Residential Customers Are Open to the Smart Grid -- If It Will Save Them Money

A survey of 600 U.S. residential homes reveals that almost half have reported an increase in their electricity bill, due mostly to an increase in electricity consumption. Almost 60 percent of the homeowners who were surveyed say that they are willing to change their electricity use to save money. Among the thngs they are willing to do is enroll in a demand response program.

The survey was conducted and released by Frost & Sullivan. It is called "Smart Grid Market - A Customer Perspective on Demand Response", and it examines the motivations and probability of residential customers adopting demand response programs.

Demand response is a load power management program offered and controlled by either electric utilities or curtailment service providers. It is an important part of a smart grid, and it is expected to reduce the need for additional peak generation plants, as well as improve overall power quality and the environment.

"Customer awareness of smart grids appears moderately high, though awareness does not likely stem from the direct efforts of electric utility companies," states Frost & Sullivan Senior Energy Consultant Farah Saeed. "Only 16 percent of all surveyed residential electric customers are aware of any effort by their electric utility company to introduce smart grid technology into their community."

The survey notes a high probability of customers signing up for demand response if the customer has access to smart appliances. So-called smart appliances will be connected to the smart grid, allowing them to either shut-off or go into energy saving mode during peak power periods.

More than half the respondents said that they are either likely or somewhat likely to adopt smart appliances (59 percent). However, the majority plan to wait until their appliances come due for replacement (75 percent), rather than adopting smart appliances right away. Those willing to be early adopters also want rapid payback on these appliances: 79 percent want payback in two years or less, with only 7 percent not insisting on a payback at all.

For more information on this survey, please send an e-mail to Johanna Haynes, Corporate Communications, at johanna.haynes@frost.com, with your full name, company name, title, telephone number, company e-mail address, company website, city, state and country.

www.DaviesGreenEnergy.com