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The operation of power distribution networks becomes more and more challenging in the presence of DER, as well as new DSM requirements. Utilities need new tools to monitor and control the power distribution network, maintaining the reliability and the QoS facing these new conditions. Today's power distribution grids have to be transformed into "smart distribution grids" that feature on-line monitoring data and enable efficient, fast and secure grid operation. This issue is tackled in the OpenNode project, funded by European Commission in the 7 th framework program (www.opennode.eu). OpenNode focuses on the research and development of: (1) An open Secondary Substation Node (SSN), which is an essential control component of the future smart distribution grid; (2) A middleware to couple the SSN operation with the utility systems for grid and utility operation; (3) A modular communication architecture based on standardised communication protocols to grant the flexibility required by the stakeholder diversification and to cope with massively distributed embedded systems in the distribution grid.