Notice

Non-domestic smart meter rollout: energy supplier obligations

Published 2 July 2025

Detailed below are the binding obligations as set out in the standard energy supplier licence conditions (SLCs).

Scope of obligations

If metering in a non-domestic site falls under electricity profile classes 1-4 or has gas consumption below 732 MWh/year (these tend to be smaller non-domestic sites), then it will be covered by what is referred to as the ‘smart metering mandate’ and be in scope of smart meter rollout obligations.

Large electricity supplies (profile classes 5-8 and 00) and large gas supplies (consumption over 732 MWh/year) are required by energy supply licence conditions (regulated by Ofgem) to have advanced meters fitted. These tend to be larger non-domestic organisations, such as Industrial and Commercial (I&C) businesses.

Obligations with respect to smart meter installation targets

• SLC 39 (Electricity)
• SLC 33 (Gas)

In June 2020, the government confirmed a new 4-year policy Framework (the ‘Targets Framework’) with fixed minimum annual installation targets for energy suppliers, subject to tolerance levels. The 4-year framework applies to all domestic and non-domestic energy suppliers and took effect from 1 January 2022. Non-domestic specific targets were introduced for all energy suppliers for Year 3 (2024) and Year 4 (2025) of the Framework. This change ensures that the benefits of smart meters are maximised in both domestic and non-domestic sectors.

Find more information on current targets.

Obligations with respect to meter choice

• SLC 39 (Electricity)
• SLC 33 (Gas)

Microbusinesses covered by the smart meter mandate must be offered SMETS meters by their energy supplier, subject to roll-out duty exceptions.

In 2018 the government confirmed changes in licence conditions which allowed energy suppliers to offer non-microbusiness energy consumers with sites covered by the smart metering mandate a choice between an advanced meter and a SMETS meter.

Suppliers are permitted to offer SMETS only metering to their non-microbusiness customers if they wish to do so. However, where a supplier chooses to offer an advanced meter, the choice must also include the offer of a SMETS meter. If an energy supplier does offer a choice to non-microbusinesses, they must explain the differences between these metering solutions so organisations can make an informed decision regarding the most suitable metering solution for their needs.

Obligations with respect to the Consolidated Metering Code of Practice (COMCoP)

• SLC 42 (Electricity)
• SLC 36 (Gas)
• Retail Energy Code

The COMCoP specifies the activities involved in installing, maintaining, and managing electricity and gas meters. It sets out the minimum standards that shall be complied with by those registered to perform work within the scope of the CoMCoP. It is a consolidation of 4 previous Codes of Practice into one combined document. The CoMCoP has replaced these previous Codes of Practice: 

• Metering Operators Code of Practice (MOCoP)
• Metering Code of Practice (MCOP)
• Automated Meter Reading (AMR) Service Providers Code of Practice (ASPCoP)
• Smart Metering Installation Schedule (SMIS)

Non-Domestic Aspects of the Smart Metering Installation Schedule (SMIS):

Energy Efficiency Advice: Includes provisions for providing tailored energy efficiency advice to microbusinesses at a time appropriate to their needs during the installation process.

Installation process: Includes provisions to accommodate reasonable requirements of a microbusiness when scheduling a visit, taking all reasonable steps to minimise the impact of the install on a microbusiness and notifying them of any relevant charges in advance.

See the CoMCoP.

Obligations with respect to the New and Replacement Obligation

• SLC 39 (Electricity)
• SLC 33 (Gas)

The New and Replacement Obligation (NRO) came into effect in 2019 and requires energy suppliers to take all reasonable steps to install a compliant smart meter wherever a meter is replaced or where a meter is installed for the first time (such as in new premises) at domestic and non-domestic premises. The NRO is subject to exemptions that mirror the smart meter roll-out duty exceptions.

Obligations with respect to customer data

• SLC 51 (Electricity)
• SLC 45 (Gas)

In 2022 energy supplier obligations were strengthened to improve the data offer that non-domestic energy customers receive with their smart meter, to help them save costs and reduce energy consumption. Below is a summary of supplier obligations:

• an on-request data offer: since 1 December 2022 non-domestic consumers (of all sizes) and their nominated third parties can request free access to up to 12 months of their historic smart or advanced meter energy use data from their energy supplier. Energy suppliers must respond to requests within 10 working days.
• awareness raising requirements with respect to data: since 1 December 2022 energy suppliers must regularly raise all non-domestic customers’ awareness of the routes by which they can access, or nominate a third party to access, their smart or advanced meter energy use data for free.
• a default data offer: since 1 October 2024 energy suppliers must provide, or make available, free, user-accessible energy use information to smaller non-domestic customers with smart or advanced meters, for example, via an app, data tool or online platform.

Find more information on customer data.

Obligations with respect to operating Smart Metering Systems

• SLC 48, 49 (Electricity)
• SLC 42, 43 (Gas)

The government decided in August 2017 that all energy suppliers to non-domestic premises should use the DCC for the operation of SMETS2 meters. This decision was taken to ensure that non-domestic consumers with smart meters had access to fully interoperable smart meters and the benefits that this brings.

Most energy suppliers to non-domestic premises were required to become DCC Users by 31 August 2018 (the ‘DCC User mandate’). Energy suppliers to larger non-domestic consumers, with only advanced meters, are exempt from the DCC User mandate. Suppliers are also responsible for ensuring that smart meters operate as intended and send automatic readings to suppliers. Ofgem is responsible for regulating energy suppliers against their obligations.

Best practice principles

Non-domestic smart meter contingent contract best practice principles

The government has worked with industry to establish best practice principles for smart contingent contracts and tariffs in the non-domestic sector. Key principles include:

• Fair customer access
• Proportionate enforcement
• Customer awareness
• Customers served by Third Party Intermediaries (TPIs)

See the full principles.