What is a smart meter? How does prepaid electricity work


Prepaid electricity is a service that allows consumers to purchase electricity before using it. The customer pays for the amount of electricity they desire up front, and each subsequent usage of electricity deducts from the banked amount of electricity that was pre-purchased. After paying a minimal startup fee, the customer would have the opportunity to buy electricity in different amounts of energy, known as kilowatt-hours (kwh). Each business or residence that participates in prepaid electricity would be equipped with an advanced metering system, often referred to as a “smart meter.” This smart meter would have all the capabilities of a standard electric meter, but would also have the built-in technology that enables the meter to communicate directly with the residence or business owner via a smart phone or simply through their electric account on the company’s website.

The smart meter starts by processing and verifying energy usage directly through a consumer’s Transmission and Distribution Utility (TDU). The total amount of kilowatt-hours is measured on the smart meter, and in instances of apartments and subleased businesses, a submeter may also be installed which measures each individual unit’s consumption of energy. There are many benefits for using a smart meter to measure your electricity output. One advantage is that smart meter users no longer require an electric company associate to travel to their residence to read the meter. The smart meter can transmit necessary data directly to the consumer’s phone. On top of that, this is a much quicker process than having to schedule an appointment and wait for the technician to interpret the standard electric meter. Second, most standard electric meters will only update the energy output once a month, whereas typical smart meters update the electricity consumption every 15 minutes. This offers the customer a much more accurate and up to date overview of how much energy they have remaining on their prepaid electricity. Next, having real-time updates on energy usage in a customer’s domain will allow them to measure the energy output on bigger appliances such as a washer and dryer or an air conditioning unit. This will help the consumer monitor areas of increased electric output which can enable them to consciously decide to cut back on electricity usage in order to stretch out their prepaid electricity as well as helping the environment by lowering pollution and, in some instances, detrimental emissions. One final advantage of using a smart meter for prepaid electricity rests in the capability of the meter to transmit data when there is a problem. When there is a power outage in a particular area, the electric company is immediately able to see that the smart meter is out of order and that electricity needs to be restored to a particular business or residence. In the rare event that the meter is malfunctioning, the electric technician can access and service the smart meter remotely rather than having to make a time-consuming trip out to the smart meter.

Prepaid electricity in Dallas Texas requires NO contract and NO commitment. Prepaid electricity also eliminates the need for a deposit or a credit check. Money talks! Once the money is given up front, the customer has fulfilled their end of the transaction and the electric company them fulfills its end of the transaction by providing the amount of energy that was purchased. In the event that the customer’s energy reserve is running low or depleted, the smart meter can notify the consumer and allow them to instantly purchase additional energy (kWh). Using prepaid electricity also allows the consumer to add a credit card which CAN be authorized to be charged in case of total energy depletion. This service would authorize the electric company to automatically purchase the lowest block of energy, but would prevent the energy from being completely cut off at a moment’s notice. This allows for some wiggle room in case a consumer is unavailable to get on their electric company’s mobile app or website to replenish their energy reserves. Using prepaid electricity puts the customer in complete control of their energy consumption experience. Prepaid electricity offers the customer the choice to be more frugal in the energy they expend in an effort to save money, or more lavish in the times that can be afforded.

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