Stimulus crucial for "smart grid"

The electric power industry and manufacturers say $4.5 billion in the $787-billion U.S. economic stimulus package will give a crucial boost to "smart grids" that will help the nation save money and electricity. The stimulus measure, signed into law by President Barack Obama on Tuesday, provides matching funds over two years to encourage utilities to start work on smart grids. Smart grids combine special meters, wireless technology, sensors and software so customers can closely monitor energy use cut and back when the grid is stretched to its limit. Otherwise, utilities must build expensive, wasteful plants that are turned on when needed to prevent blackouts. Two-way meters also let utilities pinpoint power outages and respond far more quickly. Eventually a smart grid will also help prevent blackouts by better balancing electric resources.