Utilizing Data for Stronger Power Grids and Smarter Decisions
Discover how data-driven decisions build smarter, more resilient power grids. Learn how you can take action today.
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. 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.
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.
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]