The Smart Grid Research and Development (R&D) Program within the Research and Development Office of the DOE Office of Electricity Delivery & Energy Reliability (OE), in accordance with Title XIII of the Energy Independence and Security Act of 2007 (EISA), is tasked with accelerating the deployment and integration of advanced communication and control systems that are needed to modernize the nation‟s electric delivery network. The comprehensive and rigorous R&D effort proposed in this Multi-Year Program Plan (MYPP) is foundational in advancing both the underlying science and the technology required to realize smart grid capabilities and benefits.

The vision of the Smart Grid R&D Program is that:
By 2030, the power grid has evolved into an intelligent energy delivery system that supports plug-and-play integration of dispatchable and intermittent low-carbon energy sources, and provides a platform for consumer engagement in load management, national energy independence, innovation, entrepreneurship, and economic security. This smart grid supports the best and most secure electric services available in the world and connects everyone to abundant, affordable, high quality, environmentally conscious, efficient, and reliable electric power.

The OE defines the smart grid by seven performance-based functionalities: 1) customer participation, 2) integration of all generation and storage options, 3) new markets and operations, 4) power quality for the 21st Century, 5) asset optimization and operational efficiency, 6) self healing from disturbances, and 7) resiliency against attacks and disasters. These functionalities will lead to achieving the Smart Grid R&D Program‟s four primary outcomes of reduced peak demand, improved operational and system efficiency, higher grid reliability and resilience, and lower carbon emissions and higher economic productivity from integration of more distributed and renewable generation. While the smart grid transformation is a continuing process, the Smart Grid R&D Program has defined a target goal for each outcome to support the OE‟s 2030 vision for grid modernization. The Smart Grid 2030 Targets and associated key milestones are:

• 20% reduction in the nation‟s peak energy demand
• Demonstrate 10% peak load reduction or improvement in asset utilization on two prototypical feeder systems by 2010 100% availability to serve all critical
• 100% availability to serve all critical loads at all times and a range of reliability services for other loadsloads at all times and a range of reliability services for other loads
• Develop integrated distribution management systems (DMS) for distribution automation by 2014; demonstrate DMS under real-use conditions by 2015 40% improvement in system efficiency and asset utilization to achieve a load factor of 70%
• 40% improvement in system efficiency and asset utilization to achieve a load factor of 70%
• Demonstrate prognostic health management technologies and distributed sensors for critical distribution system assets by 2014
• 20% of electricity capacity from distributed and renewable energy sources (200 GW)
• Demonstrate fast voltage regulation and overvoltage protection solutions under high penetration of renewable energy by 201

These 2030 Targets support the 2010 OE Strategic Goals under the Secretarial Objectives of science, discovery and innovation; clean secure energy; economic prosperity; and lower greenhouse gas emissions.

The portfolio of Smart Grid R&D Program activities will primarily focus on distribution systems and consumer devices, including interfaces and integration with transmission and generation systems. The R&D areas are organized into the following five topics:

1. Standards & Best Practices
2. Technology Development
3. Modeling
4. Analysis
5. Evaluation & Demonstrations