Here is a list of some of the important advantages of using Smart Grids −

• Improved Reliability and Resiliency
• Integration of Renewable Energy Resources
• High Energy Efficiency
• Reduced Grid Operation Costs
• Active Consumer Involvement
• Improved Security
• Environmental Sustainability
• Improved Grid Flexibility

Let’s discuss each of these advantages in detail.

Improved Reliability and Resiliency

One of the most important needs and benefits of smart grid is improved reliability and resiliency of the power system. The need and benefit of enhanced reliability and resiliency of smart grid are explained here.

It is desirable that the electric grid must not be affected easily by weather conditions, equipment failure, and any other kind of disturbances. This can be possible only when the electric grid has enhanced reliability and resiliency of the power supply.

The improved reliability and resiliency of smart grids minimize the effect of poor weather conditions, equipment failure, and other disturbances on the power supply. Smart grid provides real-time monitoring of the energy system to detect and isolate the faults rapidly. This helps in minimizing the power outages.

Integration of Renewable Energy Resources

Smart grids merge renewable energy resources with the electric grid. This results in effective management of supply and demand and eliminate the dependence on the centralized power generation and fossil fuels.

The integration of renewable energy resources into the electric grid is needed for implementing a diverse energy sources, decentralized power generation, minimize the dependency on fossil fuels, reduce the greenhouse emissions, etc.

Additionally, the integration of renewable energy resources helps in maintaining a balance between supply and demand and create a stable and sustainable energy system.

Energy Efficiency

Smart grids play an important role in improving the energy efficiency of the electric grid. For this, smart grid uses several demand response programs to educate consumers. So that they can regulate their energy consumption during peak demand period. This reduces the burden on the grid and eliminates the requirement of additional power plants.

Smart grids use advanced metering infrastructure and digital communication technologies that enable both utility companies and consumers to know the energy consumption pattern and optimize the utilization to improve energy efficiency.

Reduced Grid Operation Costs

Smart grids play a vital role in minimizing the cost involved in grid operation. It uses automation systems to reduce the need of human operators for manual operation. Further, the automated grid operation results in improved operational efficiency and reduced energy loss.

Smart grids provide facilities for real-time monitoring and predictive maintenance that help in preventing grid failures and power outages.

Active Consumer Involvement

Consumers are essential elements in the electric grid, they play an important role in improving the grid efficiency and reliability. Smart grid provides a user-friendly consumer engagement platform to involve the consumers in grid operation activities and make them informed about their energy consumption.

Consumers are also educated to use smart appliances to reduce their energy consumption and bill amount.

Improved Security

Security is one of the most fundamental need of smart grid. Smart grid uses several advanced physical and cyber security measures to protect the grid against unauthorized access. This need of smart grid is very important for ensuring the integrity of the electric grid.

In the case of smart grids, the enhanced security of the grid protects the consumer data collected by the smart meters and other monitoring devices. This practice helps in maintaining consumer’s trust on the system.

Environmental Sustainability

Smart grids are required for creating a sustainable environment for better future. Smart grids allow us to integrate renewable energy sources into the grid and reduce the carbon footprint.

Smart grids also create a sustainable energy system through several other practices. Overall, the smart grid is needed for creating a clean and sustainable energy system.

Improved Grid Flexibility

A traditional electric grid is quite rigid in several aspects. So, we need smart grids to provide flexibility. This is accomplished by integrating digital technologies into the grid.

Also, smart grids are modular in nature and hence easy to scale to meet the consumer demands. Along with their flexibility, smart grids are also known for their efficiency and robustness.

Conclusion

Smart grids are needed for addressing several issues like reliability, efficiency, consumer engagement, sustainability, economic growth, etc. All these benefits do not exist in the traditional electric grid. Therefore, smart grids are required for making all these benefits practical in the energy system.