Linky meters: the Court of Auditors welcomes a lower cost than forecasts but criticizes Enedis' remuneration conditions – 11/29/2024 at 10:46

Linky meters: the Court of Auditors welcomes a lower cost than forecasts but criticizes Enedis' remuneration conditions – 11/29/2024 at 10:46
Linky meters: the Court of Auditors welcomes a lower cost than forecasts but criticizes Enedis' remuneration conditions – 11/29/2024 at 10:46

(AFP/DAMIEN MEYER)

The deployment of Linky meters amounts to 4.6 billion euros, which is 18% lower than the initial forecast, including savings of 880 million on the conditions of purchase and installation of the meters, according to the Court of Auditors Thursday November 28.

A generally positive assessment. The deployment of Linky smart electricity meters took place

satisfactorily,

estimated the Court of Auditors on Thursday November 28 in its “follow-up control” on the deployment and use of these meters. The mass deployment of “Linky” meters was carried out by the electricity network manager Enedis “within the allotted deadlines and

at a cost lower than initial forecasts,

making this industrial program a success recognized by most stakeholders,” explains the Court.

It amounts to

4.6 billion euros,

what is

18% lower

to the initial forecast, with in particular savings of 880 million on the conditions of purchase and installation of meters, according to her. But the rue Cambon institution emphasizes that the financing of the program is

“derogation from the usual remuneration

of Enedis' regulated assets and is not subject to any adjustment” for future years, until the end of the program. It evaluates this “additional remuneration” at

311 millions

for the period 2016-2023, with a guaranteed rate of remuneration

until 2041.

She also points out that Enedis benefited

an “advantageous” remuneration system,

with a bonus of 407 million between 2016 and 2022, under “incentive regulation”, that is to say its ability to achieve performance objectives (cost, deadline, etc.).

Finally, the manager benefited from a

“complex and expensive” mechanism

of “tariff differential” which was “ultimately borne by consumers”. “The incentives for the deployment of the Linky program, whether in terms of its financing, the incentive regulation methods for achieving objectives or the tariff deferral mechanism, have been

particularly advantageous

for Enedis”, writes the Court. “The Energy Regulatory Commission (CRE) must ensure that the gains received by Enedis due to the specific remuneration regime for Linky assets will be

financing employees

of its network investment program”, she adds.

“Linky contributes to the stability of the electricity network”

But the Court also sees

benefits from the deployment of Linky,

with in particular the reduction in reading costs and small interventions, which have become feasible remotely, as well as the

reduction of certain losses

linked to metering anomalies or billing errors. “A part of these gains was passed on to consumers through the reduction in the cost of certain services,” she underlines.

“Linky also contributes to the

stability of the electricity network

by participating in the balance between supply and demand for electricity during periods of tension, as was the case during the winter of 2022-2023″, underlines the Court. These meters thus made it possible to avoid 'have recourse to

exceptional cuts

during the mid-day consumption peak. On the other hand, the Court considers that the results in commercial terms and control of energy demand are

“still disappointing.”

She also underlines that the reduction in losses linked to fraud “has been hampered by the effects of the increase in electricity prices from 2022”.

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