By Jesse Berst
We've known since last fall that Echelon's deal with Duke Energy had fallen through.Echelon's powerline carrier approach didn't work out in the pilots, apparently, and Duke cancelled its order for Echelon collectors. (See below for an update from Echelon.)
What we haven't known is who will take Echelon's place. Now the rumor mill says it might be Itron, based on a comment made by Itron CEO LeRoy Nosbaum during a recent analyst call.
In the short term, no big deal, since most of Duke's smart metering efforts are bogged down by regulatory delays of one kind or another. In the long term, very big deal. Duke has long been an industry thought leader, even before its merger with Progress made it the largest utility in the U.S. A victory at Duke would go a long way to re-establishing Itron's luster as a market leader.
We suspect that Itron's partnership with Cisco is helping the cause, since Duke has standardized on Cisco Connected Grid to upgrade its substations.
Speaking of that Duke-Progress merger…
The Huffington Post reports that North Carolina regulators have hired a former federal prosecutor to determine if they were misled in advance of approving the deal that created the country's biggest electric utility. This comes after NC regulators' held lengthy hearings on the very sudden departureof former Progress boss Bill Johnson as CEO of the newly combined company.
.
Update: The following clarification was issued by Echelon following the original publication of this article. We are reprinting these remarks exactly as they were submitted to us from Varun Nagaraj, Echelon Senior Vice President, Product Management and Marketing:
"The Itron/Duke Energy meter deal is not a replacement for Echelon meters. This project is for the meter forms that Echelon does not supply to Duke, such as C&I meters. Echelon has been aware of this project since the beginning, and views these as “filler” or “gap” meters that are complementary to the main stream residential metering implementation. Echelon has installed more than 500,000 meters at Duke Energy in Ohio, which is a majority of Duke Ohio’s installed base. This is not a pilot, this is a nearly completed rollout which is viewed as a success. At the end of 2011, Duke Energy and an independent auditor to the Ohio PUC confirmed the benefits enabled by Echelon’s system, in particular, the high level of accuracy and extended functionality of the meters.
The project referred to in Jesse's article that was cancelled in November of last year was the Edge Control Node, a next-generation smart meter data concentrator that Duke had ordered from Echelon. This was primarily to be deployed in Indiana where regulatory approvals have been delayed. The cancellation had nothing to do with the performance of Echelon powerline technology."
.
###
.
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.