Smart metering under EU data protection law

Abstract

Smart metering systems require an early awareness of their massive implications with data protection and privacy issues. Consideration from the outset enables the development of special architectures designed for privacy, which may decisively reduce privacy risks. The requirement for the obligatory consent of consumers to the installation of smart meters should be avoided, since it threatens the goals—improvements in energy and cost efficiency as well as consumer information—of the new technology. The collection and processing of the detailed consumption data of consumers could be based on various other legal foundations, of which the existence of a specific and valid legal obligation is the most favourable and firmly based as far as it reasonably balances the needs of the utility providers and the privacy rights of the consumers. Consumer's privacy rights may not be overridden, since their positive acceptance of and active use and involvement in the new technology are key concerns and parameters for achieving its very creditable goals.