Smart Meters Are a Smart Move

Today's EEI Newsletter reports:

"Pepco Holdings Launches Smart Meter Pilot Program for 2,250 Homes

Pepco Holdings plans to install 2,250 smart meters in homes in the District of Columbia to give customers three options for power usage, the Washington Post reported today. The $2-million pilot project is designed to let consumers know when peak rates might come into play as demand heightens so they can cut back, as well as establish conservation baselines for the utility. The project will be run by a consortium operating under the name Smart Meter Pilot Program Inc., comprised of Pepco, the District's Office of the People's Counsel and Consumer Utility Board, the International Brotherhood of Electrical Workers Local 1900, and the D.C. Public Service Commission.

Wrote the Post: 'The utility will experiment with different approaches to the smart meters. One will give households information a day ahead about hourly pricing in the wholesale market for the regional power grid. Another will focus on giving customers advance information about four peak hours on 'critical peak' days either through the smart thermostats or by automated phone messages. A third will offer customers rebates for reducing consumption during those peak hours. The price of electricity can vary widely depending on time of day and season. Summer rates at peak hours are 64 cents a kilowatt-hour; rates during non-peak hours are 6.81 cents.'

Pepco will use a system developed by Advanced Metering Data Systems, and already installed in 50,000 homes in Birmingham, Ala. The system is also in the pilot stage in Gulfport, Miss.; Charlotte; New Orleans; Covington, La.; Jasper, Ga.; and two towns in Ontario, the Post reported.

Phil Franklin, director of business development at Advanced Metering, said wireless delivery of usage information will go to Pepco, letting utility officials know – for example – if the power has failed in an individual house: 'The utility knows immediately when the power's out and doesn't have to rely on the customer calling in. It allows the utility to know about the problem faster and therefore restore the power faster.
Washington Post , June 19."

Smart meters have the potential to help consumers conserve electricity and, especially, to help utilities avoid having to call on dirty plants during peak demand periods. Good for the enviroment.