"This is a huge victory for forward-looking utilities and consumers who want to address U.S. energy independence and global warming," said Richard Mora, CEO of Landis+Gyr, an energy management company serving utilities in North America.

Smart metering solutions provide utilities with a two-way flow of data that helps them to manage energy use, efficiency, demand response and billing. Consumers get improved usage information and greater ability to reduce overall energy costs and carbon footprints.

"Our current economic challenges are serving as a catalyst for dramatic change," Mora said. "People realize we need a new approach on the big issues. One of those issues is how to manage energy better. Government support is further strengthening the utility business' cases for smart metering solutions that are continually improving as new functionality drives more utility and consumer benefits."

A Brattle Group study found that a five percent drop in peak demand nationally would eliminate the need for 625 peaking power plants. The Department of Energy estimated that if the U.S. energy grid were five percent more efficient, it would be the equivalent of eliminating the fuel and greenhouse gas emissions of 53 million cars.