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President Obama unveiled $3.4 billion in federal grants last week that will benefit more than 100 recipients working to create dynamic electrical grids. These American Reinvestment and Recovery Act grants will be matched by nearly $4 billion in private funds to ensure industrial commitment to “smart” grids. The biggest winners in this grant program are 39 recipients that will use $2.2 billion from the government to ensure integrated utility systems. The grant program will also assist 31 recipients with $818 million in grants to create better electrical metering.
The latest infrastructure initiative by the Obama administration will use these grants for four purposes. The creation of “integrating and crosscutting” electrical grids is contingent on getting regional utilities, city agencies and consumers to use compatible equipment. This grant program features $1 billion to help utilities and city agencies educate consumers on energy savings methods ranging from appliance programming to off-peak pricing. An additional $400 million will be mobilized to create monitoring devices and ensure the efficient delivery of energy to customers throughout the United States. The final $26 million will be delivered to manufacturers focusing on “smart” products including substations and appliances.
President Obama highlighted several goals for the $3.4 billion “smart” grid development plan. The primary purpose of this program is to create reliable electrical grids to stave off $150 billion in lost energy per year. The federal government and grant recipients will aim for 200,000 new transformers, 700 substations, 40 million meters and a million home electric displays to achieve measurable gains in grid reliability. Utilities involved in this grant program will be able to monitor customers more carefully to determine surges and blackouts due to vehicle charging. The White House ultimately wants its alternative fuel grants to create 20% of the nation’s energy from sustainable sources in the next 11 years.
The latest use of recovery funds to develop sustainable infrastructure and encourage smarter energy use will be beneficial to hybrid and EV producers. As homes are equipped with chargers and appliances, consumers will become more comfortable with the lingo of energy savings. This heightened awareness of one’s energy use should make consumer feel at home with vehicles rechargeable at home and work. Automakers like Ford, Toyota and Fisker Automotive have taken federal grants and loans to match impending demand for cleaner vehicles. The goal of reliable electricity is something that should not be lost in these goals and figures. The infrastructure for sending electricity from plant to home must be streamlined to make effective use of every watt produced; otherwise, the ideas of sustainability and clean transportation are revealed as facades.
