You’ve probably heard of the Internet of Things (IoT), and maybe even the Internet of Everything, but have you heard of the Internet of Energy (IoE)? These are important new themes of our modern, interconnected life, and the terms are connected as well. You’ve probably heard of the Internet of Things (IoT), and maybe even the Internet of Everything, but have you heard of the Internet of Energy (IoE)? These are important new themes of our modern, interconnected life.
Let’s unpack exactly what the Internet of Things, the Internet of Everything, and the Internet of Energy are referring to, so we can understand why the Internet of Energy is so important to our energy systems and daily lives
What Is the Internet of Things?
The Internet of Things refers to the growing network of devices (or “things”) in our world that are connected to one another through the internet
The power of the Internet of Things, or IoT as it’s sometimes shortened to, comes from the fact that all of these devices — from smart refrigerators to fitness wearables and washing machines to cars — can “talk” to one another via the internet
What Is the Internet of Everything?
The Internet of Everything builds on the concepts developed by the Internet of Things, but it broadens the scope dramatically.
We can think of the Internet of Everything as an interconnected network of four different groups, or pillars. The four pillars of the Internet of Everything are:
- People
- Processes
- Data
- Things
We can see that the Internet of Everything contains within it the Internet of Things (see: the fourth pillar), but it also incorporates people, processes, and data. This broadens the scope of the Internet of Everything significantly
The sharing of data, often in real time, can help businesses become more efficient, resilient, and predictive. This is especially important in the energy sector, so let’s take a look at the Internet of Energy
What Is the Internet of Energy?
The Internet of Energy is the network of interconnected energy systems that are capable of sharing data through the internet. We can think of the Internet of Energy as an important subset of the Internet of Things (and therefore a subset of the Internet of Everything, as well)
The Internet of Energy, also referred to as IoE, encompasses a large number and variety of energy systems. We’ll take a look at some of the Internet of Energy’s most important components
The Smart Grid
The power grid is a critical energy system that helps connect power suppliers with energy demand. These energy networks can vary in both scale and design, but every power grid is an essential component of our nation’s energy infrastructure
Power grids can take advantage of the Internet of Energy by giving utilities, power plants, and consumers the ability to look at data in real time in order to match supply and demand more effectively. When power grids start leveraging the power of big data in this way, we call them smart grids
Smart grid technology represents an important step forward for how we connect energy consumption with energy production, and it wouldn’t be possible without the Internet of Energy
Energy Automation
Automation is one of the most exciting energy technologies of the Internet of Energy, because it gives energy companies the ability to refine the way energy is produced, transmitted, and consumed
When utilities and energy companies are able to monitor their energy management systems in real time, they can use automation and algorithms together to respond quickly to surges or lulls in either energy supply or energy consumption
That kind of data-informed automation makes distribution networks more reliable, and the optimizations it produces can increase energy efficiency
Smart Homes
We’ve seen how the Internet of Energy is capable of optimizing distribution networks and energy management systems, but a smarter energy system is good news for the average American, as well. One of the easiest ways to see the Internet of Energy in your own life comes in the form of smart homes
Smart homes use the Internet of Things to connect appliances, computers, televisions, lighting, cameras, security systems, and even sprinklers. When these devices “talk” with one another, homeowners can enjoy a more streamlined experience in the house
Smart homes also benefit from the Internet of Energy, primarily through the addition of smart meters. Smart meters are able to communicate with the power grid in real time to better understand the overall energy demand, and how it relates to current energy supply
Through a smart meter, a smart home could be told by a smart grid about a spike in energy consumption in the region, and in response the smart home could turn off lights or delay running the dishwasher.
This is called demand response, and it’s a great way for consumers to be active participants in making the energy network more reliable — and it wouldn’t be possible without the Internet of Energy
Electric Vehicles
The Internet of Energy has become especially important in recent years due to the rise of electric vehicles, or EVs. Many modern electric vehicles are connected to the internet, and as a result, they’re important components of the Internet of Energy
This benefits drivers of electric vehicles in some interesting ways. Because charging stations can also be connected to the Internet of Energy, connected drivers can look to find the closest available charging connection, and avoid congestion or lines at the charging station
From an energy network perspective, the fact that electric vehicles can be connected into the Internet of Energy provides some real opportunities. If left plugged into a smart grid, an electric vehicle could wait until a lull in energy usage to charge, and in this way reduce strain on energy infrastructure.
How Do Renewable Energy Sources Fit Into the Internet of Energy?
As we continue to reckon with climate change, sustainable energy is becoming more important, and more available. As it turns out, the Internet of Energy is a necessary part of the growth of clean energy
In recent years, the energy transition toward lower-emissions sources like wind turbines or solar power has created a problem: These renewable energy sources can only produce power when the wind is blowing or the sun is shining. We call this problem intermittency
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Intermittency can be a real headache for grid operators, and left unchecked it can lead to outages. But while we can’t do much for solar panels on a cloudy day, the Internet of Energy can give us real-time data to help make up for that lost power in other ways
For example, a smart grid could react to a cloudy, windless day by telling a connected natural gas-fired power plant to up its energy production for the day. Alternatively, on an especially sunny and windy day, a smart grid could send a message to that same power plant to instruct it to produce less power, and avoid overloading the power grid
Finally, renewable energy sources like solar or wind power tend to be more distributed energy resources — they’re less likely to be grouped as close together as, say, a coal-fired power plant might be. That poses logistical challenges for transmission, and makes the job of matching energy production with energy demand much more challenging
Here, again, smart grids and the Internet of Energy are necessary for the continued growth of these sources of sustainable energy. They can use algorithms and automation to move power around a grid that’s grown a lot more complex in recent years
Are Cybersecurity Threats Dangerous to the Internet of Energy?
One of the downsides of connecting more physical things — and crucial energy infrastructure — with internet-enabled networks is the increased risk of malicious actors hacking into systems that previously were unhackable.
These cybersecurity threats are real, and we’re already seeing their effects on the Internet of Energy. In April 2021, hackers used a compromised password to shut down a network of gasoline pipelines, leading to gasoline shortages across the southeast United States.
As more of our power grid and energy systems are connected into the Internet of Energy, opportunities for these cyberattacks will continue to increase. This isn’t just a problem for the future, though. A former Secretary for Homeland Security wrote in the wake of the pipeline attack that “[t]he cyber threat to our energy infrastructure is real and growing. Indeed, it’s not just a threat. It is our current reality.”
Cybersecurity threats are also a problem for our growing number of electric vehicles. Because these cars and trucks are also connected to the Internet of Energy, they’re vulnerable to hacking.
The good news is that researchers and government officials are well aware of this problem, and there’s plenty of work being done to help combat cyber threats against the Internet of Energy
What’s Next for the Internet of Energy?
Renewable energy sources tend to also be distributed energy resources, and as we just learned, that means we’re going to need smart grids and the Internet of Energy more with every year
Germany has pledged to spend $23.6 billion on building out its own smart grid by 2026. Here in the United States, nearly half of all electricity customers have a smart meter, and that number is growing
The Internet of Things has captured far more headlines than the Internet of Energy, but it’s the Internet of Energy that’s going to keep all of our lights on (and our cars driving), as we continue our clean energy transition and as the share of






