Business Energy Meter Types UK: Profile Classes, AMR, Smart and Half-Hourly Explained

The meter installed at a business premises is not simply a consumption counter. It determines how a business's electricity use is settled between suppliers and the national grid, how often data is read, the accuracy of billing, and in some cases the range of tariff options available. Many businesses have meters they do not fully understand, and the consequences - inaccurate billing, inappropriate profile class, missed half-hourly settlement benefits - can have direct cost implications.

Profile classes: the foundation of non-domestic settlement

The Balancing and Settlement Code (BSC), administered by Elexon, governs how electricity consumed in Great Britain is allocated between licensed suppliers for settlement purposes. For the majority of non-domestic meter points that are not half-hourly metered, consumption is not measured continuously. Instead, it is estimated using standard load profiles - curves that describe how a typical customer in a given category uses electricity across the day, week, and year. Each meter point is assigned a profile class (PC) that determines which standard load profile applies to it.

Profile classes 01 and 02 are domestic. The relevant non-domestic classes are:

• Profile Class 03: non-domestic unrestricted. The most common class for small commercial premises with a single-rate meter. Includes offices, small retail, cafes, and similar uses with no time-of-use pricing.
• Profile Class 04: non-domestic with Economy 7 or similar two-rate economy. Applies to non-domestic premises with off-peak and peak rate metering, often used by businesses with overnight storage heaters or refrigeration.
• Profile Class 05: non-domestic maximum demand metered, with a maximum demand below 100 kW, settled on a half-hourly basis but using an agreed load profile. Transitional class following P272 reclassification.
• Profile Class 06: non-domestic maximum demand metered, 100 kW and above, settled half-hourly.
• Profile Class 07: non-domestic, high load factor, maximum demand above 100 kW.
• Profile Class 08: non-domestic, agricultural and similar large-site profiles.

Profile classes 05 to 08 are typically associated with larger commercial connections and half-hourly or maximum demand metering. The profile class of a meter point can be confirmed by the supplier or by checking the MPAN documentation.

What P272 changed and its legacy

Before 2017, many non-domestic meter points with maximum demand metering (between 100 kW and a higher threshold) were settled using profile classes 05-08 - estimated profiles rather than actual half-hourly data - even though the meters physically recorded half-hourly consumption. Elexon's P272 modification required that all meter points in profile classes 05-08 with half-hourly capable meters be moved to half-hourly settlement by April 2017.

The practical effect of P272 was that many medium-sized business sites moved from estimated settlement to settlement based on their actual half-hourly consumption data. This exposed consumption patterns - including peaks - that had previously been invisible in settlement terms. Some businesses saw bill increases where their actual consumption pattern was worse than the standard profile, and some saw reductions where their pattern was more efficient.

P272 is now historic, but its legacy is that a significant tranche of non-domestic meter points that were previously on profile classes 05-08 are now half-hourly settled. Businesses that went through P272 reclassification should be aware that their settlement basis changed at that point.

Advanced meters and AMR

Automated Meter Reading (AMR) technology allows consumption data to be transmitted automatically from the meter to the supplier without a physical read. AMR meters record consumption at half-hourly intervals and transmit the data via a communication module. The meter itself may be an older design that has been retrofitted with AMR communications hardware.

Key features of AMR metering in the business context:

• Consumption data is available to the supplier and, through data access arrangements, to the customer on a near-real-time basis
• Estimated bills are eliminated for AMR-connected sites, removing the main source of billing disputes
• Half-hourly data from AMR meters feeds directly into settlement for half-hourly settled customers
• AMR meters are owned and maintained by a Meter Operator (MOP) appointed under the BSC arrangements, not by the supplier

The MOP is a separate contractual relationship from the supply contract. The MOP installs, maintains, and owns (or manages) the metering equipment. The Meter Asset Manager (MAM) manages the data flows from the meter into the settlement systems. In many cases the supplier arranges the MOP and MAM on the customer's behalf as part of the supply arrangement, but businesses with bespoke I&C contracts may appoint their own MOP.

Smart meters in the non-domestic context

The government's smart meter rollout programme, overseen by DESNZ and implemented by suppliers under Ofgem licence obligations, applies to both domestic and non-domestic customers. For business customers, the smart meter obligation requires suppliers to take all reasonable steps to install a smart meter when a customer requests one or when existing metering requires replacement.

Non-domestic smart meters use the SMETS2 (Second Generation Smart Metering Equipment Technical Specifications) framework for smaller business sites. For larger sites with maximum demand metering, the Advanced Metering Infrastructure arrangements under the BSC apply rather than SMETS2.

A SMETS2 smart meter for a business site provides:

• Half-hourly consumption data accessible through the supplier's online portal or data access services
• Remote meter reads, eliminating estimated billing
• In-home display functionality (of limited relevance for most commercial sites)
• The technical capability for time-of-use tariffs, though availability of TOU products for non-domestic customers varies by supplier

Half-hourly metering: obligations and benefits

Half-hourly (HH) metering is mandatory for all non-domestic electricity connections with a maximum demand at or above 100 kW. At this threshold, the BSC requires that actual half-hourly consumption data is used for settlement rather than estimated profiles. The meter records consumption in 30-minute intervals continuously, and the data is submitted to the settlement systems through the MAM.

For businesses below the 100 kW threshold, half-hourly metering is optional but available. The benefit is billing accuracy and access to consumption data. The potential drawback is that half-hourly settlement exposes actual consumption peaks, which may attract higher capacity or distribution charges on pass-through contracts where network costs are charged at actual usage rather than flat rates.

Businesses considering upgrading to half-hourly metering below the mandatory threshold should model the likely billing impact of exposing their actual consumption pattern before making the switch, particularly if they operate processes with significant peak demand.

Checking meter data and accessing consumption records

Business customers have the right to access their consumption data. For AMR and smart-metered sites, this data is typically available through the supplier's online portal. For sites with half-hourly metering, data access is also available through the Data Collector and Data Aggregator arrangements under the BSC.

A business should periodically verify:

• The profile class assigned to its MPAN and whether it is appropriate for its consumption pattern
• Whether it is settled on an estimated profile or on actual half-hourly data
• Whether its MOP contract is current and the meter is being maintained
• Whether its half-hourly data contains any missing or estimated intervals, which can affect bill accuracy

If a business believes its meter is incorrectly classified or that its settlement data contains errors, a formal dispute can be raised with the supplier, which must investigate and rectify the position under its supply licence obligations.

Frequently asked questions

Editorial disclaimer: This article explains non-domestic electricity meter types and settlement arrangements as governed by Elexon's Balancing and Settlement Code and Ofgem licence conditions. It does not constitute technical or commercial advice for any specific installation.

How does a business find out which profile class its meter is on?

The profile class is embedded in the MPAN (Meter Point Administration Number). The top line of the MPAN contains a two-digit profile class identifier. A business can also ask its supplier directly for the profile class of its meter point, or check the meter documentation provided at the time of installation. The supplier is obligated to provide this information on request.

Who owns the meter at a business premises?

The meter is typically owned or managed by the Meter Operator (MOP) appointed under the BSC metering arrangements, not by the business or the supplier. The MOP is responsible for installation, maintenance, and calibration of the meter. In some cases, particularly for older larger-site installations, the meter may be owned by the business itself under a private metering arrangement, but this is less common. The MOP contract is separate from the supply contract.

Can a business request a different type of meter?

Yes. A business can request that its supplier arrange a meter upgrade - for example, from a standard credit meter to an AMR or smart meter. The supplier has obligations under the smart meter rollout programme to take all reasonable steps to install a smart meter when requested. Meter upgrades may involve an installation charge depending on the contract terms and whether the business's premises require physical works to accommodate new metering equipment.

What is maximum demand and why does it matter for billing?

Maximum demand is the highest rate of electricity consumption recorded at a site over a defined measurement period (typically 30 minutes). For sites above the 100 kW threshold, maximum demand determines the mandatory profile class and metering requirement. On some contract types, particularly pass-through contracts, the maximum demand recorded during the month may trigger a capacity or availability charge separate from the unit rate. Understanding maximum demand helps businesses identify whether reducing peak consumption could reduce charges.

What happened to profile class 05-08 meter points after P272?

Under the P272 BSC modification, all meter points registered in profile classes 05-08 that had half-hourly capable meters were required to migrate to half-hourly settlement by April 2017. After migration, these meter points are settled using their actual half-hourly consumption data rather than standard load profiles. The meter points retain an MPAN and are now classified as half-hourly settled rather than profile-class-settled. Any meter point that was reclassified under P272 will show this in its settlement records held through the Data Aggregator and Collector.

How we verified this

This article draws on the Elexon Balancing and Settlement Code documentation published at elexon.co.uk, Ofgem supply licence conditions and smart meter rollout guidance at ofgem.gov.uk, and DESNZ smart meter policy documentation at gov.uk. The P272 modification is documented in Elexon's published modification decisions. No aggregator or broker content was used as a primary source.

Sources

• Elexon: Profile classes - elexon.co.uk
• Elexon: P272 modification - elexon.co.uk
• Ofgem: Smart and advanced meters - ofgem.gov.uk
• DESNZ: How smart meters work - gov.uk

For more on how energy contracts are structured, see business-energy-suppliers-uk. For half-hourly metering in the context of new connections, see new-business-energy-connection-uk.