SMUD and regional partners win $127.5 million in federal grant money
Will be used to develop “smart grid” and related applications that benefit the Sacramento region
(October 27, 2009) Customers of the Sacramento Municipal Utility District (SMUD) will realize the benefits of a “smart grid,” thanks to the award of a federal grant totaling more than $127.5 million. SMUD and its local partners will use the U.S. Department of Energy funds to install a comprehensive regional smart grid system extending from transmission to the customer.
Winning the funding affirms SMUD’s proven track record as a national leader in the energy industry. The award is one of the ten largest in the nation, and SMUD and its partners account for just over 60 percent of the total funding that will flow to California for six separate projects. The award enables SMUD to take the next big step in delivering affordable and reliable power for its customer-owners. “We are very excited about this opportunity,” said SMUD General Manager and CEO John DiStasio. “The fact that the Department of Energy is funding our request is the strongest possible validation of the proposal we put together with our partners in this project. The whole Sacramento region will benefit from these funds as we move toward a more intelligent and more efficient energy future.”
“The announcement of $127 million for Sacramento’s smart grid project is a terrific milestone in our efforts to put us on the path to energy efficiency and cleaner, lower emissions,” expressed Congresswoman Doris Matsui (D-Sacramento). “SMUD, Sacramento State, the California Department of General Services, and the Los Rios Community College District have all shown tremendous leadership in their commitment to working together to help lower the cost of consumers’ and local businesses’ utilities, and to reduce our carbon emissions. This large amount of stimulus funding sets Sacramento ahead of national investment in smart grid technology and will give us the momentum we need to become a clean-tech capital.”
The funds are part of more than $3.4 billion in grants announced by the White House today. The funds are being awarded to more than a hundred utilities, cities and private companies to develop smart grid technologies. President Obama announced the funding this morning in Florida, saying it is aimed at creating a "smarter, stronger and more secure electric grid. At this moment, there's something big happening in America when it comes to creating a clean energy economy," Obama said. The $127.5 million grant SMUD and its partners are awarded is subject to negotiation.
SMUD’s partners include California State University, Sacramento, Los Rios Community College District and the state Department of General Services. The partnership project, called SmartSacramento, embodies SMUD’s public spirit and mission to empower its customers with solutions and options that increase energy efficiency, protect the environment, reduce global warming and lower the cost to serve the region.
When completed in 2012, SMUD’s smart grid will enable informed participation by customers as well as the creation of new products and services. In addition, the project will improve the reliability and efficiency of utility operations, facilitate integration of distributed and intermittent forms of clean and renewable energy, and optimize asset utilization along the entire energy chain, from electricity generation to the air conditioning unit in a customer’s home.
SMUD’s smart grid will include more than 600,000 smart meters, 100 electric vehicle charging stations, and 50,000 residential energy control systems including programmable smart thermostats and home energy management networks.
Smart meters measure customers’ energy use with advanced digital technology that enables two-way communication between SMUD and the customer. Energy use data is automatically transmitted, eliminating manual meter-reading and allowing automation of other utility processes, further reducing operating expenses. Customers will ultimately gain more flexibility, convenience and choice.
Because smart meters use two-way communication between SMUD and the customer’s meter, customer service will be significantly improved. For the first time ever, consumers will be able to manage their energy using daily data available via the Web (yesterday’s data available today) as early as next year. As the technology is further developed over time, customers will be able to see their energy use in near real time, pre-set their preference for energy use, and manage their own bill.
SMUD’s partners in the SmartSacramento Project are excited to get rolling. "We are very proud of our ongoing work with SMUD, the California Energy Commission and our other regional partners to help transform the nation's power transmission system into a smart grid for the 21st century," said Sacramento State President Alexander Gonzalez. "This is a major milestone in the establishment of Sacramento as a national leader in the development and application of smart grid technologies, and it will provide tremendous educational and career opportunities to our students." Dr. Emir Macari, Dean of the College of Engineering and Computer Science at Sacramento State added: "The California Smart Grid Center at Sacramento State is eager and ready to work with SMUD to help make President Obama's vision for the smart grid a reality. Our students, faculty and the entire Sac State community are proud to be part of this award and we are committed to making this a successful endeavor." Los Rios Community College District Chancellor Brice W. Harris said "Those of us in Los Rios congratulate SMUD for their leadership in bringing Smart Grid stimulus funds to Sacramento. The Smart Grid will revolutionize the energy and power industry and create new career pathways for people in the local region who want to train for good jobs."
SMUD will start installing smart meters this fall. The deployment is expected to be completed in 2011. Last summer, the SMUD Board of Directors approved the project and awarded contracts to Landis+Gyr to deliver the meters and to Silver Spring Networks to develop the wireless network.
As the nation’s sixth largest publicly owned utility, SMUD has been providing low-cost, reliable electricity for more than 60 years to Sacramento County (and a small portion of Placer County). SMUD is a recognized industry leader and award winner for its innovative energy efficiency programs, renewable power technologies, and sustainable solutions for a healthier environment. For more information visit smud.org.