Smart Cities

Future Investment In Smart Grid Will Dwarf Current Expenditure; But Where Will It Come From?

Later this week we publish our Annual Report “The Smart Grid Business 2011 to 2016” and during the next 2 months we shall produce a series of posts taken from this study on the major issues and challenges facing the industry over the next 5 years. Vast Sums of Money will need to be Invested – Will it be Available? We estimate that to achieve full penetration of the world’s existing grid together with future extensions to 2030, will require a cumulative investment of some $2,000 billion on pure Smart Grid equipment at installed prices. There is no question about demand for Smart Grid, in the long term it is inevitable. But we believe that investment funds are the weakest link in the chain and could cause a slowing down in growth. This can be overcome if the utilities are allowed to recoup the investment over time by increasing their charges for electricity. This will […]

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