Smart Grids are being promoted by worldwide electrical utilities and regulatory agencies as a way of addressing initiatives on energy saving, global warming, power grid reliability, and security issues. The smart grid network is an integration of
(i) Electric power grids that deliver electricity from power generation sources to end-users
(ii) Effective two-way digital communication networks between utilities and consumers that monitors, manages, and controls the grid operations, renewable resources, and energy demands.
Many technological and specification requirements must be met to build a smart grid network that could maximize the benefits for utility companies. One of the requirements is a dependable 2-way communication network between the utility control centers and meters at customers’ premises. Advanced metering infrastructure (AMI) establishes the communication solutions between utilities and customers and is an essential enabling technology, as part of overall smart grid strategies.