Minneapolis, June 11, 2012 — Honeywell announced the formation of Smart Grid Solutions, a global enterprise that centralizes the company's existing smart grid resources and expertise to respond to the growing needs of both energy providers and users.
Part of Honeywell's Building Solutions business unit, Smart Grid Solutions will bring innovative offerings to market faster, and deliver end-to-end programs that connect utilities and their customers to solve a variety of energy challenges, such as relieving stress and congestion on aging electrical infrastructure, leveraging intermittent renewable resources, and better managing the increased demand for energy, which is expected to grow 40 percent by 2035.
The creation of Smart Grid Solutions is a strategic reflection of the anticipated rise in worldwide energy consumption and the corresponding need for demand-side-management services. According to a recent report from Pike Research, revenue for demand response services in particular will grow from nearly $1.3 billion last year to $6.1 billion by 2016, with load-curtailment services representing nearly two-thirds of the total opportunity.
Honeywell's decades-long experience designing and implementing demand response and energy efficiency programs for utilities will serve as the foundation for Smart Grid Solutions. The team will draw from these capabilities as it works to address global energy concerns.
Honeywell is currently working with the Tianjin Economic-Technological Development Area to implement China's first smart grid demand response project. As part of the project, Honeywell is installing its automated demand response (Auto DR) technology at select buildings within Tianjin, including government, commercial and industrial facilities.
This will allow TEDA and network operator State Grid Corp. of China to automatically adjust energy use to reduce demand on the electrical grid, helping avoid potential brownouts and blackouts. Similar projects are underway in Australia, India, the U.K. and the U.S.