Electric Co-op Today

Federal regulators have proposed an action plan to provide guidance on the development of a “smarter grid” for the electric transmission system. The Federal Energy Regulatory Commission said this initiative would help set the “rules of the road” for a modern grid.

FERC noted that smart grid enhancements would apply digital technologies to the system, enabling real-time coordination of information from generating plants and demand-side resources alike. These developments will improve bulk power system efficiency, it added.

The commission also proposed an interim rate policy under which jurisdictional utilities could recover the costs of smart grid technologies deployed before adoption of final interoperability standards.

Standards development is to be coordinated by the National Institute of Standards and Technology, while FERC is responsible for adopting the protocols to ensure smart grid interoperability in interstate transmission and wholesale electricity markets.

Commission Chairman Jon Wellinghoff said the rulemaking process could take up to 18 months.

FERC’s proposed policy statement, unveiled March 19, seeks public comment on four priority issues critical to the smooth operation of a smart grid. They include the following:

• Cyber security;
• Communications among regional market operators, utilities, service providers and consumers;
• Ensuring that bulk power system operators have “wide-area situational awareness”; and
• Coordinating operation of the bulk power system with new and emerging technologies for renewables and other resources.

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Tags: Cyber Security, Federal Energy Regulatory Commission, Smart Grid, Transmission and Distribution