Essay on smart grid

1821 Words Nov 4th, 2014 8 Pages
A smart grid is a modernized electrical grid that uses analogue[1] or digital information and communications technology to gather and act on information, such as information about the behaviours of suppliers and consumers, in an automated fashion to improve the efficiency, reliability, economics, and sustainability of the production and distribution of electricity.[2]

Smart grid policy is organized in Europe as Smart Grid European Technology Platform.[3] Policy in the United States is described in 42 U.S.C. ch. 152, subch. IX § 17381.

Roll-out of smart grid technology also implies a fundamental re-engineering of the electricity services industry, although typical usage of the term is focused on the technical infrastructure
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In a smart grid, the load reduction by even a small portion of the clients may eliminate the problem.

Peak curtailment/leveling and time of use pricing[edit]
To reduce demand during the high cost peak usage periods, communications and metering technologies inform smart devices in the home and business when energy demand is high and track how much electricity is used and when it is used. It also gives utility companies the ability to reduce consumption by communicating to devices directly in order to prevent system overloads. Examples would be a utility reducing the usage of a group of electric vehicle charging stations or shifting temperature set points of air conditioners in a city.[15] To motivate them to cut back use and perform what is called peak curtailment or peak leveling, prices of electricity are increased during high demand periods, and decreased during low demand periods.[7] It is thought that consumers and businesses will tend to consume less during high demand periods if it is possible for consumers and consumer devices to be aware of the high price premium for using electricity at peak periods. This could mean making trade-offs such as cycling on/off air conditioners or running dishes at 9 pm instead of 5 pm. When businesses and consumers see a direct economic benefit of using energy at off-peak times, the theory is that they will include energy cost of
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