In recent years the smart grid has gained a lot of column inches as the
panacea for problems with the current electric grid system. A grid system
designed for the one-way flow of information and electricity from power plants
to consumers. Where consumers are billed for electricity usage based on
estimates of consumption regardless that actual usage and according to time of
day.
This grid is not designed for the integration of large scale intermittent
renewable capacity, or for small-scale distributed renewable capacity such as
rooftop solar panels and small scale wind turbines. It also does not penalise
electricity usage at peak demand times, which would reduce the need for new
build ' peaking' power plants. Therefore there is a demand for a new grid
system to meet the demands of the 21st century.
Smart grid deployment has focused on the use of smart meters and associated
communications network in most countries with the notable exception of China.
Leading players such as Landis+Gyr (now owned by Toshiba) , Elster and Sensus
have formed strategic agreements with other players in the smart grid, and to
some extent, almost all of the major players are connected through strategic
agreements. Furthermore many of these leading smart meter manufacturers
produce smart meters for water and gas or other smart products as well as
smart electric meters. Demand for smart water meters is expected to be high in
countries and regions experiencing water stress such as parts of the Middle
East, California etc.
Large companies such as GE and Cisco have entered the space, but no company to
date has a fully integrated product. In the US no one player appears to have
an early dominance on the local market. This is less of the case overseas, for
example in China where GE and IBM are earlier runners in the game. But, as
with the renewable sector, China is likely to favour local suppliers and
manufacturers working in collaboration with local counterparts. Moreover, like
with the renewable sector, Korean and Japanese manufacturers are developing
local and overseas projects to gain a foothold on the smart grid market, with
is estimated to be worth more than USD100 billion by 2020.
Highlights
A major under looked barrier to smart grid deployment is smart grid security.
Studies on the smart meters deployed have found that few have encryption
software and can easily be corrupted. Creating a large market for companies
involved in the cybersecurity business, notably companies involved in security
for the defence sector such as Lockheed Martin and Boeing.
Despite this and other barriers to deployment the installation of smart grids
is likely. Not only for the reasons above, but also for the rapid
identification of faults in the grid system and rapid repair through the
two-way flow of information. Currently power cuts in the grid system take time
to repair and are extremely costly for businesses. Therefore, the large costs
of implementation of such a system would be outweighed by the long-term cost
savings.
Table of Contents
1 Executive Summary
2 Introduction
2.1 Case for the smart grid
2.2 Definition of the smart grid
2.3 The business case of the smart grid
3 Barriers to the development of the smart grid
4 Storage
4.1 Mechanical Storage
4.2 Electrochemical storage
4.3 Electromagnetic storage
4.4 Water heaters
4.5 Coupling to new energies
4.6 Developments
5 Electric Vehicles (EVs)
6 Other smart grid applications
6.1 Water
6.2 Natural gas
7 Standardisation
8 Country drivers
9 Europe
9.1 Austria
9.2 France
9.3 Germany
9.4 Italy
9.5 Netherlands
9.6 Nordic Region (Denmark, Finland, Norway and Sweden)
9.7 Portugal
9.8 Spain
9.9 UK
10 Rest of the World
10.1 Australia
10.1.1 Electric vehicles
10.1.2 Players
10.2 Brazil
10.2.1 Electric vehicles
10.2.2 Players
10.3 Canada
10.3.1 Players
10.4 Chile
10.5 China
10.5.1 Electricity market
10.5.2 State Grid Corporation of China
10.5.3 Electric vehicles
10.5.4 Players
10.5.5 Projects
10.6 Ecuador
10.6.1 Players
10.7 India
10.7.1 Players
10.8 Japan
10.8.1 Electric vehicles
10.8.2 Players
10.8.3 Fujitsu
10.8.4 MegaChips
10.8.5 Toshiba
10.8.6 Utilities
10.8.7 International market
10.9 Korea, South
10.9.1 Projects
10.9.2 International market
10.9.3 Players
10.10 Mexico
10.11 New Zealand
10.12 Russia
10.12.1 Players
10.13 Singapore
10.14 South Africa
10.15 United Arab Emirates (UAE)
10.15.1 Players
10.16 United States of America (USA)
10.16.1 Regional variation
10.16.2 Electric vehicles
10.16.3 Players
11 Investment
12 Costs
13 Security
13.1 Data privacy issues
13.2 Energy Theft
13.3 Malicious intent
13.4 Market size
13.5 Players
14 Players in the smart grid
14.1 Smart Meters
14.2 Online Data Management Tools
14.2.1 Google
14.2.2 Microsoft
14.3 Other players
14.3.1 ABB
14.3.2 Cisco
14.3.3 Comverge
14.3.4 Cooper Power Systems
14.3.5 Current Group
14.3.6 eMeter
14.3.7 EnerNOC
14.3.8 GE
14.3.9 GridPoint
14.3.10 IBM
14.3.11 Oracle
14.3.12 SEL, Schweitzer Engineering Laboratories
14.3.13 Siemens
14.3.14 Silver Springs
14.3.15 SmartSynch
15 Smart metering projects worldwide
List of Figures
Figure 2.1. Base, intermediate and peak load by time of day
Figure 2.2. Cumulative Hours of Operation
Figure 2.3. Traditional and future electric grid systems - Traditional
grid (left), future grid (right)
Figure 2.4. Meters
Figure 2.5. Percentage utility operating savings based on real savings at
AMI deployments
Figure 4.1. Different grid storage options
Figure 4.2. Salt structures and existing gas storage site in Europe
Figure 4.3. Projected cost of electric vehicle batteries in the US, 2010 -
2030
Figure 5.1. Comparison of different electric power train configurations
Figure 5.2. Electric vehicle/ plug-in hybrid electric vehicle roadmap
vision for expansion in sales, 2010 - 2050
Figure 5.3. Future of the electric car and lithium ion battery markets
Figure 6.1. Advanced meter deployments in North America
Figure 6.2. Advanced meter deployments in Europe
Figure 7.1. Members of the Global Smart Grid Federation, July 2010
Figure 9.1. Liberalisation of the electricity market in Europe
Figure 9.2. Smart meter deployment by EU member states
Figure 9.3. SmartGrids ERA-NET Project - Participating Countries
Figure 9.4. The TSO implementation plan
Figure 9.5. Identification of priority functional projects, DSO
Figure 9.6. European Electricity Grid Initiative estimated programme
costs, 2010 - 2019, € million
Figure 9.7. SET Roadmap 2010/2020 proposed to the EU
Figure 9.8. Medium and low voltage smart grid projects in Europe
Figure 9.9. Proposed grid investments in the Nordic region
Figure 10.1. Australia' s electricity and gas network companies
Figure 10.2. Timeline for the development of the smart grid in Australia
at the state level
Figure 10.3. Priority areas for the Energy Networks Association in
Australia, 2010 - 2012
Figure 10.4. Electric vehicle chargers that will be deployed in Victoria,
Australia - Changepoint charge station (left), Better Place charge sport
(centre), ECOtality residential charger (right)
Figure 10.5. Macro-grid vision for Brazil
Figure 10.6. Major transmission interconnections between Canada and the US
Figure 10.7. Investment in the power sector in China, 2006 - 2009, US $
billions
Figure 10.8. China Electricity Load & Resource Centres
Figure 10.9. Geographic area covered by the two grid operators in China
Figure 10.10. Map of the ten electric power companies in Japan by service
area
Figure 10.11. National trunk line connections in Japan
Figure 10.12. Changing factors around electricity demand and supply in
Japan
Figure 10.13. CRIEPI roadmap of the next generation grid in Japan
Figure 10.14. CRIEPI expectations of different ICT networks required
Figure 10.15. Japanese grid of the future
Figure 10.16. Planned NEDO microgrids in Albuquerque and Los Alamos, New
Mexico - Albuquerque (left), Los Alamos (right)
Figure 10.17. Procedures for operations of demand resource spot market in
Korea
Figure 10.18. Schematic of the proposed DRRC' s standard open ADR
(automatic demand response) operating system in Korea
Figure 10.19. Development of Korea' s planned real-time demand resource
trading system
Figure 10.20. Ten power IT projects in Korea
Figure 10.21. Timeline for the development of the ten power ICT projects
in Korea
Figure 10.22. Korean players in the Jeju Island smart grid project
Figure 10.23. Korean power network
Figure 10.24. Wind capacity in the US as a percentage of total installed
power capacity
Figure 10.25. RPS policies in the US with solar or distributed provisions,
October 2010
Figure 10.26. Macro-grid vision for the USA
Figure 10.27. Categories of US projects receiving smart grid investment
grants, July 2010, US $ million
Figure 10.28. Locations of smart grid demonstration and large-scale energy
storage projects
Figure 10.29. Utility scale smart meter deployments, plans, and proposals
in the US, September 2010
Figure 10.30. Growth market for smart technology in the US, US $ billion
Figure 11.1. Financial new investment by technology, 2009, US $ billion
Figure 11.2. Corporate and government R&D investment by technology, 2009,
US $ billion
Figure 11.3. Smart grid capital spending: 2007 - 2010, US $1.68 billion
Figure 11.4. Top ten smart grid federal stimulus investments by country,
2010, US $ million
Figure 12.1. Projected average cost of smart grid deployment, US $ million
Figure 12.2. Projected development of the smart grid market, 2008 - 2030,
US $ billion
