The Government is proposing that from 2008 all newly installed free of charge electricity meters will indicate a household’s energy consumption and cost, thus allowing the customer to see directly how much electricity they are using and which appliances are the heaviest users.

“The provision of real-time displays with smart meters has the potential to transform how households manage their energy use,” the White Paper reads. “Our objective is to see that households have access to this new technology as soon as possible to enable them to control their emissions.”

There are also plans to help customers make individual energy cuts, as well as show their energy usage compared to previous periods – a move that, according to the Government, could reduce CO2 emissions by 0.2 million tones a year.

But the Energy Retail Association (ERA), which represents the major energy suppliers, called the move a “gimmick”, while the National Consumer Council (NCC) criticised the Government for making “gizmo gestures”.

“These units will not give consumers the detailed information they need to reduce their energy bills and save the environment,” said Ed Mayo, chief executive of the NCC.