NEW YORK (CNNMoney.com) -- Some 18 million
smart meters are set to make their way into
American homes as part of the economic
stimulus plan focusing on energy efficiency,
Energy Department officials said Tuesday.
The meters, which are designed to more
effectively communicate with utilities and
appliances, and help consumers manage their
electricity more efficiently, are being
distributed by utilities around the country
with partial funding from the federal
government that was allocated under the
stimulus plan.
The 18 million meters represent roughly 13%
of all electricity meters nationwide.
Ultimately, the administration hopes to
distribute 40 million smart meters over the
next few years.
The smart meters are
part of a wider government effort to upgrade
the nation's aging utility grid. The
government announced $3.4 billion in funding
Tuesday to help move the country toward a
so-called
smart grid.
Utilities are putting in another $4.7
billion in matching funds.
According to the White House, these
investments could reduce U.S. electricity
use by 4% a year.
The money is part of nearly $100 billion in
spending and tax cuts the government
authorized under the stimulus plan for a
variety of energy projects.
Other projects announced Tuesday include the
modernization of electric substations and
transmission centers.
All told, 100 projects were announced
Tuesday in 49 states that are expected to
create tens of thousand of jobs across the
country. The White House billed it as the
largest single energy grid modernization
effort in the country's history.
Experts have long said the country needs to
update its electricity grid, much of which
was built during the early part of last
century, if it is to deliver power more
efficiently and handle electricity generated
from sources such as wind and solar.
The funding announced Tuesday is just a
fraction of what experts say is needed to
build new transmission lines, computerize
substations and meters, and build storage
devices for a modern utility grid.
