Identity Management is key to Smart Grid Security

17.02.2010 by Joerg Resch

In 10-12 years from now, the whole Utilities and energy market will look dramatically different. Decentralization of energy production with consumers converting to prosumers pumping solar energy into the grid and offering  their electric car batteries as storage facilities, spot markets for the masses offering electricity on demand with a fully transparent price fixing (energy in a defined region at a defined time can be cheaper, if the sun is shining or the wind is blowing strong), and smart meters in each home being able to automatically contract such energy from spot markets and then tell the washing machine to start working as soon as electricity price falls under a defined line. And – if we think a bit further and apply Google-like business models to the energy market, we can get an idea of the incredible size this market will develop into.

These are just a few examples, which might give you an idea on how the “post fossile energy market” will work. The drivers leading the way into this new age are clear: energy production from oil and gas will become more and more expensive, because pollution is not for free and the resources will not last forever. And the transparency gain from making the grid smarter will make electricity cheaper than it is now.

The drivers are getting stronger every day. Therefore, we will soon see many large scale smart grid initiatives, and we will see questions rising such as who has control over the information collected by the smart meter in my home. Is it my energy provider? How would Kim Cameron´s 7 laws of Identity work in a smart grid? How would a “grid perimeter” look like which keeps information on the usage of whatever electric devices within my 4 walls? By now, we all know what cybercrimes are and how they can affect each of us. But what are the risks of “smart grid hacking”? How might we be affected by “grid crimes”?

I think, these are questions which should be discussed interdisciplinary. If anybody would like to contribute to such a discussion, which I am trying to include into this year´s EIC 2010 agenda, please propose!

© 2014 Joerg Resch, KuppingerCole