Hillary wants a Smart Grid while Congress stalls. Senator Clinton wants to spend $150B over 10 years on programs such as 10 Smart Grid City partnerships that would deploy advanced Smart Grid technologies such as demand response and plug-in hybrids. Her plan is to require utilities to reduce energy demand by 20% by 2020 and for utility regulators to provide incentives for deployment of smart grid technologies. Federal involvement would include tax incentives, interoperability standards and FERC identification of key transmission requirements. The Smart Grid Facilitation Act, part of the larger energy package, stalls in negotiations between the House and Senate and the consensus is that it will not go to conference until after Thanksgiving.

   QuickTake: Supporting the Smart Grid would seem like supporting ‘Mom and apple pie,’ and we have to credit Senator Clinton for highlighting an issue that may not get her many primary votes. But if she wins and if she delivers, this plan could pave the way for decades of growth. SGN hopes that Congress thinks the same way.

   Hilary Clinton Energy Plan (PDF)

AEP wants neighbors to help pay for its Smart Grid. AEP has been investing money in improving its transmission capabilities. A recent presentation by AEP’s CFO shows annual investments of over $2.5B on transmission, distribution and generation. It recently contracted with GE to begin what it calls it's GridSmart plan. The cost has been borne by its ratepayers. AEP in a recent FERC complaint argues that its interconnection partners, PJM and Midwest ISO, also benefit and should share the cost. AEP has tried this before and lost. Many interconnection partners have intervened in the current FERC proceeding.

   QuickTake: The Smart Grid will take a huge investment and the benefits extend beyond the geographical placement of automated distribution and transmission. AEP’s recent complaints illustrate the challenge and controversy of determining a fair allocation for resources that benefit people far beyond the locale where they are built. Although we aren't taking a stand on this current controversy, we absolutely believe in the immediate need for a fair, nationwide method for spreading the cost of transmission upgrades to all who benefit.

   FERC Search Page (Docket No. EL07-101)

   AEP CFO presentation (PDF)

Finding out about new transmission just got easier. FERC just eased its rules in accessing critical energy infrastructure information (CEII). CEII is defined as specific engineering, vulnerability or detailed design information about proposed or existing critical infrastructure (physical or electronic) that relates details about the production, generation, transmission or distribution of energy. Specifically, the Commission is allowing landowners access to alignment sheets containing CEII for the limited portion of a project that would affect their land and the adjacent parcels on each side without going through the CEII process.

   QuickTake: With DOE’s recent national corridor designation attracting significant local interest, the location and details about critical energy infrastructure is becoming relevant and vital to those who want to learn more about U.S transmission and distribution plans. Making it easier to get this important information is a good first step. PA Governor Rendell’s recent opposition to the corridor designation and Pennsylvania PUC’s filing of a complaint against DOE in federal court to overturn the designation is evidence of how important these issues are.

   Final Rule (PDF)

   FERC press release

   Pennsylvania PUC Complaint (PDF)

TWACS upgrades to Smart Grid. DCSI is remotely upgrading thousand of meters installed up to 3 years ago. Advanced metering requires that a utility be able to upgrade its meters so they are not stranded from a technology standpoint. Using its ‘Two-Way Automatic Communications System’ (TWACS®), DCSI is able to improve the overall performance of its meters. With over 250 existing fixed-network deployments, DCSI has a strong financial interest in future proofing meters used by current clients.

   QuickTake: This is a smart move, recognizing that technology is rapidly changing; DSCI is making it harder for its utility clients to change vendors.

   DSCI press release (PDF)

Smart meter and demand response market will be worth $1.6B in 2011. On World recently published a research report predicting a huge market for advanced meters. Polling nearly 100 utilities, ON World found that 75% are using Automated Meter Reading (AMR) or planning AMR deployments within the next 18 months. Nearly half of these deployments will be for advanced metering infrastructure with two-way communications. In addition, 46% are planning a demand response program with dynamic pricing options. The report is 129 pages and costs $699.

   QuickTake: What is truly interesting is that more utilities are seeing demand response as a way to generate energy and not just an emergency response program.

NERC survey confirms that grid could be at risk. A recent NERC survey of 236 industry executives found that 65% of respondents believe it is highly likely that that aging infrastructure will impact reliability and 53% believe that could be at a "high severity" level. Respondents were evenly divided on whether the industry could respond to a catastrophic incident.

   QuickTake: The majority of utility executives believe our energy infrastructure will affect the reliable delivery of power. This is both discouraging -- we have a huge problem -- and encouraging -- utility execs realize the problem. SGN hopes this urgency moves them to shorten their pilots and hasten their deployments.

   NERC Reliability survey (PDF)