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1 Smart Grid Architecture Overview

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The electric power system is the largest and best engineering invention and achievement in human history. However, this grid paradigm faces serious challenges with regard to the increasing demand for electricity, the expanding penetration of intermittent renewable energies, and the need to respond to emerging needs such as wide usage of electric vehicles. The newly faced and expected challenges and expectations from the grid are forcing drivers to transform the current power system into a smarter grid. Smart grid (SG) is a new paradigm shift that combines the electricity, information, and communication infrastructures to create a more reliable, stable, accessible, flexible, clean, and efficient electric energy system. The SG comprises two main parts, SG infrastructure, and smart applications and operation. SG infrastructure entails a smart power system, information technology (IT), and communication system, while SG applications and operation are categorized into fundamental and emerging areas. The fundamental ones refer to energy management strategies, reliability models, security, privacy, and demand‐side management (DSM). Emerging applications include the wide deployment of electric vehicles and mobile charging and storage stations. All this indicates that SGs are characterized by automated energy generation, delivery, monitoring, and consumption with stakeholders from smart utilities, markets, and customers.

Initially in this chapter, the principles of current electrical power systems will be briefly discussed. After that, the implications of the transformation trend toward SG architecture will be investigated. Following this, SGs are addressed in greater depth, covering fundamentally diverse concepts and classifications. Lastly, some SG architectures will be highlighted and the future challenges and directions will be addressed.

Smart Grid and Enabling Technologies

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