Smart grid coming to Chicago
The Smart Grid is about to take a giant leap forward in the Windy City, USA. In Chicago, IL, ComEd (a subsidiary of Exelon Corporation) will be using $5 million in stimulus funding to spearhead a smart grid energy pilot program.
At the outset, smart meters will be installed in 8,000 homes to help track energy consumption. In addition, 100 homes will get distributed solar power systems, to create “mini-utilities” through which ComEd will be able to look inside the smart home of the future.
Over time, the smart grid energy pilot program will encompass more than 130,000 homes in Chicago. Some will test smart meters, as noted above. Of those 8,000, about 3,000 consumers will use an energy use display meter. A lucky 1,500 people can try out a touch-screen version to show electricity usage, and some will also receive programmable thermostats for their living spaces.
The participants in the Chicago program can tap into a 6-tiered pricing program, as follows:
- Regular current flat rates
- Rising rates based on higher-than-average consumption
- Hourly rates based on day-ahead wholesale rates
- Rising rates based on peak demand
- Rebate for customers that reduce consumption during peak demand
- Time-of-use pricing in which costs differ between peak and non-peak loading periods
Why invest in a program like this to test a smart grid?
Well, some will say that tapping into the program will actually help consumers save on energy consumption. By showing people how much electricity is consumed by Internet usage, laundry, meal prep and more, the smart grid can teach them how to live more efficiently. Not only can smart grid technology help you save money, but it can ease pressures on the overworked grid at peak times.
That’s right – from 7-9 a.m. and 6-8 p.m. each day, the grid is overwhelmed by massive electricity demands. If we can smooth out those spikes to a more constant energy draw, the need for new power plants could be diminished… along with rising power costs.
If we can cut down on peak demand through smart grid device, and also increase distributed renewable energy projects, we could quickly be on the way to more efficient, cheaper electricity!
Tags: cheaper electricity, comed, energy grid, energy pilot program, exelon corporation, peak demand, smart grid, smart grid pilot program, smart grid technology, smart meters
