The electric grid delivers electricity from points of generation to consumers, and the electricity delivery network functions via two primary systems: the transmission system and the distribution system. The transmission system delivers electricity from power plants to distribution substations, while the distribution system delivers electricity from distribution substations to consumers. The grid also encompasses myriads of local area networks that use distributed energy resources to serve local loads and/or to meet specific application requirements for remote power, municipal or district power, premium power, and critical loads protection.

The concept of a "smart grid" lacks a standard definition but centers on the use of advanced technology to increase the reliability and efficiency of the electric grid, from generation to transmission to distribution. However, the smart grid does not necessarily replace the existing infrastructure, most of which was installed in the 1970s.

The move to a smart grid is a move from a centralized, producer-controlled network to one that is less centralized and more consumer-interactive.

• Enables informed participation by consumers

• Accommodates all generation and storage options

• Enables new products, markets, and services

• Provides the power quality for the range of needs

• Optimizes asset utilization and operating efficiency

• Operates resiliently to disturbances, attacks, and disasters

The Department of Energy, Office of Electricity Delivery and Energy Reliability is charged with orchestrating the modernization of the nation’s electrical grid. The office’s multi-agency Smart Grid Task Force is responsible for coordinating standards development, guiding research and development projects, and reconciling the agendas of a wide range of stakeholders, including utilities, technology providers, researchers, policymakers, and consumers.

The National Institute of Standards and Technology (NIST), has been charged under the Energy Independence and Security Act (P.L. 110-140, Dec. 19, 2007) with identifying and evaluating existing standards, measurement methods, technologies, and other support services to Smart Grid adoption.
 

Table of Contents

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"Smart Grid"

Table of Contents

1.  "Electric Power Transmission: Background and Policy Issues,” CRS Report for Congress R40511, April 14, 2009 . . . . . . . . . . . . . . . 1

- Introduction and Organization
- Overview of the Electric Power System
- Physical and Technical Features of the Power System
- Regulatory Framework
- State Regulation and Self-Governing Public Power
- Federal Regulation of Electric Power Transmission and Power System Reliability
- Transmission Planning
- Background
- Objectives of the Planning Process
- Expansion for Renewable Energy
- Expansion for Congestion Relief and Reliability
- Planning and Alternatives to Transmission
- Planning Authority
- Transmission Planning: Summary of Policy Issues
- Transmission Permitting
- Background and Discussion
- Transmission Permitting: Summary of Policy Issues.
- Transmission Financing and Cost Allocation
- Background
- Early Financing
- Cost Allocation
- Financing and Cost Allocation: Summary of Policy Issues.
- Transmission System Modernization and the Smart Grid
- Background
- Smart Grid Functions
- Federal Support for the Smart Grid
- Smart Grid Cost and Rate Issues
- Modernization and Smart Grid: Summary of Policy Issues
- Transmission System Reliability
- Problems in Evaluating the Current Reliability Condition of the Grid
- Reliability and Grid Modernization
- Reliability and Changes in the Energy Market
- Transmission Reliability: Summary of Policy Issues
- Summary of Transmission Policy Issues
- Federal Transmission Planning
- Permitting of Transmission Lines
- Transmission Line Funding and Cost Allocation
- Transmission Modernization and the Smart Grid
- Transmission System Reliability
- Figure 1. Elements of the Electric Power System
- Figure 2. United States Power System Interconnections
- Figure 3. NERC Reliability Regions
- Figure 4. North American Transmission Organizations
- Figure 5. Transmission Investment by Investor-Owned Utilities
- Table 1. High Voltage Transmission by Owner and Region

2.  "Electric Transmission: Approaches for Energizing a Sagging Industry," CRS Report for Congress RL33875, January 30, 2008 . . . . . . . . . . . . . . . 43

- Introduction
- Historical Context
- Current Issues
- Physical Limitations
- Congestion
- Security
- Siting
- Alternatives to New Rights-of-Way
- Burying Power Lines
- Undergrounding Transmission
- Pricing
- Regulatory Uncertainty
- Investment
- Conclusion
- Figure 1. Western Transmission Congestion, 1999-2005
- Figure 2. Mid-Atlantic Area National Interest Electric Transmission Corridor
- Figure 3. Southwest Area National Interest Electric Transmission Corridor
- Figure 4. Real Private Fixed Investment in Electrical Power Generation, and Electricity Consumption, Generation, and Real Prices
- Figure 5. Congested Lines in the Eastern Interconnection
- Table 1. Revenue Requirements for IOUs To Convert Florida’s Existing Transmission Facilities to Underground, and Rate Impact Over 10-Year Period - Overview
 

3.  "Energy Independence and Security Act of 2007: A Summary of Major Provisions," CRS Report for Congress RL34294, February 22, 2008. . . . . . 69

- Introduction
- Key Provisions
- Provisions Included
- Corporate Average Fuel Economy (CAFE) Standards
- Renewable Fuel Standard (RFS)
- Appliance and Lighting Efficiency Standards
- Provisions Excluded
- Renewable Energy Portfolio Standard (RPS)
- Energy Tax Subsidies
- Brief Legislative History of H.R. 6
- House Passes H.R. 6
- Senate Amends H.R. 6
- House Approves H.R. 3221
- Informal House-Senate Negotiations
- House Amends Senate Amendment to H.R. 6
- Senate Removes RPS and Most Tax Provisions of H.R. 6
- Title I: Energy Security Through Improved Vehicle Fuel Economy
- Subtitle A, Increased Corporate Average Fuel Economy
- Subtitle B, Improved Vehicle Technology
- Subtitle C, Federal Vehicle Fleets
- Title II: Energy Security Through Increased Production of Biofuels
- Subtitle A, Renewable Fuel Standard
- Subtitle B, Biofuels Research and Development (R&D)
- Subtitle C, Biofuels Infrastructure
- Subtitle D, Environmental Safeguards
- Title III: Energy Savings Through Improved Standards for Appliances and Lighting
- Subtitle A, Appliance Energy Efficiency
- Subtitle B, Lighting Energy Efficiency
- Title IV: Energy Savings in Buildings and Industry
- Subtitle A, Residential Building Efficiency
- Subtitle B, High-Performance Commercial Buildings
- Subtitle C, High-Performance Federal Buildings
- Subtitle D, Industrial Energy Efficiency
- Subtitle E, Healthy High-Performance Schools
- Subtitle F, Institutional Entities
- Subtitle G, Public and Assisted Housing
- Subtitle H, General Provisions
- Title V: Energy Savings in Government and Public Institutions
- Subtitle A, United States Capitol Complex
- Subtitle B, Energy Savings Performance Contracting
- Subtitle C, Energy Efficiency in Federal Agencies
- Subtitle D, Energy Efficiency of Public Institutions
- Subtitle E, Energy Efficiency and Conservation Block Grants
- Title VI: Accelerated Research and Development
- Subtitle A, Solar Energy
- Subtitle B, Geothermal Energy
- Subtitle C, Marine and Hydrokinetic Renewable Energy Technologies
- Subtitle D, Energy Storage for Transportation and Electric Power
- Subtitle E, Miscellaneous Provisions
- Title VII: Carbon Capture and Sequestration
- Subtitle A, Carbon Capture and Sequestration Research, Development, and Demonstration
- Subtitle B, Carbon Capture and Sequestration Assessment and Framework
- Title VIII: Improved Management of Energy Policy
- Subtitle A, Management Improvements
- Subtitle B, Prohibitions on Market Manipulation and False Information
- Title IX: International Energy Programs
- Subtitle A, Assistance to Promote Clean and Efficient Energy Technologies in Foreign Countries
- Subtitle B, International Clean Energy Foundation
- Subtitle C, Miscellaneous Provisions
- Title X: Green Jobs
- Title XI: Energy Transportation and Infrastructure
- Subtitle A, Department of Transportation (DOT)
- Subtitle B, Railroads
- Subtitle C, Marine Transportation
- Subtitle D, Highways
- Title XII: Small Business Energy Programs
- Title XIII: Smart Grid
- Title XIV: Pool and Spa Safety
- Title XV: Revenue Provisions
- Title XVI: Effective Date

4.  Energy Independence and Security Act of 2007, Title XIII, "Smart Grid," P.L. 110-140, 121 Stat. 1783-1794, Dec. 19, 2007 . . . . . 95

Sec. 1301. Statement Of Policy On Modernization Of Electricity Grid
Sec. 1302. Smart Grid System Report
Sec. 1303. Smart Grid Advisory Committee And Smart Grid Task Force
Sec. 1304. Smart Grid Technology Research, Development, And Demonstration
Sec. 1305. Smart Grid Interoperability Framework
Sec. 1306. Federal Matching Fund For Smart Grid Investment Costs
Sec. 1307. State Consideration Of Smart Grid
Sec. 1308. Study Of The Effect Of Private Wire Laws On The Development Of Combined Heat And Power Facilities
Sec. 1309. Doe Study Of Security Attributes Of Smart Grid Systems
  

5.  "Smart Grid Provisions in H.R. 6, 110th Congress," CRS Report for Congress RL34288, February 13, 2008 . . . . . . 107

- Introduction and Overview
- Selected Utility Applications
- Southern California Edison Company
- Pacific Northwest GridWise™ Demonstration
- TXU Electric Delivery Company
- Summary of H.R. 6 Smart Grid Provisions
- Section 1301. Statement of Policy on Modernization of Electricity Grid
- Section 1302. Smart Grid System Report
- Section 1303. Smart Grid Advisory Committee and Smart Grid Task Force
- Section 1304. Smart Grid Technology Research, Development, and Demonstration
- Section 1305. Smart Grid Interoperability Framework.
- Section 1306. Federal Matching Funds for Smart Grid Investment Costs
- Section 1307. State Consideration of Smart Grid
- Section 1308. Study of the Effect of Private Wire Laws on the Development of Combined Heat and Power Facilities
- Section 1309. DOE Study of Security Attributes of Smart Grid Systems
- Figure 1. Electric Transmission Network
- Figure 2. The Electric Power System

6.  "The Smart Grid: An Introduction," prepared for the Department of Energy . . . . . . 119

- Introduction: We Don’t Have Much Time.
- Edison vs. Graham Bell: The Case for Revitalization
- The Grid As It Stands: What’s at Risk?
- The Smart Grid: What It Is. What It Isn’t.
- Compare and Contrast: A Grid Where Everything is Possible.
- First Things First: Teasing Out the Complexities
- How Things Work: Creating the Platform for the Smart Grid.
- Progress Now!: A Look at Current Smart Grid Efforts and How They’re Succeeding.
- Edison Unbound: What’s Your Stake in All This?
- Resources and Glossary

7.  Smart Grid System Report, U.S. Department of Energy, July 2009 . . . . . . 167

- Executive Summary
- Acronyms and Abbreviations
- Introduction
- Objectives
- Scope of a Smart Grid
- Stakeholder Landscape
- Regional Influences
- About this Document
- Deployment Metrics and Measurements
- Smart-Grid Metrics
- Smart-Grid Characteristics
- Mapping Metrics to Characteristics
- Deployment Trends and Projections
- Enables Informed Participation by Customers
- Grid-Enabled Bi-Directional Communication and Energy Flows
- Managing Supply and Demand
- Accommodating All Generation and Storage Options
- Distributed Generation and Storage
- Standard Distributed-Resource Connection Policy
- Enables New Products, Services, and Markets
- Enabling New Products and Services
- Enabling New Markets
- Provides Power Quality for the Range of Needs
- The Cost of Poor Power Quality
- Smart-Grid Solutions to Power Quality Issues
- Optimizing Asset Utilization and Operating Efficiency
- Bulk Generation
- Delivery Infrastructure
- Distributed Energy Resources
- Overall System Efficiency
- Operating Resiliently to Disturbances, Attacks, and Natural Disasters
- Area, Regional, National Coordination
- DER Response
- Delivery Infrastructure
- Secure Information Networks
- Challenges to Deployment
- Technical Challenges
- Business and Financial Challenges
- Recommendations for Future Reports
- References
- Annex A – Metrics
- Annex B – Electricity Service Provider Interviews
- Scope of Smart-Grid Concerns
- Stakeholder Landscape
- United States Portions of NERC Region Representation Map
- EPA eGRID Subregion Representational Map
- Overview of AMI Interface
- Demand Response by NERC Region
- Yearly Installed DG Capacity by Technology Type
- Projected DG Capacity in GW
- State Interconnection Standards
- Favorability of State Interconnection Standards
- Venture-Capital Funding of Smart-Grid Startups
- Interoperability Categories
- Measured and Predicted Peak Summer, Peak Winter, and Yearly Average Generation Capacity Factors in the U.S.
- Generation Efficiency for Various Fossil Fuel Sources over Time
- Current/Future Plans for Connecting EMS/SCADA/DMS Systems to Other Data Systems
- North American Electric Power T&D Automation Expenditures
- Winter Peak Demand for the Contiguous U.S.
- Electricity Flow Diagram 2007
- Current/Future Plans for Connecting EMS/SCADA/DMS Systems to Other Data Systems2
- Networked Phasor Measurement Units in the North American Power Grid
- Trends for 55 Utilities Providing Data Between 2000-2005
- Summary of Smart Grid Metrics and Status
- Smart-Grid Characteristics
- Map of Metrics to Smart-Grid Characteristics
- Number of Entities Offering and Customers Served by Dynamic Pricing Tariffs
- Capacity of Distributed Generators by Technology Type 2004 and 2008
- EV and PHEV Market Penetration
- Capacity of Microgrids in 2005
- Entities Offering Load-Management and Demand-Response Programs
- Measured and Projected Peak Demands and Generation Capacities for Recent Years in the U.S., and Calculated Capacity Factors
- Summary of the NERC Critical Infrastructure Protection Standards
- Sample Security Question from Service Provider Interviews

8.  Testimony of Commissioner Jon Wellinghoff, Federal Energy Regulatory Commission Before the Energy and Environment Subcommittee of the Committee on Energy and Commerce, U.S. House of Representatives, Hearing on "The Future of the Grid: Proposals for Reforming National Transportation Policy," June 12, 2009 . . 247 . . . . .

9.  Testimony of Commissioner Suedeen G. Kelly, Federal Energy Regulatory Commission Before the Committee on Energy and Natural Resources, U.S. Senate, March 3, 2009 . . . . . . 255

10.  Prepared Statement of James J. Hoecker, Counsel to WIRES, Before the Select Committee on Energy Independence and Global Warming, U.S. House of Representatives, Hearing on "Get Smart on the Smart Grid: How Technology Can Revolutionize Efficiency and Renewable Solutions," February 25, 2009 . . . . . . 269

11.  "A Vision For The Modern Grid," conducted by the National Energy Technology Laboratory for the U.S. Department of Energy, Office of Electricity Delivery and Energy Reliability, March 2007 . . . . . 283

- Why we need a Vision
- The Vision
- Summary
- Call to Action

12.  "Integrated Communications," conducted by the National Energy Technology Laboratory for the U.S. Department of Energy, Office of Electricity Delivery and Energy Reliability, February 2007 . . . . . 295

- Executive Summary
- Current State
- Communications Standards
- Communications Media and Technologies
- Broadband over Power Line (BPL)
- Wireless Technologies
- Other Technologies
- Future State
- Benefits of Implementation
- Barriers to Deployment
- Possible Solutions
- Summary
- Bibliography
- Acronyms List

13.  "Sensing and Measurement," conducted by the National Energy Technology Laboratory for the U.S. Department of Energy, Office of Electricity Delivery and Energy Reliability, March 2007 . . . . . 315

- Executive Summary
- Current State
- Customer-Side Advances
- Utility-Side Advances
- Related Research and Development
- Requirements and Regulations
- Future State
- Benefits of Implementation
- Meter Transformation
- Data Collection
- Control Instrumentation
- Barriers to Deployment
- Possible Solutions
- Summary
- Bibliography
- Acronyms

14.  "Advanced Components," conducted by the National Energy Technology Laboratory for the U.S. Department of Energy, Office of Electricity Delivery and Energy Reliability, March 2007 . . . . . 341

- Executive Summary
- Current State
- Power Electronics in Transmission and Distribution Systems
- Superconducting devices
- Generation and Storage Distributed Energy Resources
- Distributed Generation Devices
- Distributed Storage Devices
- Complex Systems
- Composite Conductors
- Grid Friendly Appliances
- Future State
- The Role of Power Electronics
- The Role of Superconductivity
- The Role of Plug-In Hybrid Electric Vehicles (PHEVs)
- Benefits of Implementation
- Barriers to Deployment
- Possible Solutions
- Summary
- References
- Acronyms

15.  "Advanced Control Methods," conducted by the National Energy Technology Laboratory for the U.S. Department of Energy, Office of Electricity Delivery and Energy Reliability, March 2007 . . . . . 369

- Executive Summary
- Current State
     Distributed Intelligent Agents
     Analytical Tools
     Operational Applications
- Future State
- Benefits
- Barriers to Deployment
- Summary
- Bibliography
- Acronyms

16.  "Improved Interfaces and Decision Support," conducted by the National Energy Technology Laboratory for the U.S. Department of Energy, Office of Electricity Delivery and Energy Reliability, March 2007 . . . . . 391

- Executive Summary
- Current State
- Future State
- Visualization, Decision Support, and Operator Training
- Visualization
- Decision Support
- System Operator Training
- Benefits of Implementation
- Barriers to Deployment
- Summary
- Bibliography
- Acronym List

17.  "Self-Heals," conducted by the National Energy Technology Laboratory for the U.S. Department of Energy, Office of Electricity Delivery and Energy Reliability, January 2007 . . . . . 417

- Executive Summary
- Current and Future States
- Current State
- Transmission
- Distribution
- Future State
- Requirements
- Key Success Factors
- Reliable
- Secure
- Economic
- Efficient and Environmentally Friendly
- Safe
- Observed Gaps
- Design Concept
- Design Features and Functions
- Probabilistic Risk Assessment
- Power Stabilization Techniques
- Distribution System Self-healing Processes
- User Interface
- Functional Architecture Standardization
- Performance Requirements
- Barriers
- Benefits
- Recommendations
- Summary
- Bibliography

18.  "Motivates and Includes the Consumer," conducted by the National Energy Technology Laboratory for the U.S. Department of Energy, Office of Electricity Delivery and Energy Reliability, January 2007 . . . . . 441

- Executive Summary
- Current and Future States
- Current State
- Future State
- Requirements
- Features
- Key Components
- Barriers
- Benefits
- Demand Response
- Distributed Energy Resources
- Recommendations
- Summary
- Bibliography

19.  "Provides Power Quality For 21st Century Needs," conducted by the National Energy Technology Laboratory for the U.S. Department of Energy, Office of Electricity Delivery and Energy Reliability, January 2007 . . . . . 461

- Executive Summary
- A Primer on Power Quality
- Current and Future States
- Current State
- Future State
- Requirements
- Specific Solutions for Specific PQ Problems
- Key Technologies that Offer Solutions
- Barriers
- High Costs of Devices
- Policy and Regulation
- Codes and Standards
- Benefits
- Recommendations
- Summary
- Bibliography

20.  "Resists Attack," conducted by the National Energy Technology Laboratory for the U.S. Department of Energy, Office of Electricity Delivery and Energy Reliability, January 2007 . . . . . 485

- Executive Summary
- Current and Future States
- Current State
- Future State
- Requirements
- System Requirements
- Policy and Regulation Requirements
- Codes and Standards Requirements
- Barriers
- Benefits
- Recommendations
- Summary
- Bibliography

21.  "Accommodates All Generation and Storage Options," conducted by the National Energy Technology Laboratory for the U.S. Department of Energy, Office of Electricity Delivery and Energy Reliability, January 2007 . . . . . 505

- Executive Summary
- Current and Future States
- Current State
- Future State
- Requirements
- The Importance of Generation Alternatives
- Essential Functions
- Barriers
- Benefits of Accommodating All Generation and Storage Options
- Reliability
- Security
- Economic
- Efficiency
- Environmental Quality
- Safety
- Recommendations
- Summary
- Bibliography

22.  "Enables Markets," conducted by the National Energy Technology Laboratory for the U.S. Department of Energy, Office of Electricity Delivery and Energy Reliability, January 2007 . . . . . 525

- Executive Summary
- Current and Future States
- Current State
- Future State
- Requirements
- Design Concept
- Design Features and Functions
- Market Infrastructure and Support Systems
- Other Requirements
- Barriers
- Benefits
- Recommendations
- Summary
- Bibliography

23.  "Optimizes Assets and Operates Efficiently," conducted by the National Energy Technology Laboratory for the U.S. Department of Energy, Office of Electricity Delivery and Energy Reliability, January 2007 . . . . . 547

- Executive Summary
- Current and Future States
- Current State
- Future State
- Requirements
- Gathering and Distributing Data
- Levels of Asset Optimization
- Applications and Device Technology Requirements
- Performance Standards
- Barriers
- Benefits
- Reliable
- Secure
- Economic
- Efficient
- Environmentally Friendly
- Safe
- Recommendations
- Summary
- Bibliography

24.  "FERC Adopts Policy to Accelerate Development of Smart Grid," July 16, 2009, Docket No. PL09-4-000 . . . . . 569

25.  "Proposed Smart Grid Policy Statement and Action Plan," Federal Energy Regulatory Commission Fact Sheet, March 19, 2009, Docket No. PL09-4-000 . . . . . 571

26.  "Proposed Policy Statement and Action Plan," Federal Energy Regulatory Commission, March 19, 2009, Docket No. PL09-4-000 . . . . . 573

27. Other Resources . . . . 615

- Internet Resources
- Books

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