Nelson residents could begin seeing the city’s electricity meter system replaced in 2027 after city council approved the next step in a project designed to modernize how electricity use is measured and managed.
Council voted to allow Nelson Hydro to submit an application to the British Columbia Utilities Commission for a certificate of public convenience and necessity, a required approval before work can begin in the utility’s rural service area.
If approved by the commission later this year and by council in late 2026, the three-year project would replace aging automated meter reading (AMR) technology with an automated metering infrastructure (AMI) system.
For customers, the biggest change would be the introduction of smart meters capable of two-way communication with the utility. Nelson Hydro said the technology would eliminate drive-by meter reading, improve outage detection and restoration, give customers more detailed information about their electricity use and support future programs such as time-of-day pricing.
The utility said many of its existing meters have been in service since the mid-2000s and are reaching the end of their practical lifespan. As replacement parts become more difficult to obtain, maintaining the current system is expected to become more expensive.
The proposed project carries an estimated capital cost of $7.4 million over three years, with $3.1 million covering the rural portion that requires B.C. Utilities Commission approval.
According to Nelson Hydro, rural customers would see an estimated rate increase of about 2.2 per cent over three years, or roughly 0.7 per cent annually, to pay for the project. The utility said replacing the existing system with new AMR meters instead would also increase rates, although by a slightly smaller amount.
Nelson Hydro said it is also exploring partnerships with municipal electric utilities in Penticton, Summerland and Grand Forks to share technology, expertise and operating costs, which could further reduce the financial impact on customers.
Beyond billing, the utility said the new system would help crews identify power outages more quickly, reduce the number of vehicle trips needed for meter reading and service calls and provide customers with more detailed information to help manage energy use.
The utility estimates those operational changes could reduce greenhouse gas emissions by about 180 tonnes of carbon dioxide equivalent through fewer truck trips.
Not everyone is expected to welcome the new technology. Nelson Hydro acknowledged some customers may have concerns about smart meters and said it plans to address those concerns through public engagement, transparent communication and an opt-out program for automated meter reading.
The utility said it has been discussing the project with the community since 2020 through public meetings, online presentations and social media.
Two approvals remain before installation can begin: a decision from the B.C. Utilities Commission, expected later this year, and final approval from city council before construction is scheduled to begin in January 2027.
