A generic framework for the evaluation of the benefits expected from the smart grid

Abstract

The Smart Grid has the potential to bring significant value to the various stakeholders of the electricity market. A methodology for the evaluation of the smart grid benefits is required to facilitate the decision making by quantifying the benefits expected from a smart grid project. The present paper proposes a generic framework to assess these expected benefits taking into account the regulatory, business and technical challenges focusing particularly on Distributed Systems Operators (DSOs) and end users. An indicative study case is presented where the proposed cost-benefit approach assesses the expected value of DSOs from the Smart Grid and determines whether and under what conditions such an investment should be initiated. © 2013 by the authors.