A leading energy supplier has welcomed the government initiative.
Every home in Britain will have a smart meter by the end of 2020 under government plans to reduce household bills and lower emissions.
Smart meters can be used by suppliers to remotely log consumers' energy use, while customers can use the meters to see how much energy they are using. The government plans were backed by British Gas, which is currently operating a trial of the meters in nearly 50,000 homes and businesses.
British Gas managing director Phil Bentley claimed that the meters would become the "single greatest revolution in energy use" since every UK home was switched to natural gas in the 1970s.
"At British Gas, we have the largest smart meter trial in the country, and we know this technology has helped put our customers back in control of their energy usage, helping them use less energy, cut carbon emissions and save money," he explained.
"Smart meters will also ensure our homes are as energy efficient as possible, and they will open the gateway to new technologies for renewable electricity generation in the home - and the 'smart grid' of the future."
Climate change and energy secretary Ed Miliband told GMTV that the cost of upgrading the UK's meters would be spread over a "long period" of between ten and twenty years.
