The global growth of prepaid electricity programs has been steady and gradual in recent years. But with the increasing adoption of smart meters across the world, the prepaid metering market is now poised to take off at a larger scale. Hardware, software, and service vendors are seeing increasing opportunities, as utilities worldwide are preparing to launch new prepaid programs or expand their existing prepaid services to a larger customer base. The prepaid electric metering market is being driven in large part by customer and utility benefits in the form of energy efficiency and cost savings. Another major driver is the growing adoption of smart grid technology, especially advanced smart meters, to facilitate the deployment of prepaid systems with smart prepaid meters.
Pike Research estimates that the installed base of prepaid electric meters was over 20 million worldwide in 2011, and this figure is expected to surpass 23 million in 2012. With a relatively modest compound annual growth rate (CAGR) of 9.1% during the 2010-2017 forecast period, the installed base will reach about 33.7 million meters on a global basis in 2017. From a revenue standpoint, the total prepaid meter device market is expected to reach $1.2 billion in 2012. As utilities increasingly take advantage of prepaid programs in the coming years, they will have a growing need for software and services to support their prepaid systems. Pike Research anticipates that the prepaid services market will reach $263 million, while the prepaid software market will account for about $210 million in revenues on a global basis in 2012.
This Pike Research report analyzes the global opportunity for prepaid electric metering, including an in-depth assessment of the hardware, software, and services segments of this market. The study examines the business drivers, challenges, and competitive dynamics that will define the next generation of prepaid electric metering in the smart grid age. Key industry players are profiled, and detailed market forecasts for units and revenue are provided through 2017.
Key Questions Addressed:
- How has the prepaid electricity market evolved during the last few years?
- What is the size of the total prepaid electricity market on a year by year basis – worldwide and regionally – from 2010 through 2017?
- What are the growth trends in the prepaid market on a global and regional basis, and which market segments offer the most promising opportunities?
- What are the various market forces driving and inhibiting growth with respect to prepaid electric metering?
- What types of prepaid electricity programs are available today?
- Who are the key vendors in the prepaid electricity market? What are their key capabilities and strengths and what type of competition do they face?
Who needs this report?
- Smart grid hardware and software companies
- Systems integrators and consulting firms
- IT and systems vendors
- Energy service companies
- Utilities
- Government agencies
- Investor community
Table of Contents
1. Executive Summary
1.1 Introduction to the Worldwide Prepaid Electric Meter Market
1.2 Market Opportunities
1.3 Market Forces
1.4 Competitive Landscape
2. Market Issues
2.1 Introduction and Background
2.1.1 Benefits of Prepaid Programs
2.1.2 Prevalence of Prepaid Programs
2.1.3 Technological Advancements Remove Barriers to Adoption
2.2 Definition of Prepaid Metering and Electric Services
2.2.1 Conventional Electronic Prepaid Metering
2.2.2 Meters with a Disconnect Collar
2.2.3 Smart Prepaid Meters
2.3 Prepay System Infrastructure
2.4 Driving Factors
2.4.1 Increased Awareness of the Significant Benefits of Prepay to Both Consumers and Utilities
2.4.1.1 Benefits to the Consumer
2.4.1.1.1. Better Financial Management and Budgetary Control
2.4.1.1.2. Greater Visibility to Energy Use and Cost
2.4.1.2 Benefits to the Utility
2.4.1.2.1. Revenue Protection, Cash Flow, and Fewer Debt Write-Offs
2.4.1.2.2. Cost Savings
2.4.1.2.3. Lower Risk and Protection against Theft of Electricity
2.4.2 Improved Energy Conservation
2.4.3 Increasing Use of Prepay as a Component in Large Enterprise Systems
2.4.4 Technology Advancements
2.4.4.1 AMI and Smart Metering Infrastructure
2.4.4.2 Prepayment for Electric Vehicle (EV) Drivers
2.4.4.3 Use of iPhones and PDAs
2.4.4.4 Use of Prepayment in Telecom and Other Industries
2.4.5 The Economic Slowdown and Recession
2.5 Inhibiting and Challenging Factors
2.5.1 Lack of Support and Objections from Consumer Advocate Groups and Regulatory Agencies
2.5.2 The Cost of Prepaid Meters
2.5.3 Different Rate Structures for Post- and Pre-Pay Consumers
2.5.4 Lack of Integration of Prepaid Systems with Other Automation Systems
2.6 Regional Perspective
2.6.1 The Americas
2.6.1.1 The United States
2.6.1.2 Canada
2.6.1.3 Latin America
2.6.1.3.1. Argentina
2.6.1.3.2. Colombia
2.6.1.3.3. Cayman Islands
2.6.1.3.4. Brazil
2.6.2 Europe
2.6.2.1 The United Kingdom
2.6.2.2 Northern Ireland
2.6.3 Asia Pacific
2.6.3.1 Australia
2.6.3.2 New Zealand
2.6.3.3 India
2.6.3.4 China
2.6.4 Middle East/Africa
2.6.4.1 South Africa
2.6.4.2 Kenya
2.6.4.3 Ghana
2.6.4.4 Saudi Arabia
3. Competitive Landscape
3.1 A Diverse and Changing Competitive Market
3.1.1 Prepaid Metering Devices
3.1.2 Prepaid Software
3.1.3 Prepaid Services
3.2 Potential Competitive Threat of Telecom Service Providers
3.3 A Winning Value Proposition
3.4 Prepaid Metering Vendor Profiles
3.4.1 Aclara Technologies LLC (Aclara)
3.4.2 Calico Energy Services
3.4.3 Convergys
3.4.4 Echelon
3.4.5 Elster Group SE (Elster)
3.4.6 eMeter
3.4.7 Exceleron Software, Inc.
3.4.8 HCL Technologies (HCL)
3.4.9 Itron
3.4.10 KEMA
3.4.11 Landis+Gyr
3.4.12 Oklahoma Electric Cooperative (OEC)
3.4.13 Oracle
3.4.14 PayGo Electric
3.4.15 Prepaid Energy Solutions (PES)
3.4.16 PwC
3.4.17 Siemens
3.4.18 Utility Integration Solutions (UISOL)
3.4.19 Wipro Technologies
4. Market Forecasts
4.1 Forecast Introduction
4.1.1 The Market Conditions for Prepaid Electric Services
4.1.2 Assumptions Determining This Forecast
4.2 Worldwide Prepaid Electric Meters by Type and Region
4.3 Worldwide Prepaid Electric Meters by Type
4.3.1 Conventional Prepaid Meters
4.3.2 Prepaid Meters with Disconnect Collar
4.3.3 Smart Prepaid Meters
4.4 Prepaid Electric Meter Revenue
4.5 Prepaid Electric Meter Services Revenue
5. Company Directory
6. Acronym and Abbreviation List
7. Table of Contents
8. Table of Charts and Figures
9. Scope of Study, Sources and Methodology, Notes
9.1 Overview
9.2 Data Collection
9.3 Defining Prepaid Electric Metering and its Offerings
9.3.1 Consulting
9.3.2 Implementation
9.3.3 Outsourcing
List of Charts and Figures
- Prepaid Electric Meters by Type, World Markets: 2010-2017
- Prepaid Electric Meters by Type, World Markets: 2011-2017
- Prepaid Electric Meters by Type, Year-to-Year Growth, World Markets: 2011-2017
- Share of Total Prepaid Market by Type, World Markets: 2012
- Share of Total Prepaid Market by Type, World Markets: 2017
- Prepaid Electric Meters by Region, World Markets: 2010-2017
- Prepaid Electric Meter Share by Region, World Markets: 2012
- Prepaid Electric Meter Share by Region, World Markets: 2017
- Conventional Prepaid Meters by Region, World Markets: 2010-2017
- Smart Prepaid Meters by Region, World Markets: 2010-2017
- Prepaid Meter Revenue by Type, World Markets: 2010-2017
- Prepaid Meter Revenue by Region, World Markets: 2010-2017
- Prepaid Meter Services Revenue by Region, World Markets: 2010-2017
- Prepaid Meter Services Revenue by Segment, World Markets: 2010-2017
- Prepaid Meter Services Revenue for Smart Meter Installations by Region, World Markets: 2010-2017
- Prepaid Meter Software Revenue by Region, World Markets: 2010-2017
- Prepaid Meter Software Revenue for Smart Meter Installations by Region, World Markets: 2010-2017
- Carina Technology’s CarinaPoint Disconnect Collars
- The Total Meter and Prepaid Electric Metering Markets
List of Tables
- Prepaid Electric Meters by Type, World Markets: 2010-2017
- Prepaid Electric Meters by Region, World Markets: 2010-2017
- Conventional Prepaid Meters by Region, World Markets: 2010-2017
- Conventional Prepaid Meters by Region, Year-to-Year Growth, World Markets: 2010-2017
- Prepaid Meters with Disconnect Collar by Region, World Markets: 2010-2017
- Prepaid Meters with Disconnect Collar by Region, Year-to-Year Growth, World Markets: 2010-2017
- Smart Prepaid Meters by Region, World Markets: 2010-2017
- Smart Prepaid Meters by Region, Year-to-Year Growth, World Markets: 2010-2017
- Prepaid Meter Revenue by Type, World Markets: 2010-2017
- Prepaid Meter Revenue by Region, World Markets: 2010-2017
- Conventional Meters and Prepaid Meters with Disconnect Collar Average Selling Price and Revenue, North America: 2010-2017
- Conventional Meters and Prepaid Meters with Disconnect Collar Average Selling Price and Revenue, Latin America: 2010-2017
- Conventional Meters and Prepaid Meters with Disconnect Collar Average Selling Price and Revenue, Europe: 2010-2017
- Conventional Meters and Prepaid Meters with Disconnect Collar Average Selling Price and Revenue, Asia Pacific: 2010-2017
- Conventional Meters and Prepaid Meters with Disconnect Collar Average Selling Price and Revenue, Middle East/Africa: 2010-2017
- Prepaid Meter Services Revenue by Region, World Markets: 2010-2017
- Prepaid Meter Services Revenue by Region, Year-to-Year Growth, World Markets: 2010-2017
- Prepaid Meter Services Revenue by Segment, World Markets: 2010-2017
- Prepaid Meter Services Revenue by Segment, Year-to-Year Growth, World Markets: 2010-2017
- Prepaid Meter Services Revenue for Smart Meter Installations by Region, World Markets: 2010-2017
- Prepaid Meter Software Revenue by Region, World Markets: 2010-2017
- Prepaid Meter Software Revenue by Region, Year-to-Year Growth, World Markets: 2010-2017
- Prepaid Meter Software Revenue for Smart Meter Installations by Region, World Markets: 2010-2017
- Share of Total Prepaid Market by Type, World Markets: 2012
- Share of Total Prepaid Market by Type, World Markets: 2017
- Prepaid Electric Meter Share by Region, World Markets: 2012
- Prepaid Electric Meter Share by Region, World Markets: 2017
- Prepaid Electric Meters by Type, Year-to-Year Growth: 2010-2017
- Prepaid Metering Services Revenue by Region, Year-to-Year Growth: 2010-2017
- Prepaid Meter Software Revenue by Region, Year-to-Year Growth: 2010-2017