MPSC Chairman: Technology Driving Transformation of Electric Smart Grid

Contact: Judy Palnau (517) 241-3323

At the first electric smart grid symposium of its kind today in Dearborn, MPSC Chairman Orjiakor Isiogu said state regulators across the country are preparing to address the evolution of the traditional electric grid to an improved and intelligent electric grid.

The term "smart grid" refers to the process of integrating modern technology into the existing electrical power grid to improve reliability, power quality and efficiency. 

"Changing technologies will transform our current electric grid from a one-way delivery system of electrons to a two-way intelligent and interactive grid," he said.  "The smart grid carries the promise of significant benefits for utility customers.  We are all better off if we can obtain services more reliably, more economically, with better price options, while using less energy and emitting fewer pollutants in the process."

Chairman Isiogu also noted that Michigan, as the automotive world leader, is well-suited to capitalize on PEV technology.  "I believe Michigan's strength as a manufacturing base gives it a competitive edge, and I see great promise in the electric car," he said.  "But vehicle electrification on a large scale will require upgrades to our infrastructure, in other words, a smart -- or at least smarter -- grid."

Citing the role that state regulators have, Isiogu said the challenge is to embrace the attributes of power quality, system reliability, and improved power delivery that the smart grid promises, but always in the most financially responsible way for ratepayers.  "Smart grid investments must be sound, prudent and have clear benefits for everyone who receives electricity from the grid," he said.  "In addition, the goal is to find a proper balance that enables a promising new technology to contribute to the public good, but that does not endanger our basic sense of personal security or liberty.  With that in mind, here in Michigan we have taken a cautious and measured approach."

Both Consumers Energy Company and DTE Energy have advanced metering infrastructure (AMI) pilot programs under way in Michigan.  "My fellow Commissioners and I will be carefully reviewing the results of the smart grid pilot programs, with a careful eye on how they affect customers," Isiogu added.

The three-day Smart Grid Symposium is hosted by the Michigan Public Service Commission (MPSC) and the Institute of Public Utilities at Michigan State University.  It is focusing on national policy developments on smart grid, exploring the potential of smart meters, personal privacy, cyber security and more.  Attendees include regulatory commissioners and commission staff, federal and state policy makers, consumer and environmental advocates, energy companies and suppliers, consultants and analysts, and others interested in smart grid issues. 

The symposium was made possible by a grant by the National Association of Regulatory Utility Commissioners (NARUC).

The MPSC is an agency within the Department of Licensing and Regulatory Affairs.