Found that on my meter last year, too. Covered it up with a piece of gaffer tape and waited to see what would happen. Months later, nothing.
After our last hurricane my electric bills were estimated so I complained to Public Service Commission after electric company posted on their website they would not estimate bills. A meter reader/repairman came to the house with a severe attitude and confrontational because I had the audacity to call them out on their published statement & complain. I asked him why the IR light was on the meter, he played dumb (more than his usual level of stupidity) and wouldn't answer me. He avoided my questions, told me I had an attitude and walked away w/o replacing the meter. He ignored me three times when I asked him when he would replace my meter. He refused to answer. Thirty seconds after I went inside, he came back acting like he was my best friend. He was so nice and friendly I thought he was going to propose to me with an engagement ring. Turns out he got to his truck to tell his boss that I was asking too many questions. His boss told him to shut up and immediately get my meter replaced and don't leave the area until it was done.
Hmmm.. when the reader returned acting all "friendly" he told me what happened and said his boss told him I knew too well what was going on with Duke Energy and to not give me any grief.
Still don't know why the IR light on the top of the meter flashes, or what it is for, but I suspect I might have been asking sensitive questions and filing complaints they don't like to hear.
It must serve some purpose or the $$ wouldn't be spent installing it when manufactured.