Smart grid optimization

Optimization is efficiency

The benefits of the smart grid are well documented and discussed by Infrastructure US, but one part of the system that is key is optimization, the ability to make the most of a smart grid.

Of course when it comes to power and energy, getting the most out of a system is essential due to the investment in energy generation, transmission and distribution, but it is also key to reducing the cost of power to end users.

Not only that but it makes the entire grid more reliable in terms of energy delivery as well as reducing the system's carbon footprint, by reducing CO2 emissions and other pollutants.

Efficiency is often deemed to be the key to smart grid optimization, both in the economic and physical meaning. So how does one go about optimizing a smart grid?

Methods: impractical and practical

There are of course expensive methods - replacing ageing equipment and making massive investments in the latest technologies - but this is arguably impractical, so what are the plans to make the grid operate as well as possible?

Currently, with the US national grid a large amount of inefficiency comes from ‘lines loses', which is the power that is lost in between leaving a generation plant and reaching our homes. In advanced countries, this can account for around six to eight percent of loses, but in can run even higher.

In 2006, it was estimated that a massive 1,638 billion kWh of energy was lost, with 655 billion kWh lost in the distribution system alone. By improving the system by ten percent, the US national grid could have saved $5.7 billion as well as cutting 42 million tons of CO2 emissions.

But how do we achieve that 10 percent? It's actually not that hard. There are technologies available today that don't have a bank-breaking cost. One method is reducing the resistance of the wires by making them either larger or using better materials (the latter is costly) or simply improving the effective flow of electricity. At local distribution systems, this can be done with devices such as capacitor banks and transformers located at substations.

It is possible, it's just up to utility providers to make the investment but as you can see, when it comes to efficiency, when you don't do anything the costs are substantial.

Relevant articles:

National Grid: Maintaining energy efficiency | Smart Grid Preconceptions | Integrating renwables into a smart grid | Breakthroughs and concerns for the smart grid | Are utilities ready for a smart grid?

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