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the quantity of efficiency expressed as kWh and valued at the average price of electricity. In the case of capital displacements, the calculations do not include other fixed and variable costs that may be associated. Note that the additional reductions may not be realized if reinvestment does not occur. The calculation for CO2 emissions is based on the share of electricity reduced by the smart grid technologies associated with the mechanism to total electricity delivered to the grid. Indirect mechanisms documented include: • Joint Marketing of Energy Efficiency and Demand Response Programs • M&V for Energy Efficiency Programs • Support Penetration of Renewable Solar Generation (25% RPS). • Support Penetration of Renewable Wind Generation (25% RPS). Calculations The calculation for the direct and indirect reductions for each of the mechanisms follows in this attachment. The basic assumptions and results are summarized in a table, with the calculation details, assumptions, and data sources provided below the table. The uncertainty surrounding the estimated electricity and CO2 emission were not calculated because the estimation methodology is not tailored to provide specific estimates for each of the mechanisms. The estimated reduction in the tables is developed from estimated reduction in the first column. The low and high reduction levels provided in columns two and three provide an estimate of the uncertainty with respect to the estimated reduction and can be used to scale the estimate provided. In addition, the estimates provided assume 100% penetration of the smart grid technologies within the respective sectors. This enables the estimates to be reduced in proportion to the fraction of U.S. electricity consumers served by utilities deploying a smart grid, as a first-order approximation. 2.2PDF Image | The Smart Grid: An Estimation of the Energy and CO2 Benefits
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