Smart Grid Oregon Proposal to Oregon InC Key Industry Innovation
Initiatives
June, 2012
An Oregon InC funding proposal for Smart Grid Oregon, a 501(c)(6) trade association with nearly 40 diverse dues paying members, formed to
foster economic development in Oregon by taking the lead in applying smart grid technologies and strategies, first in Oregon, and throughout
the Northwest.
Electric grids throughout the U.S. and the world will require over $1 trillion in investments over the next several years to meet the requirements of
infrastructure stability and the demands of grid modernization. As a demonstrated leader in Smart Grid design and implementation, Oregon will
attract companies looking to do business in this field, not unlike what has happened in the fields of renewable resources and electric vehicles.
These companies are high-tech enterprises focused on digital technologies that fit well within Oregon's industrial profile, and will bring with them
well paid, permanent Oregon jobs that align with the education and training provided by Oregon’s top-tier university and collegiate system.
Smart Grid Oregon (SGO) formed in 2010 to spearhead smart grid development in Oregon to illustrate our State’s premier leadership in the
development of smart grid technology. A key goal is to promote the deployment of one of the most advanced smart grid infrastructures in the
nation and throughout the world by being a pioneer in this field. Additionally, SGO formed because smart grid technology is essential in achieving a
well-functioning and super-energy efficient future energy system. Many of the goals of the Governor’s Action Plan cannot be met without the
implementation of smart grid technologies, and the work Smart Grid Oregon is currently doing directly contributes to and builds towards that
vision.
Smart Grid Oregon was developed by and operates with the support of volunteers, in-kind contributions from the private sector, and internships
from PSU funded by the Miller foundation. Yet in a very short time it has gained traction as a important source of sound, reputable information
about the Smart Grid. We have submitted well-received comments to the Oregon Public Utilities Commission on its Smart Grid docket, UM1460,
and have provided thoughtful panel discussions on issues around smart grid development and deployment that were consistently well attended in
the last two years.
SGO is the only state-wide smart grid entity like it that we know of. Further, no other organization in Oregon is wholly focused on the Smart Grid,
and how it enables the needed integration of energy efficiency, renewable resources, and electric vehicles into a single, optimum smart grid. For
example, the Northwest Power and Conservation Council, Renewable Northwest Project, and the Citizens Utility Board, all of whom focus on
certain parts the electric system are members of SGO, and senior people from those organizations sit of SGO's board. In addition, SGO works
closely with the Energy Trust of Oregon.
An infusion of significant funding would accelerate the progress we have already made and allow Smart Grid Oregon to effectively stimulate
economic development by accelerating smart grid adoption and industry development in the state and region. Our funding request will go towards:
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Building the smart grid industry in the state through conferences, meetings, workshops, networking events and outreach to maximize
synergies between the smart grid technology companies.
Contributing to policy that advances the development and deployment of the Smart Grid in our state.
Attracting smart grid companies and research facilities to Oregon and supporting start-up smart grid organizations.
Continuing to build relationships between smart grid companies and the utilities, the energy efficiency community, the renewable energy
community, the electric vehicle community, universities, and other key industries, such as software and high technology. It is these
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relationships—and the facilitation of communication and consensus among them--that will increase business opportunities for all the
players.
Implementing Smart Grid Oregon's Roadmap to a Smarter Grid, which includes joint efforts with stakeholders, including utilities,
recommendations to Oregon's legislature, and continued comments to the Oregon Public utilities Commission.
Designing and implementing market transformation strategies to make Oregon a leader in adopting smart grid technologies. This is key
to attracting and growing our smart grid industry and involves identifying barriers to progress and mitigating them.
Contributing to the innovation agenda for Oregon’s universities, utilities and companies to further new technology and product
development.
Stimulating smart grid investments with small demonstration grants to Oregon companies, utilities, NGOs, and universities.
Planning and securing other sources of on-going revenues to insure sustainability of Smart Grid Oregon as we carry out our mission
Context
In a real sense smart grid is the "brain center" of Oregon's- and the worlds- energy future. It is the intersection of high technology and an aging,
analog electrical grid system that is long overdue for modernization. Anyone from the modern communications or industrial control industries who
takes a hard look at the current electric system sees dozens of potential ways to improve system efficiency and control through the application of
today’s high technology capabilities.
Smart Grid sits squarely in the middle of Clean Technology and Renewable Energy and High Technology, two of the industries designated by the
Oregon Innovation Council as key to Oregon's future. Furthermore, Smart Grid technologies and strategies will play a key role in the
implementation of the Governor’s draft 10-Year Energy Action Plan just released (June 5, 2012) as is apparent from some of the excerpts of the
plan below:
“The development and application of new technologies and innovations are vital to strengthening Oregon’s energy leadership over the
coming decade. Levels of investment in this area have long been incommensurate with the magnitude of our energy challenges and
opportunities. Addressing this gap requires closer coordination between organizations involved in such activities today, as well as focused
efforts on areas generating the greatest net benefits for Oregon. Toward these ends, the state will leverage its existing infrastructure,
such as the Oregon Innovation Council, in collaboration with relevant organizations and stakeholders, both public and private, to develop
a detailed proposal that addresses:
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An overall statewide approach to coordinating and leveraging public and private investment in energy technology research,
development, demonstration, and deployment (RD3);
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Bolsters energy efficiency and demand response research and development to meet all future load growth with next-generation
technologies and approaches (State Energy Goal One);
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Minimizes the cost of integrating the large amounts of intermittent renewable energy resources that will be necessary to meet
both statutory obligations and growing consumer demand (State Energy Goal Two); and
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Target activities to accelerate the deployment of intelligent transportation systems and electric vehicles, including potential
integration with grid modernizations initiatives (State Energy Goal Three).
“Oregon InC’s mission is to create jobs, create companies, and bring outside dollars to Oregon. Oregon InC accomplishes this mission by
harnessing private sector leadership through Oregon universities to commercialize cutting-edge research; revitalize established industries
and make them more competitive; help start-ups access capital; and provide Oregon businesses with access to otherwise out-of-reach
research and development labs and researchers.
“…the state will work with Oregon InC to: create an overall statewide approach to coordinating and leveraging public and private
investment in energy technology research, development, demonstration, and deployment (“RD3”); enhance energy efficiency and
demand response research and development to maintain a pipeline of the innovations necessary to meet future load growth with nextgeneration technologies and approaches; explore ways in which we can minimize the cost of integrating the large amounts of intermittent
renewable energy resources that will be necessary to meet statutory requirements and consumer demand; and target activities to
accelerate the deployment of intelligent transportation systems and electric vehicles, including potential integration with grid
modernization initiatives.”
Smart Grid technologies are critical to accomplishing each of the above four bulleted items and additional benefits as outlined below:
1. Smart Grid investments in the U.S. and the world in the next decade or so are estimated to be $600 Billion and $400 Billion, respectively. Smart
Grid investments in the U.S., many stimulated by over $10 billion in shared private funds and ARRA investments, have been funded by grants and
matched by ratepayer commitments and the private sector – e.g., California utilities are investing multiple billions in smart meters and AMI without
Federal funding. The $178 million Northwest Regional Smart Grid Demonstration Project is the largest Regional Demonstration project in the US. In
all, over $400 million in smart grid investments are currently underway in the Pacific Northwest.
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In a 2009 Report by the international consultancy KEMA, the study projected that a potential disbursement of $16 billion in Smart Grid incentives
would act as a catalyst in driving associated Smart Grid projects worth $64 billion. The impact of these projects would result in the direct creation
of approximately 280,000 new positions across various categories over the period. Furthermore, the study estimated that nearly 140,000 new
direct jobs would persist beyond the Smart Grid deployment as permanent, on-going high-value positions.
The $178 million Regional Smart Grid Demonstration Project is generating an estimated 1500 jobs in the region over its 2010-2014 duration: many
of those jobs in Oregon.
Even with all of this activity Smart Grid adoption is still in its infancy. If Oregon were to become an early adopter of smart grid systems, we would
envision an influx of high-tech hardware/software smart grid developers and jobs which would complement the software development and high
technology manufacturing clusters already in place in Oregon. This is similar to what has happened with renewable resource developers and
industries associated with electric vehicles. Company's relocating to Oregon would bring high-paying jobs.
Oregon already has a cluster of companies operating in the smart grid space. Among them are BPL Global, Veris Industries, Obvius, Deck
Monitoring , Advanced Energy, PowerMand, Air Advice, ESA, FirstPoint, Energy Connect, and Eaton's Portland Power Products Center. Other Smart
Grid company's working in Oregon include Schweitzer Engineering Labs, Bridge Energy Group, Itron, Elster, and Alstrom Grid, a French company
focused on Smart Grid bulk power operations. We have identified over 30 companies in the state and region engaged in smart metering; over 30
companies and organizations engaged in transmission and market operations and analysis; and over 100 others engaged in some form of
integration software and hardware aimed at integrating demand response, renewable resources and electric vehicles into the grid. In the Region,
BPA serves 150 customers ranging from Rural Electric Cooperatives (57) to Municipal owned utilities (42), Public Utility Districts (29) and various
other Federal agencies, investor-owned utilities, major industrial customers, tribal utilities (2) and one port district. Some 419 distinct entities
purchase transmission capacity from the BPA system. All of these entities are significant participants in smart grid adoption.
2. Most of the energy efficiency attained in Oregon has been captured by improving the efficiency of widgets--better appliances, better insulated
buildings, etc. Much of the efficiency that is yet to be captured is related to load control. Many buildings have thermostats that aren't set, and
buildings operate as if occupied all of the time, and provide too much or not enough heating and cooling much of the time the building is occupied.
We need to capture these savings to meet the Governor's ten-year goal of serving all new loads with energy efficiency and renewable resources.
Smart Grid technology enables grid-wide control of these loads without adversely affecting amenity. In fact, amenity levels will be improved by
controlling heating and cooling to where it is wanted and how much is wanted by building occupants. A local workforce of trades people will be
employed in this area. Virtually all of the 1,000 or more Trade Allies of the Energy Trust of Oregon would be candidates for these jobs.
Smart grid technologies, combined with new rate and business structures for electricity, offer the potential for combining energy efficiency for
buildings with storage for excess wind resources, demand management to reduce peak loads, more effective monitoring and verification of energy
efficiency and other ancillary services that all have value to the grid operations and to those providing them. The outlined Building Innovation Lab
and Cool Schools Initiatives are both opportunities to demonstrate and implement smart grid technologies that greatly help meet the state’s goals.
3. Renewable energy's future is highly dependent on the modernization of the electrical grid. It is difficult to integrate a large amount of renewable
resources, because of the resource's intermittency. As the intermittent resources grow, the harder it is to integrate them. The Smart Grid can help
to efficiently integrate wind and solar with demand and other generation capacities while maintaining low-cost, reliable electric service. More
renewable resources can be integrated. Without Smart Grid, integration of additional renewable resources will be problematic. The renewable
resources industry has brought investment and jobs to Oregon; Smart Grid would enable that flow to continue uninterrupted.
4. Electric vehicles (EV) , electric water heaters, and commercial grade freezers are also key elements of the Smart Grid, in that they can alleviate
the issues associated with simultaneous high wind and high water energy production. For example, instead of shutting down wind plants at night,
that renewable power should be used to charge EVs when the vehicles are not in use. The end result is that EVs are charged with very low-cost,
environmentally conscious power—appealing to the consumer--and wind developers operate without interruption and receive production tax
credits—appealing to industry. This is a win for all players, and a boost for the Oregon economy. When EVs and buildings are used as a component
of the electric grid, money flows into Oregon that would otherwise be spent on out-of-state resources.
The Oct 28, 2010, Oregon Global Warming Commission Report “Interim Roadmap to 2020” includes a definite acknowledgement of Smart Grid
importance:
“Smart Grid: Oregon State agencies, utilities and University disciplines should prioritize, deploy and demonstrate Smart Grid technologies
and associated information and applications that result in a future utility system that meets end‐user needs more effectively. Three broad
areas for emphasis are:
(a) distribution/transmission system improvements and reconfigurations, including distribution‐transmission interface;
(b) underlying data/information systems; and
(c) introduction of “Smart Grid‐capable” metering, appliances, V2G vehicle and infrastructure designs and other interactive elements of
a fully‐realized system.
Smart Grid improvements that facilitate integration of variable renewable resources, energy efficiency, and taking advantage of
opportunities to tap the demand side to meet needs for capacity and flexibility will be emphasized. This future system should encourage
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and support greater end‐user energy use control while also addressing privacy, security, access, equity, and technical considerations.
State incentive and regulatory policies for Smart Grid development, planning, deployment, and reporting reflects this prioritization and
these considerations.”
Clearly, the state recognizes the important role of Smart Grid in the future. Smart Grid Oregon can provide a key element in realizing the OGWC
Roadmap goals.
Smart Grid Oregon Proposal
SGO will be an Organization that will work directly with business, promote development of technology, coordinate projects with state, utilities and
businesses and act as Oregon’s guide as we develop our smart grid infrastructure. Smart Grid Oregon has established itself with volunteer labor
and dedicated board members. We have developed a dues-paying membership of influential companies and organizations. Our membership and
our board make up a diverse list of academic, industrial, utility, energy planners, and non-government organizations, all ready to assist in bringing
the Smart Grid to reality in Oregon and the region.
We now need an infusion of funds to accelerate our progress. We have been approached by a number of organizations with great ideas, but we are
limited by lack of funds required to work on them. For instance, more funding would enable SGO to :
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Hire an Executive Director and Innovation (or research) Director to lead implementation of the board's agenda.
Develop the industry by creating a directory of smart grid companies; educating stakeholders about standards; organizing industry
activities and conferences; and more..
Attract new business to Oregon and assisting Oregon firms in growth.
Continue to develop and implement a technology, business and policy Roadmap to accelerate smart grid adoption and generate an
attractive market for smart grid companies and organizations.
Work with the state and regional research and implementation organizations, particularly, the Oregon University System and Oregon
BEST to help design and fund smart grid research commercialization.
Work with industry, non-profit energy agencies, and universities to fund strategic demonstration projects.
Parlay all of the above into concrete initiatives (such as larger pilot projects) that will help pave the road to continued and deeper smart
grid adoption.
Market Oregon successes broadly through national media to turn attention towards Oregon.
Use OR InC funding to attract and match other sources of funding from government and private sources.
1) Return on Investment
The Smart Grid will happen as a matter of need. The country's electric grid is growing old, and is in need of modernization to lower costs of power
and to improve stability and efficiency of the grid. The investments required to make it happen will be upwards of $1 trillion worldwide. A 2011
EPRI Report estimated that over the next 20 years, somewhere between $338-446 Billion will need to be invested to modernize the US electrical
grid. They estimate benefits at the low end will be in excess of $1 Trillion. Assuming our region receives a pro rata of 5% of this investment and
return, we could see $20 billion invested and a return in value of $65 billion or more. One of our goals is to make these numbers significantly
higher for the state and region.
If Oregon steps up now, it could become the leader, encouraging high-tech companies to locate offices in Oregon. As with electric vehicles and
renewable resources, a state doesn't need to be the largest market to attract investment; it can do so by being a fertile place to grow this kind of
high-tech business. Oregon has been in the vanguard of states doing energy efficiency on a large scale and for a greater investment in renewable
resource and electric vehicles. With a consumer base interested in programs that optimize their power consumption, a robust community of
stakeholders already invested in Smart Grid development, and the priorities set by our government leadership, Oregon is well placed to build on
the successes of existing energy sectors to pioneer that same development for smart grid..
2) Collaboration:
SGO has developed a Smart Grid Roadmap designed to foster more rapid adoption of Smart Grid in Oregon and in the region. The overall goal of
the Roadmap is to create jobs through early adoption of smart grid in Oregon. Ultimately, adoption will depend on the legislature, the Oregon
Public Utility Commission, and utilities, perhaps affiliated with third party vendors.
The Roadmap project design is to engage all stakeholder groups in the state, many of whom do not follow what is happening in the field of electric
grid modernization, and thus, do not yet know of the benefits they would derive from a smarter grid. We are working with stakeholders to help
them envision the long-term outcomes for grid modernization and to learn what special constraints some stakeholders may face. With these
stakeholders we are developing the roadmap specifics related to technology, policy and regulatory needs, business decision, and other issues. that
would achieve the Roadmap's objectives. The stakeholder groups include the traditional actors in the energy business such as PGE, Energy Trust of
Oregon, Citizens’ Utility Board, Northwest Energy Efficiency Alliance, and organizations that implement programs directly with customers, as well
as new influencers who have a stake in the future of the smart grid.
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3) Commercialization and Technology Insertion:
As stated by Kurt Yeager, the retired CEO of the Electric Power Research Institute and Executive Director of the Galvin Electricity Initiative, “The
business and job creation opportunities resulting from the smart grid transformation are only limited by our imagination. The greatest resulting
business opportunities will be created by entrepreneurial innovators, large and small, operating in a competitive free consumer service market.
This will ensure that all consumers have access to the most user-friendly and exciting tools and services for managing their energy usage. …Just as
the Internet has opened up an amazing array of consumer tools and services, the smart grid equivalent promises to be even more productive and
profitable for all stakeholders – including utilities. The Ciscos and IBMs are certainly well-positioned to provide many of these smart services, but so
are many other emerging smaller firms who can offer their specific products and services through retail providers such as Best Buy, for example,
who strongly encourage this open retail market transformation.”
There is a demonstrated demand for Smart Grid technology. Massive investments in the research, development and commercialization of this
technology are certain. We want Oregon to lead. SGO is already in discussions with the OUS system to influence the direction of their smart grid
research and implementations. By funding strategic demonstration projects, SGO can accelerate adoption of new smart grid technologies, business
models and methods.
Several of our members, including BPL Global, Veris Industries, and other Oregon based companies have products that will serve the Smart Grid.
Their products are selling at a faster rate as people gear up for the Smart Grid. The Northwest Smart Grid Demonstration Project, which involves
more than 60,000 metered customers and 100MW of managed generation and demand, is a pioneering project which offers the region an
opportunity to lead the rest of the world in realizing the potential of the smart grid. The Smart Grid will become a platform for innovation, and we
intend to promote entrepreneurial opportunities through partnership with Oregon’s research universities.
4) Economic Viability
SGO was not established with the intent of spending most of its effort in fund-raising, but rather, to accomplish the tasks outlined in its Roadmap.
SGO is sustainable in its current state as long as it can continue to rely on volunteer labor. Our dues paying members provide us a modest annual
source of revenues, but these will not be adequate to meet SGO's goals. We are confident that with OR InC funds we will dramatically increase our
membership, which has to date been recruited without any membership campaign other than word of mouth. There is a lot interest in Smart Grid
and a lot of money to be had in grants. We are confident that we can attract matching funds from other sources, including DOE national
laboratories and industrial customers working on Smart Grid applications.
Budget Discussion
SGO's budget estimate for 2013-2015
Budget Request: $2,115,000
SGO is already an established 501(c)(6) trade association with some membership revenues ($25,000/year and growing). But our current revenues
are inadequate to address the critical initiatives we believe are needed for the state to take advantage of smart grid economic opportunities
available to us. With the proposed funding from the Oregon Innovation Council’s Key Industry Innovation Initiative, we believe we could
significantly accelerate our efforts and the economic results for the state.
Requested funds would be used to hire an Executive Director, an Innovation Director and an administrator at market rates. The budget areas below
are estimates of what SGO thinks it will need to meet its goals for each of the identified initiative areas.
Industry Development - $400,000
Key tasks would include cataloguing the companies, utilities and organizations which are key to the development of new smart grid technologies,
methods, processes, and products in the state. An online directory would be one of the deliverables. We’ll survey the various stakeholder groups
to gain an understanding of specific services or initiatives that would best accelerate their growth in the state. The budget is primarily for staff
resources but would also include some contract assistance. SGO expects member dues of at least $50,000 over this period and they would be
applied largely to this member service focus.
Smart Grid Roadmap - $150,000
We’ve been working on this project for almost a year and estimate that required funding is $50,000 for Phase 1, most of which would be for the
Project Manager and another $250,000 or more for Phase 2. Since we have been actively recruiting funders for this project, we would expect to be
able to find some matching funding to stretch the state’s investment in the Roadmap Project . Our proposal asks for $150,000 from the Innovation
Council for this initiative and we expect to raise a similar amount from industry and other sources.
Market transformation - $250,000
The focus of market transformation will be more on the regional than the state level in order to scale demand and resources to make the area
more attractive for research, development and manufacturing of smart grid products. The more advanced and aggressive the regional market for
smart grid products, the more attractive. We plan to use the Oregon Innovation funding to attract an additional $250,000 to address the
transformation issues. These will largely be developed as part of the Roadmap Project and the funding of this initiative is for implementation of the
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action plan. We expect that to take the form of everything from promotional campaigns, working with manufacturers to embed ‘smarts’ in
appliances, working with trade allies to move equipment through distribution channels and with end users to have it adopted, working with
utilities to encourage consumers to access/request real-time energy use information, and providing roadmap for building codes and standards that
facilitate smart grid ready buildings.
Innovation Initiatives - $250,000
We envision much of the budget for this initiative to go to world class experts, working under SGO direction, to assist major institutions such as the
Oregon University System, OPUC, ETO, NEEA and others in developing their own roadmaps and plans for designing and implementing feasible
smart grid demonstration projects. Accelerating the process of demonstrations will require the ability to award planning grants to work on the
innovation designs. The goal is to embed smart grid knowledge and experienced planning in their on-going roles in the state and region. We believe
that we can generate an additional $250,000 in matching or supplemental funds for smart grid innovation from private and other government
sources.
Commercialization Demonstration Fund - $1,000,000
One of the major barriers to adoption of new technologies in the electrical grid is the understandable caution of utilities driven by its primary
mandates of reliable power and low rates. New technologies and business processes/models need to be demonstrated successfully before wide
adoption. The Commercialization Demonstration Fund will be able to identify key demonstrations that can be widely leveraged by private and
utility investments and fund collaborative demonstrations between utilities, companies, government, non-profits and universities to pave the way
for adoption of new smart grid capabilities
We anticipate asking for projects that can provide matching funding to stretch the Fund and build out the possibilities of commercial
demonstration.
Organizational Development - $100,000
With OR InC funding, we would have the resources to maintain a focused membership drive, upgrade our online presence and information services
and be able to identify and cultivate long-term sources of revenues and funding. Such funding sources could range from publications to
conferences and training workshops to smart grid planning contracts. The goals of this initiative would be to determine long-term strategic
positioning of SGO; determine staffing and resource needs; develop a plan for securing those resources and the implement it.
Timeline and Budget Summary
We intend to continue working on our priorities within our limited budget constraints. The timeline below includes what we will attempt to
accomplish on our own and with OR InC support.
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Industry Development – on-going member activities in 2013-14 and other TBD services in 2013-14; ongoing with milestones for an
industry directory by early 2014; completed survey of member needs by mid-2014;
Smart Grid Roadmap – Phase 1 completed by late 2013; Phase 2 completed by mid 2014; Phase 3 defined and completed by year end
2014
Market Transformation – start implementing based on Roadmap Phase 1 results in 1st half 2014; start implementing Phase 2 Roadmap in
2014
Innovation Initiatives – undertake discussions and proposal development in Q4 2013; initiate at least one project in 2 nd half 2013; one in
1st half 2014 and one in 2nd half 2014
Commercialization Demonstration Fund – develop and issue up to 4 RFPs in Q4 2013 and Q1 2014; fund and monitor projects in 2014 and
2015.
Organizational Development – initiate membership drive in Q1 2013; upgrade online presence in Q2 2013; develop long-term funding
plan in 2nd half 2013; execute long-term funding plan in 2014
In summary, we propose funding of $2.15 million that will leverage another $1,700,000 from other sources, broken down as follows:
Proposal Element
Industry Development
Smart Grid Roadmap
Innovation
Market Transformation
Proposal Request
$400,000
$150,000
$250,000
$250,000
Other Sources
$50,000
$150,000
$250,000
$250,000
Total Budget
$450,000
$300,000
$500,000
$500,000
Commercial Demo Fund
$1,000,000
$1,000,000
$2,000,000
$100,000
$0
$100,000
$2,150,000
$1,700,000
$3,850,000
Organizational
Development
Totals
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Target/Anticipated Results
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With ORinC. funding we anticipate that our dues paying membership will increase to 150-200 members by the end of 2014, and
generate revenues in the range of $100,000 per year. All of these members would be expected to benefit from participation in SGO
activities. As we gain more traction we expect even more memberships. Other anticipated targets and results for industry development
are:
a. Organize and conduct 6 industry meetings/events/receptions per year; 1 annual member meeting per year; one bi-annual
conference; 2 training workshops per year. Generate $30,000/year from events and sponsorships.
b. Complete and maintain a directory of smart grid industry organizations in the state and region by early 2014
c. Complete survey of members and incorporate recommendations into goals and activities by mid-2014
d. Help up to 10 existing companies secure additional contracts and remove barriers to expansion in the state
e. Help recruit up to 10 companies to re-locate in the state
f. Assist up to 10 start-ups in finding financing, staff, location and customers
We expect to foster the creation of numerous new family-wage jobs by 2016 in sectors including utilities, developers of software
controls, manufacturers of smart grid devices, consulting on and integrating smart grid projects and others (an early deliverable would
be an analysis and projection of job numbers). The goal is to make Oregon a major business smart grid cluster in the United States.
While the jobs will be in Oregon and the region, customers will be national and international as well as regional. Companies and
organizations benefiting from the SGO efforts will go beyond the membership and affect hundreds of firms in the state and region.
Our target is to make Oregon a leader in securing disproportionately more than the region's estimated 5% of the $338-446 Billion in
investment and 1 Trillion in benefits that the EPRI report projects for the United States as a whole. We intend to work to enable Oregon
and the Region to capture more than the $20 Billion in smart grid investment money and return more than the $65 Billion in value that
we are projected to receive over the next 20 years based on EPRI’s 2011 report (assuming pro rata distribution by population)..
More than 100 Oregon companies are involved in different aspects of smart grid technology. These companies are leaders in meters
and associated software, transmissions and system operations and market operations and analysis. We also have many other contacts
who have expressed interest in Oregon's movement toward Smart Grid. The Galvin Institute, US DOE, DOE's national laboratories in
Richland, WA, and Boulder Colorado have all expressed interest in working with SGO as it moves towards its goals. Each of these
organizations and others represent possible shared funding partners for Oregon based Smart Grid activities.
We will issue up to 4 request for proposals (RFPs) and issue awards for 2-4 (depending on amounts sought) for commercialization
demonstration projects.
We will further develop and expand our smart grid road map, and update it on an ongoing basis to coordinate with and work with
Oregon companies, Universities, agencies in Oregon and the many more we will be working with regionally and nationally.
We will work with the state and regional research and implementation organizations such as the Oregon University System, to help
design and fund smart grid research commercialization and work with industry, non-profit energy agencies and universities to fund
strategic demonstration projects. Our organization will help the state achieve the goals set forth in the Governor’s 10-Year Energy
Action Plan.
We will work to ensure that the technology utilized by the smart grid will result in energy savings of 15% for commercial, residential and
industrial loads, and thus, further reduce our dependence of fossil-fuel fired generators existing outside Oregon. The cumulative energy
savings from smart grid controls will exceed benefits from current practices by improving the efficiency of energy using equipment. In
addition, smart grid controls on industrial facilities and buildings will save on maintenance and repair of facilities
Other key Targets for SGO include:
a. Recruit and hire 3 staff members by Q4 2013 (Exec Dir, Innovation Dir, Admin)
b. Intervene with the OPUC on any Smart Grid related dockets or investigations
c. Work to influence the design and direction of the proposed Building Innovation Lab
d. Define and conduct regional and national visibilities campaigns for Oregon Smart grid companies and SGO
e. Identify or define a set of metrics to measure Oregon’s and the region’s smart grid adoption success in comparison to other
states and regions. Define specific programs to improve those ratings
f. Propose and secure at least 4 consulting contracts to work with key organizations such as ETO, NEEA, NWPCC, BPA or others to
design to assist in designing programs to accelerate smart grid adoption.
g. Coordinate with the PNW Regional Smart Grid Demonstration Project to assist in disseminated results of the project and
creating the environment to deploy the technology results in Oregon and the Region.
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