Smart Grid Data Tsunami drives opportunities for data analytics

The deployment of smart meters and other communication
nodes within the electricity grid distribution network is generating a wave of
new information that many in the utility industry have referred to as a data

This highly granular, real-time information on
electricity consumption and grid operations can be highly useful for utilities
to improve the efficiency of power generation, transmission, and distribution,
but harnessing these assets requires the development of robust systems and
processes for data analytics.

According to a recent report from Pike Research,
these requirements are stimulating the development of a new market for smart
grid data analytics, which the cleantech market intelligence firm anticipates
to generate $11.3 billion in cumulative revenue during the period from 2011 to

The challenge for utilities in maximizing the benefits
from smart grid data analytics is the ability to turn the huge volume of smart
grid data into value,” said senior analyst Marianne Hedin.

As utilities move to the smart grid and expand it over
time with the installation of thousands and sometimes millions of smart meters,
they must address the most challenging question: How will they be able to
manage and take advantage of the surge of data resulting from these smart
meters and other intelligent devices on the smart grid?

As soon as a utility company begins to receive data, it
must be able to transform the raw data into useful information. For instance,
it must be able to review the data for any changes or events in the grid that
trigger alarms within outage management systems and other real-time systems.

An organization can be very data rich, yet very
information poor. As a result, data analytics plays a major role from the very
beginning of a smart grid deployment.

Pike Research’s analysis indicates that the requirements
of smart grid data analytics will surpass the capabilities of traditional
business intelligence systems. As a result, pioneering utilities are working to
develop situational awareness systems that apply business rules to incoming
data, adjusting the parameters of grid operations automatically and in real

Predictive analytics capabilities are also becoming
increasingly important as a means of helping utilities with highly detailed
tactical operations planning with the full benefit of robust historical data

Pike Research’s report, Smart Grid Data Analytics,”
examines global and regional smart grid data analytics software and service
trends, analyzes key market drivers and barriers, and forecasts market size and
growth prospects by region and different service segments from 2009 through

By Team
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