Customers are a key part of the electric power system. They have access to new information about electricity usage, pricing and incentives that in turn better motivates purchasing patterns in behavior. This leads to a more efficient and reliable operation of the overall grid.

See Smart Grid Principal Characteristics: Enables Active Participation By Consumers

A smart grid enables power generation and distribution from multiple and widely dispersed distributed sources such as solar power system and wind turbines which create more efficient integration of renewable energy resources and other new technologies. Storage technologies can also be integrated into the electric power system to flexibly store electric power for later use in batteries, flywheels, super capacitors, and any other emerging storage technologies.

See Smart Grid Principal Characteristics: Accommodates All Generation And Storage Options

A smart grid enables new products, services, and markets by linking buyers and sellers together - from the consumer to the Regional Transmission Organization. It braces the creation of new electricity markets, from the energy management system at home to technologies that allow consumers and third parties to bid their energy resources into the electricity market.


See Smart Grid Principal Characteristics: Enables New Products, Services, and Markets

A smart grid provides power quality for the digital economy by helping to monitor, diagnose, and respond to power quality deficiencies. This dramatically reduces customers' losses due to poor power quality.

See Smart Grid Principal Charateristics: Provides Power Quality For The Digital Economy

A smart grid optimizes asset utilization and enables efficient operation by improving load factors, lowering system losses, and managing outages or faults in an enhanced manner.

See Smart Grid Principal Charateristics: Optimizes Asset Utilization and Operates Efficiently

A smart grid performs continuous self-assessments to detect and analyze issues, takes corrective actions to mitigate them and rapidly restores grid components or network sections as necessary. These digital technologies can also handle problems that are too large or quick for human intervention.


See A Systems View of the Modern Grid - Appendix A1: Self-Heals v2.0

A smart grid protects against outside forces by incorporating a system-wide solution that reduces physical and cyber vulnerabilities and enables fast recovery from disruptions.

See Smart Grid Principal Charateristics: Operates Resiliently Against Attack And Natural Disaster