# India’s smart meter programme reshapes power distribution

- Link: https://www.directorstalkinterviews.com/india-s-smart-meter-programme-reshapes-power-distribution/4121259388
- Published: 2026-08-05T15:42:00+01:00
- Author: Amilia Stone

India is replacing conventional electricity meters with smart prepaid meters under
the Revamped Distribution Sector Scheme, launched by the Ministry of Power in July
2021. The programme targets roughly 25 crore meters and is the largest smart metering
rollout in the world.

By early 2026, around 5.8 crore smart meters had been installed against a target
of about 23 crore. Installations were running at more than 80,000 units a day. Projects
had also been sanctioned for 45 distribution utilities across 28 states and union
territories, covering nearly 20 crore consumers, more than 52 lakh distribution 
transformers and over 2 lakh feeders.

This creates a large, multi-year implementation opportunity across meter manufacturing,
communications systems, software, installation, data management and grid services.
The pace of execution, contract delivery and utility funding will remain central
risks, but the scale and policy support give the programme strategic importance 
within India’s power infrastructure market.

A smart meter records electricity use every 15 to 30 minutes and sends the data 
directly to the distribution company. This removes the need for manual readings 
and reduces estimated bills, data-entry errors and long gaps between consumption
and billing.

Consumers can monitor usage through a mobile application, receive low-balance alerts
and recharge their accounts in prepaid mode. Distribution companies gain frequent
information on consumption, payment behaviour and unusual activity across the network.

Metering at feeder and distribution transformer level adds another layer of control.
Utilities can compare the amount of electricity entering a local network with the
amount recorded by connected customer meters. Any unexplained gap can be narrowed
to a specific area, reducing the cost and time required for investigation.

Prepaid operation limits the build-up of unpaid consumption because electricity 
is purchased before use. Remote connection and disconnection also reduce the need
for field visits and give utilities tighter control over defaulting or illegal accounts.

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