Quick Take: As I roamed the aisles at this year's DistribuTECH conference, I pondered a conundrum. On the one hand, people feel the smart grid market has plateaued because the smart meter-focused stimulus funds have come and gone

ABI research says the latter viewpoint is more accurate. In fact, according to the report described below, utility smart grid spending nearly doubled in 2012. According to ABI, spending on T&D gear more than made up for any slowdown in the smart meter segment. -- Jesse Berst

Spending by utilities transitioning their networks to smart grid capabilities reached $23.68 billion in 2012, according to ABI. And that number highlights growing momentum behind the spending – ABI says last year's total alone represents 48% of smart grid spending to date. Here are more findings from ABI's  Utilities and Smart Grids report:

·         Spending in 2012 was up 47.1% from $16.10 billion in 2011

·         Spending on T&D capabilities surpassed smart meter investments as utilities increasingly looked to improve their core networks and maximize the benefits of AMI deployments

·         Smart grid investments and spending will continue to grow over the next five years to reach $80.8 billion during 2018

“Utilities are investing in the rollout of a broad assortment of new applications and spending is driving new services from a wide range of vendors and consultants,” says Jonathan Collins, principal analyst at ABI Research. “The complexity of the new hardware, applications, and the expansive array of suppliers vying to deliver services continues to ensure that systems integrators benefit with a significant share of the spending.”

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Jesse Berst is the founder and chief analyst of Smart Grid News.com, the industry's oldest and largest smart grid site. A frequent keynoter at industry events in the U.S. and abroad, he also serves on advisory committees for Pacific Northwest National Laboratory and the Institute for Electric Efficiency. He often provides strategic consulting to large corporations and venture-backed startups. He is a member of the advisory boards of GridGlo and Calico Energy Services.