Sometime between Halloween and Christmas it occurred to me that, as an industry, we really need to move forward in this new year on a substantially different path than the one we’ve been on for the past several. The path we’ve been on is the one where “Smart Grid” implies that the grid is currently not very smart at all, and the one where ‘Smart Grid’ is merely jargon for ‘Smart Metering’ – and vice-versa. I respectfully submit that we need to change our vernacular AND our course of action to something that, at the very least, transcends the tendency to use the terms “Smart Grid” and “Smart Metering” interchangeably.

In my view, continuing to use these terms to express the broadest needs and goals of a 21st century power delivery network is at best misleading, and at worst, downright detrimental to the greater good that I’m sure we all intend. And, as far as I can tell, no two people or organizations have the same interpretation of what the term “Smart Grid” even means. This is understandable, however, since it legitimately means different things to different people, based on their individual circumstances and a variety of other legitimate variables.

So instead, I suggest we start using the term “Grid Transformation” to embrace and embody ALL of it. I maintain that what we need to do is TRANSFORM – i.e., repair, replace, redefine, reinvent, reinforce, redesign, modernize, upgrade, improve, enhance (or whatever other superlatives you want to tack on) the grid. What we should NOT be doing is only one or just a few of those things – we need them all, but that will take time and money, both in very large amounts and neither of which we have immediately available.

With this concept in mind, let’s focus for a moment on what this terminology change means in the greater scheme of things. As has often been pointed out, “Smart Grid” implies that the grid is currently “dumb” (it isn’t!) and “Smart Metering” has a way of implying that it’s a fix-all for everything that ails the grid (it is NOT!).

And just to reinforce the point, no amount of Smart Metering is ever going to repair, replace or upgrade old power lines or aging circuit breakers, switches, transformers, etc., so let’s not perpetuate the notion that it will. I suggest to you that Grid Transformation is what we need... Smart Grid and Smart Metering are both peripheral to that cause and purpose. Can we all agree on that? Good.

Now that I’ve gotten that of my chest, I’m happy to say that I’m already seeing a light at the end of the tunnel. And the really interesting part is that this light is coming from a place where one might least expect it: Smart Metering companies.

Really. Have you noticed that the latest advertising messages coming from most, if not all of the major meter manufacturers – as well as a substantial number of the supporting communications network technology providers – has recently shifted away from Smart Meters to talking about end-to-end solutions for things like Distribution Automation, Distribution Management and so forth? Hey, I’m not knocking it; those are exactly the right things to be talking about. And not only are they talking about it – they’re doing it. These are some really bright people. They’ve taken what they’ve learned, and now they’re applying it on a broader scale.

So let’s talk about what Smart Grid – or better yet, “Grid Transformation” – really IS about. First off, it’s all about power delivery. Yes, without generation we wouldn’t need power delivery networks, but unlike the wires business, historically a lot of money has been thrown at generation. T&D investment? Well, not so much. It’s a very complicated issue, but let it suffice to say that the economic incentives for building more T&D as opposed to building more plants has historically been a far cry from parity.

Also, we haven’t been taking very good care of the grid we have. Rather than investing in it as the vital infrastructure it is, it’s been widely regarded as a necessary evil; something simply put in place to bring those electrons to market. A vital expense, yes – a vital long-term investment, no. And just like the guy who buys cheap tires for his limousine, the vehicle still stops abruptly when a tire blows, and he hits the wall.

Today, that’s really where we are. We’ve managed to make do by skimping on T&D investments for at least a couple of decades, and we’ve lulled ourselves into thinking that we can just keep going back to that well indefinitely. That fact is, we can’t. The grid needs to stay reliable and vibrant and also become substantially more robust if we’re going to accommodate all of the new demands for things like electric vehicle charging, grid storage and renewables integration – just to name a few – while at the same time preserving and enhancing grid reliability; improving flexibility and capacity; and, of course, protecting its security and integrity.

That’s already a tall order, but at the same time, we’re also facing a declining infrastructure as well as an aging work force, a huge portion of which has already begun to retire, leaving a serious void of experienced personnel. As an old friend of mine likes to say, “With most of the grid infrastructure now 35-50 years old, we’re on the backside of the bathtub curve when it comes to reliability!”

Basically, that means that things can only go downhill from this point forward, absent an aggressive reinvestment plan. So what to do? Well, just like an old car with high mileage for which there is no money to replace, we do the next best thing. That is: Monitor more closely, maintain more regularly and try to keep from overtaxing the operational limitations. And the only way I know that can effectively be done is to automate – starting now. – Ed.