The Internet of Things (IoT) has drawn significant research attention. IoT is considered as a part of the Internet of the future and will comprise billions of intelligent communicating ‘things’. The future of the Internet will consist of heterogeneously connected devices that will further extend the borders of the world with physical entities and virtual components. The Internet of Things (IoT) will empower the connected things with new capabilities. The change of power sector is also guided by the growing penetration of renewable and Distributed Energy Resources (DER), as well as the increasing involvement of electricity consumers in the production and management of electricity, which in turn are expected to radically change the local electricity industry and markets, especially at distribution level, creating opportunities but also posing challenges to the reliability and efficiency of system operation. The trend is inline to the smart-grid concept, which represents an unprecedented opportunity to move the energy industry into a new era of reliability, availability, and efficiency that will contribute to our economic and environmental health. During the transition period, it is critical to carry out testing, technology improvements, consumer education, development of standards and regulations, and information sharing between projects to ensure that the benefits we envision from the smart grid become a reality.