gridSMART® Project Overview
AEP’s gridSMART® initiative is designed to provide the advanced grid infrastructure needed to realize the many potential benefits of the smart grid. These technologies make the grid more efficient and empower our customers to use energy more efficiently. AEP is deploying smart grid technologies in several states, with regulatory support.
- AEP Ohio’s first phase of its gridSMART® demonstration project deployed a comprehensive suite of innovative smart grid technologies on 80 circuits serving 132,000 customers in Central Ohio. The $150 million project was funded through a $75 million federal grant, cost recovery support from the Public Utilities Commission of Ohio and in-kind vendor contributions. AEP Ohio has proposed to extend gridSMART® with a Phase 2 deployment that will include Advanced Metering Infrastructure (AMI) for approximately 894,000 customers, Distribution Automation Circuit Reconfiguration (DACR) for approximately 250 priority circuits, and VVO for approximately 80 circuits. The company is proposing to recover the $295 million project cost over four years.
- AEP Texas has completed installation of a 1 million meter smart grid network. The $308 million project is being recovered through an approved 11-year regulatory surcharge. The company is also deploying DACR on 15 circuits.
- Indiana Michigan Power (I&M) has deployed a smart grid network to approximately 10,000 customers. The $7 million project was funded through a settlement agreement approved by the Indiana Utility Regulatory Commission. I&M has installed VVO on nine circuits and received approval for its use as an energy efficiency program through filings in Indiana and Michigan. I&M is upgrading DACR on 11 circuits and installing it on 11 additional circuits.
- Public Service Company of Oklahoma’s (PSO) initial gridSMART® project included approximately 31,000 customers with AMI, 14,000 of whom are served on 13 circuits equipped with advanced grid management technologies, such as VVO and DACR. The project was financed through an $8.75 million American Reinvestment and Recovery Act low-interest loan from the Oklahoma Department of Commerce, along with $2 million in annual revenues approved by the Oklahoma Corporation Commission (OCC). In January 2014, PSO filed an application with the OCC to broaden the scope of its AMI deployment to cover its entire 30,000-square-mile service territory for its remaining approximately 520,000 customers over three years. The timing for the completion of this approximately $135 million project could change pending the regulatory review process.
- Kentucky Power Company is deploying advanced grid technology on approximately 30 circuits. The company is also installing distribution Supervisory Control and Data Acquisition (SCADA) on these circuits to provide greater visibility for dispatchers and to allow for the remote control of equipment. The existing technology investment is expected to be recovered in customer rates.
- Appalachian Power Company (APCo) has installed three circuits with DACR and is installing the technology on four more circuits. APCo is also upgrading some circuits with SCADA. APCo was the first utility in North America to deploy a 1-megawatt-scale sodium sulfur (NaS) battery at its Chemical Station in Charleston, W.Va., and has since deployed another 2-MW battery at Balls Gap Station near Milton, W.Va.
- Southwestern Electric Power Company (SWEPCo) has DACR technology on two circuits, is upgrading the technology on 14 circuits, and is installing the technology on an additional three circuits.