Household energy saving will benefit from plans to fit smart meters in all homes across the UK by 2020, according to the government.

The proposals were released yesterday (December 2nd 2009) by the Department for Energy and Climate Change (DECC), which said the programme would be rolled-out through the electricity suppliers.

Lord Hunt, the energy and climate change minister, stated that the smart meters would improve energy saving in the home, reduce carbon emissions and cut fuel bills.

These savings would occur, he explained, because the equipment will make it easier for householders to monitor how much electricity they are using.

"Smart meters will put the power in people's hands," he added.

Responding to the DECC's announcement, Consumer Focus welcomed the move but called on the government to ensure it is not entirely funded by residents.

Zoe McLeod, energy expert at the association, said: "This is key to helping customers identify how they can reduce energy use and save money.

"We are however concerned that consumers don't write a blank cheque to fund smart meter roll-out."