Neoenergia Selects Elster's Garnet Solution

                 Neoenergia Selects Elster's Garnet Solution

  PR Newswire

  ESSEN, Germany and SAO PAULO, Oct. 23, 2012

— Northeast Brazil's largest electricity distribution group launches project
to reduce non-technical losses, enhance collections, operational efficiency,
and safety —

ESSEN, Germany and SAO PAULO, Oct. 23, 2012 /PRNewswire/ -- Elster announced
today that Neoenergia, the largest electricity distribution group in Northeast
Brazil, serving more than 8.4 million customers, is rolling out 35,000
metering endpoints based on Elster's Garnet solution in the country's
northeastern region (Bahia, Pernambuco and Rio Grande do Norte states).
Spain's multinational group Iberdrola owns 39 percent of Neoenergia Group.

(Logo: http://photos.prnewswire.com/prnh/20110126/SF35872LOGO-a )

The roll-out follows the successful 1,311 endpoint pilot project with Elster's
Garnet solution completed late last year to reduce non-technical losses and
enhance collections. Elster was selected because the Garnet technology meets
Neoenergia's specific required operating requirements for a robust,
self-healing and easily configurable network with remote connect/disconnect,
among other criteria. Neoenergia established a new configuration to its
distribution network, where read, disconnect and reconnect to consumer units
can be remotely executed, improving operational effectiveness. Elster's Garnet
solution is also equipped with radio frequency (RF) mesh communications and
networking features.

Developed and manufactured in Brazil, Elster's Garnet solution allows
utilities to deploy up to 12 single-phase electric Smart Meters in one unit,
which is typically installed on the top of an electric transformer pole to
prevent unauthorized access to the equipment. The Garnet solution has a secure
all-weather stainless steel casing and the embedded metering technology has
comprehensive self-diagnostic functions that can identify tampering, fraud or
irregular operation and can immediately alert the utility. Equipped with RF
mesh communications and networking features, the solution allows for remote
measurements and remote connection and disconnection.

Neoenergia is committed to ensuring the safe, efficient and affordable supply
of electricity to communities under the national program of energy
universalization. Customer connection can be particularly challenging in some
areas and it was essential that it found a robust, secure and cost-effective
solution to reduce non-technical losses and improve both installation times
and collections.

Elster's Garnet solution proved extremely successful in meeting these goals
during the pilot project.

Roll-outs of Elster's Garnet solution have continued to gain momentum in
Brazil, with a number of major utilities deploying Advanced Metering
Infrastructure (AMI) as part of essential upgrades to the electric
distribution network. AES Eletropaulo, the largest power distribution company
in Brazil with more than six million customers, has completed an initial
roll-out of Garnet solution in the Morada do Sol community and is now
preparing a second roll-out in another community. Also, Light S.A., the second
largest utility in Brazil, has selected Garnet as part of its AMI program for
the communities of Macacos, Alemao and Cidade de Deus in the state of Rio de
Janeiro.

"The innovative design of Elster's Garnet solution and powerful remote reading
and diagnostic features have enabled a number of Brazil's major utilities to
deliver secure, reliable and safe connection to the electricity grid for
communities in challenging areas," said Geraldo Guimaraes, Elster Integrated
Solutions' vice president for Latin America.

"The success of these programs is expanding Elster's important relationships
with Brazil's largest utilities and bringing the benefits of AMI to new
communities," Guimaraes added.

About Elster Elster is one of the world's largest electricity, gas and water
measurement and control providers. Its offerings include distribution
monitoring and control, advanced smart metering, demand response, networking
and software solutions, and numerous related communications and services – key
components for enabling consumer choice, operational efficiency and
conservation. Its products and solutions are widely used by utilities in the
traditional and emerging Smart Grid markets.

Elster has one of the most extensive installed revenue measurement bases in
the world, with more than 200 million metering devices deployed over the
course of the last 10 years. It sells its products and services in more than
130 countries across electricity, gas, water and multi-utility applications
for residential, commercial and industrial, and transmission and distribution
applications.

For more information about Elster, please visit www.elster.com and follow us
on Twitter at www.elster.com/twitter .

Website: http://www.elster.com
Contact: Media: Geoffrey Riggs, Marketing and Communications Manager, Elster
Integrated Solutions International, +33 4 67 22 66 62,
geoffrey.riggs@elster.com