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Alcatel-Lucent develops more efficient distribution models for international energy suppliers


Interactive electronic networking helps energy suppliers better manage supply and demand

Paris — Alcatel-Lucent (Euronext Paris and NYSE: ALU) is leveraging its innovation strengths, skills and expertise to the energy sector in a series of initiatives discussed at the Next Generation Utilities conference which took place this week in Evian, France. Globally energy utilities are coming under increased pressures on the way in which they manage the supply and demand of the energy, as the energy prices increase and end users demand greater conservation measures.

Taking an active role in helping energy suppliers better manage their supply chain, Alcatel-Lucent is already working with a number of major energy suppliers on delivering ‘smart grids’ – networks that provide enhanced visibility of energy flows, more granular control of energy, pro-active real-timer monitoring and enabling rapid and accurate reaction to disruption of supply when it occurs.

François Loubry, Vice President of Energy in Alcatel-Lucent’s services business, told the conference that the move to a ‘distributed generation’ of supply was being encouraged by increased regulatory emphasis for renewable energy, following a rapid change in the pattern of energy demand.

This is happening against a background of less flexible infrastructure, in an industry where pipelines and supply networks lifecycles are measured in decades, while rapid changes in communications and IT are happening in months. Traditional energy networks are hierarchical and designed for a one-way flow of energy – not taking into account the development of renewable supplies generated closer to the end user. But rapid implementation of new infrastructure is not feasible because of the nature of energy networks.

Smart Grids, or Intelligent energy Networks, are all about maximizing asset efficiencies and control right down to the individual consumer, to increase efficient energy use and better manage supply to meet demand,’ François Loubry told the conference.

Alcatel-Lucent’s unrivalled experience in the provision of next-generation fixed and mobile telecommunications infrastructure means it is ideally placed to leverage these skills and innovations to develop unique solutions to help energy suppliers meet their challenges.

To deliver more accurate data on consumption and supply, efficient IT systems and communications are now priorities for energy suppliers. Alcatel-Lucent has already engaged with a number of major suppliers in creating ‘smart grids.

Alcatel-Lucent is also focusing research and development resources into new methods of energy distribution that address the major environmental issues facing the world.

It is a key partner in a European Commission co-funded project (within the EU 7th Framework Program) for the research and technical development of smart grids – the new generation of electronic interactive networks. The ADDRESS project (Active Distribution networks with full integration of Demand and distributed energy RESourceS) is co-coordinated by Enel Distribuzione, the main energy distributor in Italy, and 24 other partners from the energy sector, industrial and domestic electricity technology and ICT market, universities and European research institutes.

The project aims at developing the best solution –technical and economic – enabling “Active Demand”, this means consumers to proactively interact with the power system market, by means of real time interaction based on price and volume signals and by promoting the exploitation of sources of renewable energy and the development of a distributed generation model.

Alcatel-Lucent is also engaged in a smart metering trial with T-Systems, a division of Deutsche Telekom, in the German town of Friedrichshafen, a T-City project. Around 700 homes will be equipped with state-of-the-art metering systems that will enable accurate measurement of real-time energy consumption of electricity and gas, enabling greater control and planning of energy supply to these consumers.

About Alcatel-Lucent
Alcatel-Lucent (Euronext Paris and NYSE: ALU) provides solutions that enable service providers, enterprise and governments worldwide, to deliver voice, data and video communication services to end-users. As a leader in fixed, mobile and converged broadband networking, IP technologies, applications and services, Alcatel-Lucent offers the end-to-end solutions that enable compelling communications services for people at home, at work and on the move. With operations in more than 130 countries, Alcatel-Lucent is a local partner with global reach. The company has the most experienced global services team in the industry, and one of the largest research, technology and innovation organizations in the telecommunications industry. Alcatel-Lucent achieved revenues of Euro 17.8 billion in 2007 and is incorporated in France, with executive offices located in Paris. For more information, visit Alcatel-Lucent on the Internet:


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