A smart grid is an electricity network according to digital technology that is utilized to supply electricity to consumers by using two-way digital communication. This system allows for observing, analysis, control and communication within the supply chain to help develop efficiency, decrease the energy consumption and cost, and maximize the translucence and reliability of the energy supply chain.
The purpose of smart grid is to motivate consumer contribution in grid operations, also allows the electricity markets to arise and create business and also it can be healing itself and functioned more efficiently. Brief benefits and applications are to save energy, reduce prices and strengthen trustworthiness and reliability. And The Smart Grid will provide consumers information, control, and choices that allow them to involve in new electricity markets.
The purpose of the report is to understand the concept of smart grids, and identify the applications, benefits and issues of smart grid
This diagram shows that with renewable energy, consumers can create their own energy and right to use a 'greener' energy mix.
Flexible distribution allows a more responsive and steady electrical network.
Active energy efficiency and energy management create energy visible and permit individuals to perform on their consumption.
Electric vehicles are revolutionizing the observation of mobility and, at the same time, access to energy, its use, and storage.
Real-time grid management allows expectation of consumption and acclimation of the offer.
Issues of existing grid
The efficiency issues
At managing peak load and energy savings, actually the new smart grid could have wonderful results on world economy. If the grid were just 5% more capable, the energy savings would associate to always not including the greenhouse gas productions and fuel from 53 million cars. Numerous assistances to overall development of the efficiency of energy infrastructure are expected from the distribution of smart grid technology, in specific including demand-side controlling, for example turning off air conditioners during short-term rises in electricity price. The overall effect is less abundance in transmission and distribution lines, and greater usage of generators, leading to reduce power prices.
The RELIABILITY issues
The RELIABILITY issue is the most essential point of consideration when referring to the electric grid, over the past 40 years there have been five huge blackouts only in USA .Those blackouts are occurring because of the automated switches slow response time, a nonexistence of computerized analyses, a bad visibility and a deficiency of situational responsiveness on the portion of grid operators. This issue of reliability has negative effects on different industry segments as plant creation, unpreserved food spoiling, traffic lights, and credit card dealings and so on. So the consequences of even a short local grid blackout could charge millions of dollars.