Consumers Energy Becomes First Utility to Purchase Smart Metering Software for Utilities From SAP

New Software to Integrate Directly With SAP® ERP, Allowing for Sustainability Improvements through Operational Efficiencies While Giving Customers Control over Consumption Habits

WALLDORF, Germany and LANSING, Mich.- SAP AG (NYSE: SAP) announced today that Consumers Energy will become the first utility to purchase SAP® AMI Integration for Utilities software. The new smart metering software will help Consumers Energy improve efficiencies and provide customers with timely information to help them better manage their energy usage.

Consumers Energy is one of nine utility members participating in the SAP AMI Lighthouse Council. Since 2007, the council has partnered with SAP to develop a new advanced meter integration (AMI) approach, which brings together end-to-end processes between the meter and back-end systems. Overall, this approach is expected to help reduce a company’s total cost of ownership for AMI infrastructure.

Consumers Energy completed its installation of SAP® for Utilities solutions in July 2008. Its current SAP software includes SAP’s flagship enterprise resource planning application, SAP® ERP, the SAP® Customer Relationship Management and Billing for Utilities package, and the SAP® Energy Data Management application.

Consumers Energy plans to finish its installation of SAP AMI Integration for Utilities soon. This is expected to help the utility create a platform for a future smart grid and automate manual processes.

“We’re moving forward with this software purchase against the backdrop of a rapidly changing utility industry,” said Sue Swan, Consumers Energy vice president of Business Technology Solutions. “Today, our average residential customer uses eight percent more electricity than a decade ago. This software will allow us to provide more information to our customers so they can better manage their energy consumption.”

“SAP is proud to support Consumers Energy with AMI enabling capabilities,” said David Laker, senior vice president and general manager, Utilities Practice, SAP America, Inc. “SAP continues to work with the AMI Lighthouse Council to sustainably empower utilities and their customers.”

SAP AMI Integration for Utilities is an example of SAP software that meets the sustainability needs of customers today. Together with its ecosystem of customers and partners, SAP fosters co-innovation and collaboration to develop the business solutions for a more sustainable tomorrow.