Smart Metering as a Regulatory and Technological Enabler for Flexibility in Distribution Networks: Incentives, Devices, and Protocols

The digital transformation of low-voltage distribution networks demands a renewed perspective on both regulatory frameworks and metering technologies. This article explores the intersection between incentive structures and metering technologies, focusing on how smart metering can act as a strategic enabler for flexibility in electricity distribution. Starting with the Spanish regulatory evolution and European benchmarking, the shift from asset-based regulation and how it can be complemented with performance-oriented incentives to support advanced metering functionalities is analyzed. On the technical side, the capabilities of smart meters and the performance of communication protocols (such as PRIME, G3-PLC, and 6LoWPAN) highlighting their suitability for real-time observability and control are examined. The findings identify a way to enhance regulatory frameworks for fully harnessing the operational potential of smart metering systems. This article calls for a hybrid, context-aware approach that integrates regulatory evolution with metering structures innovation to unlock the full value of smart metering in the energy transition.