When the UK electricity market was deregulated in the late 1990’s, the country established a common data network service (called the Data Transfer Service, or DTS) to enable utilities to exchange data and tasked an industry-owned company called Electralink to run the system. So getting an “in” with ElectraLink clearly bodes well for any vendor looking to grab a piece of the 46 million electric and gas smart meters that will be installed in the UK over the next decade. That’s what San Mateo, Calif-based firm eMeter says it’s recently scored, and on Tuesday morning in London the startup announced that ElectraLink has chosen it as the basis for its smart meter data service.
While the architecture of the UK’s smart grid is still in the planning stage, ElectraLink is hoping to transition between providing the data layer for the current traditional meters to being able to serve data services for the country’s smart meters. eMeter says ElectraLink chose it because it’s the only smart meter data management software that can connect a group of diverse multiple entities like electricity retailers, meter data collectors, and distribution utilities.
eMeter has a similar deal with Ontario’s Independent Electricity Systems Operator, and the Canadian government selected eMeter to be the central hub for Ontario’s 93 utilities. The CEO of Electralink, Dave Mutton, sited the Ontario deal as a proving point for the UK deal in companies’ release this morning.
eMeter has been scaling up to secure these types of deals. The company has raised $57 million in over its 11 years in existence (not a small amount for software), including a $32 million round led by Sequoia Capital. The company has also launched consumer-facing smart meter software that will enable home owners to manage their energy consumption. If eMeter can position itself as the go-to company to provide software for government-led smart meter data services, it could be huge.