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This paper presents some rules and criteria that are necessary to design correctly a communication network over Distributions Networks (DN). The paper also collects main communication requirements needed for Smart Grids.

The purpose of the paper is to communicate the progress of the second year of the Active Demand Management project (GAD Project) in different areas, especially related to its communication architecture. This experience will support the different agents of the Electrical Sector in order to assess new regulatory requirements, improve service quality and overall energy efficiency, being the key tool in defining a new electricity marketplace for Spain.

Demand Management concepts are required in their Electrical Sector, in order to improve their generation profile, environmental impact and overall consumption thanks to educational information among population. This is our proposal for the Communication Architecture. • NEW BUSINESS CASES AND SERVICES: this matrix is allowing the Application Level to support new added value services and develop dynamical business cases, as soon as they arise at different stages and serving different group of interested users. Telecontrol, telemetering,… are just the beginning.

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