The initial order under this framework agreement totals approximately $15.8m with deliveries expected to begin at the end of the quarter. Assuming full deployment of the NES system, the states of Ohio and Indiana represent a revenue opportunity to Echelon of over $150m.
Duke Energy has already received regulatory approval to deploy smart grid infrastructure in Ohio. It is seeking approval from the Indiana Utility Regulatory Commission to install smart grid technology, including approximately 800,000 smart meters. The company is also laying the groundwork to bring large-scale smart grid technology to the remaining three states it serves.
Todd Arnold, senior vice president for smart grid and customer systems at Duke Energy, said: “An essential component of Duke Energy’s smart grid design is a scalable, open, interoperable network that supports not just the initial functions we are deploying today, but allows for additional devices and sensors to be attached to the network in the future. Echelon’s metering infrastructure is a key enabler of that vision with a smart grid approach that includes smart meters, smart concentrators working in conjunction with the meters, and network operating system software.”
Ken Oshman, chairman and CEO of Echelon, commented: “We whole-heartedly share this view. Our NES system embeds the power of control networks into a utility’s core asset – the electric grid – replacing the meters of the past with the intelligent devices of the future. They provide the intelligent ‘end-points’ that not only monitor energy and the health of the grid, but also help utilities and their customers better understand and more efficiently manage energy consumption. We’re excited to be able to help Duke Energy lead the utility industry into the future.”
