Current loop

In electrical signalling an analog current loop is used where a device must be monitored or controlled remotely over a pair of conductors. Only one current level can be present at any time.
A major application of current loops is the industry de facto standard 4–20 mA current loop for process control applications, where they are extensively used to carry signals from process instrumentation to PID controllers, SCADA systems, and programmable logic controllers (PLCs). They are also used to transmit controller outputs to the modulating field devices such as control valves. These loops have the advantages of simplicity and noise immunity, and have a large international user and equipment supplier base. Some 4–20 mA field devices can be powered by the current loop itself, removing the need for separate power supplies, and the "smart" HART protocol uses the loop for communications between field devices and controllers. Various automation protocols may replace analog current loops, but 4–20 mA is still a principal industrial standard.

View More On Wikipedia.org