There are several inhibitors to a faster adoption of PLC (OFDM) technology: the relatively higher energy consumption, the long timeframes inherent in adopting a new technology, and the relatively low data transfer of PLC (OFDM) electric energy meters, judging by the performance of current pilot programs.
PLC modules (OFDM, orthogonal frequency division multiplexing) for smart electricity meters come in different varieties (e.g., PRIME, G3-PLC, etc.) that typically have data rates above 10 kbps and theoretical upper limits approaching or exceeding 300 kbps. PLC FSK, S-FSK, and other variations usually have data rates below 10 kbps.
Smart metering implementations are supposed to increase energy efficiency and reduce costs. However, interviews with suppliers familiar with PLC-based smart metering (OFDM) installations suggest that these meters consume so much energy that the objectives are undermined. In Spain, for example, installed PLC-based electricity meters reportedly use an additional 5 to 10 W of electricity, while S-FSK PLC meters use only around 1 or 2 W. Furthermore, there is evidence that PLC-based installations perform similarly to, or even worse than, existing PLC installations (<10 kbps). For example, in France, ERDF PLC-based smart electricity meters (OFDM) have experienced problems with all meters attempting to communicate simultaneously. Chinese suppliers indicated that the performance difference between PLC-based (OFDM) and PLC-based (S-FSK) in real-world installations was so similar that the extra cost of making the transition was not worthwhile.
While these technical issues currently represent the main inhibitor to PLC (OFDM) adoption, even in their absence, the multi-year process of switching to a new metering communication technology would delay any transition. First, existing contracts for the installation of PLC FSK and S-FSK electricity meters must be fulfilled. Then, governments, meter manufacturers, and utilities must successfully coordinate to begin the transition to a new technology. And finally, there is the need to resolve technical difficulties or faults that can often only be identified after the installation has been launched. PLC (OFDM) electricity meters have several hurdles to overcome before widespread adoption is a possibility. In particular, the cost of increased energy consumption must be reduced or offset by value generated elsewhere (for example, through improved home network integration or other added functionalities). The electricity meter market has undergone numerous technological transitions; however, the payoff needs to be clearer before PLC (OFDM) can begin to gain traction more aggressively.
