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IoT and its Future in Energy Management

IoT in Energy Sector, in turn, increases the use of renewable energy and has a great impact on the environment and climate change.

IoT in energy sectorWith the technology upgradation happening day by day, the reliance of humans on technology is also reaching new levels.

Internet of Things (IoT) has now become the new reality of production as more and more smart devices are flooding the industry that leverages the information derived from the data to develop new services, enhance productivity and efficiency as well as upgrade decision making in real-time to resolve critical problems and create innovative experiences.

Wireless connectivity is becoming a major highlight of this smart concept as it does not need human assistance for its routine operations while easing the workload of people simultaneously.

And the more people use it, the more energy consumption is increased on industry’s limited energy sector while putting a considerable strain on the production.

Keeping this load in mind, engineers have now come up with cost-effective and low energy consumption products that enable IoT devices to create intelligent networks or Smart Grids through the collection, transmission and utilization of large quantities of data.

IoT in Energy Sector, in turn, increases the use of renewable energy and has a great impact on the environment and climate change.

Since IoT in Energy Sector is heavily supported by cloud computing solutions and advanced data processing platforms, these solutions improve the management of this huge amount of data sets on energy consumption and distribution.

However, before talking about some of the most common use cases of IoT in Energy Sector, we must understand how IoT affects the energy industry and what challenges are present while we leverage IoT Applications in energy management.

How does IoT Impact Energy Sector?

IoT and energy sectorAs IoT in Energy Sector acts as the major driver for more efficient and streamlined energy management, there are many more ways in which IoT energy devices can transform the industry.

IoT Affects Energy Industry by:

Reducing Costs- IoT-based solutions for the energy sector help enterprises to cut maintenance and operating expenses either through system modernization or via minimized human effort.

New Data Sources- As IoT energy devices provide real-time insights into system performance, it is possible to implement predictive maintenance models and improve staff safety.

Greater Energy Efficiency using IoT- Due to the upgraded control over energy consumption in new IoT devices, the energy efficiency of IoT has leveled up which in turn, reduces costs.

Challenges of IoT in Energy Sector

Energy sectorDespite innumerable benefits of IoT solutions in Energy Sector, smart energy solutions have their pitfalls.

Naming some of the IoT solutions challenges in Energy Management while considering IoT uses in the energy industry includes security, integration and connectivity issues.

Since IoT devices are quite vulnerable to targeted attacks from cyberhackers, security plays a major role while leveraging IoT solutions.

Also, new challenges may arise when we need to connect to a new IoT network to the existing legacy systems for which upgrading the infrastructure becomes a priority.

Use Cases of IoT in Energy Sector 

IoT in energyListing some of the most popular use cases of IoT in Energy Sector are as follows,

Energy System Monitoring and Maintenance

Utilizing the monitoring solutions offered by IoT in Energy sector, we can use IoT-based technologies to keep a steady track of many system metrics like overall health, performance, and even efficiency of energy systems to monitor their maintenance.

Especially in the cases of renewable plants like a wind turbine or other related equipment, identifying an issue before the system goes down can stabilize the efficiency of energy systems when we utilize constant monitoring.

Empowering Microgrids

Reducing the energy footprint is not the only reason for bringing IoT into this sector. Smarter energy grids are another facet of IoT in Energy Sector that can justify the power of IoT.

Smart grids can be defined as a network of electric circuits that support a two-way energy flow with a self-healing capacity that can handle maintenance issues.

Another feature of smart grids is to allow energy consumers to become active participants since the leftover energy is sent back to its source.

In this way, not only do microgrids and smart grids save energy efficiently but also help to direct energy wherever required.

Predictive Protocols for Disasters

Another big application of IoT in Energy Sector is to employ predictive protocols for disasters to raise pre-disaster alarms at times of natural calamity.

Utilizing past data to develop predictive patterns, IoT solutions can forecast manmade as well as natural disasters with the help of smart sensors to regulate energy consumption, distribution, and management.

Smart Meters

Some IoT energy devices can connect their users directly to the power distribution station, to allow two-way communication.

Smart meters are one such example as it sends critical operation information to the utility agencies in real-time.

Another outstanding feature is to identify and automatically isolate the damaged section of a line by these smart meters without affecting the overall performance of the rest of the network.


Aishwarya Saxena

A book geek, with creative mind, an electronics degree, and zealous for writing.Creativity is the one thing in her opinion which drove her to enter into editing field. Allured towards south Indian cuisine and culture, love to discover new cultures and their customs. Relishes in discovering new music genres.

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