Welcome to the second part of our interview with Klemen Belec, Chairman of the DLMS UA Technical Board and a key leader in advancing energy standards worldwide. This segment uncovers how LTE has become the backbone of communication standards, ensuring seamless interoperability across diverse regions.

You can read first part of the interview here.

Which communication standards and technologies are most used for smart metering systems in Africa and how are distribution companies ensuring interoperability of communication systems across different regions?

In Africa, communication standards for smart metering are relatively uniform and direct. Unlike Europe, which experienced a gradual evolution of mobile networks from 2G to 4G, Africa, in many cases, leapfrogged directly to 4G, making LTE the dominant technology for smart metering. Currently, LTE serves as the primary communication method for most African distribution companies. While future technologies like NB-IoT or CAT-M1—widely used in Europe—might become relevant, LTE effectively meets the current demands of smart metering systems across the continent.

In Europe, smart metering solutions often required a 2G fallback feature due to the widespread presence of legacy networks. However, this has not been a requirement in Africa, where 2G networks were never as prevalent. Most African countries transitioned directly to LTE, eliminating the need—and even the possibility—for fallback options. Even in Europe, this reliance on 2G is gradually diminishing as networks phase out 2G services. Operators are reducing the number of 2G base stations, expanding macro cells to maintain coverage, but simultaneously lowering the capacity and throughput of the remaining 2G infrastructure.

In recent years, European utilities requested 2G as a backup connectivity option to ensure network redundancy in case of primary network failures. However, mobile networks in Europe have proven to be highly stable, with minimal primary network outages. This reliability has prompted utilities to increasingly rely on a single mobile technology without the need for older network backups. This mirrors the situation in Africa, where LTE is not only the primary technology but often the sole option for smart metering. Given Africa’s network structure, this approach is unlikely to pose any challenges.

When planning the rollout of smart metering communication networks across Africa, there’s no universal solution. For instance, in Egypt, we are involved in a large-scale project deploying PLC (Power Line Communication) technology in densely populated urban areas with well-constructed power networks. In these environments, PLC has demonstrated effective and reliable communication. However, PLC may not be as suitable for broader, less populated regions of Africa, where the distances between metering points are greater. In such rural or sparsely populated areas, mobile networks, particularly LTE, offer greater practicality, reliability, and reach to maintain connectivity over longer distances. Therefore, PLC is advantageous in urban settings, while mobile networks are better suited for rural coverage.

In Egypt, some of the current large rollout project are based on G3 PLC technology. This G3 hybrid is now reaching readiness for field pilots in Europe. While there have been some implementations in the Far East, most vendors are just beginning to offer products ready for field testing to assess the added value of integrating RF technology into G3 PLC networks.

I am eagerly awaiting the results of the first pilots in Europe to evaluate the real-world benefits RF technology can provide alongside PLC. While African countries could consider adopting the G3 hybrid, they should be aware that they may also participate in this ongoing trial phase, which could reveal the need for further adjustments. I believe this technology has strong potential, but we currently lack sufficient field experience to understand its full capabilities and the specific challenges RF can address within PLC networks.

What initiatives or partnerships are in place to accelerate smart metering deployment and what role does policy or regulatory reform play in the modernization of distribution networks in Africa? How is customer engagement being addressed in the smart meter rollout to ensure smooth adoption?

One example I can highlight is from Egypt. While it may not serve as a model for all of Africa, the regulatory authorities in Egypt are notably strong. They place significant emphasis on security, with recent regulations and directives being highly advanced—arguably even more stringent than those in some European countries. As a smart meter solution vendor, we are required to obtain additional certifications to demonstrate that our products meet Egypt’s rigorous cybersecurity standards. This, in my view, is a positive development.

At the same time, Egypt’s business environment is incredibly dynamic compared to Europe. Business evolves at a much faster pace—ten times faster, I would say. Egypt is undertaking massive rollouts of smart meter projects, often tied to large-scale construction efforts. For instance, in Cairo, large districts are being built from scratch. The scale of these new developments is astounding, and every visit reveals new levels of growth. This rapid acceleration is driven by a booming economy, which has created high demand. Notably, Egypt has struck a balance by prioritizing what matters most, especially security, which I believe is the right approach.

Across Africa, utilities often face financial constraints that limit their ability to fund large projects. To address this, we, as vendors, frequently offer financing options alongside our products, systems, and software. This could involve sourcing funds to support project rollouts, with utilities repaying the financing over time. Various financing models are available, and international financial institutions such as the World Bank, African Development Bank, and European Bank for Reconstruction and Development (EBRD) are already active across Africa, providing essential support.

When it comes to smart metering rollouts, the decision can stem from different sources. It could be driven directly by the utility or mandated by the government. However, there is a third crucial factor: consultation and education provided by vendors. Utilities often need guidance to fully understand the benefits of smart metering technology. As vendors, we bring valuable experience from rollouts completed in other regions, such as Europe. We can demonstrate exactly which features and functions smart meters offer and how utilities can gain tangible benefits from their implementation.

In Africa, utilities face significant challenges with non-technical losses and low payment collection rates, making energy fraud a pressing issue. Interestingly, some European countries also contend with similar challenges, where non-technical losses account for a substantial portion of total energy consumption. African utilities could benefit greatly by adopting best practices developed in Europe. Smart metering, in particular, offers enhanced control by enabling utilities to: detect non-technical losses more effectively, gain real-time visibility into issues, and respond quickly to fraud and anomalies.

Standalone energy systems, or “islands,” are becoming increasingly common in Africa, especially in regions with solar power installations. These micro-grids typically serve villages or small communities of around 30 households. They often combine solar panels, diesel generators, and battery storage to provide independent power solutions.

In some cases, each household is equipped with a smart or prepaid meter to measure individual consumption. In other setups, a single meter monitors total consumption, with costs distributed evenly among users. While these systems offer much-needed energy access, they face significant long-term maintenance challenges. After a year or so, small technical issues may arise, and without adequate local expertise for repairs, these systems risk going offline, leaving communities without power.

Ensuring sustainable operation requires ongoing support, capacity-building, and the development of local expertise to maintain and troubleshoot these systems effectively. This is a critical area where vendors and governments can work together to provide long-term solutions.

What is the most important lesson you have learned throughout your career?

The most important lesson I’ve learned is that African utilities should not be solely focused on their own experiences; they should be actively seeking to learn from the challenges and mistakes encountered in Europe, the Middle East, and the Far East. By leveraging this knowledge, they will avoid similar pitfalls and adopt proven strategies that enhance their outcomes. This approach will not only save time and resources but also ensure they can implement solutions that are both efficient and cost-effective, benefiting from global experience without repeating the same missteps.

It’s always more efficient—and certainly more cost-effective—to learn from the mistakes of others.

Conclusions:

Communication technology choices for smart metering vary by region in Africa. Urban areas use PLC (Power Line Communication), while rural and less populated regions depend on LTE networks for long-distance coverage.

African utilities are using LTE for smart metering due to the continent’s rapid adoption of 4G networks and unlike Europe, avoiding the need for 2G fallback thus keeping the meter modem simpler.

Strong regulations, financial support from international institutions such as the World Bank and African Development Bank, and vendor partnerships accelerate smart metering rollouts in Africa.

Question for the audience:

How do you see the impact of financial and technical partnerships in advancing smart metering projects across Africa?