The main purpose of smart metering is matching the energy consumption to the energy generation,issuing of accurate energy bills,reduce load,peak load shaving,disconnect/reconnect electricity remotely and interface with Water and Gas meters. A conventional electricity meter only reads how much energy is being used. However, by contrast, smart meters give information on how and when the energy was used.
Depending on the customer, and how he adjusts the energy use as a consequence of receiving this information, smart meters can help save significant amounts of money on your energy bills - estimates are between 3% and 15%.
It's not just about cutting on energy bills, smart metering also helps reducing harmful Green House emissions to the environment by the proper management of energy usages that reflects in power generation reduction.
The functionality of smart metering is not only limited to energy savings ,least to say there are many more advantages such as accurate energy readings,the ability of the remote connect and disconnect operations,as well as the ability of interfacing water and gas metering into one complete system which reduce costs and save natural resources.