“Demand response currently accounts for over 20 gigawatts”

Comverge Inc.’s chairman, president and CEO Robert Chiste has highlighted that demand response and energy efficiency provide the “fastest, cleanest and most economic” megawatts.
Chiste also pointed out that regulators and legislators at the Federal and State level are encouraging and approving funding for increased investment in energy efficiency and demand management.

According to Chiste, who made these observations during the company’s fourth quarter earnings call, the demand response and energy efficiency opportunity has the potential of far greater impact on energy independence than other alternatives such as solar and wind.

“In fact, wind and solar projects have slowed considerably because the financial and transmission constraints in the current install base of solar power in the United States is about 2 gigawatts,” said Chiste. “By comparison, demand response currently accounts for over 20 gigawatts or ten times the size of the entire solar installed base in the United States.”

In the recent past, the US industry witnessed the signing into law of the American Recovery and Reinvestment Act and provisions to modernise the U.S. electricity grid.

The American Recovery and Reinvestment Act contains specific provisions for the establishment of a $4.2 billion grant programme that will support the rollout of smart grid and smart metering projects across the country. Smart metering solutions provide utilities with a two-way flow of data required to manage energy use, efficiency, demand response and network protection. Consumers benefit from improved usage information and with it, the ability to reduce overall energy costs and carbon footprints.

Silver Spring reportedly on a contract signing spree

Silver Spring Networks, a firm which recently received $75 million investment for its global expansion, is reportedly finalising contracts "worth hundreds of millions of dollars to outfit three large, yet-unnamed electric utilities with smart grid technology in deal".

The multi-year deals include wirelessly networking more than three million electric meters for the utilities.

The agreements are expected to be finalised in December and would be worth more than $300 million, Silver Spring executives told Red Herring.

"The Silver Spring agreements, which are with two investor-owned utilities in the United States and one abroad, would cap a big year for the Kleiner Perkins-backed company," as per the report.

It was Kleiner Perkins Caufield & Byers's Green Growth Fund, which had led a $75 million investment round into Silver Spring Networks in October. The company provides its Smart Grid technology, systems, and services to customers including: Florida Power & Light Company, Pacific Gas and Electric Company, Modesto Irrigation District, Oklahoma Gas & Electric, Consumers Energy, and others.

Chief executive Scott Lang said Silver Spring has already inked multi-year contracts worth $500 million, and he expects that value to reach $1 billion within 12 months. He said the company would be profitable by next year, pulling in revenue exceeding $75 million.