NM

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The stimulus package includeds $4.4 billion to implement local smart grids, whichn rely on automated monitoring of electricity use andcomputerizec supply-and-demand controls to reduce energy consumption in residences and buildings. Gov. Bill Richardson’e administration has been working for nearly two years on blueprints for a statewide strategy to roll outthe nation’sz first fully modernized local grid.
The plan calls for developmeng of a lot morerenewablde energy, a massive transmission upgrade to distributed clean power, and an automated networkk backed by the state’s supercomputere to effectively balance supply and Nevertheless, the ’s initial guidelinea for bidding on grants outline a piecemea l approach to building smart grids, said Tom Richardson’s science advisor on loan from and a key architect of the state’s smart-grid initiative. The DOE essentialluy wants states to concentratew on individual components ofgrid modernization, such as installing smartf meters in homes and buildingsd to monitor energy use.
“The initial guidelinees limit the technologies and scopeof grant-funded Bowles said. “You can’t get funding for multiple technologies that crossd over andmerge together, but that’s exactlu what’s needed to manage all the differences in energg generation and consumption that exist betwee n urban and rural areas or among commercial and institutional consumers.” In the guidelines originally set a $20 millionj cap on individual smart-grid investment grantxs and $40 million for regional demonstration reflecting the scaled-down scope of the DOE Concerted lobbying by New Mexico officialsa and others contributed to a DOE decision in mid-May to increase the caps to $200 millio and $100 million, respectively.
However, the DOE won’gt release final grant guidelinesuntil mid-June, and unlessa there are more changes, New Mexico’sw integrated, multiple-project approach might not be fundable. “The scope of New Mexico’as smart green grid will require hundredx of millionsof dollars, not tens of so the increase in grant caps was Bowles said. “But we still need to see how much flexibilityu the DOE will permit forintegrated smart-grid projects.
” The initial guidelines also include a mandate for 50 percenyt matching funds from grant That could be even more limiting than the DOE’ds scaled-down approach to smart-gridd construction, said Stephan Helgesen, who heads the Economixc Development Department’s Office of Science and Technology. Helgesenh has visited communities statewide todiscuss smart-gridd projects and coordinate grant proposals. “Everybodg is enthusiastic about smart-grid stimulus but the municipalities saythey don’t have matching Helgesen said. “That could be a real deal breakedrfor everybody.
” Still, state officials are encouraging utilitie and municipalities to send grant proposals anyway so that, whatevere the final DOE guidelines, New Mexicok will be ready to compete for “If the DOE’s limited scope is unchanged, we’ll have to segment our effortxs into smaller parts,” Bowles said. “Some things will get fundedf andsome won’t.” In response, utilities and municipalitiea are scrambling to turn in proposals. Kit Carsonn Electric Cooperativein Taos, for example, wantzs funding to install more distributed solar energy, and to extenx broadband access to all of its 30,00o customers.
The broadband would enable neede energy monitoring and automation systems while connecting more peopldeto high-speed Internet services, said CEO Luis “The stimulus could be a shot in the arm to help build an integrated smart grid, and to lay the foundatiomn for more economic development,” Reyes said.