BALTIMORE, Jan. 8 (UPI) -- Baltimore Gas and Electric announced it will begin testing on a new line of smart meters, aimed at regulating prices and blackouts for the consumer.
The "smart" electricity meter could potentially pinpoint power outages, automatically turn household appliances off when electricity gets too expensive and reduce the need for new power plants, the Baltimore Sun reported.
The meters cost, on average, at least $100 to install, but advocates insist long term savings consumers will receive will pay off.
Consumers would be rewarded for using less power during peak demand times. The new technology works by allowing utilities to measure a customer's power use on an hourly basis without the need for meter readers.
"It costs less to not use (electricity) than it does to construct new generation," said Ray Dotter, a spokesman for PJM Interconnection, which manages the power grid for Maryland, the District of Columbia and 12 other states and supports the use of smart meters.
Currently, the majority of customers pay the same electricity rate everyday, regardless of when they're using energy. The wholesale price of energy changes throughout the day.
Using the smart meter, utilities could use the data to offer customers different rates for using power at different times of day. It encourages customers to reduce their energy use during times when it costs the most and demand is highest.
