Germany Ranks Last in the EU for Smart Meter Rollout

Metering point operators were supposed to equip at least 20 percent of this mandatory segment by the end of 2025. Of the 800 companies covered, 434 failed to reach even that quota, and in more than 40 grid areas not a single meter was installed. The Bundesnetzagentur now plans to use coercive fines against operators that have not met their obligations.

The problem mainly affects smaller firms. The 19 largest operators, each with more than 500,000 metering points, exceeded the target with almost 30 percent. The roughly 600 operators with fewer than 30,000 metering points average just over 19 percent, which suggests they are overwhelmed by the rollout.

Strict rules and a weak grid picture

Another cause is the strict security regime the federal government originally chose. Smart meters could only be transported sealed to prevent tampering, and German devices must also be able to actively control consumers, which is often technically unnecessary. Since summer, households can voluntarily choose a "Smart Meter light" that only records consumption.

The effect of smart meters on the grid should not be overstated, but the low installation rate points to a wider problem: the poor digitalization of the power grid. Many distribution grid operators do not know how heavily their lines and transformers are loaded, and where and when. That is a key reason connections for wind turbines, solar plants, battery storage and charging stations are delayed.