Smart City/Smart Utility Report: Shifting to a Digital Grid Takes Systemwide Grid Modernization
Modernization is the vehicle to the digital grid and is defined not only by analog conversion, embedded computing and communications but also by a holistic disruption of all aspects of the energy landscape. Business models, governance and societal interaction converge in a socio-technical future that has as much opportunity as risk. The dependence of all other industries on electricity further embodies the need for strategic approaches to ensure the digital grid’s success.
The implications of this converged state are far-reaching and can offer insight to utilities, new energy players and technology innovators.
Three paradigms begin to emerge that can provide clarity to achieving an effective grid modernization strategy:
- Systems Thinking.
- Managing Complexity.
- Service Orientation.