India is accelerating the rollout of smart electricity meters as part of a wider effort to modernise power distribution and improve the financial and operational performance of electricity utilities.
The Ministry of Power has directed States and Union Territories to speed up smart meter installations and ensure compliance with updated metering requirements. The move strengthens implementation under the Revamped Distribution Sector Scheme and other state-led programmes. The direction follows amended metering regulations introduced by the Central Electricity Authority in 2026. Where suitable communications networks are available, electricity supply is required to use smart meters that comply with Indian Standards. The requirement applies to both prepaid and postpaid customers.
The scale of the programme is significant. Smart metering projects worth about ₹1.31 lakh crore have been approved under the Revamped Distribution Sector Scheme. These projects are expected to cover around 19.79 crore consumers, 2.05 lakh feeders and more than 52.53 lakh distribution transformers. Smart meters are only one part of the wider modernisation effort.
Around ₹1.53 lakh crore of projects have been approved for infrastructure aimed at reducing distribution losses. A further ₹2,627 crore has been allocated to Supervisory Control and Data Acquisition and Distribution Management Systems across 394 towns.
India has also approved about ₹3,999 crore for information technology and operational technology upgrades. These include Enterprise Resource Planning systems and Geographic Information System mapping.
Special smart distribution projects worth ₹8,608 crore have been sanctioned across seven major cities. These projects include underground cabling, transformer health monitoring and other measures designed to improve the reliability and visibility of electricity networks.
Smart meter adoption is no longer being driven only by individual utility decisions. Central policy is pushing States and distribution companies towards broader compliance, which gives the programme a clearer implementation framework.
Smart meters can improve billing accuracy, energy accounting and consumption monitoring. They can also give distribution companies better information on electricity use and network conditions. Prepaid meters can support advance collection of revenue, while digital consumption data can help utilities manage demand more effectively.
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