Smart Meters: A Smart Idea

Despite pockets of resistance in various parts throughout North America, utilities are continuing to deploy smart meters as part of a greater vision to build a smart grid. Ontario began installing smart meters en masse in 2007. BC Hydro has been installing smart meters with the goal of having all of its customers with one by the end of 2012. SaskPower has also started installing smart meters to customers in October of this year.

Smart meters have also been deployed in many jurisdictions in the United States as well. According to Greentech Media, one third of all US households have had smart meters installed. Larger states like California, Texas, and Florida will have installed smart meters in more than half of all households by 2015.

 Expected smart meter deployments by state

The rationale for this is quite simple; a smart grid is a sound investment for the future with significant added benefits such as more efficient energy use, renewable energy accommodation, and decreased chance of a massive power outage.

Since smart meters are able to timestamp a customer’s electricity consumption, it is possible to implement time-of-use pricing, which will compel people to think twice about their energy usage. Now customers will be able to shift more energy intensive activities to less expensive times like early in the morning or late at night where demand is considerably less than in the middle of the day. Or they can save money by decreasing energy usage during higher demand periods. This will ease the strain on the grid, allowing for a more consistent daily demand without major spikes in the middle of the day. It will also help customers choose wisely when it comes to energy use resulting in an overall decrease in demand.

Ontario Hydro Time of Use Rates

Ontario Hydro Time of Use Rates

The future of our grid is looking greener. A previous Energent blog post indicated that wind power is going to make up a significant portion of Ontario’s grid in the coming years. Other regions around the world continue to increase renewable energy production as well. As more renewable and intermittent energy is added to the grid, utilities will need to balance demand with generation even more carefully. But with a vast network of smart meters consistently sending utilities energy consumption data, this balancing act becomes much simpler. Armed with this data, generators can scale down energy production from more polluting sources allowing renewables to supply the grid instead, which will reduce pollution and carbon emissions.

Solar Wind Farm

Solar Wind Farm

As a result of less strain on the grid brought about by consistent communication between utilities and smart meters, power outages are less likely to occur. As the complex balancing act between generation, distribution and consumption is more simplified by a smart grid, the chances of power lines coming into contact with branches causing surges is less likely to occur. In the event of a power outage, utilities will know much quicker as the smart meters will stop sending data altogether, allowing them to respond quicker.

Toronto skyline during the 2003 blackout

Toronto skyline during the 2003 blackout

For utilities, the rationale is simple for smart meters; more information concerning the grid will improve service by preventing and responding quicker to power outages, and in the long run, help save energy through load shifting and decreased demand brought about by time-of-use pricing. The integration of renewable energy sources to the grid is an added bonus that can drastically reduce our carbon emissions. The fact that there is resistance to smart meters shouldn’t and won’t deter utilities from deploying them when the benefits are so obvious. The world is getting smarter; the grid needs to get smarter with it.


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