Role of Smart Meters in Combating Electricity Theft: An Analytical and Critical Study

Abstract

Over the years, the Government of India has undertaken various methods to combat and deal with electricity theft. The introduction of Section 135 which penalizes electricity theft was the first attempt at creating a deterrence for electricity theft. Furthermore, the law has also resorted to imposing harsh penalties & punishments, creation of special courts, and some state governments have even created special police stations to deal with electricity theft. Despite these steps, electricity theft continues to be an issue in the country which is a major contributor to the T&D losses and has led to a very poor financial health of the distribution companies. The installation of smart meters is expected to help in providing a long-term solution to the problem of electricity theft. This research paper attempts to discuss the nature and working of smart meters. Thereafter, it lists the advantages of installing smart meters especially in preventing and detecting electricity theft. India has started its journey towards incorporation of smart meters and the paper elaborates upon this journey by reflecting upon the latest available data and the issues and challenges that the states are facing in this journey. The paper has also deliberated upon the issues that may arise in the future. Having identified the issues, the paper concludes with a comprehensive discussion on suggestions to resolve existing issues and to resolve future issues as well. Much focus has been put upon data privacy in this paper. Through this paper, the author intends to provide a detailed study of the technical and legal aspects of smart meter installation and to study and predict its positive as well as negative effects. The author also desires to provide solutions to the negative effects discussed in the paper.