Meter tampering, bypassing, and uncollected revenue continue to plague energy companies, resulting in significant financial losses. These “non-technical losses” pose a significant challenge for energy providers worldwide, costing them tens of billions of dollars annually. Ahmed Ashour, CEO and co-founder of Pylon UMP in Egypt, emphasised the urgent need to address these issues, highlighting the global loss of between $80 billion and $100 billion due to fraudulent practices and ageing infrastructure.
In an interview with Urban Acres, Ashour stressed the importance of finding a comprehensive solution to combat this trifecta of revenue loss, which includes uncollected revenue, fraudulent behaviour, and outdated infrastructure. To tackle these challenges, he outlined several key features that an ideal solution should encompass: accessibility, comprehensive data analysis, theft and suspect detection, workforce management, upgrade planning, and customer relationship management.
Collecting data is crucial in identifying areas with the highest losses, enabling energy companies to take targeted action. Based on the findings, Ashour explained that data analysis helps determine where smart meter upgrades are necessary. This approach allows companies to overcome financial hurdles, reduce losses, and address various challenges effectively.
Ultimately, integrating energy companies with smart grids is vital to the solution. Ashour emphasised that utilities can upgrade their systems cost-effectively and sustainably by leveraging smart grid technology. Drawing on an example from Cairo, Ashour highlighted the success of a company that had struggled with high non-technical losses. With 6.5 million customers across 24 regions, the company has been unable to increase its revenues. However, after piloting 180,000 smart meters, they could detect losses equivalent to 40% of the previously lost revenue.
Implementing smart grids revolutionises the fight against meter tampering and fraud, empowering energy companies to address revenue losses effectively. By leveraging advanced data analysis, theft detection, and comprehensive planning, these companies can significantly reduce financial losses and ensure a more sustainable and secure energy future. Integrating smart meters into existing infrastructure paves the way for enhanced operational efficiency and increased revenues, ultimately benefiting the energy providers and their customers.
