Telkonet Appoints Blair Gilbert as Vice President, Satellite Networks.

GERMANTOWN, Md. -- Telkonet, Inc. (Amex:TKO), the leader in commercial powerline communications (PLC) and the Company bridging the "outlet to the Internet", today announced the appointment of Blair Gilbert as Vice President of Satellite Networks.

Stephen Sadle, Senior Vice President of Telkonet, stated, "We are pleased that Blair Gilbert has joined Telkonet. His 24 years of satellite industry experience will be a great contribution to the substantial foundation from which we are expediting the launch of our satellite networking initiatives, in concert with our industry partners and their value added resellers, distributors and installers. Blair's knowledge and relationships with satellite industry participants will significantly help with the integration of our product offerings. Underserved market areas, rural areas, and those particular geographic locations unable to access a proper terrestrial high-speed connection are prime candidates for our satellite/Telkonet solution. Telkonet will provide what we envision to be the most efficient, most cost effective solution for those commercial properties."

Prior to joining Telkonet, Blair was the Director of Business Development for Pegasus Communications, managing the development of commercial internet over satellite offering and broadband fixed wireless (BFW) businesses. From 1992 to 1995, as Acting Chief Operating Officer, Blair led Comcast Satellite Communications, wholly owned subsidiary of Comcast, Inc., (member of K-Prime Partners) in their launch of PrimeStar across US. During this association, Comcast acquired more subscribers than the aggregate of the other cable affiliates.

From 1987 to 1991, Blair was the publisher and editor of TVRO Technology and Private Cable magazines, technical trade publications focused on the satellite communications industry. During his tenure as president of Galaxy Broadcast Services (GBS) from 1983 to 1987, in concert with H. Taylor Howard of Chaparral Communications, Blair designed a C-band, 4 foot satellite antenna which was then integrated into the first DTH/DBS offering. In a joint venture with Drew Lewis, CEO and president of WarnerAmex, GBS vied with John Sie of TCI for acquisition and control of the USCI DTH/DBS network. Blair began his communications experience in 1979 when he was a regional distributor of General Instrument and Scientific Atlantic products, responsible for a significant number of Holiday Inn HiNet locations.

From 1988 to 1997, Blair served on board of directors with United Methodist Communications and Kingswood Productions and the Native American International Caucus from 1991 to 2000. Blair has an undergraduate degree in Business Administration and Accounting from Kansas State Teachers College.

About Telkonet

Telkonet's products provide connectivity over existing electrical wiring and do not require the costly installation of additional wiring or major disruption of business activity. In many situations, the Telkonet system can be implemented more quickly and less expensively than adding dedicated wiring or installing a wireless system. The Telkonet PlugPlusInternet(TM) family of networking and internetworking products offers a viable and cost-effective alternative to the challenges of hardwiring and wireless local area networks (LANs). Telkonet PlugPlusInternet products are designed for use in commercial and residential applications, including multi-dwelling units and the hospitality and government markets.

Statements included in this release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements involve a number of risks and uncertainties such as competitive factors, technological development, market demand and the Company's ability to obtain new contracts and accurately estimate net revenues due to variability in size, scope and duration of projects, and internal issues in the sponsoring client. Further information on potential factors that could affect the Company's financial results, can be found in the Company's Registration Statement and in its Reports on Forms 8-K filed with the Securities and Exchange Commission (SEC).