The government’s 2020 energy plan to install smart meters in over 30 million UK’s homes is in danger of being postponed, a report by the Energy and Climate Change Committee (ECCC) revealed.

The ECCC has indicated that the delay is due to technical communication problems with multiple occupancy and tall buildings, compatibility problems between different suppliers and different meters, and a reluctance to improve transparency by publishing the Major Project Authority’s assessments on the smart meter programme.

Tim Yeo MP, Chair of the Committee, said: "Time is running out on the Government’s plan to install smart meters in each of the UK’s 30 million homes and businesses by 2020."

The report has found that a series of technical and other issues has delayed the process, costing consumers £10.9bn.

"This Committee first looked at this programme in 2013, highlighting issues which we urged the Government to address.

"While some progress has been made since then, it’s not enough. The energy industry told us that it needs the Government to enable industry-wide solutions, rather than the less efficient alternative of letting each energy supplier develop its own solution," Mr Yeo said.

The roll-out of smart meters in the UK is due to take place between 2015 and 2020 with an estimated 53 million devices to be installed by energy suppliers in 30 million homes and businesses.

The new meters were estimated to save consumers £17bn by lowering energy bills through reduced energy consumption alongside energy efficiency.