Smart Grid would contribute to U.S. energy security and sustainability

Published 11 August 2008

New report from the Reform Institute examines benefits of a next generation electric power grid for national resilience and energy efficiency

This Thursday will mark the five-year anniversary of the massive blackout that affected the Northeast and Midwest United States and parts of Canada, leaving some fifty million people without power. Some progress has been made, but the U.S. aging electrical grid is still vulnerable to severe disruption that can impair the economy and endanger lives. A new innovation — the Smart Grid — promises to prevent such events from occurring again. It is also more secure and resilient against cyber and physical attacks from terrorists and natural disasters (see HS Daily Wire stories of 5 May 2008 and 6 May 2008). The Smart Grid combines advanced communications and sensor technology to create an electrical power grid which is more reliable, secure, resilient, efficient, and consumer and environmentally friendly. A pilot project recently was launched in Boulder, Colorado.

Aa new paper from the nonpartisan Reform Institute — “The Smart Alternative: Securing and Strengthening Our Nation’s Vulnerable Electric Grid” — examines the benefits of the Smart Grid to U.S. security, economy, and energy policy, arguing that implementing a next-generation electrical power grid is vital to strengthening America’s resilience and promoting energy efficiency, security, and alternative sources of power.

Our Nation is at a crossroads as our energy dependence and vulnerable critical infrastructures become significant liabilities to our security and resilience,” stated Ken Nahigian, author of the paper. “We cannot continue to close our eyes and hope for the best with respect to our current electrical grid. But with the emerging focus on alternative sources of energy and a sustainable environment, we may be witnessing the ‘perfect storm’ that is needed to make the full deployment of the Smart Grid a reality.”

The summer season brings the peak period for electricity consumption, and along with it skyrocketing electric bills and power disruptions for consumers, making the modernization of the U.S. outdated electrical power grid and the pursuit of a system which promotes conservation and energy efficiency an even more attractive option. The Smart Grid uses advanced communications and electrical capabilities to create a more dynamic grid which facilitates the increased use of energy alternatives such as wind and solar power and energy-efficient technologies such as plug-in hybrid vehicles. The are other benefits: the Smart Grid also empowers consumers to conserve energy and use it more efficiently; makes the transmission and distribution of electric energy more efficient; reduces the likelihood of power disruptions; is more compatible with the technologies and necessities of the digital age; and hardens U.S. energy infrastructure and enhances our national resilience. There are economic benefits to utilizing the Smart Grid. The smart grid would significantly cut down on the billions of dollars lost each year by U.S. businesses on power disruptions and energy inefficiency.  Losses caused by power disturbances are estimated at over $100 billion per year. It would also open lucrative new markets for smart technologies.

 “The Smart Grid is vital to building a more resilient America,” according to Reform Institute executive director Cecilia Martinez.  “Our current grid is highly vulnerable to severe disruption in the case of a catastrophic event. The lack of reliable power in the event of a crisis acutely impedes our ability to rapidly respond to and recover from a natural disaster or terrorist attack, which is the essence of resilience. Critical emergency response, defense, economic and social activities require a dependable electrical power grid. Employing the Smart Grid will be a key component of the Reform Institute’s resilience agenda.”

The paper is available on the Reform Institute’s Web site.