Minneapolis, February 28, 2011 — Honeywell was selected to develop and implement China's first smart grid pilot project and feasibility study for managing energy use in commercial buildings, also known as demand-side management.
The project is part of a grant agreement between the U.S. Trade and Development Agency and State Grid Electric Power Research Institute, sponsor of the project and a subsidiary of State Grid Corp. of China.
The company will help connect State Grid and its customers to manage energy supply and demand, automatically adjusting electricity consumption and reducing strain on China's utility infrastructure. This is especially important in commercial and industrial facilities, which account for 70 percent of worldwide electricity use.
The demonstration will allow SGEPRI to assess the feasibility of broader deployment of smart grid solutions, and support the development of standards and regulations. The institute will also examine the opportunities and challenges businesses face in linking their energy- and demand-management efforts with an increasingly dynamic electrical grid.
The grant agreement stems from the China-U.S. Energy Cooperation Program, an initiative started by USTDA and the National Energy Administration of China to spur joint business development in the clean energy sector.
A smarter electrical grid will help China manage the growing demand for energy, and improve the reliability and efficiency of the country's utility infrastructure by allowing electrical consumers to better manage how and when they use their energy based on availability and cost.
It will also allow broader integration of renewable energy sources, such as wind and solar, and help residents, businesses and industry better control costs and be more energy efficient.
With controls in 150 million homes, 10 million buildings and thousands of industrial sites, and experience managing demand response and efficiency programs for more than 100 utilities, Honeywell has the offerings and experience to empower smart energy users.
The company's technology and services are at the heart of smart grid projects reducing both day-to-day and peak electricity consumption. For example, Honeywell has helped give utilities combined control of more than 1 gigawatt of peak load, which is equivalent to the generation capacity of approximately 20 gas-fired peaking plants.