned, the majority are owned by the provinces. There is also some IPP generation.
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Table 6.33: ESI characteristics Canada
Generators Vertically integrated utilities in all provinces, with some IPPs. Alberta is fully open and Ontario is in transition. ISO Alberta - ESB Alberta Ltd Ontario - Hydro One Inc. Elsewhere by vertically integrated utilities DNOs Alberta c. 10 municipal, Ontario - 92 municipal
182
6.2.5 Mexico
Population 2008 109,955,400 Number of households 2008 27,810,000 Installed electricity meter base 2008 33,631061
Annual demand was 1,886,000 meters (units) in 2008 falling to 1,437,000 in 2012. The value will decrease in this period from $78 million (53 million) to $63 million (50 million).
2,000,000 1,800,000 1,600,000 1,400,000 1,200,000
90,000,000 80,000,000 70,000,000 60,000,000 Value $ and euro 50,000,000
1,000,000 40,000,000 800,000 30,000,000 20,000,000 10,000,000 0 $ euro Meter units 600,000 400,000 200,000 0
2008 78,330,000 53,285,714 1,885,800
2009 68,955,000 54,295,276 1,631,400
2010 65,500,000 51,574,803 1,566,900
2011 61,545,000 48,460,630 1,446,900
2012 63,240,000 49,795,276 1,436,900
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value ($) Around 15% of the market is accounted for by the C&I sector.
Meter units
183
6.2.5 Mexico, Continued

Meter technology The customer base for Mexico is growing at a rate of 4.5% per year. With this amount of growth, the utilities also need to examine other technology options and improve processes. One, two, and three phase electromechanical meters are used for domestic and commercial customers and LV services with voltages of 120/240 V. The error class for electromechanical meters is 2%. Solid state demand meters are used for industrial and commercial customers, and MV services up to 749 kW, kWh/kW/kVArh, three phase 12-0/240/480 V. The error class for electronic meters is 0.5%. Electronic meters are used for MV industrial customers with demand of 750 kW and above, as well as for HV customers. Three phase multi-function demand is kWh/kW/kVArh 120 V. The error class for electronic meters is 0.2%. CFE is currently evaluating the possibility of using electronic meters for residential customers and low voltage commercial customers, who account for more than 95% of all installed meters. AMR is used for 15,488 MV industrial (750 kW and above) and HV customers. The memory records a usage profile every 5 minutes, using a telephone modem or Ethernet port for remote reading and measurement of energy quality. AMR is not currently used for domestic customers or for industrial or commercial customers below 750 kW. CFE uses remote meter reading for its domestic customers. However it is reported that an AMR system has been developed in Mexico by Asesoria Tecnica en Compro SA, which has an interface for electricity, gas and water and one or two way communication. It includes theft detection and has a disconnect capability. Theft is a major issue in Mexico and it is reported that for LFC, the district of Mexico City losses amount to $800 million annually. CFE is investigating AMI together with Elster and a pilot is being conducted.
Annual demand for meters by technology, forecast from 2008 to 2012, volume and value ($)
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 1,300,000 24,761,905 450,000 15,000,000 0 0 100,000 6,666,667 0 0 35,000 5,523,810 800 1,333,333 2009 1,115,000 24,582,677 400,000 15,433,071 0 0 80,000 6,173,228 500 31,496 35,000 6,338,583 900 1,736,220 2010 1,100,000 24,251,969 350,000 13,228,346 0 0 80,000 6,047,244 1,000 62,992 35,000 6,283,465 900 1,700,787 2011 1,000,000 21,259,843 300,000 11,102,362 0 0 110,000 8,141,732 1,000 62,992 35,000 6,228,346 900 1,665,354 2012 950,000 20,196,850 300,000 10,866,142 0 0 150,000 10,866,142 1,000 62,992 35,000 6,173,228 900 1,629,921

80% 70%
Itron is market leader with a 70% share.
70%
60%
50%
40%
30% 21% 20%
10% 0% Itron Landis+Gyr
9%
0%
Elster
Others
In Mexico, Itron is partnering with IUSA-GE, a market leader in watt-hour meters supplied to the Mexican utility industry. The two companies are working together to adapt Itron's 45 Series Electric ERT meter module to fit IUSAs AP-85 polyphase meter. This will act as an initial step in developing AMR systems and solutions for Mexico's Federal Electricity Commission (CFE), the national utility responsible for generation, transmission, distribution, and sale of electricity to nearly all areas of Mexico apart from the Mexico City area. CFE has placed an order for 25,000 SENTINEL solid-state electricity meters and also has the option to purchase an additional 37,000 units. C&I metering represents approximately 60 percent of CFEs annual billing. Electricity standards Type approval and verification Mexico uses the ANSI C12 standards for electricity meters. The Centro Nacional de Metrologa is the authority responsible for metrology regulations. Type approval and certification is subject to the Normas Oficiales Mexicanas (NOM), based on ANSI and IEC standards NOM-044-SCFi-1999 for kWh meters and NOM127-SCFI-1999 for multifunction meters. Evaluation of meters takes place in three stages: Prototypes are tested in the primary laboratory Acceptance tests are applied in CFEs workshop Tests are performed on meters installed in the field
Initial verification CFE has its own primary laboratory,116 workshops around Mexico, and 13 secondary meter laboratories, all accredited to the Normas Mexicanas de Laboratorios de Calibracin.
185

Utility background State ownership of energy assets is a historically significant characteristic of Mexico's economy. The most important national entities in energy are the stateowned oil and gas company, Petroleos Mexicanos (PEMEX), and the national electricity utility, Comisin Federal de Electricidad (CFE) and Luz y Fuerta del Centro, the state-owned distribution company in Mexico City. Control over Mexico's huge energy sector is currently concentrated under the offices of the Ministry of Energy. For years, CFE and Luz y Fuerta del Centro have enjoyed a monopoly in the electricity power sector, although reforms instituted in 1992 allow for IPP and cogeneration facilities to sell their power. CFE owns most of Mexico's installed electricity generating capacity, including all the nuclear and geothermal generating capacity, and generates 92% of the country's electricity. LFC is Mexico's other state-owned electricity utility, with about 2% of the generating capacity, primarily around Mexico City. PEMEX also generates electricity, producing about 3% of the total and various private sectors IPP and co-generation generating facilities produce the rest. CFEs dominance is beginning to wane slightly as the company lacks the funds needed to meet Mexico's soaring electricity demand, and IPPs are now beginning to secure a significant share of the market. Mexico has a unified electric grid that serves 97% of the population. It can be divided into four sections: Northern, North Baja, South Baja, and Southern. The Northern section of the grid is connected to the United States at the Eagle Pass, Texas Piedras, Mexico border. The connection uses an asynchronous technique that handles the problem of differences in current between Mexico and the United States. Other trans-border lines are scheduled, including one from a power station outside Phoenix, Arizona to Sonora, Mexico. Another is being planned between Tucson, Arizona and Northern Mexico.
Table 6.34: ESI characteristics Mexico

Generators CFE Comision Federal Electrica (state-owned), with six Generation Business Units - 92% Luz y Fuerzo del Centro (state-owned) - 2% PEMEX (state-owned oil company) - 4% IPPs - 2% TSO CFE DNOs 13 distribution Business Units in CFE Luz y Fuerzo del Centro in Mexico City
186
6.2.6 United States of America

Annual demand was 10 million meters (units) in 2008 rising to 13 million in 2012. The value will increase in this period from $1,087 million (739 million) to $1,410 million (1,111 million).
14,000,000
1,600,000,000
1,400,000,000
12,000,000
1,200,000,000
10,000,000
Value $ and euro
1,000,000,000 8,000,000 800,000,000 6,000,000 600,000,000 4,000,000 400,000,000 2,000,000
200,000,000
2008 1,086,600,000 739,183,673 10,042,000
2009 1,115,930,000 878,685,039 10,212,000
2010 1,193,990,000 940,149,606 10,847,000
2011 1,281,520,000 1,009,070,866 11,399,000
2012 1,410,370,000 1,110,527,559 12,999,000
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value ($) The US market will retain about one fifth of its value in the C&I sector
2008 Units Residential Euro $ Units C&I Euro $ Units Total meters Euro $ 9,175,000 574,387,755 844,350,000 867,000 164,795,918 242,250,000 10,042,000 739,183,673 1,086,600,000 2009 9,305,000 682,031,496 866,180,000 907,000 196,653,543 249,750,000 10,212,000 878,685,039 1,115,930,000 2010 9,920,000 743,409,449 944,130,000 927,000 196,740,157 249,860,000 10,847,000 940,149,606 1,193,990,000 2011 10,430,000 804,110,236 1,021,220,000 969,000 204,960,630 260,300,000 11,399,000 1,009,070,866 1,281,520,000 2012 11,980,000 899,070,866 1,141,820,000 1,019,000 211,456,693 268,550,000 12,999,000 1,110,527,559 1,410,370,000
Merter units
187
6.2.6 United States of America, Continued

Meter technology At the end of 2008 electromechanical meters constituted 75% of the residential electricity installed meter stock in the USA. 94 million of the residential meters in the USA were electromechanical and 32 million were electronic meters. There were 21 million electronic C&I meters by the end of 2008. The preponderance of electromechanical meters hides the rapidity of the switch to electronic meters. In 1998, there were only 1.6 million in the USA. Today, 95% of the solid state residential meters are Centron meters manufactured by Itron. With shipments of electronic meters (basic and AMI/AMR) in the USA peaking between 68 million per year in the last three years and rising to 11-12 million, it is clear that a total replacement the electromechanical stock of meters in the USA will take about ten years unless production is expanded substantially, or meters are imported, and if the funds are available to do it.
Market trend
The electricity meter market has grown historically in the USA at 3% per year. Under a BAU (business as usual) scenario we would have expected it to grow at a CAGR of 4.8% in the next five years in real terms, because of the installation of AMI/AMR. The consensus of opinion seems to be that the utility industry in the USA is one of the more vulnerable ones, largely because it is driven by new installations decided by utilities and not under government mandate, as is mostly the case in the European and Asian countries where large AMI roll-outs are planned. The utility industry faces two specific difficulties at the customer end. Housing starts have suffered an unprecedented melt-down in the USA, and the manufacturing slowdown means that utility revenue is reduced on two fronts. Against this must be weighed the fiscal stimulus announced by the Federal government, but yet to be approved by Congress. We have heard a number of warnings of a decline in 2009 and none suggesting growth in the USA. We believe that demand may be static for at least a year. However, as the chart above shows, we anticipate the growth in 2011 and 2012 as large AMI deployments start, by which time recovery may be under way.
Annual demand for meters by technology, forecast from 2008 to 2012, volume and value ($)
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units $ Units $ Units $ Units $ Units $ Units $ Units $ 350,000 6,300,000 700,000 34,300,000 2,000,000 120,000,000 6,000,000 672,000,000 125,000 11,750,000 850,000 197,200,000 17,000 45,050,000 2009 310,000 7,750,000 720,000 35,280,000 1,950,000 117,000,000 6,200,000 694,400,000 125,000 11,750,000 890,000 204,700,000 17,000 45,050,000 2010 200,000 5,000,000 750,000 36,750,000 1,600,000 94,400,000 7,200,000 792,000,000 170,000 15,980,000 910,000 205,660,000 17,000 44,200,000 2011 0 0 800,000 38,400,000 1,400,000 81,200,000 8,000,000 880,000,000 230,000 21,620,000 950,000 212,800,000 19,000 47,500,000 2012 0 0 800,000 36,800,000 1,400,000 81,200,000 9,500,000 997,500,000 280,000 26,320,000 1,000,000 222,000,000 19,000 46,550,000

Market shares value by 2008 Itron is the market leader with a 44% share, followed by Landis+Gyr with 11%, GE with 8% and Elster with 7%. The electricity meter market in the USA is dominated by four companies: Itron - In 2004, Itron bought SEM, making the combined group the largest meter manufacturer in the USA, as well as the largest AMR supplier in the world. In February 2007 Itron acquired Actaris worldwide to create the largest metering group in the world and further to consolidate its position in the United States with Actariss water and gas meter business. Landis+Gyr Elster GE
Iskra has been making inroads in the US market. In 2007, Iskara was bought by the Egyptian El Sewedy Group. There are many small regional meter companies selling meters within their areas of operation within their own states. Electricity meter market shares in the USA, by value 2008
50% 45% 40% 35% 30% 25% 20% 15% 11% 10% 5% 1% 0% ItronActaris Landis+Gyr Elster GE Iskra Others 7% 8% 29% 44%
Market shares value by 2008 (continued)
AMR/AMI By the end of 2008 an estimated 39% of the 147 million electricity meters in the USA were automated for AMR or AMI. A recent survey by FERC (Federal Energy Regulatory Commission) found that advanced meters with fuller AMI functionality are installed in about 6% of US homes and businesses, amounting to 9 million. Interestingly, according to FERC, some utilities did not record fixed network AMR as AMI, and rural co-operatives have the highest level of penetration, presumably driven by meter reading savings. In the Energy Policy Act of 2005, Congress ordered regulators in every state to consider advanced meters.
189

Market shares value by 2008 (continued) To date the take-up of AMI meters and time-of-use meters has been slow because of the expense and resistance from regulators to allow utilities to pass the cost on to customers. The USA has lead the introduction of AMR but paradoxically this may be a hindrance to a fast take up AMI metering, because of the legacy cost of the existing one way AMR meters. Pacific Gas and Electric (PG&E) in California is operating time-of-use meters and in the summer warned customers that that midday electric prices the next day were going to skyrocket. In a pilot programme, 70% of consumers cut their monthly bills an average of about 10%. PG&E says the savings will offset costs in 12 years. AMR/AMI suppliers, market shares Itron continues to lead the AMR market and is the largest supplier of AMR in the world. Itron sells AMR units under its own name and also embedded in other meters. The company manufactures electricity meters in their facility in Oconee, South Carolina. In addition, they have a retrofit centre capable of retrofitting most utilityowned meter types available with add-on AMR technology. The Oconee facility currently has the capacity to produce more than six million units annually.
Market shares of principal suppliers of AMR to electrical utilities in the USA by value, 2008
50% 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% Itron Land+Gyr ESCO elster Sensus Other 4% 2% 25% 48%
18%
3%
Source: Company reports
Electricity standards
The ANSI C12 standards apply for electricity meters in the USA.
190

Type approval and verification In the United States, the state Public Utility Commissions or the Public Service Commissions are generally responsible for making sure that the standards developed by the National Institute of Standards and Technology (NIST) are respected in matters of types of meters, meter approval, and inspection or supervision of meter inspections. They are also responsible for handling disputes between consumers and natural gas suppliers. Each state can apply the regulations for which it is responsible in a different manner. It is also important to note that the individual state has the choice of applying federal standards in matters of meter specifications. For example, certain states can use the standards of the American National Standards Institute (ANSI) instead of those of the NIST. The following organisations are responsible for implementing these standards (the first is governmental, whereas the second is a private, non-profit organisation). There are no national type approvals and certifications for gas and electricity meters in the USA. Instead, there are American National Standards for these devices, and regulation is done at the state level by public utility commissions. The federal government develops standards, and state governments develop regulations. Approval of new meter types is done through collaboration between the federal level and the states. At the federal level, the National Conference on Weights and Measures (NCWM) oversees the National Type Evaluation Programme (NTEP) and has adopted regulations in relation to this programme, e.g. the Uniform Regulation for National Type Evaluation. Initial verification Regulations relating to initial verifications are determined by the states. In some states, the initial verification is done by manufacturers or natural gas distributors. Inspection and re-verification Regulations relating to meter re-verification are also determined by the states. In California, standards stipulate that all meters have to be re-verified every ten years. However, a distributor can, under certain conditions, present a sampling plan instead of re-verifying each meter. The sampling methods have to meet statistical sampling principles. Re-verifications are done by distributors and the monitoring procedures used by the Public Utilities Commission are the same as for the initial verification. In Florida, re-verifications are done by distributors, and the Public Service Commission uses the same means to monitor re-verifications as for initial verifications. In that state, regulations vary according to meter types. The National Institute of Standards and Technology (NIST) The National Institute of Standards and Technology (NIST) have statutory responsibilities in relation to cooperation between the states in order to make uniform both the laws and the weight and measurement methods of inspection. Established in 1901, the NIST is a government organisation that falls under the jurisdiction of the US Commerce Departments Technology Administration. This organisations mission is to develop and promote measurement standards and technology in various applications. NIST carries out this mission with four programmes. One of these programmes is the NIST Laboratories which aims at doing studies in various areas to improve the technological infrastructure in the United States. It is through this programme that standards pertaining to natural gas measurements are implemented.
191

Type approval and verification (continued) The NIST laboratories answer the industrys and federal public entities needs in matters of measurement methods, tools, data and technology as well as the needs of other government levels (states, counties, municipalities) in a wide variety of scientific areas. One of these laboratories is called Technology Services, and provides a variety of products in collaboration with federal government agencies, national measurement institutes, state and local governments and the private sector. The American National Standards Institute (ANSI) The American National Standards Institute (ANSI) is the main standardising organisation in the United States. Established in 1918, this private non-profit organisation administers and coordinates the voluntary standardising process in the United States and the conformity evaluation system in many jurisdictions, such as natural gas. The ANSI not only manages all that relates to standards in the United States but also has a great influence on standards all over the world. The ANSI is not regulated by a government organisation. Developing metrological standards In the United States, the National Institute of Standards and Technology (NIST) annually publish a standard called The Technology Handbook: Specifications, Tolerances, and Other Technical Requirements for Weighing and Measuring Devices. This document includes a set of standards for different measuring devices, such as scales in food shops, water meters, or gas meters. Whereas the NIST publishes this standard, it is actually developed and adopted each year by the Specifications and Tolerances Committee of the National Conference on Weights and Measures. Regulating the devices used for meter testing Regulation of the devices used for meter testing is carried out by individual states, and there are differences between the requirements of each state.
Utility background
Ultimate control over the electricity supply industry in the USA rests with the US Department of Energy, which oversees its development. In 2005, there were some 3,300 companies operating in the electricity supply industry in the United States. Of this total, 63.7% were publicly owned, 28.5% were classed as cooperatives, 240 or 7.6% were investor owned utilities, and 9 were owned by the US Federal Government. The institutional framework of regulation and supervision means that these companies are split between traditional, verticallyintegrated utilities, generators, transmission companies, distributors, wholesalers, and retailers. In 1968, the North American Electric Reliability Council (NERC) was established to oversee the supply of bulk power around the country. NERC operates 10 regional reliability councils. The electricity power industry is in transition from highly-regulated, local monopolies which provided their customers with a total package of all electricity services toward competitive companies that provide the electricity. Utilities continue to provide transmission or distribution services. In addition, states are moving away from regulations that set rates for electricity toward oversight of an increasingly deregulated industry, in which prices are determined by competitive markets.
192

Utility background (continued) Almost half of the states have passed major legislation and/or regulations to restructure their electricity power industry. Those which regulate distribution services and retail rates for electricity within their borders decide whether deregulation is in their best interest. The transmission system has been challenged recently in the US to move unprecedented amounts of power and in unexpected directions. Unplanned generation outages and the evolution of the electricity industry, under open access, are the direct causes of this. The adequacy of the transmission system is under question at present, but NERC states that the transmission system of the US is expected to perform reliably in the short term. Although the system was stressed in the summer of 1998, it performed reliably and demand was not interrupted. However in the long term, the system's reliability is open to question. Business is increasing, but very little is being done to increase the load serving and transfer capability of the bulk transmission system. Most of the transmission projects planned over the next decade is intended to reinforce parts of the system to alleviate local problems.
Table 6.35: ESI characteristics United States

Generators Nearly 900 generation utilities The structure varies by state The bulk of generation is by investor-owned utilities, followed by public companies and cooperatives. TSO - 617 transmission owners Mostly investor-owned and public companies DNOs 2,440
193
6.3 Asia Pacific

6.3.1 6.3.2 6.3.3 6.3.4 6.3.5 6.3.6 6.3.7 6.3.8 6.3.9 6.3.10 6.3.11 6.3.12 Australia China India Indonesia Japan Korea, South Malaysia New Zealand Philippines Taiwan Thailand Vietnam
194
6.3.1 Australia
Annual demand was 396,000 meters (units) in 2008 and this will rise to 1,727,000 in 2012 as the AMI roll-out gathers momentum. The value will increase in this period from 28 million ($40 million) to 183 million ($232 million).
250,000,000
2,000,000 1,800,000
200,000,000
1,600,000 1,400,000
Value $ and euro
1,000,000 100,000,000 800,000 600,000 50,000,000 400,000 200,000 0 $ euro Units 0
2008 40,451,460 27,518,000 395,550
2009 64,096,900 50,470,000 593,050
2010 92,557,600 72,880,000 758,050
2011 185,242,200 145,860,000 1,438,050
2012 232,073,450 182,735,000 1,727,050
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The roll-out of AMI meters will reduce the share of C&I meters from 46% in terms of value to 7% by 2012.
Meter units
150,000,000
1,200,000
195
6.3.1 Australia, Continued

2008 Units Residential Euro $ Units C&I Euro $ Units Total meters Euro $ 325,500 14,828,000 21,797,160 70,050 12,690,000 18,654,300 395,550 27,518,000 40,451,460 2009 523,000 37,780,000 55,536,600 70,050 12,690,000 16,116,300 593,050 50,470,000 64,096,900 2010 688,000 60,190,000 88,479,300 70,050 12,690,000 16,116,300 758,050 72,880,000 92,557,600 2011 1,368,000 133,170,000 195,759,900 70,050 12,690,000 16,116,300 1,438,050 145,860,000 185,242,200 2012 1,727,000 170,045,000 249,966,150 50 12,690,000 16,116,300 1,727,050 182,735,000 232,073,450
Meter technology
In 2005, the government of Victoria mandated smart meters in the National Electricity (Victoria) Act 2005. Installations started in 2006 and 2.3 million are being installed by 2010. Victoria is the first state in Australia to do this. The project will cost AUD $780 million. New South Wales is following Victoria. According to the Australian Department of Resources, Energy & Tourism 5 million smart meters will be deployed in these two jurisdictions by 2017. On December 2008, the government of South Australia issued the draft of a National Electricity (South Australia) (smart meters) Amendment Act 2009 to mandate smart meters in South Australia. It has not yet reached the statute book. Other jurisdictions are expected to follow.
2008 Units Electromechanical Unit price Euro Units Electronic Unit price Euro Units Residential AMR Unit price Euro Units AMI Unit price Euro Units Prepayment Unit price Euro Units C&I C&I AMI Unit price Euro Units Grid Grid AMI Unit price Euro 97,000 31 3,007,000 200,000 55 11,000,000 0 0 0 2,500 110 275,000 26,000 21 546,000 70,000 180 12,600,000 50 1,800 90,000 2009 80,000 31 2,480,000 200,000 55 11,000,000 0 0 0 235,000 100 23,500,000 8,000 100 800,000 70,000 180 12,600,000 50 1,800 90,000 2010 30,000 38 1,140,000 150,000 55 8,250,000 0 0 0 500,000 100 50,000,000 8,000 100 800,000 70,000 180 12,600,000 50 1,800 90,000 2011 20,000 31 620,000 50,000 55 2,750,000 0 0 0 1,290,000 100 129,000,000 8,000 100 800,000 70,000 180 12,600,000 50 1,800 90,000 2012 15,000 28 420,000 45,000 65 2,925,000 0 0 0 1,660,000 100 166,000,000 7,000 100 700,000 70,000 180 12,600,000 50 1,800 90,000
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Market shares in value 2008 The largest meter manufacturer in Australia is Landis+Gyr, which has taken over Ampy Email Metering and is owned by the Australia-based Bayard Group. Ampy was founded 80 years ago and produces electromechanical, solid state and smart meters. Landis+Gyr supply the bulk of residential meters. Bayard is an Australia-based holding company, which acquired AMPY Email Metering in 2003 and Landis+Gyr in 2004, and has added Hunt Technologies and Cellnet from the US and Enermet in 2007. meter2cash was merged with Landis+Gyr in January 2008. Landis+Gyr is now the name for all metering and technology companies in the group. EDMI started in Australia in 1978 as a privately owned company, specialising in the design and manufacture of customised, small-scale solid state products. After acquisition by Bridex Singapore in the 1990s, it has grown into a leading meter manufacturer. EDMI also provides AMR software. Its Australian operation is based in Brisbane. EDMI produces premium products at the high-end of the market for generation and transmission utilities in 132 kV class substations. The company is now moving down into the lower end of the market. Iskras unit share has fluctuated between 1% and 12% over the last four years. Elster supplies meters imported from the UK. Actaris.
Type approval
Australia has a well-developed national measurement system which is made up of four national organisations which are complemented by trade measurement authorities and legal metrology authorities. The national organisations are: National Measurement Institute (NMI) is responsible for legal metrology and establishing and maintaining Australias units and standards of measurement National Association of Testing Authorities (NATA), Australia is responsible for laboratory accreditation and is the largest such system in the world. NATA accreditation recognises and promotes facilities competent in specific types of testing, measurement, inspection and calibration Standards Australia is responsible for standards specifications Joint Accreditation System of Australia and New Zealand (JAS-ANZ) is responsible for certification of management systems, products and personnel
There are four approving authorities for electricity meters: Country Energy EMC Technologies Pty Ltd Measurement Services, Testing and Certification Australia Parkside Laboratories (New Zealand)
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Initial verification The following organisations are accredited to carry out initial verification: Country Energy AMPY Email Metering ETSA Utilities, South Australia Formway Metering Services Pty Ltd Measurement Services, Testing and Certification Australia Nilsen Industrial Landis+Gyr Pty Ltd Western Power Corporation WF Energy Controls
Meter regulations
The restructuring of the Australian ESI has now been proceeding for 14 years since the ESI itself set up an industry reform working group during 1990. Originally, in some Australian states (e.g. Victoria, South Australia and Tasmania) the four ESI functions were carried out within a single, vertically-integrated, monopoly business. In other states (e.g. New South Wales and Queensland) generation and transmission were contained in a single monopoly business, while distribution and retail supply were carried out by a number of businesses, each with a monopoly franchise covering a specified geographical area within the state. A major objective of ESI restructuring in Australia has been to un-bundle the four ESI functions into separate businesses. The wholesale market NEMMCO, National Electricity Market Management Company consists of the sale of bulk electricity by generators to retail suppliers and large enduse customers in southern and eastern Australia which comprises. A two tier system has been established for retail supply in each state. First tier retailers are attached to a distribution business with a monopoly geographical franchise in that state. However, first tier retailers can sell electricity to customers throughout the state. The retail business is ring fenced from the distribution business (i.e. established as a separate accounting entity within one holding company). Second tier retailers are stand-alone businesses not attached to a distribution business in that state. A second tier retailer in one state may be a first tier retailer in another state. Generally, metering is the responsibility of the distributor or the retailer. In reality, the utilities in Australia are the major buyers and installers of electricity meters. Meter regulations in Australia exist at both federal and state level. For most of the smaller customers metering arrangements are still under state level regulation by the respective energy regulator. All jurisdictions of the individual states are under the authority of NEMMCO, which works across state borders.
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Utility background In 1996, major reforms were instituted for Australia's electricity industry. Prior to the reforms, the supply of electricity in Australia was provided by vertically-integrated, publicly-owned state utilities meeting the needs of individual states and territories. The electricity industry had never operated on a national basis. Interstate grid connections were weak and electricity trade had been limited between the interconnected states. The state governments were responsible for operational and planning activities, and tariff structures. The National Commonwealth government's only involvement in the industry was through its principle shareholder status in the Snowy Mountains Hydro-electric Scheme in which the two states of Victoria and New South Wales also hold shares. Some regulatory controls by the Commonwealth were exercised, mainly through control over state borrowing limits, taxation, foreign ownership, and environmental regulations. Electricity reform and privatisation in Australia have occurred at both the state and national levels. Australia's dual path to electricity reform bears some similarities to developments in US electricity markets. One result of Australia's dual state / national approach to electricity reform is that each state has pursued different reforms, with reform efforts at the national level providing guidance rather than direction, whereas UK reform was entirely a central government effort. Victoria has pursued the most aggressive electricity reform measures in Australia and has most closely followed the UK model, while other states have pursued various degrees of more limited reform. The restructuring of the Australian ESI has now been proceeding for 16 years and consists of the following steps: Introduction of competition Unbundling of ESI functions Re-organisation of the electricity market Separation of network charges Privatisation of electricity businesses in some states Formalisation of ESI regulation
Key to these reforms has been the creation of the National Electricity Market (NEM), which is a wholesale pool operated by the National Electricity Market Management Company (NEMMCO), serving the states of Queensland, New South Wales, Victoria, Southern Australia, and the Australian Capital Territory via an interconnected national grid. The NEM currently does not include the states of Tasmania, Western Australia, or the Northern Territories, although Tasmania is expected to join when construction of an electricity link to the mainland is completed. Geographic distance is the main obstacle to the inclusion of the other two states in the NEM. As a result, in November 2002, the government of the state of Western Australia adopted its own plans for reforming its electricity sector which included the unbundling of the state's regulated utility, Western Power, and the establishment of a wholesale power market by 2005.
199

Table 6.36: ESI characteristics Australia
Generators > 5% - Mixed state-owned and private, many generating companies TSO Mostly one per state Network access Regulated third party access DNOs Victoria - 5 New South Wales - 6 Australian Capital Territories - 1 Queensland - 7 South Australia - 1 Western Australia - 1 Tasmania -1
200
6.3.2 China
Population 2008 1,330,044,000 Number of households 2008 450,000,000 Installed electricity meter base 2008 385,000,000
Annual demand was 52 million meters (units) in 2008 rising to 63 million in 2012. The value will increase in this period from 724 million ($1.064 billion) to 1.142 billion ($1.45 billion). China currently has a manufacturing production capacity of 80 to 100 million meters per year, according to the National Institute of Metrology of China.
1,600,000,000
70,000,000
1,400,000,000
60,000,000
1,200,000,000
50,000,000
Value $ and euro
1,000,000,000
800,000,000 30,000,000 600,000,000 20,000,000 400,000,000 10,000,000
200,000,000
0 $ euro Units
2008 1,064,280,000 724,000,000 52,025,000
2009 1,221,740,000 962,000,000 54,530,000
2010 1,288,097,500 1,014,250,000 56,780,000
2011 1,388,427,500 1,093,250,000 60,780,000
2012 1,450,340,000 1,142,000,000 62,930,000
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () In China the industrial sector accounts for over 40% of the value in the meter market and this will come down to about one third as a roll-out of AMI meters get under way. It will, however, remain high because (up until the manufacturing crisis in China) industry accounted for 75% of electricity demand in China. However, this may raise questions about the Chinese utility sectors ability to finance the AMI development because revenue is bound to be impacted.
Meter units
40,000,000
201
6.3.2 China, Continued

2008 Units Residential Euro $ Units C&I Euro $ Units Total meters Euro $ 49,000,000 426,500,000 626,955,000 3,025,000 297,500,000 437,325,000 52,025,000 724,000,000 1,064,280,000 2009 51,000,000 616,500,000 782,955,000 3,530,000 345,500,000 438,785,000 54,530,000 962,000,000 1,221,740,000 2010 53,000,000 647,500,000 822,325,000 3,780,000 366,750,000 465,772,500 56,780,000 1,014,250,000 1,288,097,500 2011 57,000,000 726,500,000 922,655,000 3,780,000 366,750,000 465,772,500 60,780,000 1,093,250,000 1,388,427,500 2012 59,000,000 704,000,000 894,080,000 3,930,000 379,500,000 481,965,000 62,930,000 1,142,000,000 1,450,340,000
Meter technology
The important announcement, issued in he last few months, is the Chinese governments decision to roll-out a national installation of AMI meters, starting in 2009. All the installed electromechanical meters will be replaced and electronic meters up-graded to 2-way AMI capability. The time frame quoted is five years. This will be the largest AMI deployment in the world. It is early to predict exact volumes of meters to be deployed each year and the estimates may be amended. The domestic sector has been moving rapidly moving from electromechanical meters to cheap digital meters. Currently, residential customers use both electromechanical meters and electronic meters manufactured in China. The principal products are DD28 and DD86, which historically have had design lives of 5 and 10 years respectively. This is now superseded by the announcement about the AMI installation.
2008 Units Electromechanical Unit price Euro Units Electronic Unit price Euro Units Residential Ripple control Unit price Euro Units AMR Unit price Euro Units AMI Unit price Euro 14,000,000 6 84,000,000 26,000,000 8 208,000,000 0 0 0 6,500,000 13 84,500,000 0 0 0 2009 6,000,000 6 36,000,000 10,000,000 8 80,000,000 0 0 0 4,500,000 13 58,500,000 28,000,000 14 392,000,000 2010 2,000,000 6 12,000,000 9,000,000 8 72,000,000 0 0 0 4,500,000 13 58,500,000 35,000,000 13 455,000,000 2011 1,000,000 6 6,000,000 5,000,000 8 40,000,000 0 0 0 4,500,000 13 58,500,000 44,000,000 13 572,000,000 2012 1,000,000 6 6,000,000 3,000,000 8 24,000,000 0 0 0 4,500,000 13 58,500,000 48,000,000 13 624,000,000
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Annual demand for meters by technology, forecast from 2008 to 2012, volume and value () (continued)
2008 Units Residential Prepayment Unit price Euro Units C&I C&I AMI Unit price Euro Units Grid Grid AMI Unit price Euro 2,500,000 20 50,000,000 3,000,000 85 255,000,000 25,000 1,700 42,500,000 2009 2,500,000 20 50,000,000 3,500,000 85 297,500,000 30,000 1,600 48,000,000 2010 2,500,000 20 50,000,000 3,750,000 85 318,750,000 30,000 1,600 48,000,000 2011 2,500,000 20 50,000,000 3,750,000 85 318,750,000 30,000 1,600 48,000,000 2012 2,500,000 20 50,000,000 3,900,000 85 331,500,000 30,000 1,600 48,000,000
Historical development
It has been a top priority for China to electrify rural areas, and it has now achieved 98% electrification throughout the country. The economic boom has created a huge temporary migration of population from the poor rural areas into the urban areas, and there is an unknown mass of labour drifting in search of temporary, poorly paid work. The exact number is unknown but is thought to be well in excess of 100 million and possibly 200 million. This is threatening the social and economic stability of the country, and the government is intent on finding ways of persuading the rural population to remain on the land. This is not a problem specific to China and is happening in most other developing countries as well. The scale of the problem in China however, is far greater than elsewhere. Rural electrification has become a high priority not only to improve living conditions but to provide an economic boost and to aid education, which in turn helps to develop rural communities and create a reason to stay. At the same time, the government has mandated one household one meter moving away from the old social collective policies. This has now been achieved and the emphasis for new residential meters will therefore shift to new housing in urban areas. Construction in China has grown at 8.3% over the last few years, and this is expected to continue as the urban housing stock is upgraded both by the government and by private activity. As a result of this drive to electrification, China has become the largest meter market in the world. It is a two tier market consisting of millions of low-price, short-life, locally manufactured meters and higher-quality meters both domestically produced and imported in the C&I sector. Large customers with transformer capacity over 50 kVA already use time-of-use metering. Local Chinese administrations started to implement selective time-of-use pricing in 1985 to help reduce the gap between power supply and demand. TOU pricing mainly applies to large consumers of electricity power who take power at high voltage and who represent about one-third of electricity power consumption. The ratio of peak load to off-peak prices is usually 3 to 1.
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Historical development (continued) Seasonally-adjusted pricing is also being implemented in some regions. Problems currently preventing wider application of time-of-use and seasonal pricing, which are being addressed, include the following: Basic prices are too low The difference between peak and off-peak prices does not provide enough incentive to conserve energy Electronic meters are of poor quality or are too expensive Tariff collection is inadequate TOU metering will be introduced for residential customers
Prices
The market in China is divided into two price categories: local and imported. Only the largest meters are imported. In 2004, China imported 229,816 electricity meters at an average price of US$72.2 per meter, 5-6 times the price of a Chinese-made highend meter: Chinese manufactured high-end electromechanical meters are sold for US$1217 with a 15-year life Low-end electromechanical meters cost US$7 and have a 10-year life with no guarantee Chinese manufactured digital residential meters cost US$9-12 and have a 10year life High-end C&I meters follow international pricing. The new long-life meters will be more expensive
Tariffs
In April 2005, in an effort to alleviate pressure on the citys power supplies, Beijings Municipal Development and Reform Commission introduced variable pricing to be brought into effect in the summer. The cost of electricity at peak hours was then to be over four times the cost of consumption in low-use periods. Peak hours have been defined as from 11:00 to 13:00 and from 20:00 to 21:00, July to September.
Prepayment meters
China has recently become a major user of prepayment meters, and there are more than 10 million prepayment meters installed, mostly for electricity, but also covering gas and water. This makes China the largest user of prepayment meters, overtaking the UK and South Africa.
Electricity meter market shares in China, by value 2008
The market is overwhelmingly dominated by Chinese companies, which are the only ones with the production capacity to meet Chinese demand. The international companies compete only in the high end of the market. China is the largest producer and consumer of kWh meters in the world.
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Electricity meter market shares in China, by value 2008 (continued) There are over 600 companies involved in electricity meter manufacturing in China. The first was established in Shanghai in 1949, when China had a total installed generating capacity of 1,900 MW. There are several very large producers, with some of the largest manufacturing facilities in the world both for electromechanical and electronic meters. The Chinese companies export at two levels. The leaders in the industry can produce high quality meters to international standards. They also produce products on a contract basis to the specifications of western utilities, such as the Enel meter for the Telegiastore. China is a large manufacturer of meters under contract for overseas meter suppliers. This resource has moved into a new stage over the last few years, progressing from low-quality, and low-price meters to the technical capability to produce meters to international ISO and IEC standards. A visible sign of this progress is the large increase in advertising in the trade press by Chinese meter manufacturers, with a lot of emphasis on technical standards and accuracy levels. At the other end of the scale, large numbers of cheap, low quality meters are sold to India, Southeast Asia and Africa, often by unlicensed Chinese manufacturers. We have heard a number of reports of breakdown and deterioration after as little as eighteen months of service, many from India and more recently from Africa. The recent announcement of the AMI roll-out in China may mean that the good Chinese companies will become preoccupied with their own domestic market and be less concerned to compete abroad. This will probably not affect the lower end of the industry, which will continue dumping poor product into the developing countries.
45% 41% 40%
35%
30%
25%
20% 15% 15% 12% 16% 11%
10%
5% 0.4% 0% Actaris
3.4% 0.2% Landis+Gyr Elster Holley Ningbo Sanzing Jiangsu Linyang Wasion Others
Standards
China has had only one mechanical meter industry standard: JB/T50070-2002 Reliability Requirements and Compliance Test for Electricity Meters. This standard specified methods for testing electricity meters in a laboratory environment to ascertain whether they met reliability requirements as laid out in the product contract and product specification. There are different failure modes for mechanical meters and static electricity meters.
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Standards (continued) New standards are now being drafted. The Particular Requirements for Multifunction Electricity Meters is now being drawn up by the National Committee of Standardisation Techniques for Electrical Measuring Instruments. The standard specifies particular requirements for multi-function electricity meters, which can measure and display more than one type of power, such as active and reactive power, while being integrated with some additional functions. The features of Chinas power market deregulation, the demands for metering management, and power generation and distribution, as well as the use of multifunction electricity meters in China, are all being taken into account during the formulation of standards. The standard is expected to define the requirements for multi-function electricity meters in the following aspects: basic and additional functions, display, security, event log and software requirements, and standardisation of the display format and the auxiliary connection terminal. More and more commercial firms are using intelligent meters in their metering and billing systems. Previously, the commercial value of meters was based on their data acquisition and processing abilities. Now, the value depends on their inter-operability and system integration. As such, IEC TC13 published the IEC 62056 series of standards: Electricity metering - Data exchange for meter reading, tariff, and load control. The COSEM (Companion Specification for Energy Metering) is a set of international standards which consists of six parts. The release of these technical specifications enables all relevant meters, support tools, and other system devices to be interoperable and easily integrated. The National Committee of the Standardisation Techniques for Electrical Measuring Instruments (TC104) is arranging for experts to translate these standards into Chinese and to prepare them for transfer to Chinas national standards.
Type approval
China has made much progress in establishing metrology and the related procedures for meter management and control. The body responsible is the General Administration of Quality Supervision, inspection and Quarantines of the PR of China (AQSIQ). AQSIQ has established the National Institute of Metrology (NIM). NIM has established primary standard for electrical energy. The Provincial Bureaux of Quality and technical Supervision (PBQTS) are responsible for electricity meters and accept the type approval application. The type approval certificate has no term of validity. A manufacturing license (CMC) is usually valid for three years but the pattern approval does not need to be renewed. Initial verification The initial verification is carried out by technical organisation authorised by PBQTS. The verification interval for single phase electromechanical meters is 15 years, with some only 10 years. Electronic meters are restricted to 5 years. Inspection and re-verification After expiry of the verification period meters can be re-verified or discarded and replaced with new meters.
206

Market participants Holley Group is the largest meter company in China, which started as a manufacturer of bamboo products some 30 years ago. Holley produces electromechanical and electronic meters and has a production capacity of 15 million meters. The company has a factory in Thailand and is forming alliances with companies in the USA and other advanced technology countries. Jiangsu Linyang Electronics Co. Ltd, founded in 1995, is one of the largest meter manufacturers in China. Jiangs Linyang Solid State claims production capacity for 5 million single phase / three phase meters, 2.5 million single phase / multi-tariff meters and 3 million meters of other types. In 2003, its annual revenue reached RMB 520 million (US$63 million). Linyang passed the certification for ISO9001 Quality Assurance System in 2001 and again passed the re-audit for ISO9001: 2000 Edition Quality Assurance System, in 2002. The company claims to have 25% of the Chinese market. Shanghai Electric Co. is the oldest electric company in China and was founded in 1882. It founded the first meter company in China, Shanghai Metering Works Co. Ltd in 1950 and its first production facility for meters came on-line in 1953. In 2005 the company produced 2 million single phase electronic meters and 1 million three phase electronic meters. In total 10 types of slid state metre are produced. The company manufactures 6 types of electromechanical meters. Shanghai Metering is the leading AMR provider in China, with 1.4 million installed by the end of 2007 and 2 million prepayment meters installed, equivalent to 26% of the prepayment market. Shanghai has developed a remote controlled prepayment meter system and has installed 550,000 units. Londian Electrics, founded in 1994, claims to be the second largest meter manufacturer in China with manufacturing facilities in Shenzhen and Harbin. It also claims to be the largest manufacturer in China of electronic meters and the second largest exporter. In 2000, the company had production capacity for 2.2 million single phase static meters and 200,000 polyphase static meters. Londian has ISO 9001 certification, European CE certification, and the recommended Products Certification of the EEC. It has stated that its main business objective is the development of the domestic static market. Shenzhen STAR claims to be the first and largest producer of electronic meters in China with production capacity of 10 million electronic meters. It has obtained the ISO9001 approval from the famous British BSI Corporation, and its products have also achieved KEMA-KEUR & CE quality certification of the Netherlands. Zhejiang Eonpass Meter Manufacture Co. Ltd has annual production of 1.2 million single phase meters, 50,000 three phase meters, and 500,000 gas meters. Shenzhen Clou manufactures electronic meters.
Utility background
In 1949, when the People's Republic of China was founded, the installed generating capacity of the country was less than 2 GW. Today, China is the fourth largest electricity producer in the world, with an estimated 430 GW by the end of 2005. At the end of 2002, the electricity industry was restructured into a number of new enterprises, splitting the functions of generation, transmission and distribution.
207

Utility background (continued) Generation 5 generating companies were established: Huaneng Group Huadian Power Guodian Power Datang Power Group China Power Investment Company
Transmission networks Two transmission companies have been formed which are responsible for operation of the countrys power grids: State Grid Corporation of China (SG) China Southern Power Grid Corporation (CSG)
CSG is co-funded by the former Guangdong Provincial Power Group Corporation the former affiliated Southern Company, Yunnan Provincial Power Group Corporation Ltd, Guizhou Provincial Power Corporation and Hainan Provincial Power Corporation. It covers Guangdong, Guangxi, Yunnan, Guizhou and Hainan five provinces (regions), linking with Hong Kong and Macao. Distributions There are five regional power networks in SG and three isolated provincial power grids on the mainland of China: North China Power Network (NCPN) Northeast China Power Network (NEPN) East China Power Network (ECPN) Central China Power Network (CCPN), which includes the Chuanyu (Sichuan and Chongqing) Power Network (CYPN) Northwest China Power Network (NWPN)
The three isolated provincial power grids include the following: Power Grid (HNPN) Xinjiang Autonomous Region Power Grid (XJAR) Lhasa Power Grid (Tibet)
No official information is available about the distribution network except that the Chinese authorities claim that 96% of townships, 88% of villages, and 82% of rural areas have power supply. ABS has modelled the distribution system of China based on comparable large developing countries with a high level of electrification and has estimated the distribution network to be at 7.6 million km in 2000. China has made great efforts to electrify the whole country and 96% of households now have access to electricity.

Table 6.37: ESI characteristics China
Generators > 5% 5 state-owned generating companies Huaneng Group Huadian Power Guodian Power Datang Power Group China Power Investment Company IPPs both state-owned and private Grid companies 2 State Grid Corporation of China (SGCC) China Southern Power Grid Co. Ltd Transmission networks 6 trans-regional grids (Northeast China, North China, East China, Central China and Northwest China) South China Electric Power Joint-venture Network links four southern provinces Three isolated independent provincial or municipal networks DNOs hundreds
209
6.3.3 India
Population 2008 1,147,995,904 Number of households 2008 276,256,000 Installed electricity meter base 2008 144,000,000
Annual demand was 13.6 million meters (units) in 2008 rising to 20.1 million in 2012. The value will increase in this period from 190 million ($279 million) to 366 million ($464 million).
25,000,000
20,000,000
10,000,000
5,000,000
2008 279,255,900 189,970,000 13,604,500
2009 285,455,360 224,768,000 15,704,800
2010 330,841,350 260,505,000 16,850,500
2011 385,991,100 303,930,000 18,216,000
2012 464,337,400 365,620,000 20,107,000
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The contribution of the C&I sector in terms of value will remain at about a quarter of the market.
210
Meter units
15,000,000
6.3.3 India, Continued

2008 Units Residential Euro $ Units C&I Euro $ Units Total meters Euro $ 13,000,000 145,000,000 213,150,000 604,500 44,970,000 66,105,900 13,604,500 189,970,000 279,255,900 2009 14,900,000 165,600,000 210,312,000 804,800 59,168,000 75,143,360 15,704,800 224,768,000 285,455,360 2010 15,845,000 186,875,000 237,331,250 1,005,500 73,630,000 93,510,100 16,850,500 260,505,000 330,841,350 2011 17,010,000 215,970,000 274,281,900 1,206,000 87,960,000 111,709,200 18,216,000 303,930,000 385,991,100 2012 18,700,000 263,000,000 334,010,000 1,407,000 102,620,000 130,327,400 20,107,000 365,620,000 464,337,400
Market trend
India is on the move in the electrical sector and there are ambitious targets for metering. There are four drivers in the development of the metering market in India. The first is the distribution and growth of the population, second is growth in rural electrification, third is economic growth, and fourth is government policy to achieve 100% electrification by 2012 with all connections metered. Demand has risen at a CAGR of 6% for the last three years and it could rise further if government plans are met. These are to achieve 100% electrification, 100% metered connections and conversions to electronic meters by 2012 are followed. However, although India is progressing very fast, the history of achieving development plan targets has been poor in the past and we prefer to reserve judgement at this juncture.
Meter technology
There has been a rapid shift in demand from electromechanical meters to solid state in the last three years in India. The new Regulations published by the CEA (Central Electricity Authority) stipulate that all interface meters, consumer meters and energy accounting and audit meters shall be of electronic. This means that there must be a complete replacement of the existing stock of residential electromagnetic meters. A specific time limit for completion of this is not given, but the regulations state that replacement must be carried out under direction of the appropriate commission or in conformity with the reforms programme of the appropriate government. Advanced metering is not part of this plan but it is likely that it will start in some cities, such as Mumbai, Delhi and Chennai in about three years. There have been many departures from normal metering practice in India. Charges for some customers are on a flat rate basis at Rp 100 per month regardless of their consumption. In some states electricity it is provided free to farmers. India suffers an extreme tamper problem, and electronic meters with tamper detection devices have resulted in large theft detection. Utilities using electronic meters report cost savings and a 20% - 25% increase in revenue. Information is imprecise, but the incidence of solid state metering is approximately 1 million, and this will increase quickly in the next few years. AMR is still rare and only used in the high-end C&I sector. Some Indian utilities are piloting walk-by and drive-by AMR, PLC communications, and telephone communications.
211

Prices As in China, the market in India is divided into two price categories. Locally manufactured meters are available at US $8 - $9; high-end meters follow international pricing. There are reports from the market that the selection process has some flaws which cause concern. Indian planners specify requirements for a tender and these are based on the electricity policy and government targets, requiring high quality meters. However, when the decision is made the cheapest meters are chosen and forced to meet the technical requirements, which either they cannot do, or they fail and breakdown results. In other words, the appearance may be that India is following high technological standards and ambition targets abut the reality id rather different.
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 2,000,000 24,000,000 11,000,000 121,000,000 0 0 0 0 0 0 600,000 42,000,000 4,500 2,970,000 2009 1,700,000 20,400,000 13,200,000 145,200,000 0 0 0 0 0 0 800,000 56,000,000 4,800 3,168,000 2010 700,000 8,400,000 14,800,000 162,800,000 0 0 225,000 7,875,000 120,000 7,800,000 1,000,000 70,000,000 5,500 3,630,000 2011 0 0 16,170,000 177,870,000 0 0 550,000 19,250,000 290,000 18,850,000 1,200,000 84,000,000 6,000 3,960,000 2012 0 0 17,000,000 187,000,000 0 0 1,150,000 40,250,000 550,000 35,750,000 1,400,000 98,000,000 7,000 4,620,000
Landis+Gyr, Actaris and Elster all have a presence in India and supply high end meters. The Egyptian group, El Sewedy, which has bought Iskra, is active in India and expects to develop pre-payment business there. Like China, India has what amounts to a two-tier domestic meter industry, a top tier of reliable producers of good products and a lower tier producing low priced, poor quality meters. The small segment of private investor-owned electricity companies in India is reported to favour quality products and to be willing to pay for them, and these constitute the main market for the international meter companies. The bulk of the electricity utility sector in India is state-owned in one form or another, and they have by far the largest number of end points. The principal companies, called the SEBs (State Electricity Boards) are being restructured and unbundled, but old practices still prevail. The newspapers report cases of corruption in tendering and the companies select cheap, locally produced meters from the lower tier companies, or alternatively Chinese imports. In 2008 over 1 million Chinese meters were imported.
212

Market shares in value 2008 (continued) The top tier Indian meter companies: Genus Overseas Solid States Ltd claims to have the largest installed base of electronic meters in India with more than 5 million. The company produces 2.4 million electronic meters annually Secure Meters Limited, an Indian company founded in 1988, which manufactured under licence from Polymeters Response International Limited in the U.K. SML has since entered into a strategic global alliance with PRI, U.K. Secure has four manufacturing facilities. Secure Meters is the largest exporter of meters from India India Meters Ltd entered the meter business in 1963 and claims the leading position Larsen & Toubro is one of Indias largest engineering groups Emco is the third largest manufacturer of transformers and a leading meter manufacturer. The company has four manufacturing facilities, three for transformers and one for meters Hi-Tech Systems & Services Ltd
Metering regulations
In March 2006 the Central Electricity Authority published the CEA (Installation and Operation of Meters) Regulations 2006. These apply to meters installed by generating companies and licensees engaged in the business of generation, transmission, distribution and supply of electricity to all categories of consumers. These regulations are comprehensive and provide for type, standards, ownership, location, accuracy class, installation, operation, testing and maintenance, access, sealing, safety, meter reading and recording, meter failure or discrepancies, anti tampering features, quality assurance, calibration and periodical testing of meters, additional meters and adoption of new technologies in respect of following meters for correct accounting, billing and audit of electricity. Interface meters are meters used for accounting and billing of electricity, connected at the point of interconnection between electrical systems of generating company, licensee and consumers, directly connected to the inter-state transmission system or intra-state transmission system that have to be covered under ABT and have been permitted open access by the appropriate commission. Consumer meters are meters used for accounting and billing of electricity supplied to the consumer but excluding those consumers covered under interface meters. Energy accounting and audit Meters are meters used for accounting of the electricity to various segments of electrical system so as to carry out further analysis to determine the consumption and loss of energy therein over a specified time period. The regulations state that All interface meters, consumer meters and energy accounting and audit meters shall be of static type. The meters not complying with these regulations shall be replaced by the licensee on his own or on request of the consumer. The meters may also be replaced as per the regulations or directions of the Appropriate Commission or pursuant to the reforms programme of the appropriate government.
Type approval
213

Standards All interface meters, consumer meters and energy accounting and audit meters must comply with the relevant standards of Bureau of Indian Standards (BIS). The Indian Standard IS 13779 is more stringent than IEC 1036. Meter designs take into account the tropical weather while tamper proof conditions are very stringent. If BIS Standards are not available for particular equipment or material, the relevant British Standards (BS), International Electro-technical Commission (IEC) Standards, or any other equivalent Standard shall be followed. The regulations give precise details of standards required for each category of meter. Calibration and periodic testing Inter-face meters Each interface meter must be tested at time of commissioning by the owner at site for accuracy using a standard reference meter of better accuracy class than the meter under test. All interface meters shall be tested at least once in five years. These meters must also be tested whenever the energy and other quantities recorded by the meter are abnormal or inconsistent with electrically adjacent meters. Whenever there is unreasonable difference between the quantity recorded by interface meter and the corresponding value monitored at the billing centre via communication network, the communication system and terminal equipment must be tested and rectified. The meters may be tested using NABL accredited mobile laboratory or at any accredited laboratory and recalibrated if required at manufacturers works. Testing and calibration of interface meters may be carried out in the presence of the representatives of the supplier and buyer. Consumer meters Consumer meters must be tested at site at least once in five years. The licensee may test the meter at site or can remove the meter and replace the same by a tested meter duly tested in an accredited test laboratory. In addition, meters installed in the circuit shall be tested if study of consumption pattern changes drastically from the similar months or season of the previous years or if there is a consumers complaint pertaining to a meter. The standard reference meter must be of better accuracy class than the meter under test for site testing of consumer meters up to 650 volts. The testing for consumers meters above 650 volts should cover the entire metering system including CTs, VTs. Testing may be carried out through NABL accredited mobile laboratory using secondary injection kit, measuring unit and phantom loading or at any accredited test laboratory and recalibrated if required at manufacturers works. Energy accounting and audit meters Energy accounting and audit meters must be tested at site at least once in five years or whenever the accuracy is suspected or whenever the readings are inconsistent with the readings of other meters, e.g., check meters, standby meters. The testing must be carried out without removing the CTs and VTs connection. Testing may be carried out through NABL accredited mobile laboratory using secondary injection kit, measuring unit and phantom loading or at any accredited test laboratory and recalibrated if required at manufacturers works.
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Standards (continued)
New technologies The distribution licensee may make out a plan for the introduction and adoption of new technologies such as pre-paid meters, time of the day meters (TOD), automatic remote meter reading system through appropriate communication system, with the approval of the Appropriate Commission or according to the regulations or directions of the appropriate commission or pursuant to the reforms programme of the appropriate government. Accredited laboratories and testing facilities Several independent test laboratories such as NPL (National Physics Laboratory) and CPRI (Central Power Research Institute) undertake type testing and certification of meters. A metering protocol laboratory has been established by the Central Power in Bangalore, following the guidelines of IEC 62056 and with the help of the Device Language Message Specification (DLMS) user association in Switzerland. The Conformance Test Tool (CTT) is now available for both manufacturers and utilities to verify meters for compliance with international protocols.
Market participants
There are around 30 meter manufacturers in India. A number of the leaders in the market claim to be number one.
Utility background
India is trying to expand electricity power generation capacity as current generation is seriously below peak demand. Although about 80% of the population has access to electricity (access is defined as villages not households), power outages are common, and the unreliability of electricity supplies is severe enough to constitute a constraint on the country's overall economic development. The government has targeted capacity increases of 100,000 MW over the next ten years. However, it should be pointed out that India has not succeeded in achieving a single target for building power generation capacity in any of its Five Year Development Plans since Independence in 1949. By the end of 2004, total installed Indian power generating capacity was 126 GW, including the captive generating capacity of the large Indian industrial sector. Although development of the power sector has primarily been the responsibility of the Indian government, electricity is generated by five types of organisation; Central government, State governments (State Electricity Board SEB), Privately- owned generating utilities selling to the public network. Private captive generators for industry, IPPs.
215

Table 6.38: ESI characteristics India
Major generators of Central GOI (25%) NTPC National Thermal Power Corporation NHPC National Hydroelectric Power Corporation NEEPCO North-Eastern Electric Power Corporation THDC Tehri Hydro Development Corporation DVC Damodar Valley Corporation HJPC Nathpa Jhakri Power Corporation 36 State-owned generating companies (56%) Private utilities (6%) CPP (9%) IPP (4%) TSO Powergrid of India One central government-owned TSO (Central Transmission Utility CTU) and several state government-owned STUs (State Transmission Utility) operate as not exclusive licensee the transmission grids under a RTPA regime. Sub-transmission and distribution 41 state-owned distribution companies 6 private distribution companies
216
6.3.4 Indonesia
30,000,000
1,750,000
25,000,000
1,700,000
1,650,000 20,000,000
Value $ and euro
15,000,000 1,550,000 10,000,000 1,500,000
5,000,000
1,450,000
0 $ euro Units
2008 25,627,980 17,434,000 1,528,030
2009 22,844,760 17,988,000 1,579,430
2010 23,524,616 18,523,320 1,628,162
2011 24,257,457 19,100,360 1,679,266
2012 24,835,524 19,555,530 1,731,783
1,400,000
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The residential sector dominates the market in value.
Meter units
1,600,000
217
6.3.4 Indonesia, Continued

Meter technology Prepayment meters
The residential base is entirely electromechanical, C&I meters solid state.
Persero Wilayah Kalimantan Barat, which supplies electricity to 300,000 customers, has ordered Actaris prepayment meters and systems for installation in Pontianak, Eastern Indonesia. PLN Pontianak has chosen the ACE9000 Taurus IBS and ACE9000 Taurus ITP. 23,000 Actaris TSK one way prepayment meters have been delivered to EDTL in East Timor. PLN, the state utility, has installed 100,000 advanced meters, the Actaris ACE SL7000 with AMR capability.
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 30,000 1,260,000 8,000 1,240,000 1,800 54,000 30,000 1,260,000 10,000 1,310,000 1,800 54,000 30,000 1,260,000 12,000 1,380,000 1,800 54,000 30,000 1,260,000 14,000 1,470,000 1,800 54,000 30,000 1,260,000 16,000 1,424,000 1,800 54,000 1,480,000 14,800,000 10,000 80,000 2009 1,524,400 15,244,000 15,000 120,000 2010 1,570,132 15,701,320 16,000 128,000 2011 1,617,236 16,172,360 18,000 144,000 2012 1,665,753 16,657,530 20,000 160,000
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Market shares in value 2008 There is one dominant supplier of meters to PLN, the state utility. Actaris first established a presence in Indonesia in 1984 ago when PT Mecoindo opened.Actaris is the major meter supplier in Indonesia to PLN, the state-owned utility. In 2002, the company migrated the manufacture of electronic meters to Indonesia from Felixstowe in the UK to reduce costs. Market share estimated at 70% - 80%. The company produces residential electromechanical meters for the global market and industrial polyphase electricity meters for Asia. Pt Bara Daya Nusantara is the Elster Company in Indonesia. P.T. Istana Karang Laut is the Elster-Instromet company. Indonesia imports nearly three quarters of a million of low priced Chinese residential meters. C&I meters are imported from several countries with no discernible pattern. We suspect PLN simply selects the lowest quote from reputable manufacturers for each tender.
The Legal Metrology Law No. 2, 1981 is the basis of legal metrology activities in Indonesia. National Legal Metrology Institute (Directorate of Metrology) has overall responsibility for approval and verification of measuring instruments and other equipment. A system of accreditation was introduced in 2002 showing traceability to national, regional, international or foreign measurement standards. Initial verification Indonesia has 27 provinces and more than 290 territories. Each of the province and 28 territories have regulatory bodies in the field of weights and measures, usually within the organisation of Ministry of Trade Affairs. Inspectors from these organisations inspect and verify instruments for use for trade. The verification of electricity meters started in 1990 in cooperation with PLN, the state-owned utility. However, due to the large number of meters installed (29 million in total at that time) only new meters were verified before installing them. It was specified that 144 million meters must be verified by the end of 2007. The re-verification period is 10 years.
Utility background
Prior to the Asian financial crisis of 1997, Indonesia had plans for a rapid expansion of power generation, based mainly on opening up Indonesia's power market to IPPs. Historically the main electricity utility was state-owned PLN (Perusahan Umum Listrik Negara), which is responsible for generation, transmission and distribution throughout the country. The crisis led to critical financial strains on PLN, which made it difficult to pay for all of the power for which it had signed contracts with IPPs. PLN has over $5 billion in debt, which has grown fast in terms of local currency due to the decline in the value of the rupiah. PLN probably suffered more than any other power utility in Asia as a result of the Asian financial crisis and is only now finding its way out of its problems. Under the pressure of events the government has restructured the company.
219

Utility background (continued) The operational coverage of PLN encompasses almost the entire Indonesian territories, which consist of more than 13,000 islands and decentralisation authority is needed in order to streamline management. As national electricity supplier PT PLN has established 6 subsidiaries and one joint venture Company. PT Indonesia Power is responsible for electricity generation, transmission and distribution outside Java and Bali. It was established in October 1995 under the name of PT PJB and changed its title into PT Indonesia Power in September 2000. PT Pembangkitan Jawa Bali (PT PJB) is responsible for electricity generation, transmission and distribution in the islands of Java and Bali. Established in October 1995 under the name of PT PJB II and changed its title into PT PJB in September 2000. PT Pelayanan Listrik Nasional Batam (PT PLN Batam) handles power supply for public in Batam Island region, established in October 2000. PT Indonesia Comnets Plus deals with telecommunication, established in October 2000. PT Prima Layanan Enjiniring (PT PLN Enjiniring) is responsible for engineering consultancy, engineering and construction supervision, established in October 2002. PT Pelayanan Listrik Nasional Tarakan (PT PLN Tarakan) is responsible for power supply in the Tarakan Island region. PT Geo Dipa Energi a joint venture between PLN and PERTAMINA (state oil and Gas Company) manages the geothermal generation.
Table 6.39: ESI characteristics Indonesia

Generators (State-owned) PT Pembangkitan Tenaga Listrik Java-Bali (PJB) I & II - 52% (to be split into 5 gencos) IPPs - 8% CPPs - 40% TSO 1 Java-Bali Transmission Company (JBTC) DNOs Several regional distribution companies
220
6.3.5 Japan
Annual demand was 3.3 million meters (units) in 2008. It will jump to 7.4 million in 2009 with an AMI roll-out and will rise to 9.2 million in 2012. The value will increase in this period from 127 million ($187 million) to 594 million ($754 million).
800,000,000
10,000,000 9,000,000 8,000,000
700,000,000
600,000,000 7,000,000 Value $ and euro 500,000,000 6,000,000 5,000,000 4,000,000 3,000,000 200,000,000 2,000,000 100,000,000 1,000,000 0
400,000,000
300,000,000
0 $ euro Units
2008 187,204,500 127,350,000 3,300,100
2009 576,970,779 454,307,700 7,405,450
2010 670,700,941 528,110,977 8,336,054
2011 702,694,031 553,302,387 8,667,413
2012 754,223,772 593,876,986 9,193,531
Installed capacity of watt-hour meters in Japan
Source: METI
Meter units
221
6.3.5 Japan, Continued

Customers (2001) 81.7 million total electricity customers 9,000 large factories, liberalised sector EHV customers 2,000 kW +, (26% of output) 20,000 medium factories, HV Power Sector industrial customers 500-2,000 kW, (9% of output) 270,000 small factories, HV Power Sector industrial customers < 500 kW, (9% of output) 20,000 HV Power Sector medium commercial customers 500-2,000 kW, (5% of output) 430,000 HV Power Sector small commercial customers < 500 kW, (14% of output) 6,400,000 LV small factories and stores < 50 kW, (5% of output) 70,000,000 LV residential customers, (31% of output)
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The composition of demand will change with the AMI roll-out. C&I accounted for 40% in 2008 in terms of value, but this will drop to 9% by 2012.
222

Meter technology All IGC meters are electronic AMI meters. 97% of all residential meters in Japan are still electromechanical but this will change with an AMI roll-out starting in 2009. C&I are almost all solid state. Precision meters for contracts from 500-10,000 kW have an error range of 1%, and high precision meters for contracts over 10,000 kW have an error range of 0.5%. Var-hour meters for calculating the power factor have an error range of 2.5%. Maximum demand meters have an error range of 3%. The introduction of electronic meters in Japan The first electronic meters were introduced with TOU metering in 1988 for customers with contracts for demand of at least 500 kW and in stages for customers with contracts from 50-500 kW for bulk supply use. The first stage was customers with 250-300 kW and over in July 1988. The contract sizes were reduced annually to 80 kW in July 1997. The first AMR was introduced for bulk supply in 1993 and has again been extended down the size scale progressively. In 1990 electronic meters were introduced into the residential sector for TOU and AMR. This meshed with the first market liberalisation in 2000 for customers with consumption of 2000 kW or more. AMR is almost total among large scale users, with demand of 500 kW or more. It is not complete but growing among small to medium users with demand 50-500 kW and very limited below that. AMR is being developed as a multi-function resource, providing other services to consumers as well as reading meters. TEPCO (Tokyo Electric Power Co), the largest utility, has researched several AMR systems and introduced LV AMR system using telephone lines as a trunk line and LV power lines as a branch line among approximately 3,000 customers in mountainous areas, where the electric power demand density is low and the meter reading efficiency is poor on account of lack of access other than on foot. Annual demand for meters by technology, forecast from 2008 to 2012, volume and value ()
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 2,535,000 55,770,000 120,000 3,000,000 5,000 400,000 220,000 17,600,000 0 0 420,000 50,400,000 100 180,000 2009 2,560,350 56,327,700 120,000 3,000,000 5,000 400,000 4,300,000 344,000,000 0 0 420,000 50,400,000 100 180,000 2010 2,585,954 56,890,977 120,000 3,000,000 10,000 800,000 5,200,000 416,000,000 0 0 420,000 51,240,000 100 180,000 2011 2,611,813 57,459,887 120,500 3,012,500 10,000 800,000 5,500,000 440,000,000 0 0 425,000 51,850,000 100 180,000 2012 2,637,931 58,034,486 120,500 3,012,500 10,000 800,000 6,000,000 480,000,000 0 0 425,000 51,850,000 100 180,000
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Tokyo Electric Power Company (TEPCO) In 2001, Tokyo Electric Power Company (TEPCO) implemented a new Itron handheld meter reading system to gather data and provide on-site billing services to more than 26 million TEPCO customers throughout the Tokyo metropolitan area. TEPCO meter readers now enter the meter data into their new Itron handheld computers, which immediately process the consumption data and apply the appropriate billing determinants for each customer on-site. The handheld computer then transmits the consumption and billing data, via a wireless link, to a portable printer unit located on the meter readers belt. The printer unit instantly creates an invoice that is left at the customers location. Itron handheld meters are used by 5 out of Japans 10 Epcos and constitute 65% of electricity meters in Japan.
Shikoku Electric Power Company in Japan
Shikoku has developed a system to provide information systems and control to a wide range of platforms. The OpenPlanet architecture enables data transfer and analysis from the residential to large-scale industrial levels. It can manage small household devices or major power system controls. The Java based architecture is standardised, scalable, and inter-operable. The OpenPlanet system utilises the Internet and can communicate with cell phones, PDAs, and virtually any communications device. The installation of a one-chip microcomputer on any solid state device will allow OpenPlanet to interface with and control the device. Services enabled by OpenPlanet include: load management and analysis, outage monitoring, home security and alarms, home health care services, and education services. Shikoku has installed an OpenPlanet server device (a miniature computer called an Opus) in the meter of each of their customers. This device provides the interface to the OpenPlanet network (via the Internet) and will immediately allow Shikoku to provide the services available through this network. The Opus device can communicate via a homes existing power lines to any devices used within the home, and there is no need for re-wiring or installation of in-home communications networks.
In Japan, a modern legal metrology system was initially established with the enactment of the Law of Weights and Measures in 1891. In 1992, the law and related regulations were significantly revised and became effective in 1993. METI is responsible for ensuring that the design of the specified measuring instrument meets certain criteria for accurate measurement. The Ministry carries out this responsibility by examining the designs of measuring instruments and testing sample instruments. Once the pattern of an instrument has been approved, METI issues a certificate of type approval and certification, and subsequent production instruments made to the pattern are marked with an assigned type number. The marking and numbering on a production instrument is the primary indication to the prefectural and other verification institutes that the measuring instrument is of an approved pattern. Pattern type approval and certification is required for all the specified measuring instruments regardless of type, as listed in clause 4.1. Manufacturers, importers, and foreign manufacturers can apply for pattern type approval and certification testing of these instruments.
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Type approval and verification (continued)
Initial verification and re-verification The Japan Electric Meters Inspection Corporation (JEMIC), a non-profit institution established by special law, is responsible for the verification of electricity meters and has carried out verification for 40 years. JEMIC uses an automatic watt-hour meter testing system developed for calibration. In addition, the Measurement Law allows METI to designate non-profit testing laboratories as designated verification institutes, which are then obliged to conduct verifications. Domestic meters with a rated current of 30, 120, 200 amps are tested every 10 years. VCT/CT meters are tested every 7 years. Mechanical meters are tested every 5 years. High precision, precision class, var-hour and maximum demand meters are tested every 5 years for mechanical meters and every 7 years for static meters.
Osaki Electrical Company is the dominant electricity meter provider, with a 40% market share of the Japanese meter market. The company manufactures electromechanical and electronic meters. It manufactures and sells watt-hour meters, electromechanical and electronic meters, current limiters, time switch control equipment panels, demand control equipment panels, centralised automatic meter reading systems, and fibre optical couplers. Osaki was established in 1937 and is headquartered in Tokyo. Osaki electromechanical meters comply with or exceed ANSI C12 standards and are warranted for 25 years. Electronic meters comply with or exceed ANSI C12.16 standards and are warranted for 5 years. Other manufacturers include the following: Fuji Electric Company Limited Mitsubishi Electric Corporation Toshiba Company Limited Matsushita Anritsu Meter Company Limited Bailey Japan Company Limited Daichi Solid states Company Limited Emerson Japan Limited Emic Corporation Gomi Electric Instrument Company Limited Miwa Electric Company Limited Omron Corporation
225

Market shares in value 2008 (continued) Takemoto Denki Corporation Toyo Keiki Company Limited Tsuruga Electric Corporation Toko Seiki Company Limited Tsuda Electric Meters Company Limited Yokogawa M&C Corporation
Utility background
89.3% of Japanese capacity is owned by the ten vertically-integrated investor-owned EPCos (Electric Power Companies), EPDC, JAPCo, and other utilities. The largest EPCos are among the top ten electricity utilities in the world. Although the Japanese transmission and distribution system has been integrated at the national level since 1958, it comprises two geographically separate networks, each operating at different frequencies. The Chubu, Hokuriku, Kansai, Chogoku, Shikoku, and Kyushu EPCo networks covering Kyushu, Shikoku, and southern Honshu operate at 60 Hz, while the Tokyo, Tohoku, and Hokkaido systems supplying Hokkaido and northern Honshu operate at 50 Hz. In Japan, electricity has traditionally been distributed at 6 kV, but more recently 22 kV and 33 kV systems have been introduced to improve voltage stability and reduce losses in remote areas.
Table 6.40: ESI characteristics Japan

Generators > 12 10 Vertically integrated regional investor-owned companies Chubu EPCo - 14.5% Chugoku EPCo - 6.6% Hokkaido EPCo - 3.6% Hokuriko EPCo - 3.1% Kansai EPCo - 17% Kyushu EPCo - 9.0% Shikoku EPCo - 3.2% Tohuku EPCo - 8.9% Tokio EPCo - 33.2% Okinawa EPCo - 0.8% JPower, investor-owed (formerly, Electric Power Development Company, state-owned) Japan Atomic Power Company (investor-owned) TSO 10 The ten EPCOs DNOs 10 The ten EPCOs
226
6.3.6 Korea, South

Annual demand was 300,000 meters (units) in 2008 rising to 5,467,000 in 2012 with the roll-out of the national AMI a home management network. The value will surge in this period from 14 million ($21 million) to 470 million ($596 million) and will remain at that level until 2015 when the roll-out is completed.
700,000,000
6,000,000
600,000,000
5,000,000
500,000,000 4,000,000 Value $ and euro Meter units 400,000,000 3,000,000 300,000,000 2,000,000 200,000,000
100,000,000
1,000,000
0 $ euro Units
2008 20,807,850 14,155,000 300,050
2009 28,746,450 22,635,000 571,050
2010 361,492,800 284,640,000 3,267,050
2011 478,967,800 377,140,000 4,367,050
2012 596,442,800 469,640,000 5,467,050
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The share of C&I in the meter market value will plummet from 43% to 2% by 2012.
227
6.3.6 Korea, South, Continued

2008 Units Residential Euro $ Units C&I Euro $ Units Total meters Euro $ 260,000 8,075,000 11,870,250 40,050 6,080,000 8,937,600 300,050 14,155,000 20,807,850 2009 521,000 15,055,000 19,119,850 50,050 7,580,000 9,626,600 571,050 22,635,000 28,746,450 2010 3,207,000 275,560,000 349,961,200 60,050 9,080,000 11,531,600 3,267,050 284,640,000 361,492,800 2011 4,307,000 368,060,000 467,436,200 60,050 9,080,000 11,531,600 4,367,050 377,140,000 478,967,800 2012 5,407,000 460,560,000 584,911,200 60,050 9,080,000 11,531,600 5,467,050 469,640,000 596,442,800
Meter technology
Korea is planning one of the most ambitious advanced metering projects in the world. It combines metering with home services and communications using PLC. In 2004 the Korean government announced plans to pursue a new generation of value-added energy business by combining electricity and IT and announced an investment of 270 million over the 5 years from 2004 to 2009. In 2004 KEPCO, Koreas electricity utility announced the launch of a full-scale PLC home networking business, combining power and IT through PLC. The services trialed included AMR, Broadband Internet, Vole (Voice over Powerline) and various other home services. The business will combine the automation, digitalisation, and networking of electrical equipments based on PLC (Powerline Communication) technology. This is not only for the domestic Korean market, but will also become an important export industry. The system will also provide social welfare benefits including free high-efficiency lighting to 700,000 households. The system is being installed by Xeline, a Korean company which claims to be a world leader in PLC home network technology. The company is carrying out field trials in Germany, China, Italy, Algeria, Japan, Malaysia, South Africa, Indonesia, Thailand, Australia, Brazil as well as in Korea. KEPCO has been piloting AMI using PLC technology in 2004 and 2005 in Daejon and Daegu City, with a 1,500 household panel. The trial reported a 100% success rate with its AMR capability. Following this pilot a series of further pilots are in the field testing different aspects. KEPCO plans to have its research programme for a smart grid completed by 2013. All piloting will be completed in 2009 and deployment of AMR/AMI will commence in late 2009. KEPCO is planning to replace all analogue electricity meters with digital power meters by 2015, involving 22 million households.
228
6.3.6 Korea, South, Continued

2008 Electromechanical Electronic Ripple control Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 200,000 6,000,000 50,000 1,250,000 0 0 5,000 425,000 0 0 5,000 80 400,000 40,000 6,000,000 50 2009 150,000 4,500,000 350,000 8,750,000 0 0 5,000 425,000 10,000 900,000 6,000 80 480,000 50,000 7,500,000 50 2010 0 0 200,000 5,000,000 0 0 0 0 3,000,000 270,000,000 7,000 80 560,000 60,000 9,000,000 50 2011 0 0 300,000 7,500,000 0 0 0 0 4,000,000 360,000,000 7,000 80 560,000 60,000 9,000,000 50 2012 0 0 400,000 10,000,000 0 0 0 0 5,000,000 450,000,000 7,000 80 560,000 60,000 9,000,000 50
Utility background
The government-controlled utility KEPCO (Korea Electric Power Company) has dominated the supply industry and has had a central role in the extraordinary economic development of the country in recent years. KEPCO was a vertically integrated utility responsible for generation, transmission and distribution but has now been unbundled into separate generation, transmission, and distribution units. The South Korean government is moving ahead with plans to break up and privatise most of the assets of state utility KEPCO, albeit at a much slower pace than originally planned, and with electricity distribution being retained as a governmentheld corporation. The plan to retain distribution assets of KEPCO was a change in policy announced in July 2004. The South Korean government has unbundled KEPCO into separate generation, transmission, and distribution units. The transmission system consists of three voltage levels; 345 kV, 154 kV and 66 kV. The 66 kV lines are being phased out for system simplification and the 345 kV lines are being expanded for higher system stability and bulk power transmission. There used to be a 22 kV transmission system but that has now been phased out completely. There has been considerable growth in the T&D systems in South Korea over the last 25 years. In order to serve low-voltage customers, power is supplied through 22.9 kV distribution lines before being transformed to 220 V and/or 380 V electricity. KEPCO carries out programmes to increase distribution line feeders and transformer capacities to effectively meet the increasing demand in power.
Table 6.41: ESI characteristics Korea, South

Generators > 5% KEPCO - nuclear and hydro 5 thermal subsidiaries owned by KEPCO to be privatised TSO 1 KEPCO DNOs vested 2003

229
6.3.7 Malaysia
30,000,000
600,000
25,000,000
500,000
400,000 Meter units
15,000,000
300,000
10,000,000
200,000
5,000,000
100,000
0 $ euro Units
2008 20,453,580 13,914,000 412,040
2009 20,792,440 16,372,000 475,020
2010 23,649,940 18,622,000 535,020
2011 24,932,640 19,632,000 560,020
2012 26,075,640 20,532,000 570,020
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The residential sector had 81% of the value of the market in 2008 and this will not change much in the next five years.
230
6.3.7 Malaysia, Continued

Meter technology
Installed meters Peninsular Malaysia (Tenaga Nasional Berhad) 3 phase MV/HV kWh?kVar x/5A, x/1A Class 0.5, 0.2, 0.1 - 0.18% 3 phase LVCT kWh/kVar x/5A Class 2 - 0.88% 3 phase whole current kWh/kVar 10-100A Class 2 - 10.6% 1 phase whole current kWh 10-100A Class 2 - 88.34% 6,600,000 Borneo, Sarawak (SESCO) Total meters - 335,000 Borneo, Sabah (SESB) Total meters - 420,000 Total meters installed Malaysia - 7,355,000
Meter demand In 2004, TNB embarked on a programme to installed 100% electronic meters in Peninsular Malaysia with completion of the conversion from electromechanical meters in 2014. A roll-out of AMR or AMI is likely to happen but it will probably not start until 2014-2016. At present there is no information on this. There will be continued trials on a small basis during the next two to three years. Tenaga Nasional Berhad (TNB), the large national utility, is currently using Wavenet for the remote meter reading of its large power consumers and in the remote monitoring of its substations equipment in the SCADA implementation. Wavenet enables the transmission of data via narrow band cellular radio, where cables or telephone lines are unavailable. To date, Wavenet is operational in the central and southern regions of Peninsular Malaysia. TNB installed 1,000 AMR units on a trial basis early in 2006 and plans to replace 60,000 manually read meters between 2006 and 2009, for with bulk customers.
231

Meter technology (continued) In June 2007, a contract was announced to install Itron Remote Meter Reading (RMR) technology for 90,000 Low Voltage C&I meters in order to automate meter data collection, analysis and billing process. TNB has just signed a contract to purchase Casio DT-X5M10E handheld meter readers. The original product was deployed in the 90s and is now obsolete and maintenance of the equipment became more demanding. The Casio produce is a ruggedised product with a numeric keyboard, compact size, is light weight and uses Bluetooth. Prepayment meters Malaysia is introducing prepayment meters in selected cases. Sabah Electricity Sdn Bhd (SESB) the small regional utility owned by TNB in East Malaysia, has awarded a contract to MIDA to supply 1,080 Metronix smart card prepayment meters, designed and produced in Malaysia. The Metronix is now being exported. Annual demand for meters by technology, forecast from 2008 to 2012, volume and value ()
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 0 0 380,000 10,640,000 5,000 425,000 0 0 2,000 160,000 25,000 2,625,000 40 64,000 2009 0 0 430,000 12,040,000 5,000 425,000 5,000 450,000 10,000 800,000 25,000 2,625,000 20 32,000 2010 0 0 480,000 13,440,000 5,000 425,000 10,000 900,000 15,000 1,200,000 25,000 2,625,000 20 32,000 2011 0 0 500,000 14,000,000 5,000 425,000 15,000 1,350,000 15,000 1,200,000 25,000 2,625,000 20 32,000 2012 0 0 500,000 14,000,000 5,000 425,000 25,000 2,250,000 15,000 1,200,000 25,000 2,625,000 20 32,000
Malaysia has an active metering industry. TNB Metering Services Sdn Bhd is one of many subsidiaries of TB and it provides metering services to TNB
The international meter manufacturers all have companies in Malaysia serving the Malaysian market and, in some case jointly with Singapore, servicing the regional market. EDMI began in Australia in 1978 as a privately owned company which specialised in the design and manufacture of customised, small-scale electronic products and was acquired by Bridex Singapore in the 1990s. EDMI Limited exports meters from Singapore to Australia and other markets. EDMI produces high-end products used by generation and transmission utilities in the 132 kV substations. The company is moving down into the smaller C&I and residential markets. EDMIs have a manufacturing and engineering operation located in Singapore with research and developments operations based in Australia. EDMIs meters are exported to more than 14 countries located in Asia, ASEAN, Australasia, the Middle East, and Europe. EDMIs wholly owned subsidiaries in Australia and Malaysia serve as localised regional service support centres. EDMI is listed on the Singapore stock exchange

Market shares in value 2008 (continued) Industrious Horizon Sdn Bhd is the Elster-Instromet company servicing Malaysia. Elster-Instromet Sdn Bhd, located at the same address is the regional sales office for Asia Metertek Sdn Bhd is the Actaris Company in Malaysia Impianas Sdn Bhd is Itrons business associate in Malaysia Iskraemeco (M) Sdn Bhd established an office in Malaysia in 1974 Misa Sdn Bhd manufactures kilowatt hour meters and water meters MIDA, Malaysian Intelligence Meters Sdn Bhd has designed a prepayment smart meter, the Metronix, which is no being exported. The company is negotiating with utilities in Bahrain and Singapore. University Tenaga Nasional had implemented the system to reduce power usage at its student hostels. MIM is also negotiating with Defence Ministry to install the meters in selected residences of armed forces personnel
Type approval
The National Metrology Laboratory (NML), SIRIM Berhad is responsible for the pattern approval of new measuring instruments for trade use. The pattern approval criteria adopted by SIRIM Bhd. are generally in accordance with the recommendations of the International Organisation of Legal Metrology (OIML). The approval procedures may involve an evaluation and full testing of the instrument or a combination of partial tests and endorsement of overseas test results such as those issued under the OIML Certificate System. Electricity meters and gas meters are both regulated by the Energy Commission. Instruments which have been approved by the custodian are subject to verification and stamping by Inspectors of Weights and Measures of the Ministry of Domestic Trade and Consumer Affairs before they are put into service. The validity of such verification is 12 months after which the instruments have to be re-verified to ensure that they are still within the prescribed limits of error applicable for such instruments. Initial verification All utility meters are tested before being put into service. These tests are generally carried out by the private companies responsible for the supply of these utilities under the surveillance of their respective authorities. The electromechanical meter testing laboratory has been phased out. Inspection and re-verification Utility meters such as water meters, electricity meters, household gas meters and taximeters are exempted from the inspection and verification by inspectors of weights and measures. Nevertheless, they are still subject to legal requirements. For medium and high voltage transformer meters the verification interval is once a year. For other meters there is no specific interval. Meters are only re-verified when complaints are received from the consumers.
233

Utility background Currently, three state-owned utilities dominate power generation and distribution in Malaysia. The market was opened to IPPs in 1994, and 15 IPPs were licensed, though not all of the projects have been built. Malaysia is considering reforms to its power sector to make it more competitive and to lower costs. The largest of the three utilities is TNB (Tenaga Nasional Berhad) responsible for generation, transmission and distribution of power throughout Peninsular Malaysia except in remote areas. Sarawak is supplied by SESCO (Sarawak Electricity Supply Corporation) and Sabah by SESB (Sabah Electricity Board), which is part owned by TNB. In addition, several private licensees generate and supply electricity in isolated mines and areas. The market was opened to IPPs in 1994. There are three unconnected transmission systems, one extensive network for Peninsular Malaysia which is linked both to Thailand and to Singapore and two separate systems in Sarawak and Sabah, which are not linked.
Table 6.42: ESI characteristics Malaysia

Generators > 5% - 3 Utilities Tenaga Nasional Berhad - 60% TNB Generation Sdn Bhd TNB Hidro Sdn Bhd (TNB Hydro) Sarawak Electricity Supply Corporation (SESCo) TNB Sabah Sdn Bhd (formerly Sabah Electricity Sdn Bhd) IPPs - 40% TSO 1 TNB Transmission Network Sdn Bhd (Peninsula Malaysia) DNOs 3
234
6.3.8 New Zealand

Annual demand was 291,000 meters (units) in 2008. This will rise to an estimated 3 71,000 in 2012 with an AMI roll-out. The value will increase from 13 million ($19 million) in 2008 to 18 million ($23 million) in 2012.
25,000,000
400,000
350,000 20,000,000 300,000
Value $ and euro
200,000 10,000,000
150,000
100,000 5,000,000 50,000
0 $ euro Units
2008 18,644,010 12,683,000 290,520
2009 20,996,910 16,533,000 333,520
2010 19,653,250 15,475,000 320,500
2011 22,828,250 17,975,000 370,500
2012 22,828,250 17,975,000 370,500
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The bulk of the market is in the residential sector and the AMI roll-out will consolidate that for the period of the roll-out.
Meter units
15,000,000
250,000
235
6.3.8 New Zealand, Continued

2008 Units Residential Euro $ Units C&I Euro $ Units Total meters Euro $ 290,000 12,460,000 18,316,200 520 223,000 327,810 290,520 12,683,000 18,644,010 2009 333,000 16,310,000 20,713,700 520 223,000 283,210 333,520 16,533,000 20,996,910 2010 320,000 15,320,000 19,456,400 500 155,000 196,850 320,500 15,475,000 19,653,250 2011 370,000 17,820,000 22,631,400 500 155,000 196,850 370,500 17,975,000 22,828,250 2012 370,000 17,820,000 22,631,400 500 155,000 196,850 370,500 17,975,000 22,828,250
Meter technology
In 2006, the government initiated debate regarding smart meters, with a view to starting installations of smart meters and load control technologies in 2008. Most of the utilities have announced plans to installed advanced metering, covering the entire installed meter base in New Zealand in the next few years. In April 2008, it was announced that Genesis Energy, New Zealands largest electricity and gas supplier will install over 700,000 AMI meters over the next few years. 340,000 AMI meters are to be installed in Auckland by Mercury Energy. Contact Energy will install 500,000 AMI meters. Meridian Energy plans to install 200,000 AMI meters.
2008 Units Electromechanical Unit price Euro Units Electronic Unit price Euro Units Residential AMR Unit price Euro Units AMI Unit price Euro Units Prepayment Unit price Euro 80,000 12 960,000 200,000 55 11,000,000 0 0 0 10,000 50 500,000 0 0 0 2009 40,000 35 1,400,000 13,000 70 910,000 0 0 0 280,000 50 14,000,000 0 0 0 2010 20,000 16 320,000 0 0 0 0 0 0 300,000 50 15,000,000 0 0 0 2011 20,000 16 320,000 0 0 0 0 0 0 350,000 50 17,500,000 0 0 0 2012 20,000 16 320,000 0 0 0 0 0 0 350,000 50 17,500,000 0 0 0
236

2008 Units C&I C&I AMI Unit price Euro Units Grid Grid AMI Unit price Euro 500 310 155,000 20 3,400 68,000 2009 500 310 155,000 20 3,400 68,000 2010 500 310 155,000 0 0 0 2011 500 310 155,000 0 0 0 2012 500 310 155,000 0 0 0
The National Organisation for Legal Metrology has ultimate responsibility. The Trading Standards Service (TSS) advises the Minister of Consumer Affairs on the technical and legislative requirements for trade measurement in New Zealand. TSS publishes a series of policy guides in relation to: Pattern approval Legal metrology accreditation Compliance Accreditation audits Consumer cost method of measurement
TSS The Testing Laboratory Registration Council (TELARC) operates its accreditation services under the name International Accreditation New Zealand (IANZ) and comprises over 570 laboratories (54 of which are calibration laboratories) throughout New Zealand distributed over industry and other administrations.
Utility background
The electricity supply industry of New Zealand has been in the process of reform and restructuring for over fifteen years. The changes have affected all sectors of the industry and are designed to make the industry more competitive and customer orientated. The restructuring of the industry has also been subject to lengthy debate since the end of the 1980s. In 1998, the state-owned generator, ECNZ was split into three; generation, transmission and distribution. The generation assets were sold to four state-owned companies. Contact Energy Limited now controls around 30% of the installed capacity of New Zealand; Meridian Energy Limited, acquired ten power stations; Genesis Power Limited acquired seven power stations and Mighty River Power Limited acquired eight power stations. There are additionally a number of private generators. Transpower owns and operates the national grid. This high-voltage cable transmission system is the physical "hub" of the wholesale electricity market. The national grid transports electricity from approximately 40 major power stations across the country. These connect with the power lines (or networks) operated by the distributors at more than 200 grid exit points. Transpower owns over 12,300 kilometres of high-voltage transmission line.
237

Utility background (continued) 30 distribution companies own the local low-voltage power lines which connect with the national grid and distribute electricity to consumers. Generally they sell their services directly to retailers rather than end-use consumers.
Table 6.43: ESI characteristics New Zealand

Generators 40 Top 5 > 95% Contact Energy Ltd Genesis Power Ltd Meridian Energy Ltd Mighty River Power Ltd Trust Power Ltd TSO Transpower DNOs - 28 Trust Owned or Public distribution companies that own and operate the local distribution networks throughout New Zealand
238
6.3.9 Philippines
800,000
25,000,000
700,000 20,000,000 600,000
Value $ and euro
400,000 10,000,000
300,000
200,000 5,000,000 100,000
0 $ euro Units
2008 18,204,480 12,384,000 625,540
2009 17,429,480 13,724,000 639,040
2010 19,607,530 15,439,000 685,040
2011 19,963,130 15,719,000 705,040
2012 20,496,530 16,139,000 735,040
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The contribution of the C&I sector will decline somewhat, from 45% to 34% in 2012.
Meter units
15,000,000
500,000
239
6.3.9 Philippines, Continued

Meter technology Philippines with remain split in the residential sector between electromechanical and electronic meters. A change to advanced metering Is not expected for several years.
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 350,000 3,150,000 220,000 3,080,000 500 40,000 0 0 0 0 55,000 6,050,000 40 64,000 2009 300,000 2,700,000 270,000 3,780,000 2,000 160,000 2,000 170,000 10,000 800,000 55,000 6,050,000 40 64,000 2010 300,000 2,700,000 300,000 4,200,000 5,000 400,000 5,000 425,000 20,000 1,600,000 55,000 6,050,000 40 64,000 2011 300,000 2,700,000 320,000 4,480,000 5,000 400,000 5,000 425,000 20,000 1,600,000 55,000 6,050,000 40 64,000 2012 300,000 2,700,000 350,000 4,900,000 5,000 400,000 5,000 425,000 20,000 1,600,000 55,000 6,050,000 40 64,000
The Philippines has imported increasing numbers of meters from China. GE has a presence but the European meter companies do not have a presence in the Philippines. The Philippines market is supplied by local companies. The Philippines imports half a million cheap meters from China each year. The large distribution utility in Manila, Meralco, is more discerning than the small distribution utilities scattered around the provinces, which have always been price conscious markets.
The National Metrology Laboratory (NMLPhil) is the leading arm of the Industrial Technology Development Institute, carrying out type approval, calibration, verification and testing. Responsibilities are delegated to authorised agencies. The Energy Regulatory Commission (ERC) is responsible for meter testing, calibration and verification.
Utility background
The most significant event in Philippine energy industry in recent years was the Power Industry Reform Act (PIRA). The PIRA legislation required Napocor to breakup its vertically integrated assets into generation, transmission, distribution and supply in order to prepare for privatisation. Napocor has designated two new subsidiary companies designed solely for privatisation. Transco owns the state's high voltage transmission lines and infrastructure.
240
6.3.9 Philippines, Continued

Utility background (continued) Psalmcorp owns the power plants and has already sold 12 power plants and is selling the rest to private investors. There has been opposition to bids for Transco, which is still state-owned, among them one from a consortium with the State Power Grid of China among its members. The government has sold its share of Meralco, a mixed-ownership company that serves Manila and the immediate surrounding area by buying power from various IPPs, and also Panay Distribution Company. The Philippine power system consists of three major island grids, namely Luzon, Visayas and Mindanao; there are also several small island grids. The Luzon grid is the largest, accounting for 75% of total generation and installed capacity. The Visayas grid comprises the islands of Cebu, Leyte, Negros, Panay, Samar and (soon) Bohol. Together they amount to around 10% of total generation and installed capacity. The Mindanao grid accounts for about 15% of total generation and installed capacity. Luzon, which includes the capital Manila, has about 75% of national electricity demand. Prices are such that industrial and commercial customers subsidise residential customers, and the Luzon grid subsidises those of the Visayas and Mindanao. The Philippines, due to its geography, has problems linking all of its larger islands together into one grid and ensuring availability of electric power in rural areas. The government had set a target date of 2006 for full electrification, and was also taking steps to link together the country's three major power grids (Luzon, Visayas, and Mindanao). Where it is not economical to link small islands' grids into the national grid, separate local systems are being established around small generating plants. Distribution is performed by 27 private and municipality owned utilities, and also by 119 rural electricity cooperatives. MERALCO (Manila Electric Company) is the largest distribution utility in the Philippines and holds the franchise for 9,328 km2 covering Metro Manila, ten other cities and 101 municipalities. The company distributes 75% of national electricity sales.
Table 6.44: ESI characteristics Philippines

Generators 1 utility Power Sector Assets and Liabilities Management Corporation (PSALM, successor to NAPOCOR) IPPs Mirant TSO 1 National Transmission Corporation (TransCo) (successor to NAPOCOR) DNOs 146 MERALCO in Manila is by far the largest Private distribution companies - 17 Electric cooperatives 119 LGUs 10
241
6.3.10 Taiwan
Population 2008 22,920,946 Number of households 2008 6,965,000 Installed electricity meter base 2008 12,387370
100,000,000 90,000,000 80,000,000
800,000
700,000
600,000 70,000,000 Value $ and euro 60,000,000 50,000,000 40,000,000 30,000,000 200,000 20,000,000 10,000,000 0 $ euro Units 100,000 500,000 Meter units
400,000
300,000
2008 29,260,350 19,905,000 427,025
2009 22,282,150 17,545,000 310,025
2010 48,825,150 38,445,000 435,025
2011 62,287,150 49,045,000 545,025
2012 87,496,650 68,895,000 705,025
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The C&I share in terms of value will decline slightly as electronic and AMI meters are deployed, but will remain at 24% by 2012.
242
6.3.10 Taiwan, Continued

Meter technology
Residential meters are electromechanical - 1 phase/3 wire but there will be conversion to electronic meters, starting in 2009, and then a roll-out of AMI meters with a longer term timeframe than some other advanced metering schemes. C&I meters are solid state, 3 phase/3 wire, 3 phase/4 wire Prepayment meters are manufactured and used in Taiwan. Taipower is using AMR technology in the C&I sector. Taipower has produced a smart Grid Roadmap which started in 2007 and coordinates a series of parallel activities leading to a full smart grid by 2025. An advanced automatic reading system will be built in stages with completion by 2016.
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 380,000 13,300,000 0 0 5,000 400,000 0 0 2,000 160,000 40,000 6,000,000 25 45,000 2009 250,000 8,750,000 10,000 750,000 5,000 400,000 0 0 5,000 400,000 40,000 7,200,000 25 45,000 2010 200,000 7,000,000 80,000 6,000,000 0 0 100,000 13,000,000 5,000 400,000 50,000 12,000,000 25 45,000 2011 100,000 3,500,000 180,000 13,500,000 0 0 200,000 17,200,000 5,000 400,000 60,000 14,400,000 25 45,000 2012 0 0 230,000 17,250,000 0 0 400,000 34,400,000 5,000 400,000 70,000 16,800,000 25 45,000
243
6.3.10 Taiwan, Continued

Market shares in value 2008 Tatung, a major conglomerate founded in 1918, is Taiwans leading manufacturer of meters, and Taiwans leading manufacturer of computers, with 20,000 employees. The company makes electromechanical, electronic and prepayment meters. Tatung probably has a share of 50% to 60% of the market. GE has a presence in the market. Minsun Technology Company makes electronic meters. CTE Corporation. Taiwan imports meters from China and the USA. Type approval MOEA, the Ministry of Economic Affairs is responsible for regulation and approval of measuring instruments. NML, National Measurement Laboratory has established standards for electricity. Electricity meters are not currently subject to type approval but this will be introduced. Initial verification BSMI, Bureau of Standards Metrology and Inspection verify instruments before sale. BSMI has seven offices located throughout Taiwan. All electricity meters must be verified and inspected. 1 million meters are verified annually. BSMI licenses approved and properly equipped independent testing institutions to carry out verification. Tertec, Taiwan Electric and Research Testing Centre verifies all electricity meters in its laboratories. Electromechanical meters have a verification interval of 7 years. Electronic meters have a verification interval of 8 years. Inspection and re-verification BSMI inspects meters when they are in use. Utility background Taiwan Power Company (Taipower), the state-owned electric power utility, currently dominates Taiwan's electric power sector. However, Taipower's monopoly status has been undermined by a 1994 measure which allowed IPPs to provide up to 20% of Taiwan's electricity. IPPs are required to sign power purchase agreements with Taipower, which distributes the power to consumers. However, regulations issued by the government in July 1998 allowed foreign investors to play a greater role in Taiwan's electric transmission and distribution sector. The rules raised the level permitted of foreign investment in these sectors from 30% to 50%. Table 6.45: ESI characteristics Taiwan
Generators - 1 utility Taipower - 80% IPPs - 20% TSO 1 Taipower DNOs 1 Taipower

244
6.3.11 Thailand
Annual demand will remain stable, with 932,000 meters (units) in 2008 compared with 933,000 in 2012. The value will be 18 million ($27 million) and 21 million ($27 million) in 2012, with some conversion from electromechanical to electronic residential meters.
30,000,000
1,000,000 900,000
25,000,000
800,000 700,000 600,000
15,000,000
500,000 400,000
10,000,000
300,000 200,000 100,000
5,000,000
0 $ euro Units
2008 27,127,380 18,454,000 932,040
2009 24,022,050 18,915,000 937,050
2010 24,568,150 19,345,000 888,050
2011 24,822,150 19,545,000 863,050
2012 26,790,910 21,095,205 933,051
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The contribution of the C&I sector in terms of value will remain high in Thailand at about half of total revenue.
Meter units
245
6.3.11 Thailand, Continued

Meter technology
1 phase and 3 phase electro-mechanical meters are used residentially. Both MEA and PEA uses C&I electronic meters. There are no reports of MEA or PEA, the two distribution companies, using AMR or AMI meters yet but it is anticipated in the future. Thailand is not moving fast into the new technology and will continue using electromechanical meters while converting some to electronic meters.
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 800,000 7,200,000 80,000 800,000 1,000 80,000 0 0 1,000 80,000 50,000 10,250,000 40 44,000 2009 750,000 6,750,000 130,000 1,300,000 5,000 400,000 0 0 2,000 160,000 50,000 10,250,000 50 55,000 2010 650,000 5,850,000 170,000 1,700,000 10,000 800,000 5,000 450,000 3,000 240,000 50,000 10,250,000 50 55,000 2011 600,000 5,400,000 190,000 1,900,000 10,000 800,000 10,000 900,000 3,000 240,000 50,000 10,250,000 50 55,000 2012 550,000 4,950,000 300,000 3,000,000 10,000 800,000 20,000 1,800,000 3,000 240,000 50,001 10,250,205 50 55,000
246

Market shares in value 2008 Actaris has sold small quantities of meters in Thailand but Landis+Gyr none. We do not have information about Elster. Holley Group Electric (Thailand) Co Ltd is a subsidiary of Holley Group the largest meter manufacturer in China, which is rapidly establishing a global presence. Holley Thailands major customers are the Provincial Electricity Authority and Metropolitan Electricity Authority of Thailand, National Electricity Cooperatives (Philippines) and Electricite du Lao. Thailand reported imports of 1.9 million meters in 2006, 2.2 million in 2007 and 1.6 million in 2008, about two thirds from China with an average import price of $7.87 and one third via Singapore. We do not know how many of these have been exported.
Type approval
There is no organisation in Thailand responsible for measurement of electricity directly. The two distribution companies Metropolitan Electricity Authority (MEA) and Provincial Electricity Authority (PEA) are the responsible bodies. EGAT, the Electricity Generating Authority of Thailand, the state-owned generating company operates the Energy Meter Calibration Laboratory. Initial verification All meters have to be verified at the start. For imported meters standards are referred to the country of origin, IEC or in the case of the US ANSI. Locally manufactured meter standards are base on IEC 521-1976 and verified at random. After 20 years meters are checked, and if necessary replaced by MEA and 15 years in the case of PEA. Inspection and re-verification There is no re-verification interval. However, the MEA operating in urban Bangkok usually verifies meters after 20 years and PEA, operating in the more difficult conditions of rural Thailand, after 15 years.
Utility background
EGAT (Electricity Generating Authority of Thailand) is the overall supply authority and reports to NEA (National Energy Authority). EGAT generates and transmits most of the country's electricity, selling to two distribution authorities and to individual large industrial bulk consumers. The two government-owned distribution authorities are MEA (Metropolitan Electricity Authority) which distributes throughout the capital Bangkok / Thonburi, and PEA (Provincial Electricity Authority) which distributes nation-wide in all the provinces. These two companies are responsible for metering in Thailand. Two other categories produce electricity. POFs (Privately Owned Franchise) generate electricity and distribute it within a licensed area. Their sales are almost all restricted to their own areas. There are also a number of auto-producers.
247

Table 6.46: ESI characteristics Thailand
Generators EGAT plc - 74% Powergen 1 (5,999 MW) and Powergen 2 (4,600 MW) proposed IPPs - 19% 41 SPPs - 7% TSO 1 EGAT An ISO is proposed DNOs 2 Metropolitan Power Authority Provincial Power Authority Proposed to be reformed as REDCOs
248
6.3.12 Vietnam
30,000,000 1,800,000 1,600,000 25,000,000 1,400,000 20,000,000 Value $ and euro 1,200,000 1,000,000 15,000,000 800,000 10,000,000 600,000 400,000 5,000,000 200,000 0 $ euro Units 0 Meter units
2008 25,107,600 17,080,000 1,525,050
2009 21,437,600 16,880,000 1,550,051
2010 21,856,700 17,210,000 1,565,052
2011 22,974,300 18,090,000 1,605,053
2012 23,533,100 18,530,000 1,625,054
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () 89% of the value in the market is in the residential sector as electgridification of the country continues.
249
6.3.12 Vietnam, Continued

Meter technology
Installed base The growth of the installed base of meters in Vietnam has been very erratic, with a huge spurt in 2005. The country has achieved a high level of residential electrification in a remarkably short time, rising from 14 million end points to 26 million between 2004 and 2006. Most households now have access to electricity.
The installed base of electricity meters in Vietnam, 2004 to 2006

2004 Total EVN PC 1 PC 2 PC 3 Hanoi PC Haiphong PC HoChiMinh PC Dongnai PC Ninhbinh PC 6,882,984 1,639,429 1,965,402 949,162 589,113 1,228,288 211,367 257,493 42,732 13,765,970 2005 Total 11,844,864 1,649,429 1,975,402 1,959,162 2,594,113 1,068,288 2,223,367 257,490 42,732 23,614,847 Inductive 1 Phase 12,677,452 1,727,970 2,135,869 2,106,407 2,828,108 1,130,124 2,424,949 74,115 44,911 25,149,905 3 Phase 185,176 68,948 18,866 35,015 15,451 36,458 6,958 1,976 1,918 370,766 2006 Inductive Electronic 166,855 17,454 18,207 13,657 9,966 8,949 13,797 2,149 176 251,210 Total 13,029,483 1,814,372 2,172,942 2,155,079 2,853,525 1,175,531 2,445,704 78,240 47,005 25,771,881
Source: Vietnam Metrology Institute Vietnam uses electromechanical meters in the residential sector and electronic meters in the C&I sector. This is unlikely to change in the near future as the priority in the country has been to establish an electrical network from a very narrow base and the system is still in early stages of development. EVN is testing AMR. IntraCoastal recently delivered the first batch of Rabbit-powered AMR systems to EVN to be implemented and evaluated. 150 of the units were shipped and another 1,000 units over the next 3 years.
250

2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 1,500,000 13,500,000 0 0 0 0 0 0 0 0 25,000 3,500,000 50 80,000 2009 1,500,000 13,500,000 25,000 550,000 0 0 1 0 0 0 25,000 2,750,000 50 80,000 2010 1,500,000 13,500,000 40,000 880,000 0 0 2 0 0 0 25,000 2,750,000 50 80,000 2011 1,500,000 13,500,000 80,000 1,760,000 0 0 3 0 0 0 25,000 2,750,000 50 80,000 2012 1,500,000 13,500,000 100,000 2,200,000 0 0 4 0 0 0 25,000 2,750,000 50 80,000
EDMI has an office in Ho Chi Minh City. Sytec System & Technologies Vietnam Ltd is the Elster representative in Vietnam. Given a relationship between EVN, the state utility of Vietnam and EDF it is interesting that Actaris has no presence in Vietnam. Elmaco trades in electrical measurement instruments and other equipment. Linkton Vina is the Vietnam associate of Linkton Singapore. In 2005 a major problem occurred with faulty meters in Ho Chi Minh City and the government ordered EVN to replace 238,000 faulty electricity meters. 312,000 meters in question purported to have been manufactured by the Singapore-based Linkton Company, which supposedly manufactured all of these devices on the island state. However, the local media eventually discovered that the meters were manufactured by Linkton Vina in Viet Nam and did not comply with the contract signed between the buyer and the seller. Linkton failed to show documents to identify the original manufacturers of the meters. There are many companies manufacturing electrical products in Vietnam but little information is available about meter manufacturers. Vietnam imports meters from China and Singapore.
Type approval
In 2001 / 2002 the Ministry of Science and Technology issued a set of decisions regarding Legal Metrology. The Directorate of Standards and Quality, STAMEQ is the organisation responsible for metrology in Vietnam. STAMWQ has branches in 64 provinces and cities. 61 authorised laboratories belong to the Power Companies, subsidiaries of EVN (Electricite de Vietnam, the state utility). 2 authorised laboratories belong to local industrial departments.
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Type approval (continued) All locally produced and imported meters are type approved. MTE (Switzerland-Germany) and China re-accepted. Vietnamese standards for electromechanical meters follow IEC 62053-21. For electronic meters standards follow IEC 62053-22 (IEC 1036, IEC 687 and IEC 1268. Initial verification All meters are verified. Inspection and re-verification All meters are the property of EVN. Customer complaints are made to the local; power company and meters are checked by he local power company and the branch of STAMEQ. Solid state reference meters classification 0.005-01-0, 02-0, 1-0, 2-05. Residential 1 phase meters are re-verified after 5 years, 3 phases after 2 years. Utility background The Vietnamese government has approved a master plan for the development of an electricity market in the country in three phases, the provision of a competitive supply market by 2015, application of a wholesale business model between 2015 and 2022, and a fully competitive retail market after 2024. The state power company, Electricity of Vietnam (EVN), is responsible for planning and generation, and is working on a plan to develop a national electricity grid by 2020, linking several regional grids. Three regional companies, PC1, PC2 and PC3 are now responsible only for transmission and distribution in their regions. PC1 (Power Company Number 1), with headquarters in Hanoi, covers the region which was formerly North Vietnam and lies above the 17th parallel. PC1 operates its transmission system at 220 and 110 kV; PC2 at 220, 110 and 66 kV and PC3 at 110 and 66 kV. These lines increased from 2,438 km in 1986 to 6,300 km by the end of 1996. PC2 (Power Company Number 2), with headquarters in Ho Chi Minh City, covers the Southern region. PC3 (Power Company Number 3), with headquarters in Da Nang, is responsible for Central Vietnam. There are five city distribution companies; Hanoi, Ho Chi Minh City, Hai Phong, Dong Nai. Ninh Binh. Table 6.47: ESI characteristics Vietnam
Generators I state-owned utility EVN, Electricite de Vietnam 4 foreign-owned IPPs are being built TSO 1 EVN and the regional PCs DNOs 3 regional distribution companies (PCs), owned by EVN 5 city distribution companies (PCs), owned by EVN

252
6.4 Middle East

6.4.1 Iran
Middle East - Overview

Annual demand in the Middles East was 3.4 million meters (units) in 2008 rising slightly to 3.5 million in 2012. The value will increase in this period from 107 million ($157 million) to 127 million ($161 million). Iran is the largest market in the Middle east accounting for 1.3 million annually.
180,000,000 160,000,000 140,000,000 120,000,000
4,000,000
3,500,000
3,000,000
2,500,000 100,000,000 2,000,000 80,000,000 1,500,000 60,000,000 40,000,000 20,000,000 0 $ euro Units 1,000,000
500,000
2008 156,900,000 106,734,694 3,359,000
2009 153,200,000 120,629,921 3,324,000
2010 157,781,000 124,237,008 3,490,000
2011 156,987,500 123,612,205 3,412,250
2012 161,190,000 126,921,260 3,467,350
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Middle East - Overview, Continued

Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () Residential meters account for 97% of meters in the Middle East and this will remain the case.
2008 Residential C&I Total meters Units $ Units $ Units $ 3,275,000 136,700,000 84,000 20,200,000 3,359,000 159,900,000 2009 3,250,000 134,900,000 74,000 18,300,000 3,324,000 153,200,000 2010 3,417,000 140,761,000 73,000 17,020,000 3,490,000 157,781,000 2011 3,330,000 139,820,000 82,250 17,167,500 3,412,250 156,987,000 2012 3,370,000 141,510,000 97,350 19,680,000 3,467,350 161,190,000
Meter technology
Electromechanical meters will remain in use in the Middle East alongside increasing numbers of basic electronic and AMI meters. AMI meters will be installed in the Gulf states of the UAE and Kuwait.
2008 Electromechanical Electronic Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units $ Units $ Units $ Units $ Units $ Units $ Units $ 1,600,000 36,800,000 1,350,000 47,250,000 0 0 325,000 52,650,000 0 0 80,000 15,200,000 4,000 5,000,000 2009 1,525,000 36,600,000 1,400,000 47,600,000 0 0 325,000 50,700,000 0 0 70,000 13,300,000 4,000 5,000,000 2010 1,500,000 36,000,000 1,417,000 46,761,000 0 0 500,000 58,000,000 0 0 70,000 13,300,000 3,000 3,720,000 2011 1,300,000 29,900,000 1,500,000 49,500,000 0 0 530,000 60,420,000 0 0 80,000 14,400,000 2,250 2,767,500 2012 1,290,000 29,670,000 1,540,000 50,820,000 0 0 540,000 61,020,000 0 0 95,000 16,625,000 2,350 3,055,000
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6.4.1 Iran
60,000,000
1,500,000
50,000,000
1,450,000
40,000,000 Value $ and euro Meter units 1,400,000 30,000,000 1,350,000 20,000,000
10,000,000
1,300,000
0 $ euro Units
2008 36,191,400 24,620,000 1,338,050
2009 34,899,600 27,480,000 1,378,050
2010 37,124,640 29,232,000 1,378,550
2011 47,985,680 37,784,000 1,379,050
2012 53,573,680 42,184,000 1,479,050
1,250,000
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The bulk of value in the Iranian meter market is in the residential sector.
255
6.4.1 Iran, Continued

Meter technology
Almost all residential meters currently installed are electromechanical. The bulk of meters are manufactured in Iran but there are some imports. Until recently Iran only manufactured a few electronic meters but is now establishing a large-scale capability to make electronic meters in Iran. The Vice Chairman of Tavanir, the Iran national power company has announced that Iran needs to digitalise the power industry as well. It is assumed from this remark that electromechanical meters are mainly used in the power industry. The government has just announced a partnership between Kontorsazi, the leading Iranian meter manufacturer and Actaris, to introduce digital technology and to manufacture electronic meters. It is the plan to convert the current electromechanical meter base completely to, electronic meters over a period of 20 years through replacement of the existing stock, and to reduce energy consumption by 10%. The Energy Minister has appointed Kontorsazi to achieve the conversion of meters to solid state. There is an AMR and AMI capability in Iran.
2008 Units Electromechanical Unit price Euro Units Electronic Residential Ripple control Unit price Euro Units Unit price Euro Units AMR Unit price Euro 1,050,000 12 12,600,000 260,000 29 7,540,000 0 0 0 1,000 95 95,000 2009 950,000 12 11,400,000 400,000 29 11,600,000 0 0 0 1,000 95 95,000 2010 850,000 12 10,200,000 500,000 29 14,500,000 0 0 0 1,000 95 95,000 2011 350,000 12 4,200,000 1,000,000 29 29,000,000 0 0 0 1,000 95 95,000 2012 250,000 12 3,000,000 1,200,000 29 34,800,000 0 0 0 1,000 95 95,000
256

2008 Units AMI Residential Prepayment Unit price Euro Units Unit price Euro Units C&I C&I AMI Unit price Euro Units Grid Grid AMI Unit price Euro 5,000 104 520,000 10,000 90 900,000 12,000 240 2,880,000 50 1,700 85,000 2009 5,000 104 520,000 10,000 90 900,000 12,000 240 2,880,000 50 1,700 85,000 2010 5,500 104 572,000 10,000 90 900,000 12,000 240 2,880,000 50 1,700 85,000 2011 6,000 104 624,000 10,000 90 900,000 12,000 240 2,880,000 50 1,700 85,000 2012 6,000 104 624,000 10,000 70 700,000 12,000 240 2,880,000 50 1,700 85,000
Major participants
At present there is one major player in the Iranian meter market, with another company becoming more significant. Sherkat Kontorsazi Iran was founded in 1968 ago by the Ministry of Power and AEG, and was the only manufacture of meters in Iran. It initially had a production capacity of 100,000 meters a year, but this has now reached 1 million meters a year. It is the leading electric meter company in Iran. The company makes electromechanical and electronic meters. In 2007 the company has reached an agreement with Actaris for transfer of technology used in the production of digital power meters. A large digital electric meter manufacturing factory was opened in Qazvin in April 2007, to make electronic meters. Some 1.5 billion Euros and 30 billion rials have been invested in the key project. The factory will produce 300,000 digital meters a year and production may increase to a million units. The market share is estimated at 70% of the residential meter market Kerman Tablo has been manufacturing meters since 1999 with the first Iranian digital meter. Kerman Tablo would be capable of producing 500,000 meter per year and in second phase programme expanding to reach 1,000,000 meters per year. Kerman Tablo also produces AMR software
Other Iranian meter manufacturers are: Iran Electrical Watt-Meter Mfg Co. Vernik Counter Co.
Iran imports meters from the UK, France, Germany, Slovenia and China.
Standards and type approval
The Institute of Science and Industrial Research of Iran (ISIRI) is the body charged with drawing up standards in Iran. Each province has its own standards office which has the task of overseeing production units, retail outlets and customs offices located in that province.
257

Standards and type approval (continued) Goods entering the country must conform to ISIRI requirements, or any of the following standards: International Standards: ISO, ITU, IEC, CODEX European Union Standards: all ending with EN (e.g. DINEN, BSEN) National Standards of EU Countries: BSI (United Kingdom), DIN/VDE (Germany), UNI (Italy), ANFOR (France), NNI (Netherlands), AENOR (Spain), ON (Austria), IPQ (Portugal), DS (Denmark), SEE (Luxembourg), NSF (Norway), SIS (Sweden), NSAI (Ireland), ELOT (Greece) National Standards of North American Countries: API, ASME, ANSI, ASTM, AGI, API, UL National Japanese Standards: JIS Standards for Measurement Devices: OIML
All goods on the Compulsory Standards List entering the country commercially must receive a Certificate of Conformity (COC) from the standards office under whose jurisdiction the port of entry falls. Without the certificate, customs will not clear the goods in question. To receive a COC, the prospective importer can go through one of the following four routes: Clearly stating one of ISIRIs acceptable standards in all commercial documents including the contract, proforma invoice, import registration documents, L/Cs, etc. to illustrate the sellers undertaking to conform with basic standards and requirements Production of SD (Note 1) or MD (Note 2) stating the goods conformity with the stated standards and specifications of the goods Production of test results carries out by an approved laboratory Obtaining and producing a Verification of Conformity (VOC) issued by an approved surveillance / inspection agency
Importers may ship the goods to Iran without the documents mentioned above and receive a COC from the standards office after inspection and testing by ISIRI or customs officials. The samples taken will be sent for testing to an approved laboratory and should the results confirm the goods specifications and their conformity with approved standards, a COC will be issued.
The following can apply for type approval by ISIRI and will then be able to import their goods into the country with the minimum of delay. Companies that have registered their goods with ISIRI within the last two years and at least three of their products have shown complete conformity with the applicable standards. Companies who have a global market share of at least 10% of the goods in question or have a minimum 50 years experience of producing the product (s), or have received the CE mark or other certificates of quality approved and verified by a reputable organisation. Initial verification, inspection and re-verification No data is available.
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Utility background The ultimate authority in the Iranian electricity industry is the Ministry of Energy (MOE). Until the 1990s, electricity generation and transmission was carried out by Tavanir (the Iran Power Generation and Transmission Co) and the Iran Power Organisation (IPO). Both companies have now been merged operationally with the MOE and a new structure has been developed for the industry. The Ministry of Energy Tavanir Management is now the responsible entity. Geographically, supply is parcelled out among 16 regional electricity companies (RECs) which own all electricity assets in their respective areas of operation. 13 RECs are constituted under public law, and are owned 100% by the MOE. Three are under private law and are owned jointly by Tavanir and two of the public RECs. The private law RECs are joint-stock companies with powers to raise money and are fore-runners of a privatised industry. There is a distinction between ownership of assets and the operation of those assets. While the RECs own the assets, they have contracts with generating and distribution companies to supply and distribute power, and they import and export electricity from the other RECs. The hydro stations are owned by regional water companies, which are owned by the MOE. Hydro power planning is mainly driven by irrigation requirements. Each REC maintains the transmission network within its area and 14 have interconnections with other RECs, forming a national interconnected grid.
Table 6.48: ESI characteristics Iran

Generators 14 regional companies 27 generation companies Tavanir is the national organisation TSO 1 Tavanir DNOs 42 Regional and municipal distribution companies
Source: ESI 2009 Ed 14
259
6.5 Africa
6.5.1 6.5.2 Egypt South Africa
Africa - Overview
Population Maghreb Sub-Saharan Africa All Africa 209,966,960 756,665,653 966,632,613 Number of households 36,579,000 160,063,000 196,642,000 Installed electricity meter base 43,680,934 25,268,857 68,949,790
With a population of nearly one billion this table demonstrates two demographic facts which are important in moulding the meter market and its future trends. There are only 200,000 households for one billion people, giving an average household size of 4.8 members, 5.6 in North Africa and 4.6 in sub-Saharan Africa. This compares with 2.3 in Europe. It may take a long time and it will happen most quickly in the more economically advanced countries of South Africa and the Mediterranean littoral countries of North Africa, but the household size will reduce. Together with increased electrification this will cause the number of meter end points to grow in Africa. The second point is the huge difference between North Africa and sub-Saharan Africa, excluding South Africa. In the North there are more electricity meters than households, indicating a very high rate of electrification and widespread commercial use. In sub-Saharan Africa the number of meters is only 15% the number of households, indicating the extremely low rates of electrification.
Annual demand was 4.1 million meters (units) in 2008 rising to 5 million in 2012. The value will increase in this period from 94 million ($138 million) to 138 million ($175 million).
200,000,000 180,000,000 160,000,000 140,000,000 120,000,000 100,000,000 80,000,000 60,000,000 40,000,000 20,000,000 0 $ euro Units 0 2,000,000 3,000,000 5,000,000 6,000,000
$ and euro currency units
4,000,000 Meter units
1,000,000
2008 138,184,377 94,002,977 4,125,759
2009 132,421,858 104,269,179 4,344,409
2010 140,130,787 110,339,202 4,535,693
2011 155,482,876 122,427,461 4,766,648
2012 175,275,786 138,012,430 5,043,872
260
Africa - Overview, Continued

This breaks down as 56% in North Africa in volume (meter units) and 47% in value, compared with 44% in volume and 53% in value in sub-Saharan Africa. The weight to greater value in sub-Saharan Africa is due to the extent of pre-payment and AMI meters in South Africa. Meter demand in Africa by geographic region
Units '000 Maghreb Sub-Saharan Africa All Africa euro '000 Maghreb Sub-Saharan Africa All Africa $ '000 Sub-Saharan Africa Maghreb All Africa 64,412 73,772 138,184 59,050 73,372 132,422 62,588 77,542 140,131 67,936 87,547 155,483 72,013 103,263 175,276 43,818 50,185 94,003 46,496 57,773 104,269 49,282 61,057 110,339 53,493 68,934 122,427 56,703 81,309 138,012 2008 2,309,665 1,816,094 4,125,759 2009 2,436,483 1,907,927 4,344,409 2010 2,570,193 1,965,500 4,535,693 2011 2,711,799 2,054,850 4,766,648 2012 2,861,815 2,182,058 5,043,872
Two countries account for almost half the meters in Africa, Egypt with 32% and South Africa with 14%, followed by Algeria and Morocco with 8% each, Nigeria with 6%, Ethiopia with 5%, Tunisia and Ghana each with 4%. No other African country has more than 1% of the continental total. Meter production in Africa Meters are produced at factories in South Africa, Egypt, Ethiopia, Ghana, Senegal and Zambia. The Activ group of Sudan has announced plans to build an assembly plant for prepayment meters in Kenya. Main participants in Africa Three meter companies have the largest market shares in Africa, Actaris, Landis+Gyr and El Sewedy of Egypt. Actaris and Landis+Gyr are both leaders in South Africa in pre-payment metering. Actaris has a plant in Senegal supplying meters throughout West Africa. El Sewedy is dominant in the Egyptian market and has recently expanded widely throughout Africa, with factories in Egypt, Ghana, Ethiopia and Zambia, with ambitious plans for further penetration of the African markets and overseas. Imports In the last five years imports of Chinese meters into sub-Saharan Africa have fluctuated between 550,000 to 1 million, with 1,073,555 units in 2007 and 814,252 in 2008. During this period Chinese imports into the North African countries have grown each year from 55,582 in 2003 to 189,406 in 2007 and then they jumped in 2008 to 611,406. These figures are probably subject to some error but they do show a growing penetration of the African market by Chinese meters and this is consistent with the many reports Chinese activity in Africa, driven by a search for raw materials. This demonstrates a fundamental division in the African meter market. The average selling price of Chinese meters is only 38% that of the market leaders such as Actaris and Landis+Gyr and this is one of the reasons why the value of African market is lower than it would be if compared pro rata against markets like Europe, Japan and North America. The other reason is that the industry has not moved towards advanced metering in the same way as in the industrialised countries, although the technologies may leapfrog over basic installations in the future. www.absenergyresearch.com
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6.5.1 Egypt
35,000,000
1,800,000 1,600,000 1,400,000
30,000,000
$ and euro currency units
25,000,000 1,200,000 1,000,000 800,000 600,000 10,000,000 400,000 5,000,000 200,000 0 Mater units 20,000,000
15,000,000
0 $ euro Units
2008 27,896,190 18,977,000 1,316,040
2009 25,542,240 20,112,000 1,391,560
2010 26,996,009 21,256,700 1,471,260
2011 30,127,473 23,722,420 1,555,995
2012 31,847,436 25,076,721 1,646,127
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The revenue composition of the Egyptian market will not change in the next five years because there is not expected to be a roll-out of AMI, which would increase the value of the residential sector.
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6.5.1 Egypt, Continued

Meter technology
Around 80% of residential meters are electromechanical. AMR is being piloted in the residential sector. We have not found any AMI developments in the pipeline.
2008 Electromechanical Electronic Ripple control Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 1,080,000 11,880,000 200,000 3,600,000 0 0 1,000 60,000 0 0 10,000 280,000 25,000 3,125,000 40 32,000 2009 1,134,000 12,474,000 220,000 3,960,000 0 0 1,000 60,000 500 40,000 10,000 280,000 26,000 3,250,000 60 48,000 2010 1,190,700 13,097,700 242,000 4,356,000 0 0 1,000 60,000 500 40,000 10,000 280,000 27,000 3,375,000 60 48,000 2011 1,250,235 15,002,820 266,200 4,791,600 0 0 1,000 60,000 500 40,000 10,000 280,000 28,000 3,500,000 60 48,000 2012 1,312,747 15,752,961 292,820 5,270,760 0 0 1,000 60,000 500 40,000 10,000 280,000 29,000 3,625,000 60 48,000
The dominant meter supplier in Egypt is El Sewedy Electrometer Egypt, which is a subsidiary of the rapidly growing El Sewedy industrial and engineering group that also manufactures cables and transformers. El Sewedy has a 50% market share, followed by Gamma and El Masaara.
263
60%
50%
50%
40%
30%
20% 15% 15%
20%
10%
0% El Sewedy Gamma El Maasara Others
Market shares in value 2008 (continued)
El Sewedy has emerged very quickly in the last two or three years to become a major competitor in the international meter industry. As the dominant meter company in Egypt, El Sewedy may also diversify into gas and water metering. The company has ambitious plans for international expansion in several regions and is poised to move into the top ranks of meter suppliers. El Sewedy sells meters to 70% of African countries, supplying them from its factories in Egypt, Ghana, Ethiopia and Zambia. The company is also expanding its presence in the Middle East with a factory in UAE, and is building a factory in India for prepayment meters. In the Americas, El Sewedy has two major developments. It has established a factory in Brazil to supply the South American market, and another in Mexico to supply ANSI standard electromechanical and electronic meters to North America. El Sewedy first attracted international attention with its acquisition of Iskra of Slovenia in 2006. Iskra had financial difficulties running up to 2006 and with a 2% 3% share of the global electricity meter market was seeking a partner. Iskra has a significant share of the European market with a presence in almost all countries and a 20% market share in Germany, 37% in the Netherlands, 13% in Switzerland, 12% in Austria and 5% in France. If the big Chinese meter companies are excluded this takes El Sewedy into the top 5 companies in the world.
EOS, Egyptian Organisation for Standardisation and Quality is the competent official body responsible for standardisation activities, quality and industrial metrology. EOS has issued about 5000 Egyptian standards covering all the different industrial sectors. The General Department for Industrial Metrology has 11 labs specialised in the fields of industrial metrology (mechanical, physical and electrical measurements. These inspect, observe and calibrate measuring equipment received from different industrial institutes and issue the relevant metrology certificate. Meter suppliers have to confirm to Egyptian standards and we are informed that the only reliable way to do this is to cooperate with an Egyptian manufacturer.
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Utility background Egypt's power sector is currently comprised of seven state-owned power production companies, one transmission company and nine regional distribution companies, which were held by the Egyptian Electricity Authority (EEA). In July 2000, the EEA was converted into a holding company, though still owned by the state. Previous privatisation plans have stalled, and the future direction of government policy in the electric utilities sector is unclear. The Unified Power System (UPS) operates at 500, 220 and 132 kV. It began operating in 1967 when the Aswan High Dam Complex was commissioned. The UPS, which has a total installed generating capacity of 14,948 MW, is divided into two areas, Northern and Southern. The Northern area comprises five electric zones: Cairo, Delta, Behaira, Alexandria and Canal. The Southern area is divided into two zones: Mid-Egypt and Upper Egypt. Distribution is carried out by regional organisations. The following areas are covered: Alexandria Cairo Canal Beheira South Delta Zone North Delta Zone Upper Egypt Mid Egypt
In addition, some municipal councils buy in bulk form and distribute independently. Distribution is at 33, 11, 6 and 3 kV. Table 6.49: ESI characteristics Egypt
Generators - 1 EEHC, Egyptian Electricity Holding Company IPPs selling to EEHC: Renewable Energy Authority, NREA, Zafarana wind farm and three privately-owned power plants TSO The Egyptian Electricity Transmission Company, EEHC, is responsible for ultra high voltage and high voltage transmission, system control and dispatching in Egypt and export-import contracts of energy DNOs 8 regional companies: Greater Cairo Electricity Distribution Company Alexandria Electricity Distribution Company Canal Electricity Distribution Company North Delta Electricity Distribution Company South Delta Electricity Distribution Company Beheira Electricity Distribution Company North Upper Egypt Electricity Distribution Company South Upper Egypt Electricity Distribution Company
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6.5.2 South Africa

Annual demand was 564,000 meters (units) in 2008 rising to 748,000 in 2012. The value will increase in this period from 19 million ($28 million) to 44 million ($56 million).Africaa These figures refer specifically to meters and do not include an estimated 40,000 load management stand alone RCRs and 450,000 sets of prepayment support equipment in 2008. If these were included the total number of units increases to 1,044,000 in 2008. Because of the additional technology of prepayment systems the total revenue figure is higher.
60,000,000
800,000
700,000 50,000,000 600,000 $ and euro currency units 40,000,000 500,000 Meter units
30,000,000
400,000
300,000 20,000,000 200,000 10,000,000 100,000
0 $ euro Units
2008 27,762,420 18,886,000 564,120
2009 31,849,060 25,078,000 613,080
2010 34,160,968 26,898,400 626,080
2011 42,215,308 33,240,400 669,080
2012 55,885,588 44,004,400 748,080
Annual penetration by segment from 2008 to 2012, IGC and residential, volume and value () The continued installation of more expensive prepayment meters and the planned move to advanced metering will increase the proportion of meter revenue in the residential sector r, versus the IGC sector.
266
6.5.2 South Africa, Continued

Meter technology
South Africa is currently in the grips of an energy crisis caused by a lack of investment in new generating capacity in recent years (see below). This is encouraging the further installation of prepayment meters because of the need to optimise revenue collection. The government is keen to achieve energy savings and in the National Electricity Emergency Programme has itemised measures to reduce demand with smart meters and ripple control. The targets for ripple control savings are 2,161 MW from domestic water heaters, 246 MW from laundry, 122 MW from pool pumps and 736 MW from other appliances, amounting to a 6% contribution to peak demand. Smart meters are under discussion at the present time and firm decisions have not been taken except to identify the fact that they are an important part of the solution to demand side management. An obstacle to fast installation is the lack of common codes and standards for a common architecture. South Africa was the first country to achieve this with prepayment metering and is now addressing the problem for AMI metering and Secom is driving the initiative for AIM demand side management. A roll-out of smart meters is expected to start in 2009. Prepayment meters Two countries dominate the market, the United Kingdom and South Africa. Prepayment metering in South Africa started in 1992 and was introduced in response to the political decision to expand electrification from its originally very small base. Before 1988, Eskom, the national electricity utility, and the fifth largest of its kind in the world, supplied electricity to large customers in industry and mining and to municipalities, which distributed power to end-users. Eskom had only 120,000 customers, who were on billed accounts. In 1990 came a revolutionary change, Electricity for All saw Eskom embarking on a programme which lifted electrification from 33% in that year to 69% in 2003. Eskom in the same period increased its customer base from 120,000 to 3.5 million. Today South Africa is a world leader in developing prepayment meter technology, especially with applications in the developing world.
267

2008 Electromechanical Electronic Ripple control Residential AMR AMI Prepayment C&I Grid C&I AMI Grid AMI Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro Units Euro 22,000 528,000 30,000 510,000 0 0 0 0 1,000 142,000 500,000 14,500,000 11,000 3,014,000 120 192,000 2009 15,000 360,000 30,000 510,000 0 0 0 0 57,000 8,094,000 500,000 13,000,000 11,000 3,014,000 80 100,000 2010 15,000 360,000 30,000 510,000 0 0 0 0 70,000 9,940,000 500,000 13,000,000 11,000 3,014,000 80 74,400 2011 13,000 312,000 30,000 510,000 0 0 0 0 115,000 16,330,000 500,000 13,000,000 11,000 3,014,000 80 74,400 2012 10,000 220,000 30,000 510,000 0 0 0 0 197,000 27,186,000 500,000 13,000,000 11,000 3,014,000 80 74,400

45%
The largest market shares in 2008 were 41% for Landis+Gyr and 38% for Actaris.
41% 40% 38%
35%
30%
25%
20%
15% 11% 10% 7% 3%
5%
0% Actaris Landis+Gyr Elster Scheider Others
268

Type approval and verification The Type Approval Issuing Authority is the SABS. Type approval testing is also conducted by the SABS in its ISO 17025 accredited test laboratory but test results from competent laboratories are accepted. Verification The verification function is undertaken by private companies accredited by the National Accreditation Body to SABS 0378 which relates ISO 17025 to legal metrology. The approval to verify is granted to these laboratories by the Director of Trade Metrology in terms of the Trade Metrology Act after the accreditation certificates are evaluated to establish conformance to legal metrology requirements. Private companies are not to perform initial verification, but are allowed to do subsequent verification. South Africa is trying to establish common type approval and verification standards throughout SADC. South Africa and Mauritius are the only member countries with full legislation and regulatory control, and verification and inspection procedures. Basic legislation for elementary instruments exists in Botswana, Congo DR, Malawi, Namibia, Seychelles, Swaziland, Tanzania and Zambia. Lesotho, Angola and Mozambique currently have no metrology or infrastructure.
Utility background
State-owned Eskom controls 91% of generation capacity followed by municipalities 6% and private generators 3% which participate in the market via PPA agreements with Eskom and municipalities. South Africa's National Electricity Regulator (NER) is responsible for the licensing of electricity generators, transmitters and distributors in the country. NER is also overseeing the restructuring of South Africa's electricity supply industry in accordance with existing legislation and the Energy Policy White Paper. The legislation and regulation is crucial to the government's continuing electrification programme. Eskom and more than 400 municipalities are responsible for operating and maintaining the country's electricity distribution lines. Municipal distributors serve about 60% of the customers and 40% of sales volume. Municipalities generally supply to consumers within areas covered by their local governments, while Eskom's customers served directly by them are geographically dispersed. NERs plan for South Africa's electricity distribution scheme is being formed. Its original plan was to merge the distribution assets of Eskom with the country's municipal distributors to form six regional electricity distributors (REDS). Eskom and the municipalities were to own shares in the new distributors based on the assets each contributed to the REDS. The REDS would come under the umbrella of a newly created, government-controlled holding structure called EDI Holdings (EDI). However, this plan was changed with the introduction of a new draft Electricity Distribution Industry Restructuring Bill. The new plan, put forward in the spring of 2003, still calls for the establishment of EDI and six REDS, but now Eskom will not hold a stake in the REDS. It will however, still merge its distribution assets into the REDS.
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Utility background (continued) Within South Africa the distribution system is divided into 12 distribution regions. These regions vary considerably in size and load. The smallest geographically is the Southern Transvaal Distribution Region No 2, which in 1990 had fewer than 12,000 customers but the highest sales at over 30,000 GWh. The largest is the Northern Cape Distribution Region which had 10,000 customers but sales of only 3,700 GWh and which interconnects with Namibia. The fragmented market structure for electricity distribution makes it difficult for the South African government to oversee the sector. The problems are exacerbated by the wide differences in the financial strengths of the municipalities. More than 120 municipalities have less than 1,000 customers and more than 90 municipalities have electricity revenues of less than US$100,000 per year. Four municipalities earn half of all municipal revenues and an additional 18 municipalities account for another 25% of total revenues from electricity sales. Conversely, the bottom 289 municipalities account for less than 1% of total municipal electricity distribution revenues, and the bottom 25% of municipal distributors all lose money. Another problem with the distribution system is that prices do not accurately reflect relevant costs. The prices consumers are charged for electricity vary greatly across consumer class and are not closely related to the costs associated with servicing those markets. Power Crisis South Africa is currently experiencing a severe shortage of electricity as demand exceeds supply to an unprecedented extent, and there are dire predictions that it will precipitate a recession. It is predicted that the shortage will last until significant new generating capacity comes on line in 2012. Economic growth is expected to fall but there are conflicting views about how much this will be. The general consensus seems to be that growth will fall to 3% in 2008, down from an average of about 5% over the past four years. The government has declared a national emergency, and announced steps to deal with the crisis. These include a 10% mandatory cut in electricity consumption by households, companies and industries, to last until 2010. There have been outages and the mines, heavy consumers of power and vital to the economy have been reduced to 90% of their consumption, after being totally cut off earlier in February. Heavy consumers of electricity, especially mining groups, have expressed concern about the effects of the power shortages on their operations, and warned of job losses. With the cooperation of heavy industrial users, about 2,000 MW has been saved by the middle of March, but Eskom wanted a reduction to 3,000MW. If that target is not achieved by the end of March 2008, Eskom has warned that-load-shedding may commence. Eskom plans to reduce demand by a further 5,000 MW by 2025, introducing LPG gas cookers and solar power water heaters. The regulator has approved a 14% electricity price increase after Eskom proposed 18.7% initially. Electricity prices are set to double over the next five years to help finance Eskom's expansion plans. The chairman of Eskom has announced expenditure of $38 billion over the next five years to build new generating facilities. The problem has been caused by rapid industrialisation, a massive electrification programme adding 3.5 million households to the grid, and strong economic growth. Eskom has started an emergency programme to construct new generating facilities, including two new coal-fired stations, two open-cycle gas fired turbine plants and a hydro scheme n Drakensberg and plans to reopen three mothballed power stations.

Table 6.50: ESI characteristics South Africa
Generators > 1 large state-owned utility Eskom 91% Municipal councils own generating plants, in which they are selling shares to private investors. CDC Globeleq owns 95% of 600 MW coal fired Kelvin plant from Greater Johannesburg Municipal Council Cape Town is looking for IPP investors Greater Pretoria Municipal Council has awarded a refurbishment and operations contract to ABB Privatisation plans the government has mandated 30% privatisation of Eskom but Eskom has counter proposed a merger with private interests TSO 1 Eskom is the transmission company within South Africa Montraco, a privately-owned company is licensed to transmit electricity to Mozambique and Swaziland The transmission licence provides for non-discriminatory access by generators being dispatched centrally TSO owner of the grid assets Yes Market model Not decided DNOs Eskom has 48.2% of customers 190 licensed municipal and private distributors in 2003 Eskom 3,505,039 customers All distributors 7,272,809
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7.0 Metrology, standards, type approval and verification

7.0 Metrology, standards, type approval and verification
Legislation for measuring instruments People using measurement results in the application field of legal metrology are not required to be metrological experts and governments take responsibility for the credibility of such measurements. Most countries and metrology authorities abide by three underlying principals. Legally controlled instruments should guarantee correct measurement results They should perform reliably under working conditions They must maintain reliability throughout the whole period of use, operating within given permissible errors
All over the world, national legal requirements are laid down for these areas. They cover measuring instruments, measurement and testing methods. Enforcement of measuring instrument legislation legal control
Type approval Preventive measures are taken before marketing of the instruments. The instruments have to be type approved (sometimes referred to as pattern approved) and verified. Manufacturers are granted type approval by a competent authorised body once that type of instrument meets all associated legal requirements. Verification and testing With serially manufactured measuring instruments, verification ensures that each instrument fulfils all requirements laid down in the approval procedure. Verification is done in a variety of ways and locations. It can be done in laboratories, or in the manufacturers premises under controlled and authorised conditions.
National metrology institutes
A National Metrology Institute (NMI) is an institute designated by national decision to develop and maintain national measurement standards for one or more quantities. Some countries operate a centralised metrology organisation with one NMI. The NMI may then devolve the maintenance of specific standards to certain laboratories without these having the status of a NMI. Other countries operate a decentralised organisation with a multiplicity of institutes, all having the status of a NMI. An NMI represents the country internationally in relation to the national metrology institutes of other countries and in relation to the Regional Metrology Organisations and the BIPM (Bureau Internationale des Poids et Mesure. The task of the BIPM is to ensure world-wide uniformity of measurements and their traceability to the International System of Units (SI). The NMIs are the backbone of the international metrology organisation. Designated national laboratories Designated laboratories in most countries are nominated by the NMI in accordance with the metrological plan of action for the different subject fields and in accordance with the metrological policy of the country.
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7.0 Metrology, standards, type approval and verification,

Continued
National metrology institutes (continued)
Accredited laboratories Accreditation is third party recognition of a laboratorys technical competence, quality system and impartiality. Public as well as private laboratories can be accredited. Accreditation is voluntary, but a number of international, European and national authorities assure the quality of testing and calibration laboratories within their area of competence by requiring accreditation by an accreditation body. Accreditation is granted on the basis of laboratory assessment and regular surveillance. It is generally based on regional and international standards e.g. ISO/IEC 17025 General requirements for the competence of testing and calibration laboratories, and technical specifications and guidelines relevant for the individual laboratory. The intention is that tests and calibrations from accredited laboratories in one member country will be accepted by the authorities and industry in all other member countries. Therefore, accreditation bodies have internationally and regionally agreed multilateral agreements in order to recognise and promote the equivalence of each others systems as well as the certificates and test reports issued by the accredited organisations.
Global metrology infrastructure
ILAC The International Laboratory Accreditation Cooperation (ILAC) is an international cooperation between the various laboratory accreditation schemes operated throughout the world. It is also the worlds principal international forum for the development of laboratory accreditation practices and procedures. ILAC promotes laboratory accreditation as a trade facilitation tool, together with the recognition of competent calibration and test facilities around the globe. As part of its global approach, ILAC also provides advice and assistance to countries that are in the process of developing their own laboratory accreditation systems. These developing countries are able to participate in ILAC as Affiliates, and thus can access the resources of ILACs more established members. OIML The International Organisation of Legal Metrology (OIML) was established in 1955 to promote the global harmonisation of legal metrology procedures. It is an intergovernmental treaty organisation with 58 member countries participating in technical activities and 51 corresponding member countries that belong purely as observers. OIML collaborates with the Meter Convention and BIPM on the international harmonisation of legal metrology. It liaises with more than 100 international and regional institutions concerning activities in metrology, standardisation and related fields. A worldwide technical structure provides members with metrological guidelines for the elaboration of national and regional requirements concerning the manufacture and use of measuring instruments for legal metrology applications. The OIML develops model regulations, and issues international recommendations that provide members with an internationally agreed basis for the establishment of national legislation on various categories of measuring instruments. The technical requirements in the European Measuring Instruments Directive (MID) are to a large extent equivalent to the International Recommendations of OIML.
273

Continued
Global metrology infrastructure (continued)
The OIML Certificate System gives manufacturers the possibility of obtaining an OIML Certificate and a Test Report to indicate that a given instrument type complies with the requirements of the relevant OIML International Recommendations. Certificates are issued by OIML member states who have established one or more Issuing Authorities responsible for processing applications from manufacturers wishing to have their instrument types certified. These certificates are the subject of voluntary acceptance by national metrology services.
Regional metrology infrastructures
The world is divided into five regional groupings of metrology infrastructures: EURAMET e.V (European Association of National Metrology Institutes) SIM, Inter American Metrology System APMP, Asia Pacific Metrology Programme SADCMET, SADC Cooperation in Measurement Traceability COOMET, Cooperation Metrologique for Eastern Europe and Asia
Figure 7.1: Regional metrology organisations
Source: Metrology in Short

274

Continued
Europe EURAMET e.V (European Association of National Metrology Institutes). EURAMET e.V. is the new Regional Metrology Organisation (RMO) of Europe and since 1 July 2007 the successor of EUROMET. EURSMET is a collaborative forum on measurement standards, established by a Memorandum of Understanding in 1987. It originated from the Western European Metrology Club (WEMC), which was initiated by a conference on metrology in Western Europe in 1973. EURAMET is a voluntary collaboration between the national metrology institutes in the EU, EFTA and the EU. The European Commission is also a member. In 2007 there were 35 members and 3 corresponding applicants and corresponding NMIs. Figure 7.2: Member countries of EURAMET e.V., 2007
Source: EURAMET e.V. Europe (continued) Accreditation - EA The European Cooperation for Accreditation (EA) is the organisation of accreditation bodies in Europe. In June 2000, EA was established as a legal entity according to Dutch law. The members of EA are the nationally recognised accreditation bodies of the member- or candidate countries, of the European Union and EFTA. Legal metrology - WELMEC WELMEC was founded in June 1990 with 18 representative members from national authorities responsible for legal metrology in European Union and EFTA member. This name was changed to European co-operation in legal metrology in 1995 but remains synonymous with WELMEC. Since that time WELMEC has accepted associated membership of countries, which have signed agreements with the European Union. Members are the national legal metrology authorities in the EU and EFTA member countries, whilst national legal metrology authorities in those countries that are in transition to membership of the EU are associate members. In 2007 there are 31 member countries.
275

Continued
Europe (continued)
EU legislation for measuring instruments EU - MID - Measuring Instruments Directive A new directive, the Measuring Instruments Directive (MID), has been developed and came into effect on 30 October 2006. The MID regulates requirements concerning ten measuring device types and their market positioning. When an MID certificate is acquired for a specific product it means that the product can be installed in any EU country and used for billing purposes any for any other industrial and commercial purposes. The aim is to create a single market in measuring instruments across Europe and all EU countries accept MID approval. The producers responsibility The directive is relevant for active electrical energy meters, gas meters and heat meters but not water meters. The MID describes requirements for 10 measuring instrument categories (electricity, heat and gas meters, amongst others) to be used in the European market. As far as electricity meters are concerned, the MID is limited to active electrical energy meters for residential, commercial and light industrial use. Meters of this category put in circulation from 30 October 2006, must comply with the MID. There is a 10-year transitional period for meters that have been accredited according to previous national systems. Reactive energy, prepayment and grid meters are not covered by MID. A meter can be placed on the market if it is type-approved and has been calibrated by an authorised body. Under MID, meters can be put into use if the manufacturer has declared its conformity with MID. The meter can display the MID CE mark. Within the MID regulation for electricity meters there are 2 partial approvals, MID B & D and MID B & F and one MID H1 approval, which is a full quality assurance for design and production. The MID B is the type examination for the product itself. When a product obtains the MID B Annex MI-003, it means that all components and casing (technical content), are approved. The MID D approval can be obtained when the production process is approved by an authorised company (notified body) such as KEMA. With MID B & D the manufacturer is allowed and able to calibrate its own meters so they are ready to be installed directly throughout Europe and used for billing purposes. If the meters cant be calibrated in the factory, the manufacturer can offer the products to an external notified body. In this case the MID B & F will be obtained. After the MID is implemented, the manufacturer is responsible for affixing the CEmarking and the supplementary metrology marking on the product. By doing so, the manufacturer ensures and declares that the product is in conformity with the requirements of the directives. The Measuring Instruments Directive is a mandatory directive.
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Continued
Europe (continued) The following table comparers previous national practice with the new provisions of MID. Function Description Previous national practices MID
Manufacturer chooses Notified Body. Manufacturer may have tests undertaken there or can selfapprove if design and test processes meet requirements
Type approval
Tested against national Requirements. Ensure that the design The national authority and construction of an approved (or rejected) instrument conforms based on examination to requirements of technical report submitted by manufacturer Manufacturer had the choice of routes:
Verification
(i) meters individually examined by a independent and competent person (an Essentially the same appointed meter except manufacturer examiner); chooses route and the Ensure ongoing Notified Body who will manufacture of Or undertake the test/ instruments is examination consistent with type (ii) samples of batches requirements. approved sample and of meters are the product meets examined by a Self verification will be performance independent and assured by requirements competent person: appropriate market surveillance. or (iii) manufacturer self verification - systems authorised by authority and periodically audited by a competent person.
The governments responsibility The government is obliged to prevent measuring instruments that are subject to legal metrological control and that do not comply with applicable provisions of the directives, from being placed on the market and/or put into use. For example, the government shall in certain circumstances ensure that a measuring instrument with inappropriately fixed markings is withdrawn from the market. Market surveillance The government fulfils its obligations through market surveillance. To do this, it authorises inspectors to: Survey the market Note any non-conforming products Inform the owner or producer of the product about the non-conformance Report to the government about non-conforming products
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Continued
Europe (continued) Software used within the instruments is not included in the existing directives but is covered by the MID: Americas Infrastructure CEN (for Gas) and CENELEC (for electricity have been mandated to develop product standards in support of the MID CENELEC has produced three new standards; EN 50470-1, 50470-2, and 50470-3, regarding accuracy requirements
SIM, Inter American Metrology System The Inter American Metrology System (SIM for Sistema Interamericano de Metrologia), was formed by agreement among the national metrology organisations of the 34 member nations of the Organisation of American States (OAS). Created to promote international, particularly InterAmerican, and regional cooperation in metrology, SIM is committed to the implementation of a global measurement system within the Americas in which all users can have confidence. Legal Metrology SIM also covers legal metrology issues in the Americas. The objective of the Legal Metrology Working Group is the harmonisation of legal metrology requirements and activities in the Americas in consideration of OIML recommendations and documents. Working towards the establishment of a robust regional measuring system, SIM is organised into five sub regions. NORAMET for North America CARIMET for the Caribbean CAMET for Central America ANDIMET for the Andean countries SURAMET for South America
Accreditation IAAC The Inter American Accreditation Cooperation (IAAC) is an association of accreditation bodies and other organisations interested in conformity assessment in the Americas. Asia Pacific Infrastructure APMP, Asia Pacific Metrology Programme The Asia Pacific Metrology Programme (APMP) brings together the national metrology institutes of the region, and is aimed towards developing international recognition of the measurement capabilities of its members. APMP was started in 1977 and is the oldest continually operating regional metrological grouping in the world. APMP takes a proactive stance to training and has conducted a series of extremely informative seminars on metering for professionals involved in Asia. Accreditation APLAC The Asia Pacific Laboratory Accreditation Cooperation (APLAC) is a basis of cooperation between organisations in the Asia Pacific region responsible for accrediting testing and inspection facilities.

Continued
CIS, Central Asia Infrastructure
COOMET, Cooperation Metrologique for Euro Asia COOMET has an important role in establishing modern standards of metrology in countries which have been closed to global comparisons and standards for many years and lack the infrastructure to address this deficiency. The Euro-Asian cooperation of national metrology institutions (COOMET) is a regional MSTQ organisation founded in June 1991. COOMET is open for metrology institutions from any other regions to join as associate members. Members of COOMET are the metrology institutions from Belarus, Bulgaria, Germany, Kazakhstan, Kyrgyzstan, DPR of Korea, Cuba, Lithuania, Moldova, Russia, Romania, Slovakia, Uzbekistan and Ukraine. COMET faces a number of problems of promoting metrology standards. Lack of specialised training courses for metrologists from NMIs or similar institutes of COOMET countries. Traceability of standards of COOMET NMIs and participation in international comparisons are not satisfactory. Currently, COOMET NMIs mostly cannot afford international comparisons or calibrations because of high costs. Not enough advice is provided on national legislation in the MSTQ field.
African Infrastructure
SADC SADC is the Southern African Development Community and 14 countries are signatories to the SADC Treaty. The Memorandum of Understanding on Cooperation in Standardisation, Quality Assurance, Accreditation and Metrology in the Southern African Development Community, the SADC SQAM Programme was signed in 2000. This Memorandum of Understanding established the SADC SQAM Programme and its constituent regional structures SADCA, SADCMET, SADCMEL, SADCSTAN and SQAMEG with the goal of removing technical barriers to trade. SADCMET, SADC Cooperation in Measurement Traceability The SADC Cooperation in Measurement Traceability (SADCMET) was established in 2000. Presently, SADCMET has 14 ordinary Members, the National Metrology Institutes or de facto National Metrology Institutes of the member countries and four Associate Members. Accreditation - SADCA The SADC Cooperation in Accreditation (SADCA) facilitates the creation of a pool of internationally acceptable accredited laboratories and certification bodies for personnel, products and systems, including quality and environmental management systems in the region. It also provides Member States with access to accreditation as a tool for the removal of TBTs in both the voluntary and regulatory areas. Legal Metrology - SADCMEL The SADC Cooperation in Legal Metrology (SADCMEL) facilitates the harmonisation of the National Legal Metrology regulations of the Member States and between SADC and other regional and international trading blocs. Its ordinary members are the legal metrology authorities in the SADC member states.
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8.0 Standards
8.0 Standards
International Standards
There are two global standards bodies (ISO and IEC), and two regional bodies for the EU (CEN and CENELEC).
Table 8.1: Four main bodies which determine standards

Body International Standards Organisation International Electrotechnical Commission European Committee for Standardisation European Committee for Electrotechnical Standardisation Acronym ISO IEC CEN CENELEC Influence Global Global European European
Source: IEA Report on Standards
International Standards (continued)
At a global level, the two principal standards making bodies are the ISO and IEC. The ISO has a wide remit with emphasis on information technology involving data communications. Membership of the ISO is comprised of national standards organisations rather than individual companies. It produces International Standards (ISO series) and Draft International Standards (DIS series) which are drafted when subject matter is insufficiently stable for a full International Standard. The IEC is responsible for electrical and solid state standardisation of equipments and components with a particular interest in matters of safety. The IEC and ISO cooperate to produce joint standards under the guidance of Joint Technical Committees of which JTC1 was formed in 1988. The Comit Europen de Normalisation (CEN) is a European equivalent of ISO. It has a sister organisation, CENELEC. CEN is producing standards for gas and CENELEC for electricity in support of MID. CENELEC has produced tree new standards; EN 50470-1, 50470-2 and 50472-3. Electricity metering standards used by utilities around the world vary, but most can trace their origins to either the International Electrotechnical Commission (IEC) or the American National Standards Institute (ANSI).
Terminology
There are two facts that help a reader familiar with one set of standards to understand and compare the ANSI and IEC metering standards. The first is the method of defining the current rating. The ANSI standards define a small number of values of maximum current (for example 200A or 10A) and all the other load-based performance requirements are based on that classification. The ANSI mid-scale calibration point is called test amps (TA). Conversely, the IEC standards use a midscale calibration point on which to base the other performance requirements. The term basic current (Ib) is used for direct connect IEC meters and the term rated current (In) is used with transformer operated meters. In IEC meters the maximum current is specified separately from the basic current or rated current.
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8.0 Standards, Continued

Terminology (continued) The second important fact is the use of the term class. In the ANSI standards, class is the maximum current rating of the meter. For example an ANSI class 20 meter would have a maximum current rating of 20 amps. In the IEC standards, the term class is the accuracy specification. For example, an IEC class 2 meter would have a basic accuracy rating of 2%. There are fundamental differences between the two standards as applied to the design and testing of polyphase meters.
International Electrotechnical Commission (IEC)
The IEC standard originated in Europe and has been adopted in various forms in the remainder of the world. IEC 60687.025 is the IEC accuracy standard.
Table 8.2: IEC Standards for Watt-hour Meters

Alternating current static watt-hour meters for active energy (classes 1 and 2) Electricity metering tariff and load control EN 61036 EN 61037 IEC 61036 IEC 61037
Source: IEC
American National Standards Institute (ANSI)
The ANSI C12 electricity metering standards are used in many countries around the world. While the largest markets for ANSI standard electricity meters are in Canada, Mexico and the United States, they are also being used by utilities in Central and South America, and in parts of Asia. The overall standard, within which are many specific standards, is ANSI C12.
Table 8.3: ANSI Standards for Watt-hour Meters

ANSI C12.1 is the overall equipment performance standard for electricity revenue meters. ANSI C12.10 primarily serves to specify the outline and terminal dimensions of the meters. ANSI C12.20 specifies the more accurate metering performance and influence limits for 0.2% and 0.5% accuracy meters. ANSI C12.18 is a standard that specifies how to transport data. ANSI C12.21 is an extension of C12.18 that allows for the use of a remote point-to-point communications channel, particularly by telephony. ANSI C12.2-2001 is the accuracy standard ANSI C12.19 is identical to IEEE 1377-1997. It defines the table structure for utility application data to be passed between a meter and a computer.
Source: ANSI
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8.0 Standards, Continued

National Standards Various national standards have such a high reputation that they are used in countries which do not yet have fully developed national standards. Prominent among these are the following. ANSI, American National Standards Institute ANSI standards are used outside the United States mainly in South and Central American countries, many of which also recognise IEC, BSI and DIN. In many countries ANSI is regarded as a quasi-international standard. The Institute oversees the creation, promulgation and use of thousands of norms and guidelines that directly impact businesses in nearly every sector: from acoustical devices to construction equipment, from dairy and livestock production to energy distribution, and many more. ANSI is also actively engaged in accrediting programmes that assess conformance to standards - including globally-recognised cross-sector programmes such as the ISO 9000 (quality) and ISO 14000 (environmental) management systems. BSI, British Standards Institution The British Standards Institution (BSI) is the National Standards Body representing the interests of the UK across all of the European and international standards organisations and through their committees. Independent of government, BSI is globally recognised as an impartial body serving both the private and public sectors. British Standards have been adopted by many other countries and international standards bodies and are especially vital to exporters and importers in their engineering, design, procurement, manufacturing, and quality assurance departments. There are currently more than 21,000 British Standards including the management systems series. DIN - Deutsches Institut fr Normung e. V. Deutsches Institut fr Normung e. V. (DIN), engages in standardisation activities that advance rationalisation, quality assurance, environmental protection, safety and communication in industry, technology, science, government, and in the public domain. Recognised by the German Federal Government as Germanys national standards body, DIN has been a member of the International Organisation for Standardisation (ISO) since 1951. DIN is organised along two distinct missions, standardisation and business activities. The profits DIN generates from its business activities are the single largest contribution for the non-profit core activities of standardisation. Promotion funds paid by industry directly finance the DIN standards committees. Funds from public authorities are used for specific standardisation projects in the public interest. DIN represents the interests of German standardisation at both the national and international levels. Maintaining a collection of more than 38,000 documents, DIN offers standards covering everything. DIN standards are widely used in other countries without comparable national standards.
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9.0 Methodology and technical notes

Overview
Overview This is the 7th Edition of the ABS World Utility Meter Report. With studies like the Utility Meter Report we review each edition and have a thorough re-assessment of the methodology periodically. For the 6th edition we created a new model of the global meter market, identifying new metrics to calculate annual demand in 2006/07 and to project future demand. In doing this we have broken the market into a number of separate components, each of which has a different base and different drivers. This was a significant methodological advance on previous practice. The production of this model involves four basic stages, which are described below in greater detail: 1. Creation and maintenance of the ABS Metering Database of statistics and market commentary 2. Compilation and analysis of official statistics for creation of the installed base and to define the metrics of annual demand and projections 3. Market estimation and projections using official statistics and the metrics of annual demand and projections in four stages 4. Validation with known demand data and industry interviews This is a methodological exercise which is necessary for a large number of countries where the metering market is progressing without major developments such as conversion to advanced metering systems. However, in the growing number of countries which have decided to install advanced metering the metrics of the market have been overturned. In these countries executive decisions have been taken, usually at national or state government level, in other cases by utilities without legislation, to replace the entire or a large proportion of the meter stock with advanced meters. In these cases the driver is the decision, not the condition of the meter stock. For this round of the Meter Report we have undertaken the most extensive consultation with the meter manufacturing industry we have yet conducted. The Research Director or other executives of ABS have personally visited or held discussions with most of the leading meter companies and been briefed of developments. The companies have been extremely helpful with their time and also in sharing data with ABS.
Contents
This chapter contains the following topics: Topic

9.1 ABS Metering Database of statistics and market commentary 9.2 Compilation an analysis of official statistics for creation of the installed base and to define the metrics of annual demand and projections 9.3 Market estimation and projections using official statistics and the metrics of annual demand and projections in four stages
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9.1 ABS Metering Database of statistics and market commentary

Overview ABS has built up an extensive database for every country, filling in relevant modules of information for each country, comprised of statistics, market commentary and industry reports. This database now contains several thousand reports and records. These have been obtained through continuous literature search, interviews in the metering and utility industries and purchase of reports from relevant sources. Each round of this study contains new information sources and is a refinement of its predecessor, as new sources of information becomes available. As each edition is issued a new file is opened to receive new data, which is analysed and entered into the master database for the next year.
Literature search
Extensive literature search is carried out continuously to investigate a number of different avenues. This is cross-referenced with parallel searches regarding other aspects of the energy industry, such as generation, transmission and distribution and relevant data identified.
Regulators
Some regulators publish comprehensive information about the subject of metering. For example, the British electricity and gas regulator, Ofgem and the three British water regulators publish extensive figures on metering as well as analysis of costs and revenue, together with some forecasts of metering take up. Ofgem has also published figures for the installed mater base, and annual demand for electricity and gas meters, as well as prepayment meters. Where this data exists it is robust. We have also carried out a good deal of correspondence with regulators asking specific questions. We found them universally helpful and in some cases they obviously appointed staff to investigate issues for us.
National energy projections and demand forecasts Government enquiries
ABS has filed the official national energy demand forecasts produced by over one hundred countries. The have been used to validate projections of future demand for meters.
An unusual source of information, which is yielding unique data in isolated, has emerged in the last few years. Governments and organisations in several countries have conducted investigations following accusations of monopolies and cartels. These investigations are based on information given by suppliers under oath to a government commission or in court and contain sales figures because the enquiries are concerned with markets. Similar information can be found in the routine enquiries conducted by government commissions to approve mergers or acquisitions. Some of these reports contain market share data provided by the manufacturers. In at least eight such reports this data is extensive and as far as we are aware probably not available anywhere else. One of these reports provides market shares for all manufacturers in the EU, for each country individually and overall for the EU. We have located similar reports in the USA and Japan. We have so far uncovered ten of these reports and they have made a valuable contribution to the study. This data is robust because of the nature of its submission and compilation and it usually contains market shares, although this data sometimes blacked out.
Competition authorities
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9.1 ABS Metering Database of statistics and market commentary, Continued

Parliamentary questions and enquiries In specific circumstances questions are asked in parliaments and ministers have to provide answers. With the current interest in energy efficiency there have been several such cases where data has been provided in the ministers response.
SEC Filings
The files compiled by US companies for the Securities Exchange Commission provide valuable data in market and business assessments.
Metrological Bureaux
Some of the metrological bureaux publish reports on metering in addition to information on type approvals and verification requirements in their countries. Several have conducted studies of their industries in preparation for issuing new standards and these sometimes include detailed analysis of the existing meter park. In several cases these include population data for different meter types where there are issues about changing usage patterns for types of meter such electromechanical and solid state meters.
Trade Associations Socio / economic studies
Some Trade Associations provide industry wide data gathered from members.
A number of studies of metering have been conducted by international bodies like the World Bank. These studies are mostly concerned with issues such as energy conservation, fuel theft, investment in water infrastructure and the measurement of energy or water is crucial to them. They are valuable because they often survey countries in the developing world for which data is sparse. A valuable source in the last two years has been a country-wide survey of households in Russia and CIS countries measuring the incidence of metering.
Sub-metering
The scope of this edition of the report has been extended to include sub-metering and heat metering. Sub-metering is principally used in the water and heat sector, and only marginally for electricity and gas. The Multi-Utility Report, which covers electricity, gas, water and heat metering, also contains an additional chapter investigating the RBC, (Read, Bill, Collect) industry, also known as Metering Services. We have had consultations with RBC companies.
Company reports and presentations
Companies have vastly different approaches to the release of market information. Some companies provide only very general data but others are very open. Some leaders in the industry have published information about revenue, market sizes and company shares, while other have provided isolated items of information. Together with the personal consultations, this has contributed to the calculation of total market sizes from company data and to validate our estimates against these independent figures.
Press
There is an increasing volume of information about the meter market in the press, notably the magazine Metering International.
285

Electricity The USA and the European countries are well served with data from the EIA in the US and Eurelectric for Europe. We acknowledge the valuable contribution of both of these two bodies in helping us to create these market models. Both organisations publish numbers of consumers by category, residential and industrial. It was more difficult in the rest of the world. With some exceptions such as Japan, Hong Kong, South Korea, Taiwan, Israel, Singapore, Brazil, South Africa and a few other well documented countries it is difficult to piece together an installed base of meter connections by category. This is often because a country has a large number of distribution companies and no central body consolidates the records. In these cases we have used numbers of households by electrification. Note that the definitions of electrification differ from country to country. For example, in the two biggest countries, China and India, the definitions are not comparable. China uses a straightforward measurement, the percentage of households with access to electricity but India does not. A village or area is counted as electrified in India if there is an electrical connection within the boundaries of the area and the people dwelling within those boundaries are regarded as having access to electricity. This is similar to the definition of having access to water if the people in question live within 20 meters of a standpipe, which is a frequently used measurement. The definition of electrification in India was tightened up in 2001 but it still does not tell us how many households have electric power connections. Taking account of these limitations we have produced estimates of the numbers of electricity meter connections in every country. Applying ratios from the countries where we have precise data we have estimated the numbers of industrial / commercial meter connections.
Gas
Whereas every country uses electricity and water, not all use gas. The EIA provides natural gas consumption data for all countries and it is possible to eliminate the nonusing countries. Consumer figures are provided by category for the US. Some individual countries publish national figure, such as the UK and some other European countries. There are large variations in the usage patterns. It is necessary to distinguish between piped gas and LPG. Piped gas is now nearly all natural gas, which in many countries supplies the feedstock which is fed into the old city gas system. Some countries with extensive use of natural gas, notably Japan and Mexico use LPG deliver to homes in cylinders, in parallel with piped supply. The International Gas Union publishes a report with the numbers of customers in the different categories, residential and industrial and power generators in member countries. There are some gaps in this information and the data is now rather old but it is a useful start. Europe is well served by Eurogas, which publishes an annual report for all EU countries. Where data is not available we have estimated the figures. There are some countries, notably in Eastern Europe and the CIS, where gas is incorporated with heating and sometimes metered centrally and billed as part of a service charge.
286

Water In the past, the water sector has proved more difficult to estimate than electricity or gas, for three reasons. As in the other two sectors, the first stage is to estimate the number of water connections. It is essential to define what is meant by a connection. Does it mean a household connection or proximity to a source of supply? Secondly, some countries do not meter domestic water supply. For example, in the UK there are only 6 million domestic water meter connections, in Canada only 55% of households are metered, and in Iceland and Ireland there are no domestic water meters. In such countries, water is charged as part of the local rates or taxes. In many former socialist countries it was not charged as political policy and this remains the case, although many studies have established that charging a full commercial rate for water is the most viable way to provide an economic water service. The outcome is that the rate of water metering is increasing in many countries. Thirdly, it is common practice for water to be metered centrally in apartment blocks and for the cost to be passed on to apartment occupiers as a service charge. This is charged either by sub-metered consumption, by RUBs (Ratio Utility Billing System) apportioning the total consumption measured with a master meter, or by a back of the envelope calculation by eh property owner. Despite these gaps, there is more data available now from published reports and this study has benefited accordingly.
287
9.2 Compilation an analysis of official statistics for creation of the installed base and to define the metrics of annual demand and projections
Overview Five sets of official statistics are used.
Households population of each country Economic data
See comments below.
Real GDP growth rates are used in forecasting C&I meter demand growth.
Electricity customers Meter production statistics
See comments below.
Production statistics are valuable where they exist, but unfortunately few countries publish them in sufficient detail to be helpful. The most helpful are the US Census Bureau production statistics, which account for an important segment of the world meter market and provide the necessary breakdowns. Organisations in several other countries have published production data in trade or industry association reports. We cannot measure demand by adding together production and imports and subtracting exports. Therefore we have to start from the other direction, by modelling the market and estimating production by adding demand and exports and subtracting imports.
Import / export statistics
International trade has been recorded in two ways. Import / export figures are available in summarised totals for each type of meter, in units and $ value. These record simply the total exports or imports of meters reported per year. Country of origin and destination is available for every country individually. ABS subscribes to the Global Trade Atlas, an invaluable service which consolidates the trade statistics of every country on an on-going basis.
288
9.3 Market estimation and projections using official statistics and the metrics of annual demand and projections in four stages
Overview The current market sizes and future projections were carried out in four stages. The first step was to construct a table with the installed base of electricity utility meters in every country.
The installed base of electricity meters in 2008 recorded historically where available
The first step has been to construct a spreadsheet of the installed base of meters for each country. We have used the principle of subsidiary, using data at the most local level possible. Sources used include the following sources publishing numbers of customers. Utility reports of numbers of customers National government or industry associations reporting numbers of customers Regional associations Associations such as Eurelectric (Europe), SAPP (Southern African Power Pool), Ecowas (West Africa), CIER (South American Electricity Commission), Carilec (Caribbean Electricity utility Association) reporting numbers of customers, AUPTDE (Arab Union of Producers, Transporters and Distributors of Electricity), APEC (Asia Pacific Electricity Council), ASEAN Centre Miscellaneous reports These include the World Bank, EBRD, Asian Development Band, African development Bank, Inter-American Development Bank, UK Parliamentary Report, Competition authorities / Office of Fair Trading reporting numbers of consumers. Household statistics multiplied by electrification Household figures are not always easy to come by. ABS has been able to access a world wide study of numbers of households containing historical figures and forecasts to 2025 for every country. This is major new data resource compiled by an international agency. Electrified households include sub-metered connections or users billed with flat-rated charges. This can be extensive; for example, there are an estimated half million apartments in buildings that have master meters but no sub-meters in New York City, out of the 3,021,588 households counted in the 2000 census. Fortunately the estimations of meter populations based on household data are all in small developing countries without published industry figures and where sub-metering or flat charges are unlikely. Where available the customer bases were recorded or residential and C&I customers. Where not split, we have split this by an average of 90% household meters and 10% C&I to establish the two installed bases.
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9.3 Market estimation and projections using official statistics and the metrics of annual demand and projections in four stages, Continued
Table 9.1: Sources for installed base of electricity meters
Utilities Regulators, national industry or government organisations Regional organisations Miscellaneous Household and C&I calculations # of countries 37 36 67 25 16
Theoretical calculation of annual demand for new meters in 2008
Demand has three components; new connections (expansion), replacement of aging stock (maintenance), and substitution of electromechanical meters with electronic meters or advanced meters (system up-grade). A set of metrics was developed to estimate annual demand and three to project growth. New residential installations The calculation of meters installed in new premises was based on the growth in one year in the numbers of electrified household connections. As with the installed base of meters, in 16 counties customer data was not available and the figures had to be estimated from household numbers and the level of electrification. New C&I installations C&I connections were calculated at an average of 10% of the number of households connections, unless exact figures were available to over-ride his average. The proportion of C&I meters ranges from 5% to 20% of the residential meter park across different countries. Residential replacements Replacements were based on an average life of 25 years for residential electromechanical meters. We either have the installations or have regressed back to the number of meter installed 25 years ago. A common error is to apply this percentage of replacement to the current year but this can introduce a large error in growing markets, where replacement is for a much smaller number of old meters on a smaller base (see below). The variability of the meter replacement period introduces a large possibility of error. The life of electromechanical meters can range from 20 to 40 years, and a recent Entergy study showed meters installed in 1948 still in operation. In Germany if the meters were replaced after 20 years this would involve 2.2 million meters annually, if after 40 years 1.1 million. In small countries where tee annual total is small this error is not so significant. However in the larger countries it can be and every effort was made to obtain the real figure. ABS is compiling a database of meter life by country.
290
Theoretical calculation of annual demand for new meters in 2008 (continued) Two other factors have a great deal of importance in making replacement calculations; the age of the customer base and the national rate of electrification. These are often ignored but they are vital to an accurate assessment and we have taken considerable care to establish the situation in each country. The reason why these factors are so important is that the amount of replacement in a given years does not depend on the size of the installed base in that year but in the year of installation. This effect becomes particularly strong in countries which have instituted large rural electrification programmes in the last twenty five years; notably, China, India, Bangladesh, South Africa, Brazil, Ecuador, Egypt, Indonesia, Morocco and Pakistan. There are others in the developing world but these are especially successful in achieving their objectives rapidly. The following charts demonstrate the effect clearly. The first is for the UK, the most mature electric infrastructure in the world. The UK achieved almost its current level of capacity in 1975. There has been some growth since then but the customer base 25 years ago was 83% of what it is today, so todays replacement level is almost the same percentage of todays installed base. As the chart shows, residential replacement are by far the largest component of annual demand, twice the total of the other three components combined.
Figure 9.1: New and replacement installations of meters in the United Kingdom
1,000,000
900,000
800,000
700,000 Annual demand for meters
600,000
500,000
400,000
300,000
200,000
100,000
0 New demand Residential New demand C&I Replacement residential Replacement C&I
Theoretical calculation of annual demand for new meters in 2008 (continued)
Somewhere in between the extremes lies Brazil. Brazil is still growing fast, despite rural electrification in the 1980s and 1990s, but it already had a sufficiently large number of urban electrical connections in 1980 for there to be a large installed bas e twenty five years old, requiring routine replacement. So the number of new installations of meters is only marginally larger than replacement. It is a market on the path to maturity.
291
Figure 9.2: New and replacement installations of meters in the Brazil
1,400,000
1,200,000
1,000,000 Annual emand for metrs
800,000
600,000
400,000
200,000
Bangladesh is at the opposite pole. In 1980 only 0.02% of rural homes had an electrical connection, only 26,000 households out of a country with a population over 100 million. Today still only 31% of the entire country is electrified and there is a huge need to make new installations but there are not very many meters old enough to warrant replacement.
Figure 9.3: New and replacement installations of meters in the Bangladesh

300,000
250,000
Annual demand for meters
200,000
150,000
100,000
50,000
Theoretical calculation of annual demand for new meters in 2008 (continued) We have created spreadsheets of the numbers of customers and the household base for every country in 2006, historically as far back as possible. Where available we have used actual customer numbers in the relevant past years. We have customer numbers for most countries in 2006 but for not so many from 1981. Where we have to estimate the customer base in the earlier years we have applied the proportions described above to the 2006 figures. In some countries rural electrification makes a significant contribution to these proportions. Where we do not have a history of rural electrification, which is in most of the smaller developing countries, we have used the following conventions. For countries with electrification of at last 90% in 2006 we have not applied a growth factor beyond household growth. For countries with electrification between 50% in 2006 and 90% we have applied a reducing fraction of 0.9. For countries with electrification below 50% in 2006 we have also applied a reducing fraction of 0.9. We considered a smaller fraction but concluded that electrification is so low that there is no evidence that there has been any rural electrification. Fortunately, we have not had to make these assumptions for the large countries because we have the actual information. In the small countries the end result is hardly significant. C&I replacements We have estimated the installed base in 1989 as described above, based on the C&I base in 2006. Up-grading from electromechanical to electronic or to advanced meters In terms of new replacements, the rate at which new electronic meters are being substituted for electromechanical meters has two effects. It has an impact on the replacement rate because the life is shorter than for electromechanical metes but it also alters the volume of new meters being installed. The introduction of AMR in the USA caused peaks and troughs in the annual meter sales because of one-off large utility contracts. This is now happening in Europe which is leading the way with the introduction of nationally mandated smart meters schemes, already in Italy, Sweden and the Netherlands and almost certain to come in Ireland and Spain. These cause huge surges in meter purchases followed by famines for some years until they start to need to be replaced. The large schemes are well documented but the smaller conversions of parts of systems from electromechanical to electronic meters are less well reported. We have modified replacement estimates on specific evidence or estimates and also used these reports to validate the model. This has now entered into the next generation with the advent of 2-way advanced metering, AMI.
293
Imports and exports There are many discrepancies in import and export data and we have always viewed it with circumspection. There is frequent disagreement between exports reported by one country to another and the imports reported by the receiving country. There is confusion of classifications, especially when a country is importing for assembly and re-exports. We do not use the data as a metric in creating the global meter market model. However, we have run a check of the demand estimates against imports averaged over the last four years to see if there were any major inconsistencies. This has revealed some cases off activity in the market, such as electrification expansion and network rehabilitation which we were not aware of and we have made some adjustments. These are all in small countries, mostly in Africa and Latin America. A specific case where import/export data is useful is to identify countries where large numbers of Chinese meters are being sold.
Specific reports of annual meter demand
In about 40 countries we have obtained specific reports of annual meter demand from regulators, governments, organisations, utilities or competition authorities authorising mergers or prosecuting cartels and we have overridden theoretical calculations with these figures if they differ. In a few cases we have been able to calculate exact figures from production, import and export data.
Forecasting for 2008 to 2012
Two metrics are used to project forward to 2012 from 2008 base data. Growth in residential meter demand The household counts mentioned above are forecast forward, and from this we have calculated CAGR of residential housing for each country. These figures are applied to household meter demand from 2008, modified by potential increases in electrification. Growth in C&I meter demand C&I meters are forecast by applying GDP growth to C&I meter demand in 2006. We have not made allowance for future GDP growth trends but each edition of the report uses the latest data. Exchange rates In 2008 the euro/$ exchange rate varied from $1.58 to 1 in April to $1.41 in December, with an average of 1.47. In 2009 it was 1.27 in March, which we have used in the report for 2009 onwards.
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Demand units
Units United States Canada Mexico North America Albania Austria Belgium Bosnia and Herzegovina Bulgaria Croatia Cyprus Czech Republic Denmark Estonia Finland France Germany Greece Hungary Iceland Ireland Italy Latvia Lithuania Luxembourg Macedonia Malta Netherlands Norway Poland Portugal Romania Serbia and Montenegro Slovakia Slovenia Spain Sweden Switzerland Turkey United Kingdom Europe Armenia Azerbaijan Belarus Georgia Kazakhstan Kyrgyzstan Moldova Russia Tajikistan Turkmenistan Ukraine Uzbekistan CIS 2008 10,042,000 1,896,500 1,885,800 13,824,300 63,643 133,770 231,500 54,803 621,100 142,145 29,409 357,640 275,200 23,950 337,200 936,300 1,470,650 323,460 633,550 7,972 38,060 1,455,610 50,890 168,400 7,091 36,983 14,088 301,161 168,700 662,620 237,040 579,816 297,100 52,960 36,005 1,399,500 297,100 205,250 1,171,500 1,870,020 14,692,185 51,552 128,776 185,992 84,083 346,710 49,824 63,225 5,838,000 48,201 47,559 776,250 261,901 7,882,073 2009 10,212,000 1,686,500 1,631,400 13,529,900 64,384 165,270 228,500 55,526 254,450 143,230 29,769 358,740 273,200 28,850 337,200 935,503 1,540,750 191,000 648,125 8,111 53,010 935,610 20,250 116,500 7,218 37,458 14,291 414,000 178,700 684,885 272,510 630,020 295,100 58,610 40,005 1,310,900 295,100 225,300 1,242,700 1,665,020 13,759,794 52,345 134,718 188,505 84,745 354,351 50,394 63,986 5,839,500 49,276 48,358 775,250 268,056 7,909,484 2010 10,847,000 2,055,500 1,566,900 14,469,400 65,133 294,500 211,500 56,259 174,200 144,322 30,132 355,540 221,200 121,850 333,200 1,035,500 1,500,700 274,000 564,530 8,253 57,005 809,010 19,160 126,700 7,346 37,940 14,496 492,000 336,200 740,276 592,510 597,020 115,100 59,420 44,505 2,620,600 115,100 208,300 1,254,700 1,505,020 15,143,229 53,151 140,935 191,052 85,411 362,161 50,970 64,755 5,891,000 50,375 49,170 775,250 274,355 7,988,586 2011 11,399,000 2,035,600 1,446,900 14,881,500 65,891 585,200 215,500 57,002 164,200 145,424 30,501 366,440 256,200 61,210 398,200 235,500 2,250,650 195,000 524,240 8,398 37,005 711,010 19,110 85,600 7,477 38,427 55,000 830,000 339,200 784,070 952,010 502,020 147,100 59,420 56,005 3,620,600 147,100 189,800 1,271,700 2,160,020 17,572,230 53,970 147,438 193,633 86,083 370,142 51,553 65,533 5,840,550 51,498 49,996 775,250 280,803 7,966,451 2012 12,999,000 1,826,600 1,436,900 16,262,500 66,658 545,700 205,500 57,754 132,150 146,534 30,874 362,040 247,200 51,000 268,200 7,155,500 3,050,650 320,000 472,245 8,545 68,005 462,010 18,600 80,000 7,610 38,921 60,000 1,509,000 349,200 892,070 1,001,010 462,020 148,100 61,020 51,005 4,600,600 148,100 177,300 1,278,700 1,690,030 26,223,851 54,801 154,242 196,250 86,760 378,300 52,143 66,321 5,890,500 52,646 50,836 775,250 287,402 8,045,451
Page 1 of 4
Demand units
Units Bahrain Iran Iraq Israel Jordan Kuwait Lebanon Oman Palestine Qatar Saudi Arabia Syria United Arab Emirates Yemen Middle East Afghanistan Australia Bangladesh Bhutan Brunei Cambodia China Fiji Hong Kong India Indonesia Japan Korea, North Korea, South Laos Macau Malaysia Maldives Mongolia Myanmar Nepal New Zealand Pakistan Papua New Guinea Philippines Singapore Sri Lanka Taiwan Thailand Vietnam Asia Pacific 2008 9,151 1,338,050 414,635 196,553 65,466 29,963 87,322 37,598 18,542 11,573 537,692 300,066 94,346 218,043 3,359,000 34,804 395,550 423,595 3,036 3,283 19,938 52,025,000 5,975 121,949 13,604,500 1,528,030 3,300,100 227,475 300,050 59,073 10,054 412,040 3,588 24,161 46,402 152,219 290,520 1,192,242 11,886 625,540 62,128 271,136 427,025 932,040 1,525,050 78,038,391 2009 9,792 1,378,050 389,000 199,066 70,441 31,761 91,339 39,854 8,906 12,268 469,950 292,442 100,006 231,125 3,324,000 35,395 593,050 435,661 3,148 3,330 20,632 54,530,000 6,096 125,006 15,704,800 1,579,430 7,405,450 229,932 571,050 61,222 10,377 475,020 3,763 24,838 47,298 156,677 333,520 1,234,287 12,187 639,040 62,819 276,563 310,025 937,050 1,550,051 87,377,717 2010 10,477 1,378,550 427,800 211,010 81,800 33,667 98,770 53,000 9,440 13,004 514,700 301,240 112,340 244,202 3,490,000 35,997 758,050 448,071 3,265 3,378 21,351 56,780,000 6,219 128,139 16,850,500 1,628,162 8,336,054 232,415 3,267,050 63,448 10,711 535,020 3,945 25,534 48,211 161,266 320,500 1,277,815 12,495 685,040 63,517 282,098 435,025 888,050 1,565,052 94,876,378 2011 11,211 1,379,050 387,000 180,000 88,017 35,687 74,000 52,300 10,007 13,784 460,000 300,945 210,250 210,000 3,412,250 36,609 1,438,050 460,834 3,385 3,427 22,095 60,780,000 6,345 131,350 18,216,000 1,679,266 8,667,413 234,925 4,367,050 65,756 11,055 560,020 4,137 26,250 49,142 165,989 370,500 1,322,878 12,811 705,040 64,223 287,744 545,025 863,050 1,605,053 102,705,421 2012 11,996 1,479,050 356,000 210,000 89,000 39,500 65,000 55,438 10,607 14,611 430,000 287,000 250,000 169,148 3,467,350 37,232 1,727,050 473,960 3,510 3,476 22,865 62,930,000 6,473 134,643 20,107,000 1,731,783 9,193,531 237,462 5,467,050 68,147 11,411 570,020 4,338 26,985 50,091 170,850 370,500 1,369,530 13,135 735,040 64,937 293,503 705,025 933,051 1,625,054 109,087,651
Page 2 of 4
Demand units
Units Algeria Egypt Libya Mauritania Morocco Sudan Tunisia Maghreb Angola Benin Botswana Burkina Faso Burundi Cameroon Cape Verde Central African Republic Chad Comoros Congo Republic Congo DR Cote d'Ivoire (IvoryCoast) Djibouti Equatorial Guinea Ethiopia Gabon Gambia, The Ghana Guinea Guinea-Bissau Kenya Lesotho Liberia Madagascar Malawi Mali Mauritius Mozambique Namibia Niger Nigeria Rwanda Sao Tome and Principe Senegal Seychelles Sierra Leone Somalia South Africa Swaziland Tanzania Togo Uganda Zambia Zimbabwe Sub-Saharan Africa 2008 330,000 1,316,040 66,212 7,412 348,000 84,000 158,000 2,309,665 17,494 19,583 6,531 17,793 1,876 30,000 4,300 1,041 2,049 3,047 12,193 28,889 24,724 29,082 863 196,000 12,279 3,982 149,971 11,193 517 57,191 2,867 3,426 17,000 10,672 22,020 28,000 57,000 444 5,902 240,000 4,541 1,271 61,530 10,500 2,307 6,808 564,120 2,738 46,633 16,785 22,021 21,000 37,911 1,816,094 2009 346,500 1,391,560 70,185 7,677 368,880 87,360 164,320 2,436,483 18,040 20,266 6,671 18,221 1,939 31,200 4,446 1,070 2,093 3,158 12,734 30,036 25,380 29,801 908 207,760 12,586 4,122 155,811 11,492 529 59,479 2,933 3,659 17,340 10,885 22,681 28,840 58,710 489 6,120 244,800 4,768 1,288 63,375 10,763 2,344 7,055 613,080 2,856 47,716 17,334 22,746 21,840 38,567 1,907,927 2010 363,825 1,471,260 74,396 7,952 391,013 90,854 170,893 2,570,193 18,603 20,973 6,815 18,658 2,003 32,448 4,596 1,100 2,138 3,274 13,299 31,228 26,053 30,537 954 220,226 12,900 4,267 161,879 11,799 541 61,858 3,001 3,907 17,687 11,103 23,361 29,705 60,471 538 6,345 249,696 5,006 1,305 65,276 11,032 2,381 7,311 626,080 2,979 48,823 17,902 23,494 22,714 39,235 1,965,500 2011 382,016 1,555,995 78,860 8,237 414,474 94,489 177,729 2,711,799 19,183 21,704 6,962 19,106 2,069 33,746 4,752 1,131 2,184 3,394 13,890 32,467 26,744 31,292 1,003 233,439 13,222 4,418 168,182 12,115 553 64,332 3,070 4,172 18,041 11,325 24,062 30,596 62,285 591 6,578 254,690 5,255 1,323 67,233 11,307 2,420 7,576 669,080 3,107 49,957 18,488 24,267 23,622 39,914 2,054,850 2012 401,117 1,646,127 83,592 8,531 439,342 98,268 184,838 2,861,815 19,782 22,461 7,111 19,564 2,138 35,096 4,913 1,163 2,231 3,519 14,506 33,756 27,453 32,066 1,055 247,445 13,553 4,573 174,731 12,438 566 66,906 3,140 4,456 18,401 11,552 24,784 31,514 64,154 651 6,820 259,784 5,517 1,341 69,249 11,590 2,459 7,850 748,080 3,241 51,117 19,094 25,066 24,567 40,606 2,182,058
Page 3 of 4
Demand units
Units Argentina Bolivia Brazil Chile Colombia Ecuador Guyana Paraguay Peru Suriname Uruguay Venezuela South America Bahamas, The Barbados Belize Bermuda Virgin Islands, British Cayman Islands Costa Rica Cuba Dominican Republic El Salvador Grenada Guadaloupe Guatemala Haiti Honduras Jamaica Netherlands Antilles Nicaragua Panama Puerto Rico Saint Lucia Trinidad and Tobago Central America & Carribean World 2008 508,235 101,830 3,601,800 259,100 591,039 258,180 8,715 63,738 305,582 5,004 84,610 303,516 6,091,348 3,600 6,062 3,791 4,287 646 1,019 69,893 217,079 74,349 112,022 2,544 8,149 147,629 22,416 94,114 27,390 3,931 60,743 49,067 56,599 2,138 19,876 987,346 129,000,402 2009 518,435 104,488 3,706,600 329,600 609,347 266,108 8,824 66,129 314,294 5,094 86,081 314,150 6,329,149 3,646 6,142 3,910 4,384 658 1,039 72,514 222,077 76,745 115,507 2,583 8,271 151,968 22,994 97,668 27,597 4,001 62,992 50,530 57,288 2,168 20,331 1,015,015 137,589,467 2010 539,035 107,215 3,661,500 361,100 628,222 274,280 8,935 68,609 323,254 5,185 87,577 325,157 6,390,069 3,693 6,224 4,034 4,483 671 1,058 75,233 227,189 79,220 119,101 2,623 8,394 156,433 23,588 101,356 27,805 4,073 65,324 52,037 57,986 2,199 20,796 1,043,518 147,936,873 2011 559,540 110,013 3,676,500 406,900 647,681 282,702 9,047 71,183 332,470 5,279 89,099 336,550 6,526,964 3,740 6,307 4,161 4,585 683 1,078 78,054 232,420 81,774 122,806 2,663 8,518 161,030 24,196 105,183 28,014 4,146 67,742 53,589 58,692 2,230 21,272 1,072,883 158,904,348 2012 550,040 112,885 3,876,400 436,900 667,743 291,384 9,160 73,853 341,948 5,374 90,647 348,342 6,804,677 3,788 6,391 4,292 4,688 696 1,099 80,981 237,770 84,410 126,627 2,703 8,645 165,762 24,821 109,155 28,225 4,221 70,250 55,187 59,406 2,261 21,758 1,103,137 176,038,489
Page 4 of 4
Demand euro
euro United States Canada Mexico North America Albania Austria Belgium Bosnia and Herzego Bulgaria Croatia Cyprus Czech Republic Denmark Estonia Finland France Germany Greece Hungary Iceland Ireland Italy Latvia Lithuania Luxembourg Macedonia Malta Netherlands Norway Poland Portugal Romania Serbia and Montene Slovakia Slovenia Spain Sweden Switzerland Turkey United Kingdom Europe Armenia Azerbaijan Belarus Georgia Kazakhstan Kyrgyzstan Moldova Russia Tajikistan Turkmenistan Ukraine Uzbekistan CIS
2008 euro 2008 739,183,673 110,340,136 53,285,714 902,809,524 1,526,482 5,838,600 10,150,000 1,391,767 13,176,400 5,305,982 915,330 12,115,200 34,766,200 875,200 35,570,200 28,085,600 56,182,500 15,717,600 14,210,760 740,856 1,480,500 66,283,000 1,283,480 9,142,300 228,052 965,300 438,472 18,890,680 15,454,700 26,916,500 8,233,670 16,767,240 3,766,486 2,115,600 1,821,000 59,775,600 31,713,600 27,403,500 24,040,000 68,986,000 622,274,358 1,163,735 2,907,007 4,329,826 2,135,376 7,092,932 1,124,726 1,293,454 154,873,120 1,088,095 939,395 15,930,000 5,173,178 198,050,844
2009 March euro 2009 878,685,039 124,263,780 54,295,276 1,057,244,094 1,787,439 9,393,000 9,910,000 1,632,208 7,285,000 6,188,436 1,072,428 11,893,300 28,388,200 3,322,150 35,570,200 28,040,006 73,587,500 9,537,000 15,015,700 872,533 2,648,000 42,883,000 789,450 4,385,500 268,668 1,131,678 514,829 40,040,000 12,784,700 28,052,975 6,677,500 15,023,000 4,416,745 2,377,600 4,407,500 37,770,000 22,875,600 30,920,000 25,400,000 59,466,000 586,327,845 1,367,741 3,520,072 5,079,401 2,491,098 8,390,867 1,316,740 1,515,148 138,500,480 1,112,360 955,177 15,682,500 6,128,566 186,060,150 2010 940,149,606 144,377,953 51,574,803 1,136,102,362 1,808,244 19,287,200 10,750,000 1,653,753 5,210,000 6,235,659 1,085,538 12,061,500 32,720,200 13,035,450 35,210,200 48,790,000 93,595,000 14,250,000 13,678,000 887,802 2,930,000 38,095,000 648,430 5,273,800 273,455 1,146,225 522,240 46,280,000 24,527,200 30,354,344 28,237,500 13,586,000 4,474,604 2,502,200 6,792,500 86,740,000 8,655,600 24,810,000 26,420,000 62,511,000 725,038,645 1,388,802 3,682,505 5,148,028 2,510,692 8,575,793 1,331,803 1,533,365 143,294,605 1,137,165 971,224 15,682,500 6,272,587 191,529,070 2011 1,009,070,866 140,818,898 48,460,630 1,198,350,394 1,829,292 36,041,140 13,810,000 1,675,582 5,110,000 6,283,243 1,098,809 12,390,000 24,880,200 5,346,570 42,035,200 12,590,000 172,502,500 12,000,000 13,190,600 903,339 3,080,000 34,150,000 623,480 3,726,000 278,327 1,160,959 2,755,906 76,070,000 22,202,200 32,067,200 47,775,000 12,191,200 4,533,222 2,488,200 4,772,500 123,980,000 11,183,600 21,951,500 27,240,000 141,486,000 935,401,768 1,410,187 3,852,433 5,217,583 2,530,441 8,764,794 1,347,037 1,551,802 146,026,949 1,162,524 987,541 15,682,500 6,419,993 194,953,784 2012 1,110,527,559 117,751,969 49,795,276 1,278,074,803 1,850,584 33,475,640 13,280,000 1,697,700 3,980,500 6,331,190 1,112,242 11,975,000 22,048,200 4,470,000 28,385,200 500,830,000 259,102,500 23,150,000 12,466,100 919,147 5,290,000 23,165,000 599,400 5,316,000 283,286 1,175,882 3,188,976 123,285,000 22,832,200 35,647,200 46,150,000 11,471,200 4,592,607 2,633,200 4,772,500 152,540,000 11,226,600 21,371,000 27,910,000 129,064,000 1,557,588,055 1,431,901 4,030,203 5,288,077 2,550,345 8,957,961 1,362,447 1,570,460 150,437,332 1,188,448 1,004,131 15,682,500 6,570,863 200,074,667
Page 1 of 4
Demand euro
euro Bahrain Iran Iraq Israel Jordan Kuwait Lebanon Oman Palestine Qatar Saudi Arabia Syria United Arab Emirate Yemen Middle East Afghanistan Australia Bangladesh Bhutan Brunei Cambodia China Fiji Hong Kong India Indonesia Japan Korea, North Korea, South Laos Macau Malaysia Maldives Mongolia Myanmar Nepal New Zealand Pakistan Papua New Guinea Philippines Singapore Sri Lanka Taiwan Thailand Vietnam Asia Pacific
2008 euro 2008 309,592 24,620,000 17,595,409 6,494,497 2,205,800 1,184,968 3,342,959 1,212,010 637,488 397,398 16,536,054 11,360,544 14,421,769 6,416,206 106,734,694 642,283 27,518,000 8,092,094 59,976 108,864 419,695 724,000,000 177,033 4,043,313 189,970,000 17,434,000 127,350,000 4,814,114 14,155,000 1,205,177 347,527 13,914,000 93,663 445,884 886,426 2,907,898 12,683,000 13,643,828 186,482 12,384,000 2,059,917 4,207,956 19,905,000 18,454,000 17,080,000 1,239,189,131
2009 March euro 2009 370,997 27,480,000 16,187,946 8,968,289 2,459,793 1,214,718 4,024,186 1,687,500 659,459 469,180 22,739,476 10,681,227 14,825,900 8,861,250 120,629,921 756,068 50,470,000 9,633,239 71,984 127,815 502,715 962,000,000 209,052 4,797,358 224,768,000 17,988,000 454,307,700 5,632,422 22,635,000 1,445,702 415,190 16,372,000 113,677 530,561 1,045,835 3,464,409 16,533,000 16,349,392 221,310 13,724,000 2,410,815 4,968,110 17,545,000 18,915,000 16,880,000 1,884,833,353 2010 396,967 29,232,000 17,895,000 8,446,385 2,607,381 1,311,895 5,285,600 1,576,273 699,027 478,564 25,923,780 11,215,288 11,019,270 8,149,578 124,237,007 768,921 72,880,000 9,907,639 0 129,647 520,230 1,014,250,000 213,275 4,917,600 260,505,000 18,523,320 528,110,977 5,693,252 284,640,000 1,498,280 428,541 18,622,000 119,197 545,425 1,066,031 3,565,870 15,475,000 16,925,962 226,910 15,439,000 2,437,611 5,067,544 38,445,000 19,345,000 17,210,000 2,357,477,231 2011 367,717 37,784,000 16,898,075 6,212,598 2,763,824 1,416,847 4,352,559 1,670,849 740,750 488,135 19,990,400 11,726,400 11,296,050 7,904,000 123,612,205 781,993 145,860,000 10,189,855 77,398 131,506 538,355 1,093,250,000 217,583 5,040,856 303,930,000 19,100,360 553,302,387 5,754,739 377,140,000 1,552,771 442,321 19,632,000 124,984 560,705 1,086,618 3,670,302 17,975,000 17,522,864 232,650 15,719,000 2,464,705 5,168,968 49,045,000 19,545,000 18,090,000 2,688,147,920 2012 367,717 42,184,000 15,196,850 8,960,630 2,929,653 1,530,195 4,526,662 1,771,100 785,426 497,898 21,241,995 8,582,677 11,496,063 6,850,394 126,921,260 795,286 182,735,000 10,480,109 80,255 133,392 557,112 1,142,000,000 221,978 5,167,202 365,620,000 19,555,530 593,876,986 5,816,890 469,640,000 1,609,243 456,544 20,532,000 131,053 576,413 1,107,602 3,777,794 17,975,000 18,140,817 238,536 16,139,000 2,492,101 5,272,422 68,895,000 21,095,205 18,530,000 2,993,648,471
Page 2 of 4
Demand euro
euro Algeria Egypt Libya Mauritania Morocco Sudan Tunisia Maghreb Angola Benin Botswana Burkina Faso Burundi Cameroon Cape Verde Central African Repu Chad Comoros Congo Republic Congo DR Cote d'Ivoire (IvoryC Djibouti Equatorial Guinea Ethiopia Gabon Gambia, The Ghana Guinea Guinea-Bissau Kenya Lesotho Liberia Madagascar Malawi Mali Mauritius Mozambique Namibia Niger Nigeria Rwanda Sao Tome and Princ Senegal Seychelles Sierra Leone Somalia South Africa Swaziland Tanzania Togo Uganda Zambia Zimbabwe Sub-Saharan Africa
2008 euro 2008 8,829,678 18,977,000 2,180,600 197,145 6,045,395 3,798,493 3,789,689 43,818,000 447,488 500,924 171,967 455,147 47,999 2,488,676 109,992 26,621 52,410 77,928 311,894 738,972 651,021 853,291 24,680 3,999,435 397,219 98,851 3,949,010 286,299 13,222 1,505,944 73,340 87,630 403,555 281,008 337,291 491,183 1,971,083 12,035 159,860 4,587,415 119,585 32,512 1,712,785 206,659 62,470 174,149 18,886,000 65,676 1,118,492 402,582 528,174 353,236 909,291 50,184,997
2009 March euro 2009 10,478,583 20,112,000 2,157,231 197,638 6,014,362 3,785,218 3,750,969 46,496,000 458,764 515,374 174,646 463,358 49,301 2,565,253 113,237 27,212 53,228 80,318 323,839 763,827 664,400 869,294 25,796 4,129,646 404,777 101,740 4,078,905 292,242 13,446 1,550,097 74,591 93,038 413,788 280,430 346,016 495,842 1,986,307 12,167 162,906 4,743,436 124,817 32,756 1,753,874 207,099 63,106 179,410 25,078,000 79,289 1,324,690 481,241 631,469 419,496 1,070,710 57,773,179 2010 10,743,521 21,256,700 2,334,203 216,709 6,544,490 4,125,643 4,060,735 49,282,000 479,475 540,559 180,817 480,897 51,625 2,695,637 118,471 28,358 55,107 84,391 342,785 804,880 691,247 902,830 27,486 4,347,069 420,505 106,751 4,295,052 304,114 13,941 1,626,591 77,542 100,702 432,535 285,299 361,873 510,285 2,040,596 12,539 169,240 5,000,202 132,814 33,644 1,830,895 211,580 64,989 188,427 26,898,400 82,700 1,355,445 497,001 652,249 430,405 1,089,250 61,057,202 2011 11,015,157 23,722,420 2,522,733 237,342 7,113,000 4,491,417 4,390,931 53,493,000 501,146 567,002 187,216 499,125 54,060 2,832,788 124,149 29,553 57,055 88,676 362,856 848,182 719,215 937,706 29,289 4,576,164 436,866 112,015 4,522,876 316,483 14,455 1,706,944 80,655 109,003 452,155 290,267 378,476 525,175 2,096,473 12,923 175,829 5,271,127 141,330 34,557 1,911,392 216,167 66,932 197,906 33,240,400 86,258 1,386,915 513,276 673,713 441,598 1,108,111 68,934,461 2012 11,293,662 25,076,721 2,723,504 259,654 7,722,425 4,884,261 4,742,774 56,703,000 523,837 594,784 193,857 518,083 56,615 2,977,145 130,108 30,801 59,077 93,185 384,133 893,882 748,371 974,003 31,213 4,817,703 453,898 117,547 4,763,151 329,381 14,988 1,791,404 83,159 117,998 472,701 295,775 395,872 540,541 2,154,046 13,319 182,689 5,557,158 150,403 35,498 1,995,582 220,871 68,938 207,878 44,004,400 89,969 1,419,116 530,085 695,884 453,082 1,127,298 81,309,430
Page 3 of 4
Demand euro
euro Argentina Bolivia Brazil Chile Colombia Ecuador Guyana Paraguay Peru Suriname Uruguay Venezuela South America Bahamas, The Barbados Belize Bermuda Virgin Islands, British Cayman Islands Costa Rica Cuba Dominican Republic El Salvador Grenada Guadeloupe Guatemala Haiti Honduras Jamaica Netherlands Antilles Nicaragua Panama Puerto Rico Saint Lucia Trinidad and Tobago Central America & World
2008 euro 2008 10,878,200 2,801,574 139,580,000 5,108,500 16,677,751 7,103,107 239,762 1,843,494 8,407,239 137,659 2,327,813 9,545,765 204,650,863 101,585 166,773 109,647 117,956 17,769 28,048 2,021,522 6,125,474 2,202,841 3,160,999 73,583 235,709 4,061,617 648,333 2,788,475 772,888 108,139 2,696,493 1,419,180 1,676,955 61,839 574,889 29,170,714 3,396,883,124
2009 March euro 2009 11,047,950 3,327,403 142,140,000 9,088,500 19,902,127 8,474,180 281,002 2,213,852 10,008,645 162,209 2,741,225 11,436,164 220,823,257 119,088 195,605 130,912 139,618 20,958 33,079 2,427,611 7,253,342 2,631,947 3,772,627 86,474 276,884 4,839,391 769,800 3,349,481 901,344 127,419 3,236,678 1,691,653 1,964,672 72,586 680,642 34,721,813 4,194,909,611 2010 11,507,750 3,414,248 144,200,000 11,708,000 20,518,607 8,734,406 284,528 2,296,900 10,293,987 165,131 2,788,867 11,836,857 227,749,280 120,612 198,207 135,036 142,773 21,356 33,704 2,518,641 7,420,327 2,716,799 3,890,002 87,797 281,001 4,981,600 789,668 3,475,960 908,137 129,710 3,356,496 1,742,095 1,988,588 73,610 696,210 35,708,328 4,908,181,125 2011 11,931,600 3,503,360 150,850,000 15,517,200 21,154,184 9,002,623 288,098 2,383,062 10,587,463 168,107 2,837,336 12,251,589 240,474,621 122,156 200,844 139,289 146,000 21,762 34,341 2,613,085 7,591,155 2,804,386 4,011,028 89,141 285,178 5,127,988 810,049 3,607,214 914,980 132,042 3,480,749 1,794,040 2,012,796 74,648 712,134 36,725,004 5,540,093,158 2012 11,835,200 3,594,797 154,770,000 17,977,200 21,809,447 9,279,077 291,713 2,472,457 10,889,306 171,136 2,886,648 12,680,852 248,657,833 123,719 203,516 143,677 149,299 22,176 34,990 2,711,069 7,765,917 2,894,798 4,135,820 90,505 289,417 5,278,678 830,955 3,743,425 921,875 134,415 3,609,601 1,847,534 2,037,299 75,700 728,421 37,772,808 6,580,750,328
Page 4 of 4
Demand $
$ 2008 United States Canada Mexico North America Albania Austria Belgium Bosnia and Herzego Bulgaria Croatia Cyprus Czech Republic Denmark Estonia Finland France Germany Greece Hungary Iceland Ireland Italy Latvia Lithuania Luxembourg Macedonia Malta Netherlands Norway Poland Portugal Romania Serbia and Montene Slovakia Slovenia Spain Sweden Switzerland Turkey United Kingdom Europe Armenia Azerbaijan Belarus Georgia Kazakhstan Kyrgyzstan Moldova Russia Tajikistan Turkmenistan Ukraine Uzbekistan CIS 1,086,600,000 162,200,000 78,330,000 1,327,130,000 2,243,929 8,582,742 14,920,500 2,045,898 19,369,308 7,799,793 1,345,535 17,809,344 51,106,314 1,286,544 52,288,194 41,285,832 82,588,275 23,104,872 20,889,817 1,089,059 2,176,335 97,436,010 1,886,716 13,439,181 335,236 1,418,991 644,554 27,769,300 22,718,409 39,567,255 12,103,495 24,647,843 5,536,735 3,109,932 2,676,870 87,870,132 46,618,992 40,283,145 35,338,800 101,409,420 914,743,306 1,710,690 4,273,300 6,364,844 3,139,003 10,426,610 1,653,347 1,901,377 227,663,486 1,599,500 1,380,911 23,417,100 7,604,571 291,134,740
2009 March $ 2009 1,115,930,000 157,815,000 68,955,000 1,342,700,000 2,270,048 11,929,110 12,585,700 2,072,904 9,251,950 7,859,313 1,361,984 15,104,491 36,053,014 4,219,131 45,174,154 35,610,808 93,456,125 12,111,990 19,069,939 1,108,117 3,362,960 54,461,410 1,002,602 5,569,585 341,209 1,437,231 653,833 50,850,800 16,236,569 35,627,278 8,480,425 19,079,210 5,609,266 3,019,552 5,597,525 47,967,900 29,052,012 39,268,400 32,258,000 75,521,820 744,636,363 1,737,032 4,470,491 6,450,839 3,163,694 10,656,402 1,672,260 1,924,238 175,895,610 1,635,169 1,404,110 19,916,775 7,783,279 236,709,897 2010 1,193,990,000 183,360,000 65,500,000 1,442,850,000 2,296,470 24,494,744 13,652,500 2,100,266 6,616,700 7,919,287 1,378,634 15,318,105 41,554,654 16,555,022 44,716,954 61,963,300 118,865,650 18,097,500 17,371,060 1,127,509 3,721,100 48,380,650 823,506 6,697,726 347,288 1,455,706 663,245 58,775,600 31,149,544 38,550,017 35,861,625 17,254,220 5,682,748 3,177,794 8,626,475 110,159,800 10,992,612 31,508,700 33,553,400 79,388,970 920,799,080 1,763,779 4,676,781 6,537,996 3,188,579 10,891,257 1,691,389 1,947,374 181,984,148 1,671,633 1,427,699 19,916,775 7,966,186 243,663,596 2011 1,281,520,000 178,840,000 61,545,000 1,521,905,000 2,323,201 45,772,248 17,538,700 2,127,990 6,489,700 7,979,719 1,395,487 15,735,300 31,597,854 6,790,144 53,384,704 15,989,300 219,078,175 15,240,000 16,752,062 1,147,240 3,911,600 43,370,500 791,820 4,732,020 353,475 1,474,418 3,500,000 96,608,900 28,196,794 40,725,344 60,674,250 15,482,824 5,757,192 3,160,014 6,061,075 157,454,600 14,203,172 27,878,405 34,594,800 179,687,220 1,187,960,246 1,790,937 4,892,590 6,626,330 3,213,660 11,131,289 1,710,738 1,970,788 185,454,225 1,708,910 1,451,685 19,916,775 8,153,391 248,021,318 2012 1,410,370,000 149,545,000 63,240,000 1,623,155,000 2,350,242 42,514,063 16,865,600 2,156,079 5,055,235 8,040,612 1,412,547 15,208,250 28,001,214 5,676,900 36,049,204 636,054,100 329,060,175 29,400,500 15,831,947 1,167,317 6,718,300 29,419,550 761,238 6,751,320 359,773 1,493,370 4,050,000 156,571,950 28,996,894 45,271,944 58,610,500 14,568,424 5,832,611 3,344,164 6,061,075 193,725,800 14,257,782 27,141,170 35,445,700 163,911,280 1,978,136,829 1,818,514 5,118,358 6,715,858 3,238,938 11,376,610 1,730,307 1,994,484 191,055,411 1,747,019 1,476,073 19,916,775 8,344,996 254,533,343
Page 1 of 4
Demand $
$ 2008 Bahrain Iran Iraq Israel Jordan Kuwait Lebanon Oman Palestine Qatar Saudi Arabia Syria United Arab Emirate Yemen Middle East Afghanistan Australia Bangladesh Bhutan Brunei Cambodia China Fiji Hong Kong India Indonesia Japan Korea, North Korea, South Laos Macau Malaysia Maldives Mongolia Myanmar Nepal New Zealand Pakistan Papua New Guinea Philippines Singapore Sri Lanka Taiwan Thailand Vietnam Asia Pacific 455,100 36,191,400 25,865,251 9,546,910 2,947,111 1,428,418 4,914,150 1,781,654 790,107 584,175 24,308,000 16,700,000 22,000,000 9,387,723 156,900,000 944,155 40,451,460 11,895,378 88,164 160,030 616,952 1,064,280,000 260,239 5,943,670 279,255,900 25,627,980 187,204,500 7,076,747 20,807,850 1,771,611 510,864 20,453,580 137,685 655,450 1,303,046 4,274,610 18,644,010 20,056,427 274,129 18,204,480 3,028,078 6,185,696 29,260,350 27,127,380 25,107,600 1,821,608,022
2009 March $ 2009 471,167 34,899,600 28,687,971 10,119,725 3,123,938 1,542,692 5,110,716 1,888,554 837,513 595,859 21,300,000 13,565,158 21,200,000 9,857,109 153,200,000 960,206 64,096,900 12,234,214 91,420 162,325 638,448 1,221,740,000 265,496 6,092,644 285,455,360 22,844,760 576,970,779 7,153,176 28,746,450 1,836,042 527,292 20,792,440 144,370 673,812 1,328,210 4,399,799 20,996,910 20,763,728 281,064 17,429,480 3,061,735 6,309,499 22,282,150 24,022,050 21,437,600 2,393,738,358 164,652 660,692 1,288,097,500 270,859 6,245,352 330,841,350 23,524,616 670,700,941 7,230,430 361,492,800 1,902,816 544,247 23,649,940 151,380 692,689 1,353,860 4,528,655 19,653,250 21,495,971 288,175 19,607,530 3,095,766 6,435,781 48,825,150 24,568,150 21,856,700 2,993,996,083 2010 504,148 37,124,640 20,558,691 10,726,908 3,311,374 1,666,107 5,315,144 2,001,867 887,764 607,776 32,923,200 14,243,416 17,560,000 10,349,964 157,781,000 976,530 92,557,600 12,582,701 2011 467,000 47,985,680 21,460,555 7,890,000 3,510,056 1,799,396 5,527,750 2,121,979 941,030 619,932 25,400,000 14,955,586 13,000,000 11,308,536 156,987,500 993,131 185,242,200 12,941,115 98,295 167,013 683,711 1,388,427,500 276,330 6,401,888 385,991,100 24,257,457 702,694,031 7,308,519 478,967,800 1,972,019 561,747 24,932,640 158,730 712,095 1,380,005 4,661,284 22,828,250 22,254,038 295,466 19,963,130 3,130,176 6,564,590 62,287,150 24,822,150 22,974,300 3,413,947,859 2012 467,000 53,573,680 19,300,000 11,380,000 3,720,660 1,943,347 5,748,860 2,249,298 997,491 632,330 26,977,334 10,900,000 14,600,000 8,700,000 161,190,000 1,010,014 232,073,450 13,309,739 101,924 169,408 707,532 1,450,340,000 281,912 6,562,346 464,337,400 24,835,524 754,223,772 7,387,451 596,442,800 2,043,739 579,811 26,075,640 166,437 732,045 1,406,655 4,797,798 22,828,250 23,038,838 302,941 20,496,530 3,164,968 6,695,977 87,496,650 26,790,910 23,533,100 3,801,933,559
Page 2 of 4
Demand $
$ 2008 Algeria Egypt Libya Mauritania Morocco Sudan Tunisia Maghreb Angola Benin Botswana Burkina Faso Burundi Cameroon Cape Verde Central African Rep Chad Comoros Congo Republic Congo DR Cote d'Ivoire (IvoryC Djibouti Equatorial Guinea Ethiopia Gabon Gambia, The Ghana Guinea Guinea-Bissau Kenya Lesotho Liberia Madagascar Malawi Mali Mauritius Mozambique Namibia Niger Nigeria Rwanda Sao Tome and Prin Senegal Seychelles Sierra Leone Somalia South Africa Swaziland Tanzania Togo Uganda Zambia Zimbabwe Sub-Saharan Afric 12,979,627 27,896,190 3,205,420 289,798 8,886,556 5,583,676 5,570,734 64,412,000 657,808 736,359 252,792 669,066 70,558 3,658,359 161,689 39,133 77,047 114,554 458,484 1,086,290 957,002 1,254,339 36,280 5,879,176 583,913 145,310 5,805,051 420,859 19,436 2,213,741 107,811 128,816 593,227 413,082 495,818 722,039 2,897,496 17,692 234,994 6,743,508 176,167 47,792 2,517,797 303,789 91,831 255,999 27,762,420 96,544 1,644,183 591,796 776,415 519,257 1,336,657 73,772,377
2009 March $ 2009 13,307,800 25,542,240 2,739,694 251,002 7,638,270 4,807,245 4,763,749 59,050,000 582,634 654,531 221,802 588,470 62,613 3,257,897 143,585 34,560 67,600 102,004 411,279 970,068 843,794 1,104,013 32,761 5,244,692 513,929 129,211 5,180,251 371,151 17,077 1,968,639 94,732 118,159 525,515 356,149 439,444 629,724 2,522,630 15,452 206,892 6,024,212 158,519 41,600 2,227,438 263,018 80,145 227,853 31,849,060 100,697 1,682,356 611,176 801,966 532,760 1,359,802 73,371,858 2010 13,644,271 26,996,009 2,964,438 275,220 8,311,502 5,239,567 5,157,133 62,588,140 608,927 686,503 229,636 610,733 65,563 3,423,424 150,456 36,014 69,985 107,176 435,332 1,022,835 877,875 1,146,582 34,907 5,520,721 534,036 135,573 5,454,660 386,221 17,705 2,065,749 98,221 127,891 549,314 362,327 459,575 648,056 2,591,531 15,924 214,933 6,350,192 168,672 42,727 2,325,212 268,703 82,536 239,299 34,160,968 105,029 1,721,416 631,191 828,357 546,615 1,383,348 77,542,647 2011 13,989,250 30,127,473 3,203,871 301,424 9,033,510 5,704,099 5,576,482 67,936,110 636,469 720,107 237,770 633,901 68,658 3,597,714 157,672 37,533 72,461 112,621 460,837 1,077,213 913,421 1,190,911 37,198 5,811,847 554,831 142,262 5,744,170 401,942 18,358 2,167,863 101,848 138,437 574,248 368,647 480,675 666,986 2,662,576 16,412 223,308 6,694,469 179,258 43,889 2,427,518 274,538 85,005 251,346 42,215,308 109,548 1,761,382 651,861 855,616 560,830 1,407,301 87,546,766 2012 14,342,950 31,847,436 3,458,849 329,760 9,807,480 6,203,011 6,023,323 72,012,810 665,283 755,387 246,202 657,974 71,902 3,781,026 165,240 39,117 75,028 118,347 487,856 1,135,246 950,445 1,237,001 39,641 6,118,566 576,458 149,287 6,049,284 418,320 19,036 2,275,113 105,613 149,859 600,338 375,093 502,764 686,497 2,735,675 16,916 232,019 7,057,687 191,014 45,084 2,534,423 280,510 87,529 264,009 55,885,588 114,260 1,802,277 673,208 883,773 575,415 1,431,669 103,262,976
Page 3 of 4
Demand $
$ 2008 Argentina Bolivia Brazil Chile Colombia Ecuador Guyana Paraguay Peru Suriname Uruguay Venezuela South America Bahamas, The Barbados Belize Bermuda Virgin Islands, Britis Cayman Islands Costa Rica Cuba Dominican Republic El Salvador Grenada Guadeloupe Guatemala Haiti Honduras Jamaica Netherlands Antilles Nicaragua Panama Puerto Rico Saint Lucia Trinidad and Tobag Central America & World 15,990,954 4,118,313 205,182,600 7,509,495 24,516,295 10,441,568 352,450 2,709,936 12,358,641 202,359 3,421,885 14,032,274 300,836,769 149,330 245,156 161,182 173,396 26,121 41,230 2,971,637 9,004,446 3,238,176 4,646,669 108,167 346,492 5,970,577 953,049 4,099,059 1,136,145 158,965 3,963,845 2,086,194 2,465,124 90,903 845,087 42,880,950 4,993,418,164
2009 March $ 2009 14,030,897 4,225,801 180,517,800 11,542,395 25,275,702 10,762,208 356,872 2,811,593 12,710,980 206,005 3,481,356 14,523,928 280,445,536 151,241 248,418 166,259 177,315 26,617 42,010 3,083,066 9,211,744 3,342,572 4,791,237 109,822 351,643 6,146,027 977,646 4,253,841 1,144,707 161,823 4,110,581 2,148,400 2,495,133 92,185 864,416 44,096,703 5,327,948,715 2010 14,614,843 4,336,095 183,134,000 14,869,160 26,058,631 11,092,695 361,350 2,917,063 13,073,363 209,717 3,541,861 15,032,808 289,241,586 153,177 251,723 171,496 181,322 27,123 42,804 3,198,674 9,423,815 3,450,334 4,940,303 111,503 356,871 6,326,632 1,002,878 4,414,469 1,153,334 164,732 4,262,749 2,212,460 2,525,507 93,485 884,187 45,349,576 6,233,811,708 2011 15,153,132 4,449,267 191,579,500 19,706,844 26,865,813 11,433,331 365,884 3,026,489 13,446,078 213,496 3,603,417 15,559,518 305,402,769 155,138 255,072 176,898 185,420 27,638 43,613 3,318,617 9,640,767 3,561,571 5,094,006 113,209 362,176 6,512,545 1,028,762 4,581,162 1,162,025 167,693 4,420,551 2,278,431 2,556,251 94,803 904,410 46,640,755 7,036,348,323 2012 15,030,704 4,565,393 196,557,900 22,831,044 27,697,998 11,784,427 370,475 3,140,020 13,829,419 217,343 3,666,043 16,104,682 315,795,448 157,124 258,466 182,470 189,610 28,163 44,437 3,443,058 9,862,715 3,676,393 5,252,492 114,941 367,560 6,703,922 1,055,313 4,754,149 1,170,782 170,707 4,584,194 2,346,369 2,587,369 96,139 925,095 47,971,466 8,357,991,433
Page 4 of 4
Export units summary
Units United States Canada Mexico North America Albania Austria Belgium Bosnia and Herzegovina Bulgaria Croatia Cyprus Czech Republic Denmark Estonia Finland France Germany Greece Hungary Iceland Ireland Italy Latvia Lithuania Luxembourg Macedonia Malta Netherlands Norway Poland Portugal Romania Serbia and Montenegro Slovakia Slovenia Spain Sweden Switzerland Turkey United Kingdom Europe Armenia Azerbaijan Belarus
1997 880,051 7,781 887,832 149,050
1998 883,787 5,653 889,440 883,224
1999 715,523 6,634 2,551,694 3,273,851 65,918 22,040 57,143
2000 1,101,551 18,645 2,726,946 3,847,142 27,172 10,319 20,207
2001 895,498 72,042 4,224,252 5,191,792 4,219 4,675 1,790
2002 842,454 23,892 2,193,439 3,059,785 60,328 1,428 1,223 84 4,873 27,663 402,349 192,227 768,385 1,062,927 410,193 276 1,003 460,224 12,430 103,796 267
2003 1,068,399 27,676 3,177,322 4,273,397 144,268 9,004 915 5,055 306,028 62,443 276,275 157,250 597,747 1,263,624 3,372,465 821 1,108 160,379 4 71,965 1,755
2004 1,080,715 17,093 2,824,056 3,921,864 29,534 42,958
2005 1,564,790 6,260 3,072,773 4,643,823 12,085 173,565
2006 1,414,296 7,382 3,414,072 4,835,750 12,214 147,769
2007 2,020,749 28,452 4,268,260 6,317,461 14,522 218,783
2008 2,466,364 20,637 2,487,001
13,162 4,037,471 83,581 1,856 232,883 276,735 651,808 1,237,260 3,897,589 149 558,134 88 91,625 264
7,822 277,866 331,892 802,946 585,848
2,180 326,396 303,926 613,035 465,646
1,210 3,283 395,720 233,889 728,579 347,721 311,322 11,033 14,459 92,095 38 142,203 52
8,652 6,552 331,146 112,083 774,465 521,201 82,363 184 200 39,472 2 121,066 93
5,873 18,439 331,790 245,436 812,983 384,868 246,408 407 556 44,573 1,087 104,537 61
220 522 791,111 108,927 785 283,779 276,979 587,694 1,244,303 3,065,696 19 56,430 6,224 60,748 391
4,530 279,374 120,491 48 303,154 343,432 605,422 1,314,782 1,630,356 8 168 156,380 4,633 70,556 49
119 100,647 211,196 15 338,960 840,549 1,058,147 1,814,191 1,165,755 1 2 322,955 4,859 114,667 8
11,712
308,594
27
149 91,849
2,866 58,694
30,280 25,100 47,451
34,051 1,290 76,467
13,168 634 254,354 402,137
18,956 52,432 137,875 518,378 65,299 206,715 2,171,462 55,675 357,165 17,023 518,244 6,174,401
4,530 297 239,004 462,041 19,962 293,169 2,219,555 10,258 41,939 29,481 437,415 5,965,353
12,328 456 314,144 682,527 60,398 302,466 2,523,249 23,677 46,453 78,927 427,607 7,981,908
128,574 1,799 483,431 775,155 79,578 305,241 2,880,658 29,050 73,755 139,191 70,357 727,823 12,125,718
789,647 0
96,501 11,624 40,089 584,956 3,500,945
253,468 2,541,005 17,956 78,768 11,961 818,068 6,818,224
749,663 3,889,563
217 1 323,734 357,625 52,767 214,295 838 2,279 268 670 678,251 994,494 1,073,818 822,264 827,097 27,814 3,429 47,513 308,644 106,199 150,071 136,442 6,729 10,292 7,490 15,603 211,194 178,935 210,789 142,996 3,293,105 2,707,453 2,461,518 2,847,460 19,041 40,706 120,264 72,346 59,812 47,858 65,529 136,900 194,685 246,297 486,449 450,363 26,018 63,970 81,556 5,393,003 881,165 722,948 1,051,297 22,332,756 12,499,275 10,348,706 12,225,081
47
386,741 87,108 794,229
18,758
34,658
32,385
73,655
108,757
Page 1 of 5
Units Georgia Kazakhstan Kyrgyzstan Moldova Russia Tajikistan Turkmenistan Ukraine Uzbekistan CIS Bahrain Iran Iraq Israel Jordan Kuwait Lebanon Oman Qatar Saudi Arabia Syria United Arab Emirates Yemen Middle East Afghanistan Australia Bangladesh Bhutan Brunei Cambodia China Fiji Hong Kong India Indonesia Japan Korea, North Korea, South Laos Macau Malaysia
1997
1998
1999
2000 14,209
2001 3,776
2002
2003
2004
2005
2006
2007
2008
24,611
26,062
72,337
73,860
95,629
182,489
507,041
317,718
479,908
778,620
649,737
659,781
533 24,611 26,062 91,095 122,727 131,790 256,677
2,849 618,647
27,967 345,685
25,716 505,624
37,972 816,592
42,598 692,335
108,546 768,327
4,500
6,221
18,417
84,786
34,492
66,513
18,282
9,922
18,471
9,752
33,692
58,899
3,044,259 97,112 506,114 36,091 17,768
2,384,043 225,485 379,462 39,533 49,383
2,979,364 219,483 108,430 691,958 23,520 45,895
2,927,575 219,076 502,796 1,875,758 77,978 50,306
3,397,416 161,439 405,384 1,938,497 26,656 22,630
10,933,476 62,303 310,137 964,676 11,923 27,543
9,663,022 216,540 269,825 991,878 7,569 28,175
9,908,764 14,557,641 447,593 257,712 5,429,793 18,935 117,888 367,976 314,297 4,279,131 11,470 46,679
13,632,298 364,659 316,362 4,414,593 20,060 10,174
17,986,195 1,101,759 292,270 5,095,778 116,187 5,468
20,446,850 1,300,085
70,480 10,754
6,470
282,610
7,095
22,631
214
2,021
121,526
52,609
15,021
4,108
38,554
Page 2 of 5
Units Maldives Mongolia Myanmar Nepal New Zealand Pakistan Papua New Guinea Philippines Singapore Sri Lanka Taiwan Thailand Vietnam Asia Pacific Algeria Egypt Libya Mauritania Morocco Sudan Tunisia Maghreb Angola Benin Botswana Burkina Faso Burundi Cameroon Cape Verde Central African Republic Chad Comoros Congo Republic Congo DR Cote d'Ivoire (IvoryCoast) Djibouti Equatorial Guinea Ethiopia Gabon Gambia, The Ghana
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
1,649
1,785
338
3,836
6,029
6,332
11,289
10,988
12,903
19,614
25,989
24,499
80,502
2 235,188 115,865 3,719,577
991 215,835 35 21,950 195,000 4,528,311
12098 33,549 126 10,020 113,036 5,933,571
15734 69,576 11 17,416 72,268 6,167,762
168 239,306 86 20,557 58,136 12,703,177
15535 98,904 56 8,546 193,976
18,779 118,388 8 14,012 99,897
32,862 141,189 26 11,633 118,047
184 426,648 75 5,404 1,075,998 20,299,929 9
10 627,686 1,648 20,461 2,052,771 27,398,468
60 4,073,914 25,985,541
3,794,465
11,645,123 16,505,288 19,927,346
20
30
20
30
15
Page 3 of 5
Units Guinea Guinea-Bissau Kenya Lesotho Liberia Madagascar Malawi Mali Mauritius Mozambique Namibia Niger Nigeria Rwanda Sao Tome and Principe Senegal Seychelles Sierra Leone Somalia South Africa Swaziland Tanzania Togo Uganda Zambia Zimbabwe Sub-Saharan Africa Argentina Bolivia Brazil Chile Colombia Ecuador Guyana Paraguay Peru Suriname Uruguay Venezuela South America Bahamas, The
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
81,619
249,204
42,626
103,818
177,664
277,138
349,146
420,593
457,921
384,983
924,729
1,190,708
81,619 171,434 793,406 4,900 18,487
249,204 74,329 862,253 4,222 4,502
42,626 61,647 1,717,864 3
103,818 74,181 1,457,783 73 8
177,664 689,527 1,440,715 68 37
277,138 301,394 811,639 314 3,406
349,146 428,713 998,353 5,007 28,059
420,593 406,303 905,829 6 6 317 2
457,921 409,028 1,148,119 14 22 236
384,983 519,983 1,417,614 447 356 356
924,729 324,786 932,968 2,000 5,180 423 358 54,318 82 1,320,115
1,190,708 423,749 850,645 345
11 135,846 2,239 1,695,515
28 400,603 5 2,339,392
32
988,227
945,306
1,779,514
1,532,045
351 2,130,698
62,672 117 1,179,542
41,196 33 1,501,361
2,801 1,315,264
1,274,771
Page 4 of 5
Units Barbados Belize Bermuda Virgin Islands, British Cayman Islands Costa Rica Cuba Dominican Republic El Salvador Grenada Guatemala Haiti Honduras Jamaica Netherlands Antilles Nicaragua Panama Puerto Rico Saint Lucia Trinidad and Tobago C America & Carrib. World
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
101
428
101
455
1,680 73
4,435 71
2,920
204 7 147
24
86
348
1,854 17,303,627 18,161,617 20,269,565 27,071,448
4,934
3,045 39,028,412
752 48,878,941
495 32,501,072
30,740,127 37,301,084 39,734,468
Page 5 of 5
Export $ summary
$ United States Canada Mexico North America Albania Austria Belgium Bosnia & Herz. Bulgaria Croatia Cyprus Czech Republic Denmark Estonia Finland France Germany Greece Hungary Iceland Ireland Italy Latvia Lithuania Luxembourg Macedonia Malta Netherlands Norway Poland Portugal Romania Serbia & Monte. Slovakia Slovenia Spain Sweden Switzerland Turkey United Kingdom
1997 61,155,238 2,471,008 4,614,759 68,241,005 13,024,854
1998 57,426,645 2,388,190 22,300,328 82,115,163 7,956,076
1999 59,249,566 1,939,778 26,916,943 88,106,287 7,665,508 824,290 498,924
2000 91,702,511 2,536,856 31,194,931 125,434,298 1,306,840 430,996 167,674
2001 87,341,066 6,946,338 52,414,947 146,702,351 498,386 225,402 75,638
2002 60,492,805 9,786,287 80,823,136 151,102,228 1,444,003 181,951 138,043 35,625
2003 78,060,927 8,824,058 84,564,636 171,449,621 1,519,986 707,197 104,142 152,734 12,958,812 4,916,506 67,359 19,483,175 21,523,085 37,841,653 43,867,549 97,211,752 898,006 5,690,480 2,250 4,390,103 104,485
2004 73,066,299 7,811,600 72,893,610 153,771,509 1,607,053 1,298,474
2005 101,608,165 5,576,073 105,044,987 212,229,225 1,465,972 5,670,727
2006 132,839,041 5,251,100 105,187,885 243,278,026 775,529 4,589,013
2007 195,331,841 6,263,185 152,756,274 354,351,300 837,814 7,397,148
2008 220,480,273 6,554,793 227,035,066
460,865 125,954,614 6,067,434 78,894 18,187,099 24,458,171 39,692,180 42,796,032 119,070,853 48,732 13,959,478 18,698 9,415,442 42,987 670
43,508 25,705 16,074,710 6,830,778 37,831 25,877,596 23,435,750 29,591,662 46,869,286 94,131,791 18,260 3,417,305 4,187 6,861,706 51,239 16,945 3,770,543 181,201 26,858,881 895,012 4,938,100 807,140 4,519,374 98,563,697 2,627,124 6,670,681 45,122,564 659,993 35,198,781
166,083 11,029,231 6,853,520 2,024 31,852,400 29,558,013 29,435,223 59,196,276 49,129,559 9,470 107,119 7,667,755 4,692 6,664,205 15,353 703 3,773,806 139,748 29,864,135 176,337 2,817,220 483,688 5,644,869 91,362,491 2,250,593 8,881,543 60,682,091 36,294,026
46,693 3,888,424 7,414,962 865 41,576,768 43,688,110 42,773,380 82,856,615 43,812,500 103 1,048 8,827,051 5,898 15,365,154 1,962
71,615
127,564 642,954 22,753,771 28,017,679 35,820,135 30,541,762 937,634 25,165,656 24,875,954 27,228,000 22,353,519 413,609 38,209 26,285,330 17,205,587 28,180,040 17,428,644 8,546,721 87,824 3,534,841 503,826 3,772,813 404,897 3,943,504 753 2,561,821 38,630
263,795 779,819 67,537 18,418,913 9,932,170 24,729,047 19,439,382 3,350,830 142,412 2,985,592 311 2,320,983 66,776
310,865 1,781,300 64,882 19,563,282 16,255,314 30,061,613 13,177,020 6,822,695 291,046 3,328,276 1,887 3,930,823 51,619
528,038 2,630,459 31,827 22,891,669 17,726,395 35,983,760 36,026,241 11,828,435 682,785 3,060,299 19,431 2,947,374 190,126
32,040,361
53,124
930,507 1,392,304 1,799,692
1,171,651 362,704 3,489,554 2,020,632
417,552 225,156 5,666,604 6,328,860
450,791 2,354,554 2,134,092 6,866,156 1,296,925
518,412 78,330 4,153,834 5,691,042 677,508 7,342,534 72,021,420 646,917 5,365,956 36,734,073 617,296 23,656,004
1,171,401 76,614 6,879,220 8,598,507 1,163,188 7,210,636 77,904,036 920,483 3,996,063 39,172,831 1,696,574 30,730,774
3,959,732 221,997 9,524,805 14,353,314 1,986,721 6,428,930 99,560,293 1,071,548 5,479,487 38,120,033 1,598,957 33,734,084
3,461,718 60,660 15,279,887 17,001,256 2,231,456 683,569 5,992,463 102,012,507 1,014,266 4,405,721 46,204,672 1,584,855 32,054,482
13,974,891 242,424 24,390,030 1,195,580 5,182,555 1,147,680 5,177,104 98,313,052 5,100,144 13,030,082 69,372,252 2,144,702 48,530,428 71,317,865 3,750,675 813,710
5,781,021 84,884,390 8,769,803 0 49,493,532 46,927,351 4,121,812 1,799,293 56,500,979 648,745 44,998,457 1,865,570 7,094,914 52,025,287 637,340 34,138,969
5,566,105 75,027,911 1,265,927 4,208,122 42,360,385 452,435 28,468,048
Page 1 of 5
Export $ summary
$ Europe Armenia Azerbaijan Belarus Georgia Kazakhstan Kyrgyzstan Moldova Russia Tajikistan Turkmenistan Ukraine Uzbekistan CIS Bahrain Iran Iraq Israel Jordan Kuwait Lebanon Oman Qatar Saudi Arabia Syria UAE Yemen Middle East Afghanistan Australia Bangladesh Bhutan Brunei Cambodia China Fiji Hong Kong India Indonesia Japan
1997 243,737,009
1998 227,907,305
1999 313,229,694
2000 254,854,528
2001 253,943,374
2002 315,866,788
2003 467,479,175
2004 635,145,188
2005 491,238,049
2006 479,426,715
2007 586,295,419
2008 108,047,350
179,699
439,296 132,600
485,396 24,899
640,696 0
2,207,098 109,798
2,382,989
2,172,742
2,954,497
2,899,240
7,118,747
7,436,325
12,421,876
9,349,918
12,196,164
19,998,822
21,508,822
21,979,633
119,500 2,382,989 2,172,742 3,134,196 3,471,136 7,629,042 8,196,521
266,660 15,005,432
3,146,770 12,496,688
1,380,150 13,576,314
5,523,640 25,522,462
1,864,780 23,373,602
3,552,090 25,531,723
1,504,012
969,388
1,148,696
2,026,762
800,251
2,133,170
1,753,588
1,433,980
1,246,088
1,550,752
2,385,981
4,239,481
15,017,790 3,739,220 8,924,495 2,547,868
15,286,638 4,120,940 5,081,708 1,510,103
14,777,117 5,045,272 1,651,015 10,321,015 1,065,706
22,877,298 9,758,561 7,070,964 18,821,665 1,956,208
37,648,187 7,943,050 6,296,233 16,215,385 1,124,118
214,324,727 3,968,188 4,461,558 9,153,316 549,140
130,930,876 12,457,630 5,760,127 11,337,615 666,806
114,669,967 15,137,534 6,468,996 16,306,810 1,064,159
197,118,038 16,643,513 14,036,377 22,536,370 1,058,732
162,274,679 11,367,149 11,516,656 23,735,013 883,027
266,350,701 33,353,708 16,433,467 23,958,845 1,209,914
354,164,878 32,901,819
1,349,269
Page 2 of 5
Export $ summary
$ Korea, North Korea, South Laos Macau Malaysia Maldives Mongolia Myanmar Nepal New Zealand Pakistan Papua NG Philippines Singapore Sri Lanka Taiwan Thailand Vietnam Asia Pacific Algeria Egypt Libya Mauritania Morocco Sudan Tunisia Maghreb Angola Benin Botswana Burkina Faso Burundi Cameroon Cape Verde Cent.African Rep. Chad Comoros Congo Republic Congo DR Cote d'Ivoire
1997 341,349
1998 189,287
1999 175,186
2000 155,156
2001 476,644
2002 553,301
2003 1,394,741
2004 1,024,876
2005 1,467,644
2006 340,416
2007 3,396,210
2008 999,267
359,641
248,331
107,565
3,079,653
258,186
229,749
5,339,883
1,034,536
1,263,586
251,537
637,138
153,282
206,724
83,344
615,239
1,277,766
769,511
1,295,664
1,318,632
1,609,017
1,892,264
3,239,541
2,866,786
21,911
85,047 1,824
75,855 1,859,444 12,578 290,383 2,768,367 39,381,543
110,453 1,762,496 38,565 207,925 3,074,972 71,555,917
185,135 5,394,634 1,050 400,451 930,003 78,951,093
23,040 6,727,962 2,529 445,864 810,853 244,152,908
419,684 15,156,243 4,262 273,120 1,782,649 188,572,888
181,147 11,074,460 1,832 975,616 2,003,372 172,695,917
105,276 13,844,239 3,085 535,193 1,497,218 272,964,376
67,448 16,171,087 10,892 250,776 1,841,407 232,153,103 337
3,051 20,439,926 16,304 1,490,952 2,389,987 375,305,725 9,638 2,215,586 398,746,724
1,485,610
3,580,379 1,542,369
34,095,178
32,822,738
515
4,405
224
515
4,405
561
Page 3 of 5
Export $ summary
$ Djibouti Equ. Guinea Ethiopia Gabon Gambia, The Ghana Guinea Guinea-Bissau Kenya Lesotho Liberia Madagascar Malawi Mali Mauritius Mozambique Namibia Niger Nigeria Rwanda Sao T & Prin. Senegal Seychelles Sierra Leone Somalia South Africa Swaziland Tanzania Togo Uganda Zambia Zimbabwe Sub-Saharan Africa Argentina Bolivia Brazil Chile Colombia Ecuador Guyana
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
6,141,322
7,095,618
5,068,334
5,127,840
9,360,205
10,221,300
22,724,337
25,284,695
27,921,968
18,670,342
52,010,773
46,691,191
6,141,322 8,215,938 21,919,842 128,145 906,412
7,095,618 4,452,240 24,238,900 385,476 121,059
5,068,334 4,972,705 38,778,400 6,650 0
5,127,840 4,600,637 30,463,754 295,438 310
9,360,205 9,863,060 29,246,862 329,614 13,067
10,221,300 5,815,002 14,844,849 10,970 92,633
22,724,337 2,780,046 15,172,731 94,207 94,840
25,284,695 4,179,357 15,360,602 8,883 26,505
27,921,968 4,414,825 18,937,336 14,628 15,545 6,449
18,670,342 10,721,456 27,919,568 40,681 17,918 75,426
52,010,773 5,068,217 17,822,720 21,702 170,872
46,691,191 5,274,440 18,223,250 15,025
Page 4 of 5
Export $ summary
$ Paraguay Peru Suriname Uruguay Venezuela South America Bahamas, The Barbados Belize Bermuda Virgin Islands, B Cayman Islands Costa Rica Cuba Dominican Rep. El Salvador Grenada Guatemala Haiti Honduras Jamaica Neth. Antilles Nicaragua Panama Puerto Rico Saint Lucia Trinidad & Tob. C Am & Carrib. World
1997
1998
1999
2000
2001
2002
2003
2004 25,200 9
2005 0 39,106 228,646
2006 10,925 98,406 200 38,884,580
2007 457 9,348 122,825 6,061 23,222,202
2008 17,814
58,372 0 31,170,337 29,197,675 43,757,755 0 35,360,139 99,929 39,552,532 12,864 20,834,690
76,571 559 18,218,954 111,854 19,712,410
189,867 23,846,402
23,530,529
23,979
77,716
19,800
31,438
62,042 8,373
32,799 1,493
29,054
7,954 1,530 627
200
8,091
4,963
94,394 498,400,809 497,199,316 538,703,403 755,815,345 885,312,748 1,021,021,623
112,008 1,041,879,802
49,054 1,037,984,841
49,013 1,414,608,034
5,590 829,588,173
Page 5 of 5
Export unit prices $
$ United States Canada Mexico North America Albania Austria Belgium Bosnia and Herzegovina Bulgaria Croatia Cyprus Czech Republic Denmark Estonia Finland France Germany Greece Hungary Iceland Ireland Italy Latvia Lithuania Luxembourg Macedonia Malta Netherlands Norway Poland Portugal Romania Serbia and Montenegro Slovakia Slovenia Spain Sweden Switzerland Turkey United Kingdom
1997 69 318 77 87
1998 65 422 92 9
1999 83 292 11 27 116 37 9
2000 83 136 11 33 48 42 8
2001 98 96 12 28 118 48 42
2002 72 410 37 49 24 127 113 424
2003 73 319 27 40 11 79 114 30 42 79 71 137 63 35 29 0 810 35 563 61 60
2004 68 457 26 39 54 30
2005 65 891 34 46 121 33
2006 94 711 31 50 63 31
2007 97 220 36
2008 89 318
58 34
35 31
198 49 20 63 48
37 39 57 42 105 86 49 45 30 1,184 638 49 1 94 313
392 39 35 58 123 52 40 46 38 103 524 27 1 134 245
105 82 82 84 45 52 430 77 82 44 48 126 66 74 39 50 27 0 589 38 176 64 28 43 20 18 743
30 119 56 89 32 37 41 0 712 76 156 19 718
53 97 59 66 37 34 28 0 523 75 2 38 846
108 95 57 92 47 34 29 0 681 7 2 28 712
78 88 61 35 31 327 212 103 163
91 85 50 38 31 961 61 1 113 131 78
104
1,968
31 55 38
34 281 26
32 355 22 16
24 45 15 13 20
114 264 17 12 34 25 32 63 128 21 54
95 168 22 13 19 24 31 39 86 21 72
31 123 20 19 25 21 35 37 74 274 23 46
11 72 23 21 21 28 31 53 74 237 25 6
11 80 27 32 16 78 25 36 65 139 183 25 40
72 521 28 51 19 65 27 37 19 136 125 28 50
65 362 30 25 38 74 36 35 71 95 154 26 46 184 43 17,313
23 33 11 43 155 16 63 77 104 90 53 42
27 35 23 12 27 55
Page 1 of 5
$ Europe Armenia Azerbaijan Belarus Georgia Kazakhstan Kyrgyzstan Moldova Russia Tajikistan Turkmenistan Ukraine Uzbekistan CIS Bahrain Iran Iraq Israel Jordan Kuwait Lebanon Oman Qatar Saudi Arabia Syria United Arab Emirates Yemen Middle East Afghanistan Australia Bangladesh Bhutan Brunei Cambodia China Fiji Hong Kong India Indonesia Japan
1997 63
1998 65
1999 46
2000 41
2001 43
2002 40
2003 39
2004 28
2005 39
2006 46
2007
2008
10
13 9
15 7
20
97
83
41
39
74
41
24
25
26
33
33
224 97 83 34 28 58 32
94 24
113 36
54 27
145 31
44
33
334
156
62
24
23
32
96
145
67
159
71
72
5 39 18 71
6 18 13 38
5 23 15 15 45
8 45 14 10 25
11 49 16 8 42
20 64 14 9 46
14 58 21 11 88
12 34
14 45 45 5
12 31 36 5 44
15 30 56 5 10
17 25
56
92
19
Page 2 of 5
$ Korea, North Korea, South Laos Macau Malaysia Maldives Mongolia Myanmar Nepal New Zealand Pakistan Papua New Guinea Philippines Singapore Sri Lanka Taiwan Thailand Vietnam Asia Pacific Algeria Egypt Libya Mauritania Morocco Sudan Tunisia Maghreb Angola Benin Botswana Burkina Faso Burundi Cameroon Cape Verde Central African Republic Chad Comoros Congo Republic Congo DR Cote d'Ivoire (IvoryCoast)
1997 19
1998 4
1999 4
2000 3
2001 21
2002 20
2003 50
2004 9
2005 31
2006 33
2007 621
2008 93
56
15
136
1,206
114
44
20
84
61
17
93
116
247
160
212
122
115
120
125
96
125
117
77 9 912 18 15 13 9 9 359 13 14 9
9 53 306 21 27 12
12 78 95 23 13 13
137 28 29 22 14 19
27 153 76 32 9 16 94 229 70 20 10
3 98 119 46 13 14
367 38 145 46 2 11 37
305 33 10 73 1
33 104 161 73 1
147
37
147
37
Page 3 of 5
$ Djibouti Equatorial Guinea Ethiopia Gabon Gambia, The Ghana Guinea Guinea-Bissau Kenya Lesotho Liberia Madagascar Malawi Mali Mauritius Mozambique Namibia Niger Nigeria Rwanda Sao Tome and Principe Senegal Seychelles Sierra Leone Somalia South Africa Swaziland Tanzania Togo Uganda Zambia Zimbabwe Sub-Saharan Africa Argentina Bolivia Brazil Chile Colombia Ecuador Guyana
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
75
28
119
49
53
37
65
60
61
48
56
39
75 48 28 26 49
28 60 28 91 27
119 81 23 2,217
49 62 21 4,047 39
53 14 20 4,847 353
37 19 18 35 27
65 6 15 19 3
60 10 17 1,481
61 11 16 1,045 707 27
48 21 20 91 50 212 33 16 19 11 12 21 44
Page 4 of 5
$ Paraguay Peru Suriname Uruguay Venezuela South America Bahamas, The Barbados Belize Bermuda Virgin Islands, British Cayman Islands Costa Rica Cuba Dominican Republic El Salvador Grenada Guatemala Haiti Honduras Jamaica Netherlands Antilles Nicaragua Panama Puerto Rico Saint Lucia Trinidad and Tobago Central America & Carribean World
1997
1998
1999
2000
2001
2002
2003
2004
2005 3,555
2006 390 0 40 17
2007 1 26 2 74
2008 558
1 285 32 31 25 23 19 110 18
2 17 12 40 15
2 85 14
182
196
69
7 21
10
39 219 4
94
14
23 29 27 27 28 29 27 26
16 27
Page 5 of 5

World Electricity Meter Report 2009

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World Electricity Meter Report 2009

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World Electricity Meter Report

ABS Energy Research

1.0 Executive Summary

Manufacturers and company consolidations

2.0 Meter population and demand

9,000,000,000 8,000,000,000 7,000,000,000 6,000,000,000 Value $ and euro 5,000,000,000

200,000,000 180,000,000 160,000,000 140,000,000 120,000,000 100,000,000 Meter units

2008 4,993,418,164 3,396,883,124 129,000,402

2009 5,327,948,715 4,194,909,611 137,589,467

2010 6,233,811,708 4,908,181,125 147,936,873

2011 7,036,348,323 5,540,093,158 158,904,348

2012 8,357,991,433 6,580,750,328 176,038,489

2.0 Meter population and demand, Continued

800 Million endpoints

2.0 Meter population and demand, Continued

Continued on next page

2.0 Meter population and demand, Continued

Table 2.2: Composition of demand in 27 leading European countries

2.0 Meter population and demand, Continued

2.0 Meter population and demand, Continued

Continued on next page

2.0 Meter population and demand, Continued

Continued on next page

2.0 Meter population and demand, Continued

Continued on next page

2.0 Meter population and demand, Continued

Continued on next page

2.0 Meter population and demand, Continued

3.0 Outlook and demand drivers

Positive and negative factors

3.0 Outlook and demand drivers, Continued

3.0 Outlook and demand drivers, Continued

New household connections

3.0 Outlook and demand drivers, Continued

1985 1,114,217 3,723,141 2.9 5.1

2000 1,187,980 4,867,069 2.5 4.4

2015 1,214,394 5,939,972 2.2 3.8

2030 1,209,507 6,902,473 2.1 3.3

Source: UN World Population Prospects

Figure 3.2: Numbers of households by region, 1985 to 2030

Source: UN World Population Prospects

3.0 Outlook and demand drivers, Continued

4.0 Terminology of meters

Electromechani cal induction meters, also called mechanical or Ferraris meters

Solid state, also called static, or electronic

Time of use meters (TOU)

4.0 Terminology of meters, Continued

Automatic Meter Reading (AMR)

Advanced Metering Infrastructure (AMI)

4.0 Terminology of meters, Continued

4.0 Terminology of meters, Continued

Meter Data Management (MDM) Communication modules

5.0 Meter companies Big players and rising stars

The origins of the metering industry electricity, gas and water

5.0 Meter companies Big players and rising stars, Continued

5.0 Meter companies Big players and rising stars, Continued

The metering industry in 2009

5.0 Meter companies Big players and rising stars, Continued

5.0 Meter companies Big players and rising stars, Continued

5.0 Meter companies Big players and rising stars, Continued

Large national player Osaki GE Chinese companies Indian companies

Annual meter demand in home country 4,825,000 10,042,000 52,000,000 15,504,000

6.0 Country Profiles