Smart grids are modern electricity networks that use digital technologies to monitor and respond to energy demand in real time. They help balance energy supply from both traditional and renewable sources, such as solar and wind, making the grid more stable and efficient. In the Caribbean, where extreme heat and storms can strain energy systems, smart grids offer a way to reduce peak demand and prevent outages. They also support the integration of renewable energy, which is vital for climate resilience and sustainability.
There are multiple smart grid solutions that can improve energy reliability. These systems use tools like smart meters, sensors, and automated controls to detect problems early and adjust energy flows as needed
Feasibility & Local Applicability
Smart grids are technically feasible in the Caribbean but require strong institutional support. Curaçao, Aruba, and St. Martin have begun exploring smart electricity systems, though progress varies. Implementing smart grids involves more than just installing new equipment—it also requires updated regulations, secure communication networks, and financing strategies. Security is a concern, especially with wireless technologies, so protective measures must be built into the system design.
Co-benefits
Smart grids offer several benefits beyond climate adaptation. They can reduce energy theft, lower operational costs, and improve service reliability. By enabling better energy management, they also support economic development and job creation in the clean energy sector. In addition, smart grids can help utilities respond more quickly to disasters, improving recovery times after storms or outages.
Equity & Vulnerability Considerations
To be effective and fair, smart grid projects must include all communities. This means ensuring that low-income households and remote areas also benefit from improved energy access and reliability. Public education and community involvement are key to building trust and encouraging adoption. Smart grid technologies should be designed to meet local needs and avoid creating new inequalities.
Costs
Medium – High | Smart grids can be expensive to implement, especially in the early stages. Costs include upgrading infrastructure, installing digital systems, and training personnel. However, these investments often lead to long-term savings by reducing energy waste, improving efficiency, and avoiding costly outages. International support and regional cooperation can help offset initial costs and make smart grids more accessible to SIDS.
Case-studies & Examples
- CARILEC NEWS- Towards a Resilient Caribbean Power Sector: Reengineering and Procurement Strategies
- Energy central blog – How to resolve the Caribbean energy challenges: ways & strategy
- Clean Energy for EU Islands – activities for Bonaire
Literature
- Bulbaai RR, Halman JIM. Energy Awareness, Energy Use, and Energy-Saving Opportunities in the Caribbean: The Island Curaçao as a Case Study. Energies. 2024; 17(19):4829.
- Kiasari M, Ghaffari M, Aly HH. A Comprehensive Review of the Current Status of Smart Grid Technologies for Renewable Energies Integration and Future Trends: The Role of Machine Learning and Energy Storage Systems. Energies. 2024; 17(16):4128.
- Rennie, G., Hartnett, B. K., Reyes, V., Siegert, D., Sandoval, D., & Banda, M. (2020). Gap Analysis and Opportunities for Innovation in the Energy Sector In Latin America and the Caribbean.
- Sooknanan, D., Bahadoorsingh, S., Joshi, A., & Pal, D. (2016). Smart grid analysis for the Caribbean region. West Indian Journal of Engineering.