Deutsche Telekom’s ICT subsidiary T-Systems has signed an agreement to develop solutions for smart grids with ABB, the automation and power technologies specialist. The companies claim this will give consumers and energy providers transparency over, and control of, electricity consumption. Further possible benefits are greater efficiency for distribution network operators.”By joining forces, ABB and Deutsche Telekom are combining their know-how, which is perfectly matched to create smart grids,” said Peter Smits, CEO of ABB AG and Head of the Central Europe region. “We are offering the energy sector a comprehensive portfolio of power transmission and distribution along with products and solutions for building automation.”

Reinhard Clemens, member of the Deutsche Telekom Board of Management and T-Systems CEO, added: “The energy market is facing a radical change: power and data networks are converging. We have the necessary broadband fixed and mobile network, the service staff on-site and experience in handling mass data. After all, we process more than 40 million telecommunication invoices every month in our data centers.”

Smart grids are the key to integrating renewable energies profitably, efficiently and securely and improving energy efficiency in power supply, according to the cooperation partners.

Under the German Renewable Energy Sources Act, the share of energy obtained from renewable energy sources is to increase to at least 30 percent in Germany by 2020. An increasing number of decentralized and regenerative energy sources are making the distribution network more and more complex. In future networks, power consumption must be adapted better to fluctuating energy generation - otherwise it will not be possible to operate the overall system efficiently.

Smart grids can provide the information required for intelligent automated control in real time via data networks. On the consumer side, smart meters and suitable displays can measure and display power consumption at short intervals, enabling households to control their power consumption in a more targeted manner. The intelligent displays will also be able to communicate with individual devices in the future allowing - even in the consumer’s absence - cheaper rates to be used. This would then enable providers to motivate energy users to consume excess and cheaper energy by way of rates signals.