High capital investments and the overall attention and research surrounding smart grid technology have made the push for smart grid quite aggressive. Although the term, Smart Grid is frequently used, do we really know what it means? Is it something that the normal consumer should care about? And why should they?
In efforts to understand the meaning of smart grid we shall take a brief look at how a mix of companies and government agencies are defining smart grid.
Wikipedia
As a convenient resource for the everyday man and in a very broad and general sense, Wikipedia defines smart grid as a transfer of electricity from suppliers to consumers. Smart grid, is a “two-way digital technology to control appliances at consumers’ homes,” used to save energy, reduce cost and increase reliability and transparency.
General Electric
According to GE, the smart grid is a system that marries information and automation technologies with the current electrical system, ultimately, helping to support current energy needs. The company further describes smart grid as a system that delivers real-time information and knowledge – further empowering smarter energy choices.
IBM
IBM’s approach to defining smart grid emphasizes the importance of digital intelligence. Smart grid uses intelligent technology such as sensors, meters, digital controls and analytic tools to automate, monitor and control the two-way flow of energy. Digital intelligence can help optimize grid performance, prevent outages, restore outages faster and allow consumers to manage energy usage.
Department of Energy
The Department of Energy (DOE) on the other hand does not give one true definition of smart grid. Instead, the DOE lays out specific technologies and components that fall under the smart grid label. These six categories are as follows:
- Technologies, such as smart meters, smart thermostats and software allowing for automation, gives consumers the opportunity to participate in smart grid. These technologies give the consumer the power to adjust their electricity use automatically.
- Software and transmission lines that bring together wind and solar energy sources are the primary source for moving electricity (in real time) where it is needed the most.
- Smart grid is a communications network, moving information and electricity supply and demand from different points.
- Similar to the Internet, smart grid is an application platform that will allow for a variety of third parties to create applications that help manage the consumption of energy.
- Automated controls and monitoring systems help smart grid respond quickly to service interruptions.
Cisco
According to Cisco, smart grid is an IP communications fabric that goes from transmission all the way to consumption and at every point provides value to utility companies and the consumer. A hardware infrastructure that will promote applications and deliver energy will help paint the future of the grid and assist in providing renewable energy, efficiency, fast response to outages, information on consumption of energy etc.
Intel
In layman’s terms, Intel defines the smart grid as the convergence of communication and computing. Technologies that disseminate and manage power are converging with communications devices to provide information on energy distribution and consumption. Intel further defines smart grid through their Intelligent Home Energy Management system, which is a device that combines thermometer functions, energy management tools, home security monitoring and other home functions – helping them enter the smart grid spectrum.
Microsoft
Smart grid is a communication platform that uses technologies such as Microsoft’s Hohm as a way to monitor energy consumption. Microsoft Hohm is a web-based application that helps monitor energy consumption and tracks savings. Although Microsoft does not define smart gird, the application-based system clearly shows that this type of technology is a component within smart grid implementation.
Google
Google’s PowerMeter is very similar to Microsoft’s approach to defining smart grid. The PowerMeter is an energy-monitoring tool that allows consumers to view their home’s energy consumption from anywhere online. Google’s effort in defining smart grid is specific to the technology component of smart grid, by providing and pushing out information.
Energy Independence and Security Act of 2007
The United States Congress defines smart grid as an advanced system that includes:
- Increased use of information controls
- Optimization of grid operations and resources
- Use of distributed resources and renewable energy
- Development and integration of demand response, demand-side resources, energy-efficiency resources, smart appliances, advanced electricity storage, peak-shaving technologies, smart metering, advanced communications, and distribution automation
- Transfer of information to consumers in a timely manger to allow for personalized control decisions
- Development of standards for the communication and interoperability of appliances and equipment connected to the electric grid.
As seen above, there are a plethora of inconsistencies in defining smart gird. Some definitions are oriented towards the end user. Others focus on the generations and transmission of technologies while others are broad and general. With all of these definitions, it is easy to see how it can be confusing for the consumer to understand the benefits and inner workings of smart grid.
In analyzing the various definitions and seeing the immense involvement that government and corporations have in smart grid, the grid is something homeowners should care about. One might say, why should I care about something that lacks a true definition? Well, the truth is that deployment of smart grid is growing, and there are communities and individuals demanding it. It is not about getting on the bandwagon, but it is about learning the true benefits of smart grid.
Environment
There are clear environmental benefits in smart grid. In referencing smartgrid.com, the grid will make the management of energy more efficient and effective. In this case, the smart grid will have the ability to capture and conserve energy and only disseminate energy when needed or requested by the consumer. To see more environmental benefits check out this article on Smart Grid News.
Cost Savings and Access to Information
On the other hand, the access to information has become a high priority for consumers who are investing in smart grid technology. With the help of technologies such as Google’s PowerMeter, Microsoft’s Hohm and Cisco and IBM’s communication and IT platforms that support smart grid, consumers will have the ability to gauge energy consumption in their household. Online applications that monitor and track energy consumption will give consumers real-time pricing, allowing them to see the economic benefit to reducing power consumption during peak times, ultimately saving the consumer money.
Government Role
The government’s role and investment within the smart grid is another reason why homeowners should care about the grid. The Department of Energy has published many documents on the importance of smart grid and has established tasks forces that are working to define and set parameters for smart grid. This, in addition to the nearly $100 million investment in training and development the current administration announced in April are clear representations that smart grid has a future within our everyday lives. To see how the Department of Energy is progressing on smart grid check this out.
Overall, the environmental and cost benefits in addition to the strong endorsement by the current administration are clear factors in showing that smart grid, although vague by definition, is something the everyday consumer should care about. Whether they are attracted to smart grid because of its positive environmental benefits or just because they want to save money, smart grid is in the future for every homeowner.
