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Characteristic Description
Enables informed participation by customers
Consumers help balance supply and demand, and ensure reliability by modifying
the way they use and purchase electricity. These modifications come as a result of
consumers having choices that motivate different purchasing patterns and behavior.
These choices involve new technologies, new information about their electricity use, and
new forms of electricity pricing and incentives.
Accommodates all generation and storage optionsA smart grid accommodates not only large, centralized power plants, but also the
growing array of customer-sited distributed energy resources. Integration of these
resources – including renewable, small-scale combined heat and power, and energy
storage – will increase rapidly all along the value chain, from suppliers to marketers to
customers.
Enables new products, services and markets
Correctly designed and operated markets efficiently create an opportunity for
consumers to choose among competing services. Some of the independent grid
variables that must be explicitly managed are energy, capacity, location, time, rate of
change and quality. Markets can play a major role in the management of these variables.
Regulators, owners/operators and consumers need the flexibility to modify the rules of
business to suit operating and market conditions.
Provides the power quality for the range of needs
Not all commercial enterprises, and certainly not all residential customers, need the
same quality of power. A smart grid supplies varying grades (and prices) of power.
The cost of premium power-quality features can be included in the electrical service
contract. Advanced control methods monitor essential components, enabling rapid
diagnosis and solutions to events that impact power quality, such as lightning,
switching surges, line faults and harmonic sources.
Optimizes asset utilization and operating
efficiency
example, optimized capacity can be attainable with dynamic ratings, which allow
assets to be used at greater loads by continuously sensing and rating their capacities.
Maintenance efficiency can be optimized with condition-based maintenance, which
devices can be adjusted to reduce losses and eliminate congestion. Operating efficiency
increases when selecting the least-cost energy-delivery system available through these
types of system-control devices.
Provides resiliency to disturbances, attacks and natural disasters
Resiliency refers to the ability of a system to react to unexpected events by isolating
problematic elements while the rest of the system is restored to normal operation. These
self-healing actions result in reduced interruption of service to consumers and help
service providers better manage the delivery infrastructure.
Source: Adapted from DOE, 2009.
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