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The Internet of Things is bringing Electricity 2.0 that much closer

One of the reasons I started working with GreenMonk back in 2008 was that James heard my Electricity 2.0 vision, and totally bought into it.

The idea, if you’re not familiar with it, was that as smart grids are deployed, homes will become more connected, devices more intelligent, and home area networks would emerge. This would allow the smart devices in the home (think water heaters, clothes dryers, dish washers, fridges, electric car chargers, etc.) to listen to realtime electricity prices, understand them, and adjust their behaviour accordingly. Why would they want to do this? To match electricity demand to its supply, thereby minimising the cost to their owner, while facilitating the safe incorporation of more variable suppliers onto the grid (think renewables like solar and wind).

That was 2008/2009. Fast forward to the end of 2013 and we see that smart meters are being deployed in anger, devices are becoming more intelligent and home area networks are becoming a reality. The Internet of Things, is now a thing (witness the success of devices like Nest’s Thermostat and Protect, the Philips Hue, and Belkin’s WeMo devices). Also, companies like Gridpoint, Comverge and EnerNoc are making demand response (the automatic reduction of electricity use) more widespread.

We’re still nowhere near having realised the vision of utility companies broadcasting pricing in realtime, home appliances listening in and adjusting behaviour accordingly, but we are quite a bit further down that road.

One company who have a large part to play in filling in some of the gaps is GE. GE supplies much of the software and hardware used by utilities in their generation, transmission and distribution of electricity. This will need to be updated to allow the realtime transmission of electricity prices. But also, GE is a major manufacturer of white goods – the dish washers, fridges, clothes dryers, etc. which will need to be smart enough to listen out for pricing signals from utilities. These machines will need to be simple to operate but smart enough to adjust their operation without too much user intervention – like the Nest Thermostat. And sure enough, to that end, GE have created their Connected Appliances division, so they too are thinking along these lines.

More indications that we are headed the right direction are signalled by energy management company Schneider Electric‘s recently announced licensing agreement with ioBridge, and Internet of Things connectivity company.

Other big players such as Intel, IBM and Cisco have announced big plans in the Internet of Things space.

The example in the video above of me connecting my Christmas tree lights was a trivial one, obviously. But it was deliberately so. Back in 2008 when I was first mooting the Electricity 2.0 vision, connecting Christmas tree lights to the Internet and control them from a phone wouldn’t have been possible. Now it is a thing of nothing. With all the above companies working on the Internet of Things in earnest, we are rapidly approaching Electricity 2.0 finally.

Full disclosure – Belkin sent me a WeMo Switch + Motion to try out.

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Belkin brings the Internet of things home (with bonus IFTTT)

Home electricity consumption

We had a fascinating conversation with Belkin’s Kevin Ashton recently about home automation. Kevin is the general manager, global product management for Belkin Business.

Right now, Belkin have a nice home automation platform called WeMo where they have devices like Wifi connected wall outlets, Wifi connected motion sensors, WiFi connected baby monitors, and WiFi connected webcams. The platform also has smartphone apps for Android and iOS so you can connect yo your home on your phone or tablet from anywhere in the world and switch your appliances on/off, listen in on your baby, and even check the webcam to make sure your child/elderly parent are doing ok.

Wemo even connects to IFTT so you can set rules for your devices (turn on lights when sun sets, alert me if there’s movement in my house, alert me if there’s no motion in my parent’s home, etc.).

This would be very cool if Belkin just stopped there, but Belkin’s CEO Chet Pipkin, has an interest in home connectivity, and so the company is taking it’s home networking and internet of things several steps further.

Belkin recently announced that they are working on a new series of products branded Belkin Echo. They will bring to market two devices, Echo Water and Echo Electricity. The two devices are for analysing and reporting on your usage of water and electricity respectively.

One of the things which is unique about these devices is how unobtrusively they work. Echo Electricity uses a single sensor which can be placed at the meter, breaker box or in an outlet and it detects current and voltage signatures within the building’s electrical circuit to determine which devices are being used, when they are being used, and how much electricity they consume.

Similarly, the Echo Water sensor can be attached to your plumbing and it senses changes in pressure and vibrations which occur everytime you use your water. It uses these to identify every fixture which uses water (shower, dish washer, toilet, etc.) and can report on how much water each device uses. This enables you to use water more efficiently, and identify leaks before they become a serious problem.

We asked Kevin if people would buy one of these Echo products. He replied that “We all care about things which affect us now, and tend to discount things where the benefits are down the line.” The Echo platform, he said can help with immediate savings. It can identify waste, identify costs and potentially shut off water in the event of a burst pipe (which leads us to wonder if insurance companies might discount customers with an Echo Water device installed).

At the moment the devices are still in development but the US Department of Defense is currently trialling the Echo Electricity in an effort to increase its energy intelligence, and reduce its carbon bootprint. A “major US utility” is also trialling the Echo Electricity, and this gives a hint to one possible route to market for these devices. The Echo Electricity could well be a customer service differentiator for a utility company (especially in deregulated markets). Customers ringing to find out why their bill is so high could potentially get an immediate answer, and utility bills could become itemised, and so look more like a credit card bill, than the current single line item bill customers receive.

When will these devices be available?

Don’t hold your breath – according to Kevin, Echo Water will be generally available in 2014 while Echo Electricity is a bit more complex so there will be pilots through 2014 with it being generally available in 2015.

As Kevin said at the conclusion of our conversation, “The goal at Belkin is to launch the products when they work, not before”.

Image credit Tom Raftery