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December 28, 2011

Smart Grid Growth Focused on Integration in 2011



While most people are still associating smarter utility practices with smart meters, perhaps due to the commotion caused by those with privacy concerns, integration has been a major focus of anyone involved in smarter utility technology.

According to this Green Tech Media piece, the integration focus is on corporate interest in or acquisition of smarter utility technology. 2011 was a big year for acquisitions, including the Toshiba’s (News - Alert) acquisition of Landis+Gyr. Three deals this year alone added up to a purchase price of $7.5 billion.

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These acquisitions are happening fast, but the turn-around is taking some time. Consider, for instance, Cisco’s (News - Alert) buyout of Arch Rock. The acquisition made headlines in September 2010, but deployment didn’t start in earnest until October 2011.

Any tech-driven conversation wouldn’t be complete if the cloud weren’t brought into the mix. The same is true of smarter utility conversations – back-office software, which is used to manage all the operations in the field, is going to the cloud. Smarter utility functions such as eMeter’s data management services will be provided by Verizon’s (News - Alert) cloud platform. Furthermore, both Oracle (News - Alert) and IBM have cloud services that manage smarter utility data needs.

Smarter utility practices are also seeing a shift from demand response to fast response. Efforts to get the nation’s largest consumers of power to dial back their usage during times of highest demand has not panned out as some had predicted. Instead, the focus shift is going toward automation in dialing back power use in a relatively fast fashion. This automated demand response system can deliver power use reduction orders in four seconds.

As mentioned earlier, smart meters have generated the bulk of discussion regarding smarter utility practices. Through the help of federal funding, millions upon millions of smart meters are currently being installed across the country. And despite the value the smart meter offers, some customers are sheepish because to the cost of installation, which is passed on to consumers.

Some utility companies are allowing their customers to stay with their old meters. At the same time, utility companies are utilizing smart meter functions like the detection of power outages and irregularities, a smart meter perk that has been used to market the new meter.

Making the move to a smarter utility includes efficient management of the grid and markets. More efficiencies can be produced by integrating the technology that manages how power moves on the grid with the technology that manages how that infrastructure is paid for. This is already happening at Swiss power and automation technology giant ABB, which last year bought Ventyx, a software developer. As the demand for smarter approaches to energy consumption continue to grow, changes will emerge in multiple areas of industry, as well as residential energy use. While these changes are not always met with anticipation, they are designed to improve energy reliance in the long-run.


Susan J. Campbell is a contributing editor for TMCnet and has also written for eastbiz.com. To read more of Susan’s articles, please visit her columnist page.

Edited by Tammy Wolf
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