India’s Smart Meter Industry Powers Ahead with ₹9,000 Crore Revenue Target by FY26 – EQ
In Short : Smart meter manufacturers in India are expected to see a 20% revenue increase, reaching ₹9,000 crore by FY26, according to CRISIL. This growth is driven by the government’s Smart Meter National Programme, aiming to replace 25 crore conventional meters by 2025–26. Increased demand, improved collections, and better billing efficiency are boosting the sector’s prospects and long-term profitability.
In Detail : India’s smart meter manufacturing industry is set for robust growth, with revenue projected to rise by 20% and reach ₹9,000 crore by FY26. This surge is being driven by the government’s ambitious Smart Meter National Programme (SMNP), which aims to modernize the country’s electricity infrastructure through widespread adoption of smart metering technology.
According to a CRISIL report, the sector is benefiting from strong policy support and implementation momentum. The SMNP targets replacing 25 crore conventional electricity meters with smart meters by 2025–26, significantly boosting demand for advanced metering systems over the next two years.
Currently, over 1.3 crore smart meters have been installed nationwide. The next phase will see a rapid scale-up, with bulk deployments planned by major distribution companies under the Revamped Distribution Sector Scheme (RDSS), further fueling demand for smart meters and related components.
Smart meters allow for real-time monitoring, remote disconnection, and pre-paid billing, enhancing transparency and operational efficiency. Their widespread adoption is expected to significantly reduce aggregate technical and commercial (AT&C) losses for discoms by enabling better revenue collection and reducing billing errors.
The CRISIL report also highlights that operating margins for smart meter makers are likely to remain stable, as economies of scale and improved manufacturing processes bring down production costs. Moreover, many companies are expanding their capacity and technological capabilities to cater to both domestic and export markets.
With continued policy support, financial incentives, and increasing awareness among utilities and consumers, the smart meter ecosystem in India is poised for long-term, sustainable growth. The upcoming years will be critical in transforming India’s power distribution landscape through digital and data-driven solutions.
