Chicago to Launch Nation’s Largest Smart Grid Energy Pilot Program

The ins and outs of tomorrow’s energy grid will be tested on an unprecedented scale in Chicago. Local utility ComEd, a subsidiary of Exelon Corporation, will use $5 million in Recovery Act funding to institute the program, which will initially outfit 8,000 homes with advanced smart meters in order to test how well consumers manage their energy consumption when monitoring and programming are available. The project will also include outfitting 100 homes with distributed solar power systems, creating “mini-utilities” through which ComEd can glimpse the smart home of the future.

Eventually, the project will extend to cover 131,000 Chicago homes. The first $8,000 will test a small range of smart meters for comparative purposes. 3,100 customers will receive a basic energy use display meter, 1,500 will get a touch-screen version that allows for electricity monitoring and internet access, and 400 will also receive programmable thermostats that allow remote control of heating and cooling systems.

The program will also enact an unprecedented pricing program in which pilot participants will be offered a six-tiered pricing approach.

The 6 options are widely accessible. They are:

• Regular current flat rates
• Rising rates based on higher-than-average consumption
• Hourly rates based on day-ahead wholesale rates
• Rising rates based on peak demand
• Rebate for customers that reduce consumption during peak demand
• Time-of-use pricing in which costs differ between peak and non-peak loading periods

The goal is to teach homeowners how to be more efficient consumers of energy, as well as find out which smart grid products are most efficient at helping to make that happen. America’s electric grid is aging and, quite frankly, dumb. Half the battle in easing the pressure on our unkempt, deregulated grid is to reduce peak demand while increasing the use of distributed renewable energy. Moreover, a key ingredient in any smart grid is a smart consumer, a fact that ComEd and the feds’ joint venture in Chicago will hopefully illustrate in the real world  — and in real time.

Sources: CleanTechnica, Cooler Planet

Photo Credit: Anastasia Marie & Rockefeller Group Development

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Chicago to Launch Nation’s Largest Smart Grid Energy Pilot Program