Smart Grid: The New Engine for Economic Growth in the Future

When human beings struggle in the dark, electricity technology brings light to humanity; when the smart grid is about to come out, electricity will create more gospel for the world. As another network that may cover the world after the Internet, the smart grid brings people dreams and unlimited imagination.

Grid 2.0 era

   For many people, the smart grid is an unfamiliar or even unfamiliar term. In fact, smart grids, like the Internet, are also truly interconnected, interoperable, and interactive networks, except that in addition to data transmission and computing, smart grids also deliver real energy. Compared with the traditional grid, the industry often refers to the smart grid as the second generation grid or grid 2.0 era.

Literally, the smart grid is the "intelligence" of the grid. The key is the supply and demand of electricity, the distribution and use of electrical energy and the connection of electronic information technology. Just as the Internet has brought about a significant change in human life and production methods, smart grids will also lead to a new revolution in the distribution and use of electricity in the real world and in everyday life.

For power generation companies and transmission systems, smart grids mean real-time online monitoring systems. They can not only easily understand the user's power situation, but also remotely monitor and control various power facilities. For example, when a large electric artery fails, power can be transmitted from the alternative line immediately, ensuring that the blackout will never occur. In addition, after an accident occurred in the traditional transmission system, it usually requires consumers to call the power company for repair, and then the power company will check and repair it again. This passive situation is impossible to happen in the smart grid. Because, the smart grid system can collect the power transmission information in real time, identify potential hazards after calculation, processing, and analysis, thereby issuing an alarm in advance to ensure the safe operation of the system; in addition, because the networks between the grid companies, houses, and enterprises are interconnected, After the smart grid is built, the power company will never come to the door or commission another person to check the meter. This will greatly reduce customer service costs.

For consumers, the magic created by the smart grid far exceeds people's imagination. First of all, the electricity price of household electricity will be automatically priced according to different times of the day. Residents can avoid the high-priced electricity during the peak period of electricity consumption and reduce the cost of electricity. Second, consumers can see the electricity consumption of the entire city and different regions. , to achieve off-site buying power. If you are not satisfied with local electricity prices or services, residents can choose to supply electricity in remote places thousands of miles away; once again, residents can use computer networks to learn about the family or individual’s electricity consumption status and real-time price and service information; in the end, residents can be like buying and selling. Electricity is bought and sold like stocks. The surplus electricity of ordinary households and small business users can be sold to neighbors or other power consumers of the grid through smart grids. More noticeable and pleasant to note is that since the smart grid's operation means that all electric vehicles can be connected to the network, people in the smart grid mode can see many charging stations on both sides of the road. They are just like now. Like a gas station, it can be used to charge electric vehicles and hybrid electric vehicles.

New energy revolution

   If the invention of electric power technology is a landmark revolution in human development and utilization of energy, then the changes triggered by the smart grid in the energy sector will be no less than the former.

Achieving stable and effective use of clean energy is the most significant function of smart grids. The essence of smart grids is energy substitution and compatibility. From the perspective of utilization, clean energy can only be converted into electricity to achieve more efficient use. However, unlike fossil energy, solar energy and wind power have unstable and discontinuous characteristics, and grid connection will cause the decline of power quality. As a result, the efficiency of wind power grid access is low, which restricts the development and utilization of wind energy. On the basis of the smart grid, the weak points of solar energy and wind power have been effectively eliminated, and the effective optimization of energy resources has been achieved.

Taking China as an example, by 2020, China’s wind power capacity will reach 35 million kilowatts and 150 million kilowatts respectively, solar power generation will reach 1 million kilowatts and 20 million kilowatts respectively, and nuclear power installed capacity will reach 10.5 million kilowatts and 86 million kilowatts, respectively. The installed capacity accounts for about 16% of the total installed power. If there is support from the smart grid, this part of new energy will be used to the maximum extent.

It is an indisputable fact that energy waste and loss caused by traditional grids. But if China realizes the transformation of the smart grid, it can save 226 million tons of raw coal annually.

Not only that, but on the basis of energy conservation, smart grids have a significant effect on effectively controlling and reducing greenhouse gas emissions. It should be said that the promotion of smart grids is an important step in improving energy independence. It can reduce human dependence on fossil fuels and reduce greenhouse gas emissions. According to the research results of the “Smart Grid Alliance” in the United States, every 5% improvement in the use efficiency of the National Grid is equivalent to the reduction of fuel consumption and carbon emissions of 53 million vehicles. In China, by 2020, smart grid technology is expected to help power companies reduce carbon dioxide emissions by 14%.

Economic engine

   The limited nature of traditional energy and the uneconomic nature of the development and use process have greatly constrained the normal growth of the global economy. Smart grids have achieved energy substitution, which not only expands the space for human energy use, but also brings about related industries. Boom, its traction for the economy is self-evident. It is the new energy industry that is first mobilized and driven by the smart grid. In addition to being able to stimulate the development of traditional industries such as electricity and communications, smart grids will develop emerging technologies and promote the evolution of emerging industries such as wind power, solar energy and new energy automotive industries. Therefore, the new energy industry surrounding the construction of smart grids will become the focus of economic competition among countries.

Specific to the market, the smart grid has undoubtedly created new business and competition space for the company. It should be said that for the first time, the smart grid provided the Internet giants with the opportunity to participate in the transformation of the largest heritage in the industrial era. This is also the case, and the international IT giants are already playing. For example, IBM has led the development of smart meters that can calculate electricity consumption and electricity bills in real time. Google has successfully developed application software that uses electricity meters to save electricity bills and began trials at company employees' homes.

Problems to be solved

   Given the revolutionary role in the energy sector and the strong traction in economic development, smart grids have become a global hot spot. However, from the current point of view, many aspects of the smart grid are basically in the stage of conception, and some key technologies have not yet been completely resolved. Therefore, in the case of the United States alone, it will take at least 10 to 20 years for the smart grid to become popular. It may take longer. The challenges faced by smart grids are as follows:

Problems with investment methods. The smart grid is not only involved in the transformation and upgrading of the original circuit network, but also must invest in new equipment. It is a costly and time-consuming project. Given the large amount of capital needed and the long cycle of returns, the possibility of full investment by enterprises is unlikely, and unilateral investment by the government will also be constrained by fiscal funds, and even a "crowding-out effect" will be formed on private capital. Therefore, even in the United States, different cities adopt different investment methods, some of which are fully invested by the government, and some of them introduce private capital. However, no matter which approach is taken, for some developing countries, the huge capital needed by the smart grid will be a lot of pressure, and the “globalization” of the smart grid may also be stopped because of the constraints of funds.

Business model problem. Even if the investment problem is solved, what kind of commercial operation mode is adopted after the smart grid is built is a thorny problem. In the United States, 80% of the smart grid is prepared to be owned and operated by the private sector, and the cities where the power supply of Boulder from power generation, transmission, and retail are owned by the municipal government. As for whether other countries adopt unified government operations or whether they are mainly managed by enterprises or operated jointly by the government and enterprises, it depends on the way of investment in the previous period and the conditions of the market environment. Without a unified business operation model, it is possible to find feasible operating modes through various demonstration projects and projects.

Unified standard issues. The smart grid has a global character, so it should have a set of international standards. However, at present, there are many differences in the formulation of smart grid standards in different countries, and smart grids involve the interests of many electrical products and technologies and suppliers. Different product suppliers will adopt different technologies and standards, and the selection of a product may sometimes be different. The direction and trend of development. Based on this, the United States "Smart Grid Alliance" is currently working with 15 UN agencies and International Standards Organization (ISO) to develop a set of smart grid standards and interoperability principles. At the same time, China and the United States are actively co-developing a Internationalized smart grid technology standards.

Key technical issues. Regardless of the power grid technology or the basic material technology, it is still impossible to completely say that it can meet the requirements of the smart grid, and even the safety of some technologies has yet to be demonstrated. Unlike U.S. adoption of high-temperature superconducting power grids as a support for smart grids, UHV transmissions used in China can reduce losses in the transmission process and reduce the cost of wires. However, due to high voltage levels and large currents, such power grids are extremely vulnerable The impact of strong weather. A NASA report warned that if the solar storm that struck the Earth in 1859 was repeated, it would have a serious impact on modern high-voltage transmission systems. Most substations are likely to melt, and the entire power supply recovery period may be long. Up to 4-10 years.

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