The logic here is that failure to install this technology is costing the State money, therefore the State has the authority to require it. It's the same logic that allows the government to set safety standards for cars.
And that is exactly how tyranny gets justified. That is how rights get trampled. That is how control is seized. They have to pay therefore it becomes their bushiness and they have a right to demand compliance.
Look how cigarettes have been beaten up because of the associated health costs. With this logic, what stops the government from doing whatever it wants? Tax or over regulate anything out of existence. Who in the world needs the rule of law when you wield that kind of power?