With the increasing demand on grid modernization for improving environmental sustainability and grid security, the topic of smart meter adoption has attracted much attention, especially with regard to the roles of public policies. However, there is a lack of research investigating the association between the multi-layered government policies and smart meter adoption from a spatial perspective to explain the variant adoption rates across the United States. This study constructs a panel of 48 contiguous U.S. states and the District of Columbia over the period 2007–2019. Using this unique dataset and spatial econometric models, we investigate the impacts of federal and state policies as well as spatial spillover effects of smart meter adoption in the residential sector. Results indicate the following: (1) Smart meter adoption has spatial spillover effects between the adjacent states in a sense that the rate of adoption in one state is positively associated with adoption rates in the neighboring states; (2) federal funding and state-level legislative actions on advanced metering and smart grid have positive impacts on smart meter adoption. These findings provide important implications for the formulation and implementation of public policies for the adoption of a modern electric grid in the U.S.

The reliability of a power distribution system reflects its ability to supply uninterrupted electricity. The installation of smart meters improves reliability by minimizing outages and expediting restoration. Smart meters enhance efficient energy use, balance supply and demand, and strengthen system reliability. This study applies a simultaneous equations model and a modified Hyperlink Induced Topic Search algorithm to analyze the relationship between federal funding, smart meter adoption by electric utilities, and reliability, aiming to rank electric utility companies in the United States. Results show positive associations between federal funding and smart meter adoption rates, as well as between smart meter adoption rates and system reliability. The proposed network-based methodology ranks electric utility companies by ownership type. The research findings underscore the significance of smart meter adoption and provide valuable insights for policymakers and electric utility companies seeking to enhance power system reliability.

Smart grids enable the alignment of energy supply and demand, enhance energy efficiency, and raise consumer awareness of energy conservation. Smart meter, a vital technological component of smart grids, enables bidirectional communication between consumers and utility companies. This paper employs the two-stage least squares panel data model to examine the effects of federal funding and state legislative actions on smart meter adoption and the resulting energy efficiency savings in the residential sector of the United States. Additionally, we use machine learning techniques to select the subset of control variables that are influential for smart meter adoption and energy efficiency savings. The findings suggest that both federal financial assistance and state legislative actions have positive effects on smart meter adoption, and the interaction of federal funding and state policy interventions have a significantly greater effect on adoption as compared to the sum of the individual policy instrument alone. Furthermore, there exists a positive association between the adoption rate and energy efficiency savings. This study presents empirical evidence that underscores the significance of multi-level governance as an effective means for policy integration regarding smart meter adoptions, and it discusses the policy implications for grid modernization and environmental policies.