Construction has begun in Boulder on a first-of-its-kind electrical grid that will allow two-way communication between customers and Xcel Energy.
Xcel and its partners have started installing a high-speed communications network that uses power lines in Boulder and will begin upgrading meters and substations for the SmartGridCity.
“We are making history,” Ray Gogel, vice president of customer and enterprise solutions at Xcel, told an audience gathered Thursday at the University of Colorado at Boulder.
The first phase of the project, from March to August, will demonstrate the technology and get customer feedback. It involves upgrading two substations and installing nearly 15,000 smart meters.
The second phase, from September to December 2009, will add another 35,000 smart meters and integrate wind and solar power generated by customers.
SmartGridCity technology will allow Boulder residents to go online to see how much power they are using and what it is costing them. They will be able to control their energy usage with the help of “intelligent” appliances communicating with the power grid.
The system can store power from renewable and other sources, including hybrid-electric vehicles, which will be able to discharge energy into the system during peak periods and recharge when demand is low.
By smoothing out electricity usage, SmartGridCity reduces the need for utilities to supply “peak” power needed during high-demand times that is typically fueled by more expensive natural gas.
Utilities also gain better information about their system, including the ability to spot power outages quickly.
Boulder Mayor Shaun McGrath said the city was early in buying up open space, was a leader in establishing a recycling program and will be the first to revamp the century-old technology behind the electrical grid.
Costs for converting Boulder into a SmartGridCity are estimated at $100 million, much of which will be covered by government grants.
“There is no rate impact at this point,” Xcel spokeswoman Ethnie Groves said.
Information about the project is available at .
Aldo Svaldi: 303-954-1410 or asvaldi@denverpost.com



