Contributor, Bob Gilligan, is the vice president of transmission & distribution at GE Energy.
If Thomas Edison were to return today, he would be all-too familiar with our electrical infrastructure. Contrast this to the return of Alexander Graham Bell, who would need a college course covering topics ranging from the answering machine to the iPhone to get up to speed on advancements in telecom. While the grid of today is one of the past, the demand for reliable and clean energy is very much an issue of the present – and it’s escalating rapidly in ways that could potentially compromise our future. Global energy consumption is projected to triple by 2050. Power outages and disturbances cost the U.S. economy over $100 billion annually. And our grid contributes 40 percent of total U.S. carbon emissions, a staggering percentage that has much room for improvement.

A solution to these challenges is a smarter electrical network – or a smarter grid. Smart grid technologies will help us maximize the potential of our existing grid simply by making it more intelligent. In doing so, we will create a smarter energy network capable of:
- Optimizing more clean-energy resources, such as wind and solar.
- Empowering consumers to manage their energy usage and costs.
- Delivering significant increases in energy efficiency, decreasing carbon emissions.
- Increasing power reliability, delivering greater productivity.
Unfortunately, updating the energy infrastructure to meet the needs of the 21st century is no easy task, and certainly won’t happen overnight. It will require the combined strength of government, utilities, business and academia.
We are encouraged by President Barack Obama’s recognition that the time for this country’s energy makeover has come, and we are optimistic about the commitments that members of his administration have made to get us there. Their goals of driving waste out of the electrical network, improving efficiency and increasing productivity are key to smart grid implementation. We also support their efforts to expand renewable energy, as smart grid technologies will enable the full potential of renewable energy resources to be realized. And, we are optimistic about the stimulus funding for these efforts being applied to deliver new jobs and a more sustainable electrical infrastructure for our nation.
At GE, we welcome the opportunity to work alongside our utility customers and the Obama Administration to expedite the delivery of a smarter electrical grid.







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How and when does this translate into more revenues and profits for GE?
Simple replacement of older systems and reoccurring service revenues. GE should get some lobbyists working on getting some of that stimulus money for projects.
Is Jack Donaghy going to be at the annual shareholder meeting to discuss the future of NBC at General Electric?
Joe, great question. The energy component of GE is what I find to be perhaps the biggest area for growth (outside of water in emerging markets). However, getting the governments around the world to buy off on GE’s infrastructure initiatives seems like an awfully large task considering where the economy sits at the moment. I would like to know how fast GE can start turning a profit from what seems like a decade (or more) of focus in this arena. Until it does, our equity will remain under attack.