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Industry Veteran James Andrus to Join Echelon as Vice President, NES Sales Americas

SAN JOSE, Calif., Jan. 22, 2009--Echelon Corporation (NASDAQ:ELON) today announced that James Andrus has accepted a position with the company as Vice President, Networked Energy Services (NES) Sales. In this role, Andrus will lead Echelon's NES sales group in the Americas region. Andrus is scheduled to join Echelon on February 2, 2009.

"I am delighted to welcome James Andrus to the management team of Echelon," said Ken Oshman, Echelon's chairman and chief executive officer. "Jim is a well-respected industry veteran with more than 18 years of experience in the utility industry with background in both metering and advanced metering infrastructure. I think it is a testament to the rapid progress we are making in the U.S. market and the opportunity for Echelon in the future that we have been able to attract someone of Jim's caliber to join our team. We look forward to benefiting from his leadership and experience and expanding our presence in the fast-growing smart grid market in the Americas."

James Andrus most recently served as the group vice president of sales at Aclara Technologies Group, a supplier of advanced metering infrastructure (AMI) solutions. Prior to Aclara, Andrus was Vice President of Sales and Marketing at Distribution Control Systems, Inc. He also held various sales and executive roles at Itron and Elster/ABB. Andrus holds a BA in history from the University of Hartford and an MBA from Rensselaer Polytechnic Institute.

About Echelon Corporation

Echelon Corporation (NASDAQ:ELON) is leading the worldwide transformation of the electricity grid into a smart, communicating energy network, connecting utilities to their customers, and providing customers with energy aware homes and businesses that react to conditions on the grid.

Echelon's NES System - the backbone for the smart grid - is used by utilities to replace existing stand-alone electricity meters with a network infrastructure that is open, inexpensive, reliable, and proven. The NES System helps utilities compete more effectively, reduce operating costs, provide expanded services and help energy users manage and reduce overall energy use. Echelon's LonWorks(R) Infrastructure products extend the smart grid, powering tens of millions of energy aware, everyday devices made by thousands of companies - connecting them to each other and the grid. LonWorks based products work together to monitor and save energy; lower costs; improve productivity; and enhance service, quality, safety, and convenience in utility, municipal, building, industrial, transportation, and home area networks. More information about Echelon can be found at http://www.echelon.com.

CONTACT: Echelon Corporation

Julia O'Shaughnessy

408-938-5357

julia@echelon.com

Atomic Public Relations

Allyson Stinchfield

415-402-0230

allyson@atomicpr.com

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