National Grid, the owner of Britain's electricity transmission network, hopes to grab more than $100million (£67million) of the billions of dollars in stimulus funds set aside by President Obama for green energy projects.
The company is working with the Massachusetts state government on a bid for $57million in funding to help it to pay for a smart grid pilot launched last week. National Grid, the second-biggest energy supplier in America, is also talking to New York about a similar-sized pilot that could be funded with stimulus cash. Mr Obama has won plaudits around the world for his focus on climate change. He plans to spend $11billion of the $787billion economic stimulus package announced in February on creating a modern electricity grid that makes the most of renewable energy sources.
As much as $4.5billion will be spent on developing smart grids, which give customers better information on the energy their homes use and more control over their power usage.
Congress's attention is focused on the issue of green energy after Henry Waxman and Edward Markey, both Democrat congressmen, last week launched more than 600 pages of draft legislation outlining a big part of the President's energy strategy.
Steve Holliday, National Grid's chief executive, told The Times: “We've got a Government there now and a President that's determined to live up to his own commitments on climate change adaptation.”
National Grid does half of its business in the United States after growing through a series of takeovers over the past ten years. The company plans to spend $57million on the smart grid pilot involving 15,000 customers in Worcester, Massachusetts. It hopes to have some or all of the cost covered by federal funds, which, if granted, would allow it to enlarge the pilot. More details are expected in the coming months of a similar pilot it is discussing for Syracuse, New York.
National Grid is also talking to Michael Bloomberg, the Mayor of New York, about a project to swap the city's ageing oil heaters for gas, with the possibility of funding from the stimulus package.
Mr Holliday added: “Each time you take an oil burner out of a normal home, it's equivalent to taking four four-wheel drive vehicles off the road. It should be a no-brainer, it has a huge impact on the environment and air quality.” The company carried out a record 60,000 oil-for-gas conversions last year after consumers were stung by record oil prices. This year, however, there are fears that numbers will drop as household incomes are pinched by the recession.
National Grid's success in America is closely tied to customers' energy efficiency. America's power systems tend to be older than those in Britain but state energy regulators are reluctant to allow suppliers to raise bills to provide cash for upgrading the systems.
Mr Holliday said that if National Grid convinced customers to use less energy, energy costs could rise slightly but household bills would remain flat. This would free up money for the company to invest in the systems.
National Grid plans to spend $500million a year within three years on promoting energy efficiency in America. It spent $170million last year alone on fitting insulation to customers' homes and businesses.
The company is working with the Massachusetts state government on a bid for $57million in funding to help it to pay for a smart grid pilot launched last week. National Grid, the second-biggest energy supplier in America, is also talking to New York about a similar-sized pilot that could be funded with stimulus cash. Mr Obama has won plaudits around the world for his focus on climate change. He plans to spend $11billion of the $787billion economic stimulus package announced in February on creating a modern electricity grid that makes the most of renewable energy sources.
As much as $4.5billion will be spent on developing smart grids, which give customers better information on the energy their homes use and more control over their power usage.
Congress's attention is focused on the issue of green energy after Henry Waxman and Edward Markey, both Democrat congressmen, last week launched more than 600 pages of draft legislation outlining a big part of the President's energy strategy.
Steve Holliday, National Grid's chief executive, told The Times: “We've got a Government there now and a President that's determined to live up to his own commitments on climate change adaptation.”
National Grid does half of its business in the United States after growing through a series of takeovers over the past ten years. The company plans to spend $57million on the smart grid pilot involving 15,000 customers in Worcester, Massachusetts. It hopes to have some or all of the cost covered by federal funds, which, if granted, would allow it to enlarge the pilot. More details are expected in the coming months of a similar pilot it is discussing for Syracuse, New York.
National Grid is also talking to Michael Bloomberg, the Mayor of New York, about a project to swap the city's ageing oil heaters for gas, with the possibility of funding from the stimulus package.
Mr Holliday added: “Each time you take an oil burner out of a normal home, it's equivalent to taking four four-wheel drive vehicles off the road. It should be a no-brainer, it has a huge impact on the environment and air quality.” The company carried out a record 60,000 oil-for-gas conversions last year after consumers were stung by record oil prices. This year, however, there are fears that numbers will drop as household incomes are pinched by the recession.
National Grid's success in America is closely tied to customers' energy efficiency. America's power systems tend to be older than those in Britain but state energy regulators are reluctant to allow suppliers to raise bills to provide cash for upgrading the systems.
Mr Holliday said that if National Grid convinced customers to use less energy, energy costs could rise slightly but household bills would remain flat. This would free up money for the company to invest in the systems.
National Grid plans to spend $500million a year within three years on promoting energy efficiency in America. It spent $170million last year alone on fitting insulation to customers' homes and businesses.
Source: The Times
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