There is a great deal of variation within the power industry and outside it as to what exactly should be included under the idea of a smart grid. Ask a room full of utility professionals to define the term and you're likely to get a wide range of answers.
ABB takes an expansive view of the smart grid, defining it more by its capabilities and operational characteristics than by specific technologies. We see an increasingly automated system, based on industry-wide standards, created not through radical change but a gradual transformation of the existing system.
The concept of intelligence in power systems, as we see it, is centered on the idea of pushing sensory and analytic capabilities further down the system hierarchy. In a smart grid, more can be done locally at the substation or even device level, allowing operators and computing resources in the control center to be more effectively utilized. A smart grid also produces a stream of information about system conditions and operating characteristics that will be increasingly valuable to managing the commercial side of a given utility or grid operator.
The incorporation of enterprise-wide information systems and customer response management tools will improve utility operations, enabling better customer relations and the provision of tailored services. They will enable the integration of flexible tariffs and home automation systems. Residential smart meters, for example, can allow consumers to take advantage of time-of-use pricing that was formerly available only to large commercial and industrial customers.
The introduction of more intelligent monitoring systems and the extension of substation automation and feeder automation in distribution networks will optimize operations, bringing improvements in reliability, availability, security and energy efficiency.
The advantages
The evolution of power networks to include better communications and make use of modern computer technology will provide more intelligent automation devices and better optimized systems. It will enable utilities to meet regulatory requirements and customer demands for reliable power from both conventional and renewable energy sources.
Power generators will be able to optimize “spinning reserves,” while taking maximum advantage of renewable power resources, and transmission grid operators will be able to increase stability and security of supplies while reducing transmission losses.
The distribution network will become a source of power as well as the point of delivery to end-users, and those end-users will be offered a broader choice of suppliers.
Consumers will also benefit from improved demand management and, in the future, will be able to optimize their power consumption through the use of local power generation and increased automation in their homes.
The smart grid will not be a revolution. It will be a gradual transformation of the systems that have served us for many years into a more intelligent, more effective and environmentally sensitive network to provide for our future needs. ABB has the expertise and experience to provide integrated, adaptable solutions now, and the vision and technical know-how to meet the coming challenges.