Smart Grids – What are they?

Maybe you have heard of the Smart Grid on the news or from your energy provider. “The grid,” refers to the electric grid, a network of transmission lines, substations, transformers and more that deliver electricity from the power plant to your home or business.
What is a smart grid?
A smart grid is an evolved grid system that uses information and communications technology to gather and act on information, such as information about the behaviors of suppliers and consumers, in an automated fashion to manage electricity demand in a sustainable, reliable and economic manner. It is built on advanced infrastructure and tuned to facilitate the integration of all involved.
What is the main difference between smart grid and our current grid? What is the need for a smart grid?
The main difference between a smart grid and our current grid will be the way that generation and demand is kept in balance. While the population has grown and the equipment using electricity at the other end of the lines has become increasingly sophisticated, the electrical grid has evolved surprisingly little over past 50 years.

There is a lot of power lost during transmission, lot of pollution from power plants. The incorporation of technologies like renewable energy, nuclear energy and distributed generators into the present grid results in much less predictable power flows in the grid and therefore becomes difficult to balance generation and consumption. The main reason we will need a smarter grid is to help the network companies meet customer requirements more quickly and cost efficiently, by accommodating a growing but less predictable demand for electricity and absorbing generation embedded at the lowest levels of the system.
What makes the grid smart?
In short, the digital technology that allows for two-way communication between the utility and its customers, and the sensing along the transmission lines is what makes the grid smart.
Watch this excellent video demonstration of smart grids by the curious engineer.
The future belongs to smart grids
Smart grids will provide more electricity to meet rising demand, increase reliability and quality of power supplies, increase energy efficiency, be able to integrate low carbon energy sources into power networks. Smart grids possess potential to integrate new technologies to enable energy storage devices and the large-scale use of electric vehicles.
Electrical systems will undergo a major evolution, improving reliability and reducing electrical losses, capital expenditures and maintenance costs. The Smart Grid is not just about utilities and technologies; it is about giving you the information and tools you need to make choices about your energy use. If you already manage activities such as personal banking from your home computer, imagine managing your electricity in a similar way. A smarter grid will enable an unprecedented level of consumer participation.
For example, you will no longer have to wait for your monthly statement to know how much electricity you use. With a smarter grid, you can have a clear and timely picture of it. “Smart meters,” and other mechanisms, will allow you to see how much electricity you use, when you use it, and its cost. Combined with real-time pricing, this will allow you to save money by using less power when electricity is most expensive.
The benefits:

1. More efficient transmission of electricity
2. Quicker restoration of electricity after power disturbances and emergencies such as severe storms, earthquakes and solar flares.
3. Reduced operations and management costs for utilities, and ultimately lower power costs for consumers
4. Reduced peak demand, which will also help lower electricity rates
5. Increased integration of large-scale renewable energy systems
6. Better integration of customer-owner power generation systems, including renewable energy systems
7. Reduced CO2 emissions and other pollutants.
8. Improved security