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According to the business characteristics and functional requirements of the smart grid information and communications technology platform, in this paper, we proposed layered architecture of Internet of Things for smart grid and four links of things of transmission of electricity, substation of electricity, distribution of electricity and usage of electricity, and compared it with the traditional electric power communication networks. As one of the most important part of the end of the Internet of Things, wireless sensor networks play an important role in the Internet of Things applications for smart grid. We put forward sensor networks application solution for the production processes of the smart grid. Meanwhile, at the base of interactive demand analysis, Internet of Things solution for smart usage of electricity was proposed.