Domestic smart meter contract win First Utility

RNS Number : 7550B

Smart Metering Systems PLC

21 June 2016

 

21 June 2016

Smart Metering Systems plc

("SMS" or "the Company")

New domestic smart meter contract win with largest independent UK energy supplier

Contract with First Utility Limited

Smart Metering Systems plc (AIM: SMS.L), the integrated metering services company that connects, owns, operates and maintains over one million current generation smart meter and data assets in the UK, is pleased to announce that it has signed a framework agreement with First Utility Limited ("First Utility"), the largest independent UK-based energy supplier serving electricity, gas and dual fuel customers, as its preferred domestic smart meter asset provider.

Under the terms of the non-exclusive agreement, SMS will provide domestic smart meters to First Utility customers as part of the UK Government programme, overseen by the Department of Energy and Climate Change, requiring domestic energy supply companies to provide all of their customers with a smart meter in homes and small businesses across the UK by 2020.

First Utility currently supply energy to circa one million homes in the UK. Under the terms of the agreement, SMS will, over the next 18 months, gain ownership of up to 150,000 domestic dual fuel smart meters. The meters will be funded by SMS, supported by its revolving credit facility.

To date, suppliers with whom SMS has contracted for the domestic smart rollout currently provide services to 1,549,000 homes in the UK market.

Phil Gripton, Chief Operating Officer of First Utility, said:

"We are pleased to establish our partnership with SMS as part of our commitment to the Smart metering programme. We are confident that working hand in hand with SMS will support First Utility's ambitions in the next phase of our Smart meter rollout. SMS bring a wealth of knowledge and experience which we believe will support the successful deployment of this technology into our customers' homes."

Alan Foy, Chief Executive Officer of SMS, commented:

"We are delighted to be working with First Utility, the largest independent energy supplier in the UK in the rollout of their smart meter programme between now and the end of 2020. SMS is well positioned for this new market with a strong track record for customer services and asset ownership and management. This is exemplified by the recent acquisitions of Trojan Ltd and CH4 Ltd who have installed over 400,000 domestic smart meters to date for energy suppliers, and Qton Ltd whose market leading meter field force installation and management software services has overseen over one million meter installs so far."

For further information:

Smart Metering Systems plc	0141 249 3850
Alan Foy, Chief Executive Officer
Glen Murray, Finance Director
Cenkos Securities plc	0131 220 6939 / 0207 397 8900
Neil McDonald
Nick Tulloch
Kreab	020 7074 1800
Matthew Jervois
Natalie Biasin
Daniel Holgersson

Notes to Editors

UK Domestic Smart Meter Market

The domestic smart meters project is overseen by the Department of Energy and Climate Change and aims to install smart meters in homes and small businesses across the UK by 2020.

While DECC are responsible for the overall project management and monitoring, Ofgem are responsible for ensuring customers are protected during the installation phase. Capita has been appointed as the project manager for the data communications standards and Smart Energy GB (a Government funded body) are responsible for the communications campaign.

Market size and outlook

This initiative requires homes and small businesses in the UK to have smart or advanced meter functionality by 2020. Over 3 million have already been installed across the UK. This will require significant investment for rolling out and replacing approximately 22 million domestic gas meters and 27 million electricity meters.

About Smart Metering Systems

Established in 1995, Smart Metering Systems plc, headquartered in Glasgow, and also based in Livingston, Cardiff, Cambridge, Bolton, Doncaster, Rugby, and Normanton, connects, owns, operates and maintains metering systems and databases on behalf of major energy companies.

The Company provides full infrastructure design, installation, consultancy and project management services for new gas, electricity, water and telecoms connections for licenced energy and telecoms suppliers, end consumers and the UK's licensed electricity Distribution Network Owners (DNO's). The Company's full end to end energy services and consultancy business support large blue chip companies in the UK, as well as in Europe through its office in Milan.

The patented "plug and play" ADM™ device is deployed to approaching 100,000 industrial and commercial meters in the UK, which then delivers remote meter reading and half-hourly consumption analysis from installed gas meters with accreditation secured for potential application to water meters.

The Company was admitted to the AIM market in July 2011 and is now part of the FTSE AIM 50 index. For more information on SMS please visit the Company's website: www.sms-plc.com

About First Utility Limited

First Utility, the largest of the independent suppliers, has more than 950,000 customers - one-in-four of all non-big six customers. First Utility continues to champion the customer in terms of driving low prices for domestic gas and electricity for its customers. To find out more about First Utility, visit: www.first-utility.com

 

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