Telecom Carriers Want to Work with Electric Utilities on a Smart Grid

"The communications technology essential to the success of Smart Grid exists today and is available from experienced companies that operate nationwide broadband networks,” Verizon said. “Established communications providers are experienced at providing government and enterprise customers with managed services and are accustomed to the visibility and control such customers require when they rely upon a commercial provider for mission-critical services.”

"Commercial communications service providers have extensive experience meeting customer needs while optimally balancing the preceding considerations,” AT&T said. “Past and current experience abundantly demonstrates the ability of commercial communications service providers to deliver cost-effective communications solutions for the majority of the Smart Grid needs of the electric utility industry.” Wireline and wireless networks have evolved rapidly to meet subscriber needs, AT&T said, citing the movement from 2G to 3G to 4G in the wireless industry: “Commercial providers will bring this same ability to embrace revolutionary network changes to their work on the Smart Grid."

CTIA said wireless technologies will play a big role in the smart grid of the future, a point also made by AT&T and Verizon. DOE recognized “there is no ‘one-size-fits-all’ solution” in its request for information, CTIA said. “Nevertheless, as the RFI properly recognizes, integrated two-way, wireless communications have been identified as an essential component of Smart Grid implementation because such communications make possible the creation of an interactive, real time infrastructure.” The cost of upgrading the existing grid to a smart grid has been set as high as $1.5 trillion, CTIA observed. “Given the enormous expense associated with implementation of the Smart Grid, it is essential to identify cost-effective solutions whenever possible."

Motorola recommended that, in light of security concerns, electric utilities separate “mission critical” communications needed to control their networks from “customer-facing” parts of a smart grid. “Communications and control for the generation and distribution functions would be deployed on a private network under the control of utilities,” Motorola recommended. “Automatic Meter Infrastructure functions that position every residential and industrial electric meter as a possible entry point into the system would be conducted over a commercial network, separated from the private internal system.” The operational requirements of utilities “should be the primary foundation for DOE decisions and recommendations to sister Federal agencies,” Motorola said.

The Edison Electric Institute (EEI), the main association for electric utilities, said no one solution will work for all its members. “For electric utilities to provide the level of service required in meeting customer expectations and to maintain safe and reliable operations, electric utilities must be able to utilize various communications technologies -- there is no magic solution,” EEI said. “This is appropriate given that utilities vary greatly in structure, geography, population/demographics, state/local regulations, and economics.” EEI said its members already make extensive use of commercial networks. “Commercial networks however are not typically designed or built to provide the levels of reliability, survivability, availability, and/or coverage that are necessary to meet utility communications needs, particularly in times of emergency” and this is particularly true of wireless networks, EEI said. “It is important for the Department to understand and make clear in its analysis that electric utilities make their decisions on communications networks based on their obligations to provide safe and reliable service and not solely based on rate of return incentives, as some would erroneously argue."

EEI and other commenters said electric utilities may need significant amounts of spectrum to manage their networks. EEI said utilities need access to 30 MHz of dedicated 1.8 GHz spectrum as projected by the Utilities Telecom Council (UTC). “This amount of spectrum (30 MHz) is needed to support wireless communications at the Tier 2 distribution backhaul layer of the network,” UTC said in its comments. “This frequency range (below 2 GHz) is needed in order to provide favorable propagation characteristics to cover wide areas and support high-capacity backhaul point-to-point links.” The comments filed are at http://www.gc.energy.gov/1592.htm.