Echelon and ELO Announce Eletrobras Advanced Sensor & Smart Meter Project in Brazil

 Echelon and ELO Announce Eletrobras Advanced Sensor & Smart Meter Project in
                                    Brazil

Project Utilizes Echelon-Powered Dual Mode ELO Meters That Offer Power Line
and RF for Optimal Cost Efficiency & Deployment Flexibility

PR Newswire

SAN JOSE, Calif., Jan. 15, 2013

SAN JOSE, Calif., Jan. 15, 2013 /PRNewswire/ --Echelon Corporation (NASDAQ:
ELON), the world's leading energy control networking solution provider, and
ELO Sistemas Eletronicos, one of the largest meter manufacturers in Brazil,
today announced that ELO is completing the deployment of a 3,400 unit pilot –
the Parintins City Project – with Eletrobras, This utility is one of the
largest in Latin America, serving over 3 million customers. ELO's solution
consists of a dual mode smart meter that communicates over power line (PL) or
by radio frequency (RF) through Echelon's exclusive Multipurpose Expansion
Port (MEP) feature. Echelon is providing smart sensor and metering sub-systems
to ELO, leveraging its proven Energy Control Networking Platform.

This project is part of an innovative plan aimed at improving the everyday
lives of the customers served by Eletrobras in the Amazon region. Installed
smart meters will act as sensors in the distribution network, allowing the
detection and immediate intervention in the event of a power failure or line
tampering. Eletrobras will monitor the data from the smart meters, such as
time consumption and cost per kWh at different times of day, and can change
rates throughout the day, encouraging consumption during off-peak demand. By
the end of 2013, ELO will deploy another 12,000 smart meters as part of this
project.

"We are excited to provide ELO with the solution that enables a grid
modernization path for Eletrobras," said Michael Anderson, senior vice
president, Worldwide Markets, at Echelon. "Delivering safe, reliable energy is
the main mission of the smart grid, and utilities like Eletrobras with grid
modernization projects lead the way for other Brazilian cities and towns."

The project is located in Parintins, a city on an island in an isolated
portion of the grid, which will allow monitoring of system performance from
generation to distribution and provide customer with status to this new
technology. To integrate the entire area, meters with both PL and RF
communications were required to reach all customers. Another technical
requirement was to secure the information and sense any tampering, as this
territory has one of the highest rates of non-technical losses, largely
because enforcement is difficult. To date, 3,400 meters have been installed
and the project is meeting its goals of reduced technical and commercial
losses, increased security and improved quality of service.

"Meeting or surpassing the Eletrobras Parintins project goals for reduced
losses and improved quality of service has been extremely satisfying," said
Marcos Rizzo, vice president of Business Development of ELO. "Parintins will
be the first Brazilian city with 100% of the customers with a smart meter
installed. Echelon and ELO are able to offer the Parintins project unmatched
flexibility and time to market advantages based on the industry standard Open
Smart Grid Protocol (OSGP)."

About ELO Sistemas Eletronicos
Founded in 1980, ELO Sistemas Eletronicos is a leading metering provider for
the South America market. With offices in Brazil and Chile, ELO is recognized
as a key supplier of quality electronic equipment and systems to the Brazilian
and South American electricity supply market. ELO provides integrated product
and system packages to utilities to automate processes, such as the collection
and treatment of metering data. In 1993, ELO introduced the concept of
electronic metering for C&I applications to energy metering in Brazil and is a
recognized leader and innovator in the Brazilian energy market. More
information about ELO can be found at http://www.elonet.com.br.

About Echelon Corporation
Echelon Corporation (NASDAQ: ELON) is an energy control networking company,
with the world's most widely deployed proven, open standard, multi-application
platform, selling complete systems and embedded sub-systems for smart grid,
smart city and smart building applications. Our platform is embedded in more
than 100 million devices, 35 million homes, and 300,000 buildings and powers
energy savings applications for smart grids, smart cities and smart buildings.
We help our customers reduce operational costs, enhance satisfaction and
safety, grow revenues and prepare for a dynamic future. More information about
Echelon can be foundat http://www.echelon.com.

Visit the Smart Energy Blog by Echelon.

About Open Smart Grid Protocol (OSGP)
The Open Smart Grid Protocol (OSGP) is a family of specifications published by
the European Telecommunications Standards Institute (ETSI) used in conjunction
with the ISO/IEC 14908 control networking standard for smart grid
applications. OSGP is optimized to provide reliable and efficient delivery of
command and control information for smart meters, direct load control modules,
solar panels, gateways, and other smart grid devices. With over 3.5 million
OSGP based smart meters and devices deployed worldwide it is a widely used
smart meter and smart grid device networking standard. More information about
OSGP can be found at www.opensmartgridprotocol.org.

Echelon and the Echelon logo are registered trademarks of Echelon Corporation
registered in the United States and other countries. Other product or service
names mentioned herein are the trademarks of their respective owners.

This press release may contain statements relating to future plans, events or
performance. Such statements may involve risks and uncertainties, including
risks associated with market acceptance in Brazil and elsewhere of Echelon's
technology by itself or combined with other applications or offerings,
including offerings by ELO; the risk that Echelon's offerings by themselves or
combined with other applications or offerings do not perform as designed or do
not offer the expected benefits and savings; risks associated with
international sales; the timing of orders and the possibility that pilot
orders may not expand into full deployments; and other risks identified in
Echelon's SEC filings. Actual results, events and performance may differ
materially. Readers are cautioned not to place undue reliance on these
forward-looking statements, which speak only as of the date hereof. Echelon
undertakes no obligation to release publicly the result of any revisions to
these forward-looking statements that may be made to reflect events or
circumstances after the date hereof or to reflect the occurrence of
unanticipated events.

Contacts:
Colleen Martell
Echelon Corporation
+1 (408) 832-0147
cmartell@echelon.com

Roberta Corvino
ELO Sistemas Eletronicos
+ 55 19 2115-4900
roberta_corvino@elonet.com.br

SOURCE Echelon Corporation

Website: http://www.echelon.com