AMERICAN RECOVERY AND REINVESTMENT ACT OF 2009 - SMART GRID INVESTMENT GRANT PROGRAM

U.S. Department of Energy | July 2012 Table of Contents Executive Summary................................................................................................................. ii 1. Introduction.................................................................................................................. 1 1.1 The American Reinvestment and Recovery Act of 2009 ................................................ 1 1.2 SGIG and Grid Modernization......................................................................................... 2 1.3 Organization of this Report............................................................................................. 3 2. The SGIG Program......................................................................................................... 4 2.1 Program Objectives......................................................................................................... 4 2.2 Program Profile............................................................................................................... 6 2.3 Analysis and Reporting ................................................................................................... 9 2.4 Project Implementation.................................................................................................. 9 3. SGIG Implementation Progress ................................................................................... 12 3.1 Schedule of Activities and Expenditures....................................................................... 12 3.2 Overview of Deployment Progress............................................................................... 13 3.3 Electric Transmission System Projects.......................................................................... 16 3.4 Electric Distribution System Projects............................................................................ 21 3.5 Advanced Metering Infrastructure Projects................................................................. 24 3.6 Customer Systems Projects .......................................................................................... 28 4. Next Steps................................................................................................................... 32 Appendix A. List of SGIG Projects ...........................................................................................A‐1 Appendix B. SGIG Project Abstracts........................................................................................B‐1 SGIG Program Progress Report | Page i U.S. Department of Energy | July 2012 Executive Summary The Smart Grid Investment Grant (SGIG) program is a $3.4 billion initiative that seeks to accelerate the transformation of the nation’s electric grid by deploying smart grid technologies and systems. The program is authorized in Title XIII of the Energy Independence and Security Act of 2007 and is funded by the American Recovery and Reinvestment Act of 2009 (Recovery Act). The SGIG program and related Recovery Act activities are managed by the U.S. Department of Energy (DOE), Office of Electricity Delivery and Energy Reliability (OE), which leads national efforts to modernize the nation’s electric grid. It is the policy of the United States to support grid modernization to maintain a reliable and secure electricity infrastructure.1 The SGIG program implements this policy by making substantial investments in smart technologies and systems that increase the flexibility, reliability, efficiency, and resilience of the nation’s electric grid. Expected benefits include:  Reductions in peak and overall electricity demand  Reductions in operation costs  Improvements in asset management  Improvements in outage management and reliability  Improvements in system efficiency  Reductions in environmental emissions This report provides a summary of the SGIG program’s progress, initial accomplishments, and next steps. The Smart Grid Investment Grant Program The SGIG program is structured as a public–private partnership to accelerate investments in grid modernization. The $3.4 billion in federal Recovery Act funds are matched on a one‐to‐one basis (at a minimum) with private sector resources—bringing the total investment in SGIG projects to $7.8 billion. DOE used a merit‐based, competitive process to select and fund 99 projects that are now deploying smart grid technologies and systems across the power grid, from transmission system to end‐use customer, in almost every U.S. state. The SGIG program provides a unique opportunity to spur innovation and investment in building a smarter electric grid. While the SGIG funds are substantial, recent studies show that hundreds of billions of dollars in smart grid investments will be needed over the next two decades to fully 1 The Energy Independence and Security Act of 2007, Title XIII Smart Grid, Section 1301. SGIG Program Progress Report | Page ii U.S. Department of Energy | July 2012 modernize the national electric grid. It will take a sustained commitment by industry, government, states, and other stakeholders to realize this vision. DOE‐OE designed the SGIG program to achieve wide‐reaching, sustainable benefits by supporting early adopters of smart grid technologies and systems, and collecting performance data to evaluate and document realized benefits. This approach seeks to reduce uncertainty and encourage future investors and policy makers to maintain momentum toward a modernized electric grid. The program is designed to:  Accelerate electric industry plans to deploy smart grid technologies by several years  Develop and transfer know‐how on designing and integrating complex systems  Measure realized benefits in areas such as asset utilization, system efficiency, reliability, and operations management  Advance development and deployment of effective cybersecurity protections for smart grid technologies and systems Implementation Progress The SGIG projects were launched in early 2010, and all projects are expected to complete equipment installation in the 2013–2014 time frame. Data analysis and reporting is expected to be completed by 2015. As shown in Figure ES‐1, actual spending is on track with planned spending based on estimates of cumulative project costs submitted by the project recipients. As of March 31, 2012, roughly two‐thirds of the total $3.4 billion in federal funds have been expended. Including the investments made by the recipients, the combined level of federal and recipient investment totals about $4.6 billion, through March 31, 2012. SGIG projects are organized in four areas: Electric Transmission Systems (ETS), Electric Distribution Systems (EDS), Advanced Metering Infrastructure (AMI), and Customer Systems (CS). Figure ES‐2 shows progress on expenditures in each of these areas. The technologies, systems, and programs in these areas include:  ETS – phasor measurement units (PMU), line monitors, and communications networks  EDS – automated sensors and controls for switches, capacitors, and transformers  AMI – smart meters, communications systems, and meter data management systems  CS – in‐home displays, programmable communicating thermostats, web portals, and time‐based rate programs SGIG Program Progress Report | Page iii U.S. Department of Energy | July 2012 Figure ES‐1. Federal SGIG Expenditures versus Plan through March 31, 2012 Figure ES‐2. Total SGIG Expenditures by Type of Project through March 31, 2012 (combined federal and recipient expenditures) SGIG Program Progress Report | Page iv ... - tailieumienphi.vn