Smart meters provide a lot of convenience for both power supply and consumption. Due to the frequent transmission of information, it brings great challenges to the privacy preservation of the user’s household power consumption data in the smart grid. In order to achieve the anonymity of smart meters. A smart meter privacy preservation scheme based on identity authentication is proposed. The third-party certification authority is introduced in this scheme; it issues pseudonym certificates to realize the identity privacy preservation of smart meters. The masking technology with the Advanced Encryption Standard algorithm is used for data aggregation. The results show that our scheme reduces the computational cost and the communication overhead.