The Problem with Smart Grid:

Today's energy lesson is on the problem with the Smart Grid. First of all, there is no single definition for Smart Grid, so there is enough confusion stemming from that. But really I'd like to discuss Time of Use (TOU) rates and general future the industry is envisioning.

So I've already mentioned the concept of peak shaving, but let's hit it again. Everybody gets home from work, turns out their air conditioning, starts cooking dinner, and flips on the lights and tv all around the same time between 6 pm and 7 pm. If we say that to serve all of this load we need 1000 MWs and our powerplants can produce 10 MWs, we need 100 powerplants just to serve that one hour between 6 pm and 7 pm. The goal behind TOU rates it to encourage consumers to consider doing some things at different times so that maybe that 1000 MWs over one hour might be 500 MWs over two hours or, even better, 333 MWs over three hours. Then you'd only need to have 50 or 34 powerplants. The mechanism to spur this behavior is the cost of electricty from 6-7 pm versus the cost of electricity from 7-8 pm. Also the technological piece that aids in this behavior are smart appliances, which are programmable to the extent that you can at least load your dryer at 6 pm, but tell it to start running at 8 or 9 pm when electricity rates are lower.

So this all sounds fine and dandy, but do you think that your parents or grandparents will really grasp and embrace this concept? Consider how deeply engrained into our patterns and mindset the fact of instant electricity is. Also people in general are stubborn and self-centered, where a small amount of inconvenience to them is not worth the greater benefit for the whole community. Maybe I have little faith in the human ability to adapt.