Smart grids can save GCC $10bn

Christian von Tschirschky, principal, AT Kearney Middle East.

Smart metering and smart grids can save GCC utilities and governments US$5-10bn according to a report by AT Kearney.

Based on analysis of the energy sector in this region, the firm believes the GCC to be on the forefront of the smart grid revolution.

“Smart Meters are the technology of the future to measure real-time-electricity which enable consumers for the first time to control and monitor their electricity consumption via the internet or home displays. Pilots have shown that ‘consumption aware’ and ‘informed customers’ reduce their consumption by around 10per cent,” said Christian von Tschirschky, principal, AT Kearney Middle East.

Smart grids allow direct intervention of a utility vompany into selected consumers’ consumption during peak times.
At A.T. Kearney we estimate that GCC utilities and governments can avoid investments of around 5-10bn USD into peak load capacities, up until 2020. In addition they can potentially reduce the peak load demand by 10-20 percent through effective customer behavior changes, that evolve with smart metering implementation and the usage of remote control of air conditioning systems,” added von Tschirschky.

The UAE and Saudi Arabia are currently piloting smart grid projects and it is expected that these countries will adopt the technology quickly.

“The investments in smart metering will pay-off, considering the cost reduction in operations and the reduced investment demand for additional power plants. It is an efficient way of managing and securing electricity supply as well as the future contributions from alternative energy,” concluded von Tschirschky.
 

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