martes, mayo 19, 2009

The Exclusive IOUs Not So Smart Grid Versus the Inclusive EWPC Truly Smart Grid

Obama Administration Unveils New Set of Smart-Grid Standards is a Wall Street Journal article by Henry Pulizzi, published on May 18th. Below you may find my replies to four comments posted under the article and one conclusion that the Smart Grid process is about lots of stimulation and very little transformation. Such transformation is crucial.

As it has been shown worldwide, the grid under the investor owned utilities (IOUs) regulatory framework has resulted in an exclusive paradigm, that have left without electricity to the great majority of the world population. It is evident that a strong global effort needs to be made towards an inclusive paradigm, to enable that majority of the population to be able to live and progress in an emerging world order.

It is now quite clear that, to enable such inclusive paradigm transformation, there is a need to open the power industry to a revolutionary regulatory innovation framework. Please take a look at the comments (edited to make them simpler to read, improve the sequence, and correct a few typos) to become aware of what is really needed.

Donald Piepgras comment to Mr. Pulizzi’s article says:

It would be nice if the article actually told us something about the 16 standards Obama unveiled. And maybe some explanation as to how the "Smart Grid" will help us achieve energy independence. Will the smart meters on the smart grid control our electricity usage so we don't use more than our fair share? Please Mr. Pulizzi, give us something to work with.

I replied with:

Donald, I will give you "something to work with."

The standards unveiled are drafts that resulted from a meeting at the end of April. They are trying to speed the process to be able to show results before Election Day. There is a BIG problem in the way and that is the investor owned utilities (IOUs) regulatory framework, which cannot be reformed with another set of incremental extensions, which have a strong attraction force to such an old paradigm.

There is a need for a revolutionary transformation of the regulatory framework that attracts distributed renewable generation, like solar energy, which is a disruptive technology. If you want to learn more about the issued, please take a look at the EWPC article Can EPRI Professionals Get Out of the IOUs Box to Join the EWPC Necessary Revolution?

In addition, you make take a look at Jesse Berst's feature article Standards for Dummies (Who Want to Get Rich).

Rei Shinozuka’s comment to Mr. Pulizzi’s article says:

QUOTE "The maximum award under the Smart Grid Investment Grant Program will be raised to $200 million from $20 million, while the maximum for Smart Grid
Demonstration Projects will be lifted to $100 million from $40 million."

They haven't even started, and already evidence they have underestimated costs by an order of magnitude.

I replied with:


What happened was that utilities' lobby manage to get the ceiling raised to try to extend the IOUs Regulatory Framework well beyond its [useful] life. Such a move will reduce the opportunities for innovation. I f you want to learn more about the issues, please take a look at the EWPC Regulatory Framework article Smart Grid: Can the U.S Waste Billions in Taxpayer Dollars?

Jeff Switzer’s comment to Mr. Pulizzi’s article says

This article doesn't really explain the subject matter and it doesn't give a link to the proposed standards. It really doesn't tell us much of anything.

I replied with:


If you want to get a better understanding of the subject matter, look at the article Why President Obama Needs to Keep Working on Energy.

Roger Brown’s comment to Mr. Pulizzi’s article says,

Smart Grid will run directly into State Rights.
States would be required to give up power distribution oversight authority.
Not a done deal.
I replied with:


Your are right, that the SG will run into States rights and that is the most important barrier to innovation. It is that barrier that gets State regulators involved in SG incredible bets. I suggest that you read the EWPC article Let’s Avoid Many Expensive Fiascos.

Finally I added,

I posted the Comment to IEEE Spectrum: Can the Stimulus Bill both Stimulate and Transform? in the EWPC Blog and after reading the article, I add, that by acting fast, it seems that the balance is shifting towards a lot of stimulation and very little real opportunity for transformation.

No hay comentarios: