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GSM Meters Let Energy Customers Pay By Text

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Smart pre-pay electricity meters that do away with the need for cards and coins by letting customers top up their balance via a text message from their mobile phone are to be introduced in the UK.

GSM Meters Let Energy Customers Pay By Text

The ‘Instant Energy’ service, based on GSM-enabled meters that have been developed by LogicaCMG and manufacturer Iskraemeco, also eliminates the need for suppliers to make site visits by letting them read, configure and control meters using the T-Mobile network and SMS messaging platform.

A pilot scheme carried out at 97 locations during June and July this year saw over 900 SMS messages sent. As well as the credit purchase channel - which was favoured by 54 percent of participants - customers can also top-up their gas or electricity via the web, in stores or via a call centre.

LogicaCMG believes the approach will make prepayment metering a more cost-effective way of managing customer payment and debt, and has the potential to reduce energy suppliers’ costs by up to a fifth by streamlining business processes too.

It also offers a way of reducing the £150m in outstanding payments that the industry incurs every year, said Rick Hanks, the company’s principal consultant for energy and utilities. “The real-time nature of the product enhances the operational data quality received, providing energy suppliers with the means to monitor and bill accurately, whilst reducing fraud and misdirected payments.”

Published on 4 November 2005

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Last modified 2006-06-08 11:16 AM