Recovery Act: DOE awards $620 million for smart grid, energy storage projects

by Jbs120309 c3 — December 9, 2009—The U.S. Department of Energy (DOE) awarded on November 24 a total of $620 million in American Recovery and Reinvestment Act (ARRA) funds for projects around the country to demonstrate advanced Smart Grid technologies and integrated systems, as well as large-scale energy storage systems. This Recovery Act funding will leverage $1 billion from the private sector to support more than $1.6 billion in total Smart Grid projects nationally.

DOE will award $435 million to support 16 fully integrated, regional Smart Grid demonstrations in 21 states, representing over 50 utilities and electricity organizations with a combined customer base of almost 100 million consumers. The projects will act as models for deploying integrated Smart Grid systems on a broader scale. An analysis by the Electric Power Research Institute estimates that implementing Smart Grid technologies could reduce electricity use by more than 4 percent by 2030, notes DOE.

The projects include streamlined communication technologies that will allow different parts of the grid to “talk” to each other in real time; sensing and control devices that help grid operators monitor and control the flow of electricity to avoid disruptions and outages; smart meters that empower consumers to reduce their energy use and save money; on-site energy storage options; and on-site and renewable energy sources that can be integrated onto the electrical grid.

An additional 16 awards for a total of $185 million will help fund utility-scale energy storage projects that will enhance the reliability and efficiency of the grid, while reducing the need for new electricity plants.

Improved energy storage technologies will allow for expanded integration of renewable energy resources like wind and photovoltaic systems and will improve frequency regulation and peak energy management, says DOE. The selected projects include advanced battery systems (including flow batteries), flywheels and compressed air energy systems.