Denmark’s First Cloud-Based Smart Grid Solution Relies on Echelon Control Networking Technology

EnergiMidt, Eltel Networks land contracts to deploy 5,500 Echelon smart meters, handle billing and operational support from afar

SAN JOSE, Calif.--(BUSINESS WIRE)--Eltel Networks, an Echelon value added reseller that has secured over secured nearly 50 percent of the Danish utility awards for advanced metering systems, and EnergiMidt, a Danish co-operative utility owned by its customers, are jointly offering Denmark’s first cloud-based smart metering solution based on Echelon’s smart metering system, Echelon (NASDAQ: ELON) announced today.

“EnergiMidt is making grid modernization swift and painless for neighboring utilities through this offering that standardizes on our deployment of Echelon energy control networking technologies”

EnergiMidt, one of the five largest electricity distribution companies in Denmark, has extensive experience with Echelon’s Networked Energy Services (NES) smart grid infrastructure system. After deploying with Eltel 170,000 Echelon NES meters in 2009-2011, the utility found that it could achieve daily collection and hourly readings of load profiles consistently within a 99.7% to 100% performance range.

Echelon’s Control Operating System (COS) software integrates with the meter data management (MDM) system from Goerlitz, a leading provider of telemetry solutions to European utilities. Goerlitz’s MDM system plugs into the Echelon COS application framework enabling EnergiMidt to provide billing and operational support services to these smaller utilities and cities, allowing them to capture the economies of scale normally only available to large entities. Such hosted-service offerings are commonly called “cloud” services.

Last year, the first utility to piggyback onto the software running in EnergiMidt’s data center was Bjerringbro. Next is Kjellerup Elnet. Like Bjerringbro’s 3,000 customers, Kjellerup Elnet’s 2,500 customers will receive Echelon’s NES smart meters and related communications and control infrastructure. These latest deployments continue Echelon’s momentum and market leadership position in Denmark, with more than 800,000 Echelon smart meters installed or under contract in the nation. The rollout for Kjellerup Elnet customers is scheduled to be completed early next year.

The new offering from EnergiMidt and Eltel provides smaller utilities and municipalities one of the most cost-effective and quickest paths to achieving the benefits of a smart grid, including hourly meter readings, load control, remote connect/disconnect, better outage management and the ability to integrate water and gas meters into one common system with electric meters. This is particularly important for utility and city leaders who want to modernize grids but have limited resources to achieve their vision.

“EnergiMidt is making grid modernization swift and painless for neighboring utilities through this offering that standardizes on our deployment of Echelon energy control networking technologies,” said Holger Blok, CEO at EnergiMidt. “We chose Echelon’s technology for this smart metering application because its open and extensible framework gives utilities a wide range of smart grid applications. By putting this proven solution in the cloud, any utility can benefit from our experience and can avoid unnecessary expenses that often stand in the way of making the smart grid a reality for many smaller utilities.”

“Danish utilities and their customers want a smarter grid but the costs of achieving the vision haven’t always made economic sense,” said Jonas Vestin, president of Eltel Networks’ smart metering business unit. “With this ground-breaking new cloud-based solution, even the smallest utility or municipality can adopt a smart grid with a business case that makes sense for everyone in the value chain, including customers, investors and owners of the utility.”

“This solution is a real game-changer not only for Denmark but also for the rest of the world,” said Michael Anderson, senior vice president for utility sales and market development at Echelon. “With over 800,000 meters deployed or about to be deployed in Denmark, Echelon has been able to demonstrate to our utility customers many benefits of a smart grid. With this new cloud-based solution, Danish utilities and cities of all sizes can enjoy the benefits of deploying a smart grid today.”

About Echelon Corporation

Echelon Corporation (NASDAQ: ELON) is the world's leading open-standard energy control networking company. Echelon technologies connect more than 35 million homes, 300,000 buildings and 100 million devices to the smart grid, and help customers save 20% or more on their energy usage. With more than 20 years of experience in energy control, Echelon delivers a wide range of innovative solutions to commercial and electric utility customers. More information about Echelon can be found at http://www.echelon.com.

Echelon and the Echelon logo are trademarks of Echelon Corporation registered in the United States and other countries. Other product or service names mentioned herein are the trademarks of their respective owners.

This press release may contain statements relating to future plans, events or performance. Such statements may involve risks and uncertainties, including risks associated with market acceptance of Echelon’s technology in the smart grid solution jointly offered by Eltel Networks and EnergiMidt; the risk that Echelon's technology and products do not perform as designed or offer the expected benefits; risks associated with potential production or shipment delays for NES meters and other components; risks that the deployment and system integration activities with Eltel or other partners in the projects are not successful or do not meet their target dates; and other risks identified in Echelon's SEC filings. Actual results, events and performance may differ materially. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. Echelon undertakes no obligation to release publicly the result of any revisions to these forward-looking statements that may be made to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.