Honeywell and City of Tallahassee Deploy Smart Network to Better Manage Utility Use

MINNEAPOLIS, Feb. 7 /PRNewswire-FirstCall/ -- Honeywell (NYSE:HON) today announced it has been awarded a $14.9-million contract by the City of Tallahassee, Fla., to implement a smart metering network system that will allow the city to automatically collect electricity, natural gas and water usage data from residents and local businesses.


The smart metering system, which will include more than 220,000 electric, gas and water meters, will help the city reduce its operating costs by an estimated $21 million over 15 years and improve customer service. Additionally, the city will gain greater visibility into energy and water use, along with a platform for future conservation programs that will minimize the need to build additional power plants.

"The smart metering system is another step in helping Tallahassee continue its leadership role as a green and sustainable city," said Tallahassee Mayor John Marks, noting that in January 2008 Tallahassee became the second city in Florida to be silver certified as a Green City by the Florida Green Building Coalition. "Smart metering will supply information that will help us and our utility customers make better, more informed energy decisions that can ultimately help reduce the amount of power and water we use," Marks added.

As part of its contract, Honeywell will replace more than 110,000 electric meters with smart meters from Elster Integrated Solutions. Honeywell also will retrofit more than 25,000 gas meters and 85,000 water meters. Every meter will be equipped with a digital register -- instead of the traditional rotating dials -- and wireless technology that will allow the meters to send readings to more than 300 "collector" meters located throughout the city. Elster's EnergyAxis(R) System will connect these data collection points to the city's utility systems, allowing the city to automatically compile metering information.

The electric meters feature two-way communication capabilities as well, which will give the city greater visibility into, and control of, the electricity grid. Instead of just collecting usage data, for example, utility employees can pinpoint specific houses affected by a power outage or remotely shut off power if a resident is moving.

The new meters will further reduce costs by detecting gas and water leaks or other problems almost immediately. Overall, the smart metering system will allow the city to generate timely, accurate usage and billing information for its customers. And it will minimize the need for meter readers to visit properties every month.

The new infrastructure will give Tallahassee the ability to implement demand response programs and other conservation strategies in the future. With demand response, for instance, the city plans to add smart thermostats to the network in the future. These thermostats can provide usage information and cycle equipment like air conditioners on and off for short periods of time to reduce peak energy demand and minimize the need for additional generation capacity. A Web portal may also be used to allow utility customers to personalize billing cycles and view consumption patterns to better manage their energy use.

Honeywell expects to complete the installation of the smart meters in 2009.

"This system will give utility customers greater control of their energy and water use, and it will help Tallahassee better understand and manage demand," said Kent Anson, vice president of Global Energy for Honeywell Building Solutions. "The work will generate long-term benefits for the city and all its residents."

Honeywell International is a $36 billion diversified technology and manufacturing leader, serving customers worldwide with aerospace products and services; control technologies for buildings, homes and industry; automotive products; turbochargers; and specialty materials. Based in Morris Township, N.J., Honeywell's shares are traded on the New York, London and Chicago Stock Exchanges. It is one of the 30 stocks that make up the Dow Jones Industrial Average and is also a component of the Standard & Poor's 500 Index. For additional information, please visit Honeywell Building Solutions is part of the Honeywell Automation and Control Solutions business group, a global leader in providing product and service solutions that improve efficiency and profitability, support regulatory compliance, and maintain safe, comfortable environments in homes, buildings and industry. For more information about Building Solutions, access

This release contains "forward-looking statements" within the meaning of Section 21E of the Securities Exchange Act of 1934. All statements, other than statements of fact, that address activities, events or developments that we or our management intend, expect, project, believe or anticipate will or may occur in the future are forward-looking statements. Forward-looking statements are based on management's assumptions and assessments in light of past experience and trends, current conditions, expected future developments and other relevant factors. They are not guarantees of future performance, and actual results, developments and business decisions may differ from those envisaged by our forward-looking statements. Our forward-looking statements are also subject to risks and uncertainties, which can affect our performance in both the near- and long-term. We identify the principal risks and uncertainties that affect our performance in our Form 10-K and other filings with the Securities and Exchange Commission.

The City of Tallahassee, located in northwest Florida, is the state's capital city and home to Florida State University, Florida A&M University and Tallahassee Community College. The City of 175,000 residents is a full service government operating electric, gas, water, wastewater and solid waste services, in addition to operating the Tallahassee Regional Airport, Star Metro Transit and numerous other local government operations. It is an All-America City, its Parks and Recreation Department has been named the Best in America, its police department is the fourth longest accredited organization in the country and Tallahassee was named a "Green City" in January 2008.

Source: Honeywell

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