With the contract approved, Itron will begin development of an Advanced Metering Infrastructure/Meter Data Management System, or AMI/MDMS, for the city, which will be used to operate the new meters.
Glendale joins utilities across the country which are installing similar technology. Southern California Edison purchased 4 million meters from Itron this year, said City Manager Jim Starbird.
“I’m very excited about this technology,” said Mayor Frank Quintero, adding that Itron was a leading firm.
Once the meters are installed, customers will be able to view their electricity and water use online and will eventually be able to purchase in-home displays to view the data streams.
“It will provide customers with the data they need to make intelligent decisions about power and water use,” said Craig Kuennen, public benefits marketing manager for the utility.
The change will allow the utility to develop a “smart” rate structure, especially for the more volatile electrical market, officials said. Customers could eventually be rewarded with lower rates for electricity used during non-peak hours, Steiger said.
And while water rates are more static, the meters should help customers conserve amid California’s ongoing water shortage, officials said.
Cities across the state are looking at smart grid technologies because they promote smart energy use, said Adam Gottlieb, spokesman for the California Energy Commission.
“It will empower consumers to better understand their energy use, save energy, reduce cost and increase reliability,” he said.
In August, Glendale Water & Power will submit an application for funding, which could provide for up to half the cost of installing the electrical meters.
The meter change-outs will need to be done by another contractor, for which a bid should be submitted for City Council approval sometime next month.
In addition to the $28-million contract, the City Council appropriated a $5.7-million reserve for unforeseen costs. The project was included in the utility’s budget for the next two fiscal years and does not affect the city’s general fund, which saw $9.7 million in cuts last month.
The advanced meters are scheduled to be installed by early 2011.