The power supply only represents a single phase of the power grid which is all that is needed for the demo. The green ammeter represents the smart meter and the other blue ammeter on the other resistance represents a bypass cable. The bypass cables soul purpose is to route a percentage of the total household power supply power around the smart meter undetected. The ratio and percentage of the routed power depends on the metal and cross sectional area (thickness) of the bypass cable, in which affects it's resistance. The orange ammeter measures how much current your household is consuming and the green ammeter shows the amount of measured current your power company thinks your consuming. Sine the blue ammeter(bypass) isn't monitored, its free.
