chapter 1 - james momoh

8/13/2019 Chapter 1 - James Momoh

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Is this a definition for the smart grid?



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http://www.renewableenergyworld.com/rea/news/article/2012/06/smarter-grid-linking-solar-panels-may-bypass-utilities?cmpid=SolarNL-Tuesday-June19-2012

The spread of distributed generation, however, calls into question the nature of the electricitybusiness. Rooftop solar panels, with accelerating price drops, no-payment installation options forhouseholds, and guaranteed prices lower on average than those of the incumbent utilities by solarcompanies, brings increasing “grid independence.”

The emergence of micro-grids and community grids also indicate a movement away fromcentralized, remote generation. California shows how this movement might spread throughout theU.S.; the Public Utilities Commission’s Net Energy Metering ruling on May 24 effectivelydoubles rooftop solar generation in the state’s utilities system.

More generally, over 1.5 billion people in India, the African continent and elsewhere are literallygrid “independent;” they never had grid electricity. Today, they are getting solar-based electriclighting from standalone systems for the first time. The quaint story of a Florida communityresisting grid electricity in favor of a certain lifestyle ( New York Times, May 27, 2012 ) may bea harbinger of things to come.

The overall trend is that more and more households are choosing energy self-sufficiency.

In the next fifteen years, the importance of the current grid — smartened or not — will wane and a parallel “new intelligent network” may supplant it. This new intelligent network will managethousands of distributed generation and consumption points, including rooftop solar installationsand networked electric appliances. The network management would resemble that of today’s ITnetworks and would be easy to set up. We would simply treat solar panels, inverters, andappliances as analogous to computers and other electronic devices on the Ethernet.

While the current smart grid projects primarily address the operational concerns of electricutilities, tomorrow’s smarter grid will serve the end customers, and may not even be managed byelectric utilities. Of course, wherever the current grid is in place, which is most of the world, weshould make it better and implement the smart grid solutions. But we should realize that parallelintelligent networks would likely be born.

The smart grid discussion is naturally about technology, but it ought to also be about businessissues — how firms can adapt to non-traditional competition, industry structure changes, anddisruptive innovation. With growing solar rooftop deployments, the traditional electric utilities face threats to their growth, though not to their immediate survival.

chapter 1 - james momoh

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