Grant recipients, wind farms, and concerns highlight the month

The previous month witnessed the continuing momentum of smart meter and smart grid development in the United States and the UK.  Concerns were also raised advising caution against speeding up massive installations in light of security concerns or other technological shortcomings.The Obama administration reaffirmed its commitment to development of smart energy with the announcement of 100 grants worth $3.4 billion on October 27, money that came from the Economic Recovery Act passed in February of this year.  CenterPoint Energy, based in Houston, received the largest grant worth $200 million.  The energy giant will put the money towards a $639 million project that will see 2.2 million smart meters and sensors installed.
Other grant recipients included $5.4 million for the city of Wadsworth, Ohio for 12,500 smart meters and a beefed-up plug-in vehicle infrastructure.  “Smart meters will allow you to actually monitor how much energy your family is using by the month, by the week, by the day, or even by the hour,” said the President as he announced the grant recipients.

Elsewhere in the world the Committee on Climate Change, an independent body that advises British government on the ongoing reduction of carbon emissions, released a report declaring that the UK must alter its approach if it is to meet its ambitious emissions targets.  Britain has said it will reduce carbon emissions by 80 percent by 2050.  The report said a 50 percent reduction must occur by 2020 if the 80 percent goal is to be met.

According to Ofgem, a 50 percent reduction in only a decade is nearly impossible and would cost $200 billion.  Ofgem said this added cost would increase costs for consumers by up to 60 percent as the country attempts to reach its goals.  The costs include the construction of new power plants, smart grid deployments, ongoing development of renewable power, and storage of natural gas.

Despite the ominous claims from the Committee on Climate Change, the UK remains committed to its goals.  Plans call for wind farms 50 times the size of any wind farm in existence today to be built off the coast.  The massive effort is expected to be worth £100 billion and the energy industry is lining up to claim a piece of the pie.

That kind of money will go a long way and will involve a number of companies to see it through.  The UK is currently the 3rd largest producer of wind power but hopes to claim soon that it is the world’s largest producer of wind power.  That title currently belongs to Germany with 25 gigawatts of wind power capacity.  The UK is Europe’s windiest country and the first giant wind farm, in the Thames Estuary, will be the largest on the continent when it comes into service with 341 turbines in 2012.

Back in America, critics are concerned that smart grid systems will be installed before critical security concerns are addressed.  On the same day President Obama announced the winners of federal grants the Information Trust Institute released a statement saying it received a grant worth $18.8 million for a five year study on how to secure the smart grid.  This grant was provided by the U.S Departments of Energy and Homeland Security.  Critics wonder why smart grid programs are being installed before the best way to secure it is known.

Pacific Gas and Electric (PG&E) customers expressed concerns that their smart meters were inaccurate.  Insisting that they are paying more for electricity now than they did before the devices were installed, public hearings were held in Bakersfield, California to address the subject.  PG&E officials say the hot summer and recent increases in utility rates are to blame, not the smart meters.  The utility has been installing smart meters across California since 2006 in a project worth £2.2 billion.

The UK’s Department for Energy and Climate Change (DECC) expressed concerns that health officials and social workers could intrude on the privacy of citizens.  “Information from smart meters could...make it possible for a supplier to determine when electricity or gas was being used in a property and...the types of technology that were being used...”  The impact assessment claimed this information could be used “to target energy efficiency advice and offers of measures, social programmes etc. to householders.”

Despite the concerns the installation of smart meters and smart grid technology is moving forward.  As with any new technology, all ramifications and implications will not be understood until thorough testing is conducted and systems are live in the field.  Both the United States and the UK have reaffirmed their commitments to the technology that will dramatically increase the conservation of energy and reduce the amount of carbon emissions released into the atmosphere.

CenterPoint Energy, Inc.
P.O. Box 4567
Houston, Texas
http://www.centerpointenergy.com

Ofgem
9 Millbank,
London, SW1P 3GE
http://www.ofgem.gov.uk


Written on Saturday, 07 November 2009 17:48 by Smartmeters

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