Customers, consultant, and consumer groups fault PG&E for ignoring growing concerns
Smart meters seemed like a good idea at first glance — a little wireless device that, unlike it's dumb analogous predecessor, would track precise readings of household energy usage in real time, identifying wasteful activities and helping consumers make informed choices about conservation and consumption.
Considered a crucial first step in enabling a smart grid that would modernize the existing power grid for the information age, the technology was touted as offering potential benefits such as cheaper service, fewer new power plants and transmission lines, cleaner air, and more reliable services.
But Pacific Gas & Electric Co.'s $2.2 billion program for installing smart meters has now become the subject of caustic criticism by thousands of customers and activists as the culprit for skyrocketing rates, adverse health effects, and threats to privacy.
Since deployment began in California in 2009, consumers have mobilized to halt the spread of the devices, demanding further studies of the technology and options for those who don't want to join the rush toward a wireless world. Thirty-three local governments have called for moratoriums on the installation of the devices.
The California Public Utilities Commission, which in 2006 authorized the state's investor-owned utility companies to install more than 10 million meters in California, has done little to quell the storm of protests and concerns. But that began to change March 10 when CPUC President Michael Peevey announced that the agency would require PG&E to develop an opt-out proposal for consumers within two weeks.
Prefacing the decision with an observation that almost every speaker against smart meters the CPUC heard from was a PG&E customer, Peevey called out Northern California residents as the main opponents to the program.
"I am directing PG&E to prepare a proposal for our consideration that will allow some form of opt-out for customers who object to these devices, at a reasonable cost to be paid by the customers who choose to opt-out," Peevey said at the hearing. "Obviously I cannot prejudge how this commission will evaluate any such proposal by PG&E, nor can I predict what PG&E itself will propose. But I think it's clear the time has come for some kind of movement in the direction of customer opt-outs."
But the announcement did little to quell the opposition by the scores of customers, local governments, health professionals, and advocacy groups that claim it undercuts the true concerns while simultaneously opening another avenue the utility behemoth could profit from.
"Admitting to the problem is the first step to resolving it," says Joshua Hart, executive director of grassroots organization Stop Smart Meters!, which has been at the forefront of the rebellion. "But we obviously think a ton of things were left out of this."
The makeup of the meter haters spans interests and ideals, from Tea Party conservatives to liberal environmentalists. Their unifying trenchant criticism of Peevey, who was president of Edison International and Southern California Edison Company until 1995, has only increased with each meter installed. PG&E has already replaced 74 percent of its analog electrical meters and 83 percent of its gas meters.
Resolutions critical of PG&E's smart meter deployment have been passed by many Bay Area cities and the counties of Santa Cruz and San Luis Obispo. Assemblymember Jared Huffman (D-San Rafael) introduced a bill in December 2010 that would create a statewide system for opting out.
Although PG&E officials didn't return repeated Guardian calls about the controversy, they have told other media outlets that the meters are completely safe and installation is continuing as scheduled, despite the growing furor.