What you will learn in this article:
- How near real-time data is powering smarter grid control
- The benefits of a layered control structure and how it can help create a more resilient and flexible grid
- The tools that utilities can use to operate more efficiently and autonomously
Energy demand is entering a new era. Electric vehicles (EVs) are rolling out in record numbers;1 renewable energy capacity is rapidly expanding;2 data centers equipped to handle artificial intelligence (AI) workloads are coming online at a pace few envisioned a few years ago.3 Alongside evolving climate patterns and cybersecurity threats, these shifts are putting unprecedented strain on power grids, making reliability a constant concern.
Meeting these challenges will take more than purchasing new equipment or increasing capacity. It will require using data in more strategic ways so that utilities can make faster, better-informed decisions.
Data is quickly becoming a valuable asset to the grid. Near real-time insights make it possible to balance generation, storage and demand, even as variable sources like solar and wind add unpredictability to the supply. Not only can advanced analytics automate key operations but it can also assist in flagging potential issues before outages happen and can help accelerate recovery if incidents do occur. Combined with the ability to track carbon output and meet regulatory requirements, data-driven strategies are laying the groundwork for a more reliable and future-forward grid.
Near Real-Time Data is Powering Smarter Grid Control
High-quality data can give grid operators a clearer picture of what is happening at nearly every moment. With improved visibility around voltage, frequency and load, it’s becoming easier to spot imbalances and take targeted actions to keep the system stable. Reliable, time-synchronized data shapes control systems and algorithms, from automatic generation control to demand response. This data can also sharpen short-term forecasts for renewable generation and demand, helping utilities take early steps before problems appear.
By embracing this digital change, utilities can boost reliability and customer satisfaction. They can reallocate investments based on better operational insights, often without spending much more. The payoff can be substantial, with potential profitability gains of 20-30% through data-driven decision-making and resource use.4
The Three Layers of Modern Grid Management
- Supervisory Control and Data Acquisition (SCADA): Collects near real-time data from grid assets like substations and transformers. Systems like Honeywell Experion® are designed to enable remote control, fault detection through alarms, status updates and historical logging.
- ADMS (Advanced Distribution Management System): Builds on SCADA by combining real-time data with advanced analytics for grid-wide situational awareness. ADMS can also help optimize operations such as voltage control and load balancing, while automating processes like fault location, isolation and service restoration (FLISR).
- DERMS (Distributed Energy Resource Management System): Coordinates and controls distributed energy resources (DERs) like solar panels, batteries and EVs. By pulling data from SCADA and ADMS, DERMS can help to forecast, schedule and dispatch DERs to assist in balancing supply and demand and reduce peak loads.
In short, SCADA provides visibility, ADMS drives optimization and DERMS manages distributed resources. Together, they create a layered control structure that can offer a grid that is resilient, efficient and flexible.
Case Study: Hybrid Control Solution
A large electric utility in the Eastern United States turned to Honeywell to help optimize operations across multiple solar and wind farms. By deploying hybrid control solutions that combine on-site and cloud SCADA infrastructure, advanced analytics and energy storage systems, the utility successfully integrated renewable assets while reducing operations and maintenance costs, as well as safety and compliance incidents.5
The Role of EMS and Microgrid Controls
Energy Management Systems (EMS) and microgrid controls provide operators with tools with the potential to match supply and demand more intelligently and efficiently. By analyzing historical data, they can identify consumption patterns, forecast future loads and often spot maintenance needs before disruptions occur. For microgrids, advanced controls add capabilities like islanding, localized optimization and improved outage resilience — so that even if the primary grid goes down, critical services can keep running smoothly.
AI and Data Are Creating Autonomous Environments
AI and advanced analytics are reshaping how utilities maintain and optimize the grid, pushing operations closer to autonomy. AI can flag early warning signs of equipment wear and tear or failure through historical logs and near real-time sensor data — temperature, vibration, current, etc. — from transformers and circuit breakers. This enables maintenance teams to address issues before they lead to costly breakdowns. Machine learning models can also scan large datasets to identify anomalies, forecast component lifespans and predict outage risks, improving reliability while reducing downtime.
Self-healing systems in energy grids take this autonomy a step further. With sensors, smart controls and near real-time data, these tools can generally detect and isolate faults automatically. If a potential issue is recognized, power can be rerouted and service restored in minutes, often without human intervention. Data can speed up self-healing with tools like SCADA, ADMS, DERMS and AMI 2.0 (Advanced Metering Infrastructure). The latter offers several key benefits that go beyond traditional smart meters: rapid fault detection, dynamic pricing, distributed energy integration and two-way communication between utilities and customers for better energy usage insights.
Case Study: AMI Meter Upgrade
Honeywell partnered with a large investor-owned utility to help upgrade 2.7 million Advanced Metering Infrastructure (AMI) meters, 200,000 gas modules and 5,000 gas meters. The three-year project resulted in improved energy data collection for strategic planning and the ability to address challenges, such as high-voltage service requirements.6
Harnessing Data for Stronger Operations
As energy demand rises, so does the challenge of maintaining reliable, secure and efficient power. Achieving this balance involves the use of data-driven solutions to connect infrastructure, track performance and detect threats across every layer of the grid. From balancing loads to coordinating responses and safeguarding critical assets, data empowers operators to act with speed and accuracy.
Connect with a Honeywell expert to learn more about how to put data to work for a stronger, more sustainable grid.
References
- International Energy Agency, “Trends in electric car markets,” May 2025. [Accessed September 2, 2025]
- SolarQuarter, “Global Renewable Capacity Hits 4,448 GW in 2024, Solar Alone Reaches 1,865 GW,” Sangita Shetty, March 26, 2025. [Accessed September 2, 2025]
- McKinsey & Company, “Scaling bigger, faster, cheaper data centers with smarter designs,” August 1, 2025. [Accessed September 2, 2025]
- McKinsey & Company, “The digital utility: New opportunities and challenges,” Adrian Booth, Niko Mohr and Peter Peters, May 12, 2016. [Accessed August 7, 2025]
- Honeywell, “Honeywell Optimizes Energy Storage Solutions,” March 2022. [Accessed September 2, 2025]
- Honeywell, “Grid Digital Modernization: A Utility's Guide to Resilience and Flexibility,” 2025. [Accessed August 7, 2025]