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Bob Violino

Energy Services Swing to Smart Grid

Written by Bob Violino
11/12/2009 32 comments
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Gas and electric utilities around the country are busy building the “smart grid,” with the enthusiastic support of the federal government.

The smart grid, which leverages emerging technologies like smart meters, sensors, and data analytics, is designed to enable more efficient delivery of energy services to consumers and businesses, more efficient use of that energy, and more efficient business processes for utilities.

This new grid will replace an aging power infrastructure that’s in need of an overhaul. The Obama administration recently announced $3.4 billion in smart grid funding from the federal stimulus package, which energy providers will use to deploy such things as smart meters, digital transformers, and automated power monitoring and management systems.

The Internet is playing a critical role in the realization of the smart grid. How effectively gas and electric companies use the Web to deliver their newly emerging services will have an impact on how successful they are in this transforming industry.

Some examples of the efforts underway to build the smart grid, and the Internet’s role in these endeavors, are as follows:

Xcel Energy, an energy solution supplier, recently launched SmartGridCity, which Xcel claims is the world’s first fully functioning smart grid enabled city, in Boulder, Colo. SmartGridCity allows Xcel to more effectively detect power outages, predict equipment failures, and repair systems before outages happen.

Before the year is out, Xcel expects to launch an in-home, energy-management Web portal that will provide all Boulder customers that have smart meters with the ability to review their in-home energy use. The service will let these customers design and personalize their energy consumption.

Another company, TXU Energy Retail, which is also working on smart grid efforts such as deploying smart meters that allow customers to control appliances via the Internet and a ZigBee-based home area network, offers a Web-enabled tool called iThermostat. The device helps customers better control energy-hungry appliances like air conditioners. Users can monitor daily cooling and heating costs and are alerted via email with customized energy tips and estimated energy costs.

Technologies like ZigBee and broadband Internet allow TXU to gain more visibility into what customers need, says CIO Kevin Chase.

And at utility Atmos Energy, Internet technology is playing a big part in the effort to better serve customers. The company has built a wiki that includes a host of information about Atmos services as well as rules and regulations about billing and payments for each of the 12 states that Atmos serves.

Customer support agents access the wiki to provide fast responses to customers when they contact the call center for help, says Rich Gius, vice president and CIO. Atmos employees can also use the tool to stay abreast of the latest changes in state regulations and Atmos services. In addition to the wiki, Atmos uses instant messaging and electronic conference rooms for employee collaboration.

These are just a few examples. And the utilities industry in general provides a good example of how the Internet and related technologies can help transform the way companies do business and provide services to their customers.

— Bob Violino is a freelance writer, editor, and project manager who has covered business and technology for more than 20 years.

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Ira Winkler
Thinkernetter
Saturday December 12, 2009 8:31:10 PM
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First, there is no current NIST Standard for the smart grid. Period.

CIP is developed by NERC, and they are voluntary standards, which means that they mean nothing.  While they may claim that NERC can fine energy companies $1,000,000 a day per violation, the companies exempted themselves by saying that they dont have any systems that are critical.  Actually to be more specific, only 33% of companies said that they have even a single system that is critical.  Therefore, NERC cannot enforce the standards on at least 66% of companies.

Either way, there are no standards for smart grid technology.  BTW: while NERC sounds like a government agency, they are actually just a consortium of energy companies.  If they ever fine a company, the company can choose to pull out of the consortium.

lpricci49
IQ Crew
Saturday December 12, 2009 9:12:38 AM
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Also Microsoft HOLM. 

But the consumer portal is the least of it.  The real heavy lifting is the infrastructure.  The stuff on poles.  The meters. The switches.  This is the stuff that will create 'the smarter planet'

Lawrence Ricci
www.EmbeddedInsider.com

 

 

lpricci49
IQ Crew
Saturday December 12, 2009 8:28:09 AM
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Good perspective.

The Rural user can be largely energy independent.  I have finders who live on a sailboat, very off the grid.  They have washer/dryer and all the electric toys.  Also solar cells and diesel generators.

But the cost of alternate energy is dramatically lowered if it can be made 24x365 by latching onto a 'grid'.  And in a urban setting, there may not be enougth real estate for local power generation. 

What I favor is a system where most users were energy neutral, and where the grid was there just to help them be 24x7, or to provide very low cost power if available.

Lawrence Ricci
www.EmbeddedInsider.com'

 

lpricci49
IQ Crew
Saturday December 12, 2009 8:16:46 AM
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There is a NIST related standard for security, called CIP. 

Critical Cyber Asset Identification
NERC Standards CIP-002 through CIP-009 provides a cyber security framework for the identification and protection of Critical Cyber Assets to support reliable operation of the Bulk Electric System.

http://www.nerc.com/page.php?cid=2%7C20

I have not seen any programs for new systems that do not adhere.

Lawrence Ricci
www.EmbeddedInsider.com'

 

lpricci49
IQ Crew
Saturday December 12, 2009 8:10:18 AM
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100% Right.  For decades the spend on maintenance has been far less than the depreciation.  Overhead and substations are long in the tooth.  No amount of 'smart' will make them 'strong'

Lawrence Ricci

www.EmbeddedInsider.com

 

lpricci49
IQ Crew
Saturday December 12, 2009 8:08:02 AM
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Looks like you started a active thread!  I am currently involved with some projects on Smart Grid, I will add a bit to each the comments below.

Lawrence Ricci
www.EmbeddedInsider.com

 

Chunk4546
IQ Crew
Monday November 30, 2009 6:25:22 PM
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just because these places are doing smart grids doesn't always mean they are better....the equipment to actually deliver the power is still old and on the verge of collapse.....they need to spend money ont he delivery and the making of the power.  the northeast is particularrly bad with its tough winters and aging systems.  another black out is destin to happen if the infrastucture is not upgraded soon.

Bobby Vassallo
Rank: Web master
Tuesday November 17, 2009 8:50:55 AM
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I am in agreement with you, Viboons.  Your discussion is very on point.  Thank you.  Bobby Vassallo

viboons
Researcher
Tuesday November 17, 2009 5:57:09 AM
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Hey Bobby Vassallo. I was gonna say similar thing about that comment too. The power grid is getting old (some of the infrastructure is already more than 60 years old), and it's unlikely that all of them will be replaced anytime soon (except maybe some really old power lines will be removed or replaced with highly efficient lines enabled by superconducting tech - which can be part of the smart grid tech). The smart grid, however, is just a name referred to any technologies related to modernization of the existing power infrastructure. I often think of smart grid as a way to delay the aging issue of the existing grid until it's gradually overhauled - a shorter term solution to solve our energy crisis by making things more efficient and secure (by "secure", I mean operational reliability). Of course, there's a valid concern about cybersecurity and privacy issues as smart grid tech would make the power grid operation more dependent on the Internet either directly or indirectly. But for now, I wouldn't worry too much about hackers getting on to the control systems of a nuclear plant or power substation via the Internet as most of them are still physically isolated from the Web. 

Ira Winkler
Thinkernetter
Monday November 16, 2009 9:26:05 PM
no ratings

It is the lack of discussions of security in the article that amazes me.  Actually, I shouldnt say amazes me, but just makes me lose what little faith I sometimes get.

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