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Smart meter study uncovers privacy leaks, UC research

26 April 2017: The use of smart meters to record water, electricity or gas usage could place consumers’ privacy and security at risk, a University of Canberra cybercrime expert has warned.

Director of the Centre for Internet Safety at the University of Canberra Nigel Phair said that while smart meters are revolutionising Australian households, the risks associated with using the technology is not being fully communicated to consumers.

In his report Smart Meters: What does a connected house really mean?, Mr Phair examined the use and benefits of smart metering, which measures the amount of water, electricity or gas used in a home or business, and transmits the data to the utility operator in real-time.

“Smart meters save energy providers from having to manually read consumption patterns at a meter and provide consumers with bills based on accurate levels of energy use,” Mr Phair said.

“This one-way metering that pushes data to the provider is cost effective and secure, and it provides significant benefits to both consumers and operators.”

However, Mr Phair has raised concerns about the use of two-way meters which are more commonly used by electricity providers, allowing them to push data back to the meter.

“Not only is this method more costly, but it opens up cyber security and privacy issues. The meter can be hacked and when a home has a number of internet-connected devices such as alarms or garage doors, the risk is heightened.”

Mr Phair said information transmitted by a smart meter is often unencrypted and can reveal details such as the age and brand of an appliance and when it is being used in the home.

“An insecure and accessible smart meter is a great way to tell when homeowners are away for extended periods of time,” he said. “Rather than search Facebook postings, burglars will just be able to tap into video feeds, or see when the refrigerator was last opened.”

He said energy providers and retailers had an obligation to fully explain to consumers using two-way smart meters the risks associated with the device and how the information it collects is used.

Mr Phair also believes the government has a role to play in keeping consumers safe online.

“Over the past 60 years government legislation has made cars safer and consumers make choices based on a vehicle’s safety rating,” he said.

“We need to bring this thinking into the online environment, particularly smart meters and develop digital security standards so consumers can feel safe using this technology.”

  • Mr Phair is available for interview on 0408 437 056 and the report is available here.

Contact the University of Canberra media team:

Amanda Jones 0409 140 415

Antony Perry 0434 795 919