Utility Companies Want To Take Control Of Your Smart Thermostat - Here's Why

You've probably heard about dads who tell their kids not to touch the thermostat, maybe you even lived with one. Now, the utility companies want to get involved. A growing number of energy companies have begun asking residents for direct access to their thermostats in exchange for a discount. The catch is that people will no longer have full control over the temperature in their own home.

This is all in response to increasing strain and demand on power plants amid increasingly hot summers, including multiple recent record-breaking periods in the U.S. and Europe. In the past, power companies would issue alerts to customers, asking them to preserve power. Now, they want to reach into your air conditioner and do it for you. 

The way some utilities are doing this is through "conservation" periods that automatically set your thermostat at agreed-upon limits. Users can choose a certain level to participate that determines how long their unit is off and on, and their target temperature during particularly hot periods and times when the grid is under unusual stress. The end result is that a home's temperature might be set a few degrees higher to shut off the fan, and ultimately reduce power put on the grid.

Utility services that have enacted this program set it during the hotter months of the year. In the U.S., that would typically fall between May and October. However, conservation periods may also take place during other periods of high demand, unusual weather, and other high-energy cost periods. There are still other things your thermostat can do to save you money, you just now may not be the only one using it.

One of the early efforts includes a program in Maryland called Energy Wise Rewards. As part of the program, homeowners get a one-time installation credit of up to $80, and monthly reward bill credits up to $80 during the summer. Plus, users get a choice of energy-saving devices for free.

This particular program works by requesting owners enroll for the plan, so it isn't just something utility companies are activating without consent. The service has users set a limit at how high their temperature can go once turned off. Another program in Washington, D.C. works in a similar way.

In Arizona, the power company Arizona Public Service (APS) offers what it refers to as a Cool Rewards program, giving users a $50 credit on their account. However, the website says that customers are always in control of their thermostat and it can be adjusted at any time. Smart and manual thermostats can save you money on bills, but people who opt into the rewards program to save cash may not always enjoy it when the power company takes control on a hot day.

There have been several documented reports of homeowners who have enrolled in these energy programs. In the case with one resident in Maryland who joined to help with the power grid, she saw her thermostat reach 81 degrees Fahrenheit when her power company temporarily took control. Speaking to local station WUSA, the resident said she had second thoughts about wanting to remain enrolled after the ordeal.

A program in Ohio would also see residents enroll into programs meant to control their thermostats in order to better monitor the power grid. Local station KBTX reported that residents were mixed on the idea and felt that if it was voluntary, they wouldn't mind the ability to join and unenroll as they choose. On the other side of that argument, many locals felt that doing so would be a direct violation of owning your home as they paid for their home and the power, so they should have direct control over how much they used and when it was used.

The lesson everyone seems to be learning is that there are things a smart thermostat saves you money on, but it depends on how you use it and what you agree to. That includes programs like these energy efficiency efforts by local utilities.