The Smart Grid: An Estimation of the Energy and CO2 Benefits

This report articulates nine mechanisms by which the smart grid can reduce energy use and carbon
impacts associated with electricity generation and delivery. The quantitative estimates of potential
reductions in electricity sector energy and associated CO2 emissions presented are based on a survey of
published results and simple analyses. This report does not attempt to justify the cost effectiveness of the
smart grid, which to date has been based primarily upon the twin pillars of cost-effective operation and
improved reliability. Rather, it attempts to quantify the additional energy and CO2 emission benefits
inherent in the smart grid’s potential contribution to the nation’s goal of mitigating climate change by
reducing the carbon footprint of the electric power system.