Fueled by stimulus funding in the American Recovery and
Reinvestment Act of 2009 (ARRA), electric utilities have
accelerated their deployment of smart meters to millions of homes
across the United States with help from the Department of Energy's
Smart Grid Investment Grant program. As the meters multiply, so do
issues concerning the privacy and security of the data collected by
the new technology. This Advanced Metering Infrastructure (AMI)
promises to increase energy efficiency, bolster electric power grid
reliability, and facilitate demand response, among other benefits.
However, to fulfill these ends, smart meters must record near-real
time data on consumer electricity usage and transmit the data to
utilities over great distances via communications networks that
serve the smart grid. Detailed electricity usage data offers a
window into the lives of people inside of a home by revealing what
individual appliances they are using, and the transmission of the
data potentially subjects this information to interception or theft
by unauthorized third parties or hackers.
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