It is expected that the bid price of the third batch of smart meters will increase

A few days ago, the third batch of smart meters of the State Grid was launched with centralized bidding. A total of 13,878,700 electric energy meters were tendered, of which 118.081 million were smart meters, which was equivalent to the previous two times.

From the results of the two previous tenders in 2011, the market concentration of smart meters has increased, but the competition is still fierce; the degree of market equilibrium has also been improved. We think this is a sign that market competition tends to be benign. We expect that the trend will be further stabilized after the third batch of tender results are announced.

Under the "sub-average bid price" model, we have judged that there is room for further improvement in smart meter prices, especially for leading companies that will gain greater room for price increase; the industry gross profit margin will continue to improve. It is predicted that the bid prices for the third batch of smart meters in 2011 will continue to increase.

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