Utility companies estimate that electricity theft costs them over a billion dollars in annual revenues in the United States. A significant amount of electricity theft is due to meter tampering by apartment tenants.

Meter tampering in apartments can be identified easily and cost effectively without additional investments in hardware or software. Violators can be detected remotely within a few days and be given an opportunity to correct the situation or face prosecution.

Electricity theft, an ongoing problem for all electricity providers, is punishable by jail time, a fine or both in the United States. Most cases of electricity theft occur when violators physically alter the internal mechanism of their electric meters, causing the electricity to bypass the meter and not be recorded. As a result, violators are not charged for the total number of kilowatt-hours actually used, causing lost revenue for the electricity providers. In addition, tampering with live electricity inside a meter is dangerous and could result in a fire, shock or even death to the perpetrator. Utility staff could also be injured when repairing the meter.