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Colorado recieves $38 million for smart grid, amid looming concerns
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Fort Collins plugging into the Smart Grid.
Colorado will receive $38 million statewide in grants from the $3.4 billion President Obama awarded Tuesday nationwide to modernize America's power infrastructure.
Fort Collins, Loveland, Longmont, and Fountain were awarded $18.1 million to help fund projects ranging from hydro-power development to installation of advanced metering infrastructure (AMI). Fort Collins, which received the largest share of the money, $15.4 million, is planing to install smart meters in every home and business in the city. The planned system will cost a total of $21 million. City officials are still considering how much of the grant money will be used for the project and how the remaining cost will be covered.
Smart meters have been getting a lot of attention recently as utility companies all over the nation have been starting pilot projects. Among the relative successes, like the one in Boulder, the smart meters have had some critiques. A big concern for many consumers is the cost. For example, Houston based Center Point Energy, who received $200 million in smart grid grant money from President Obama , in one of their pilot studies raised their electricity rates, costing customers an extra $3.25 per month, totaling almost $1 billion over a decade. A similar situation might occur in Fort Collins, where rates are increased to pay for the smart meters, which cost anywhere from $250 to $500 per meter. Conversely, although rates are increased, consumers might actually see a net decrease in their power bills due conserved use. In another pilot study in Washington, consumers slashed their bills by 15% just by letting the utility company control when they used their high-power appliances, such as dishwashers and clothes dryers.
Another concern about smart meters is the sacrifice of personal privacy. The smart meters have benefits like giving up hour by hour consumption rates, but this kind of technology can also translate to cybersecurity risks. AMI technology allows for detailed information regarding a person's daily home life to be ascertained, such as when they eat or sleep, and if they are at home or not. Although you may be able to turn on the heat online before returning home from a skiing weekend or access your consumption data to see of your kids are playing video games, measures have to be considered to protect that information.
Many Coloradoans seem the see the technology and the initiative to use it as a step in the right direction. President Obama compared it in one statement to the creation of the highway system in the 50's, something that will revolutionize the American lifestyle. Fort Collins City Manager Darin Atteberry calls the project "nothing but good news", but comments from residents concerning the issue in Fort Collins show a different perspective. Click below to see how they feel.
For more info: www.coloradoan.com/article/20091028/NEWS01/910280341/1002/CUSTOMERSERVICE02
Photo: Fort Collins, 2005 by gregor_y on flickr
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