Pay as You Go Electricity
by Garry Roth, President of Woodstock Hydro

Woodstock Hydro uses a device called "Pay as you go Electricity". We have been involved in the "pay as you go " program since 1989. The system is a voluntary program for our customers. Approximately 25% of our residential customer base use the "pay as you go system" and love the empowerment the system gives them.

"Pay as you go Electricity" is a pre pay device that gives customers more control over their energy consumption and allows them to conserve and manage electricity. The smart meter can be used as a pre pay device with a display unit or a post pay device with a display unit.

If you can monitor it you can manage it.
The utility connects a smart meter to the meter socket and the customer plugs in a display unit into any electrical wall outlet in their home. The display unit communicates through the house wiring to the smart meter. The customer takes a smart card to the local variety store and buys power in any dollar amount they like. No more surprise high hydro bills in fact no more bills. The customer gets information from the display unit in real time. The customer can see what they are using in dollars and cents per hour (something they understand) instead of the confusing kilowatt hour information that is on the normal post paid bill. The customer is now in control of their electricity. They can see what each appliance costs them and can conserve.

The traditional post paid metering systems, that electric utilities use is very customer unfriendly and promotes energy inefficiency. Let me explain, utilities have been using the traditional post paid meter for over 90 years. They put the meter outside the customers home where the customer cannot see the meter. The meter has funny dials that very few know how to read and the energy is measured in something the consumer does not understand -- Kilowatt hours. The utility than sends a customer a bill, that is usually difficult to understand, and where the customer has no ability to monitor or manage their energy usage.

Utility Benefits:

If we use less energy the supply system needs to deliver less. That means less generating capacity needs to be developed or can be developed more slowly.

In the short term it might be possible to take dirty, coal burning generation off line.

It means the distribution systems that are in place will last longer.

Smart Meters combined with Pay As You Go means further cost reductions to our local utility.

Account receivable losses are eliminated. Personnel time to disconnect and reconnect is also eliminated. Every time the energy customer uses the smart card to buy energy the local energy supplier is provided with information on the amount of energy that particular consumer used, eliminating the need to have meters physically read. High bill complaints virtually disappear because this system is similar to filling up gas in your car. You don't complain to Esso or Shell if your car is using too much gas, we have found out that the customer takes responsibility for their energy use with this product. Collection costs are reduced dramatically. Cash flow for the utility is increased.