The electric transmission and distribution system is on the verge of a transformation that may integrate some of the network capabilities of the information technology sector with the traditional electricity delivery capabilities of the existing transmission and distribution grid. Called the “smart grid,” this advance in the electric system promises improvements in how we deliver and use power. Commissioners, companies, customers, and other electricity sector stakeholders are asking questions about the smart grid – what it is, what it can do, what value it brings, and what potential pitfalls should be avoided when considering moving forward. This frequently asked questions (FAQ) factsheet seeks to explore some of these questions and provide brief answers.
What Would Make the Grid a “Smart” Grid?
For the purposes of this factsheet, the smart grid takes the existing electricity delivery system and makes it “smart” by linking and applying seamless communications systems that can:
• gather and store data and convert the data to intelligence;
• communicate intelligence omni directionally among components in the “smart” electricity system; and
• allow automated control that is responsive to that intelligence.