) 3G technology has been selected by Australia-based energy
utility company Sp AusNet (SAUNF). The scope of the deal requires
Ericsson to develop and implement a 3G network-enabled
communications solution to support AusNet's electricity smart
meter program. The financial details of the deal were not
A smart meter is usually an electrical meter that records
consumption of electric energy at an interval of an hour or less,
and thereafter communicates that information at least daily to
the utility for monitoring and billing purposes. For many utility
companies across the globe, the National Energy Regulator has
made it mandatory to introduce smart meters.
The Victorian government has made it compulsory that smart
meters have to be installed in all Victorian households and small
businesses by the end of 2013. Thus, SP AusNet, with the help of
Ericsson's 3G solution, intends to extend and expand its smart
meter footprint in the outer urban areas and rural areas of
This mode of utilizing the 3G technology for smart meters for
an electricity grid or providing a 3G-enabled smart meter module
is the first of its kind deployment. Smart meters usually reduce
costs for power infrastructure over time and are a step toward a
future of greater energy efficiency and more renewable energy.
Once the smart meters are combined with the 3G technology, it
will not only help the expansion of the infrastructure, but will
also help in further reduction of costs.
Ericsson is a world-leading provider of communications
technology and services. Prior to this, Ericsson had provided
Advanced Metering Management for Italy's utility leader Acea's
Ericsson's Australian based team is responsible for the
execution of this project from inception to completion. By
deploying the 3G and LTE 3GPP standards-based technology, utility
companies developing smart grids can take advantage of the
benefits from the ecosystem and economies of scale enabled by the
global telecom sector.
Ericsson currently has a Zacks Rank #3 (Hold). Investors
interested in the utility industry and telecom industry may
consider stocks like
Shore Tel Inc.
Ubiquiti Networks Inc
Alliant Energy Corporation
). Shore Tel and Ubiquiti carry a Zacks Rank #1 (Strong Buy),
while Alliant Energy has a Zacks Rank #2 (Buy).
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