U.S. Secretary of Energy Visits PECO & Awards $200 Million In Smart Grid Funding

U.S. Secretary of Energy Dr. Steven Chu came to Philadelphia this week to announce a $200 million stimulus award to PECO for smart electric grid projects.

One of only six utilities in the country to receive major funding, the grant will help customers save more than $1.5 billion in energy costs and bring the equivalent of about 4,300 jobs to the Greater Philadelphia region.

The stimulus grant will allow for faster and wider smart-grid deployment at a lower cost for PECO customers. PECO plans to deploy smart meters for all 1.6 million customers in 10 years, accelerating universal meter deployment by 5 years as a result of the grant.

One of the largest single investments in company history, the overall project is estimated to cost up to $650 million.

By creating a two-way information system, the new “smart grid / smart meter” system will improve local electric service reliability and also help advance use of renewable energy sources.

This interactive technology will allow customers to better understand how they use and conserve energy, save money and help the environment.

With “intelligent” technology upgrades, PECO’s system will essentially be able to identify and correct certain system problems before they affect PECO customers.

“What this is about,” said Secretary Chu, “is about consumers saving money by being able to monitor how they use energy in real time and developing better habits. It’s about creating jobs, and a much more reliable and modern electrical system. PECO had a great proposal, and the grant is well deserved.”

“This is a big win for our customers and an exciting day for PECO,” said Denis O’Brien, PECO president and CEO. “The DOE decision reinforces PECO’s position among utilities across the nation as an environmental and technology leader. We are excited to roll-out the smart meter/smart grid technology to benefit our customers and the communities we serve.”

PECO’s project also includes partnerships with the Philadelphia Housing Authority, Drexel University and Viridity Energy, Liberty Property Trust, Ben Franklin Technology Partners, the Delaware Valley Regional Planning Commission, and the University of Pennsylvania.

The initiative also supports the utility’s ongoing environmental efforts, including the installation of a green roof and new Crown Lights LED messaging system on the company’s Center City headquarters; the opening of its first ‘green building’ in West Chester, which was awarded silver certification for Leadership in Energy and Environmental Design; LEED certification improvements for many other company facilities; the increased use of hybrid and biodiesel vehicles; and support for community environmental projects.

The expanded environmental program is a component of Exelon 2020: A Low-Carbon Roadmap, the comprehensive environmental strategy of PECO’s parent company.