How Smart Meters Are Driving Grid Infrastructure in India

India is undertaking one of the largest smart metering transformations globally, entirely on a public-private partnership (PPP) basis, said Vikas Gaba, partner and national head – Power & Utilities, KPMG India, at the CII (Confederation of Indian Industry) Conference on Smart Metering held on May 6 in New Delhi.

Gaba said, "In the past 5–6 years, we've seen a rapid evolution—from a small, niche sector to a robust industry with manufacturing and implementation capabilities in place. Today, we have about 61 Advanced Metering Infrastructure Service Providers (AMISPs) and over 100 supply chain players active in this space."

India has set a target of over 250mn smart meter installations by March 2026 under the National Smart Grid Mission. Arun Sharma, CEO, Resonia (formerly Sterlite Grid) said, "This represents a massive $20bn opportunity. Metering is becoming so important and central to electricity generation, transmission and its use." Sharma added.

Smart meters are digital devices that measure and record electricity consumption in real-time and relay the information to the utilities, unlike traditional meters that require manual readings. They provide precise, time-stamped consumption data, voltage levels and power quality metrics.

Gaba said when consumers experience benefits such as faster outage restoration, transparent billing and improved ratings, their confidence increases, leading to deeper engagement. 

He added, "Customers must feel safe and secure when sharing sensitive information. Utilities must uphold transparency and data protection policies and be responsive when things go wrong."

In the event focusing on optimising smart metering and policy environment for its future, Gaba said shifting from traditional to smart meters is a multi-faceted change involving technical, economic, social and behavioural aspects.

Till now, close to 28mn smart consumer meters have been installed. The reasons for the slow progress of the mission are believed to be delays in tender issuance and tepid response from consumers due to a lack of awareness. According to reports, so far, only 18 states and union territories have initiated smart meter installations.