Smart Grid: The Implementation of Technocracy?

By Patrick Wood (


According to the United Nations Governing Council of the UN Environmental Programme

(UNEP), "our dominant economic model may thus be termed a 'brown economy." UNEP's

clearly stated goal is to overturn the "brown economy" and replace it with a "green economy."

"A green economy implies the decoupling of resource use and environmental impacts

from economic growth... These investments, both public and private, provide

the mechanism for the reconfiguration of businesses, infrastructure and institutions,

and for the adoption of sustainable consumption and production processes." [p. 2]

Sustainable consumption? Reconfiguring businesses, infrastructure and institutions? What do

these words mean? They do not mean merely reshuffling the existing order, but rather replacing

it with a completely new economic system, one that has never before been seen or used in the

history of the world.

This paper will demonstrate that the current crisis of capitalism is being used to implement a

radical new economic system that will completely supplant it. This is not some new idea created

in the bowels of the United Nations: It is a revitalized implementation of Technocracy that was

thoroughly repudiated by the American public in 1933, in the middle of the Great Depression.

The Technocrats have resurfaced, and they do not intend to fail a second time. Whether or not

they succeed this time will depend upon the intended servants of Technocracy, the citizens of the


Indeed, the dark horse of the New World Order is not Communism, Socialism or Fascism. It is



Founded by Howard Scott and M. King Hubbert in 1932 during the Great Depression, Technocracy

proposed a radical new solution for the world's economic ills. In 1932, Harry A. Porter

wrote in Roosevelt and Technocracy,

“Just as the Reformation established Religious Freedom, just as the Declaration

of Independence brought about our Political Freedom, Technocracy promises Economic

Freedom." [Foreward, iii]

Porter's plan included abandoning the gold standard, suspending the stock exchanges and nationalizing

railroads and public utilities. Freedom notwithstanding, Porter then called for

President-elect Franklin D. Roosevelt to be sworn in as Dictator rather than President so that he

could overturn the existing economic system in favor of Technocracy: "Drastic as these changes

Forcing Change, Volume 4, Issue 8

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from the present order of things may be, they will serve their purpose if only to pave the way for

the Economic Revolution - and Technocracy." (p. 63)

If Technocracy had truly been extinguished before the onset of WWII, we would not be concerned

about it today. However, when Zbigniew Brzezinski wrote Between Two Ages: America's

Role in the Technetronic Era in 1968, it was essentially a Neo-Technocratic treatise calling for a

fourth and final stage of world history, or the Technetronic Era.

When David Rockefeller picked Brzezinski to co-found the Trilateral Commission in 1973, it

was with the specific goal to create a "New International Economic Order." Without some

knowledge of historic Technocracy, exactly what the Trilateral Commission ultimately had in

mind with such a goal could not possibly have been understood.

Today, it is necessary to rethink these issues in order to determine a) if this radical movement is

still operating, b) what are their goals and c) how do they plan to achieve their goals.

In Carbon Currency: A New Beginning for Technocracy?, the subject of historic Technocracy

was introduced in the context of creating a new economic system based on energy accounting

rather than price accounting. An energy-based accounting system uses "energy certificates," or

Carbon Currency, instead of dollars or other fiat currencies. Periodic and equal allocations of

available energy are made to citizens, but they must be used within the defined time period before

they reach an expiration date. Furthermore, the ability to own private property and accumulate

wealth would be deemed unnecessary.

The pressing and unanswered question is how would such a Technocratic system actually be


This paper will now address the strategy, tactical requirements and progress of establishing an

energy-based Technate in North America. ["Technate" is the term used to describe the geographic

region operated according to Technocracy. Thus, a North American Technate would include Canada,

Mexico and the U.S. and they would all be under common control.]


The Technocracy Study Course, written by Howard Scott and M. King Hubbert in 1932, established

a detailed framework for Technocracy in terms of energy production, distribution and usage.

According to Scott and Hubbert, the distribution of energy resources must be monitored and

measured in order for the system to work -- and this is the key: monitoring and measuring.

They wrote that the system must do the following things:


"Register on a continuous 24 hour-per-day basis the total net conversion of energy.


"By means of the registration of energy converted and consumed, make possible a balanced



"Provide a continuous inventory of all production and consumption

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"Provide a specific registration of the type, kind, etc., of all goods and services, where

produced and where used


"Provide specific registration of the consumption of each individual, plus a record and

description of the individual." [Scott, Howard et al, Technocracy Study Source, p. 232]

In 1932, such technology did not exist. Time was on the Technocrat's side, however, because

this technology does exist today, and it is being rapidly implemented to do exactly what Scott

and Hubbert specified: Namely, to exhaustively monitor, measure and control every kilowatt of

energy delivered to consumers and businesses on a system-wide basis.

It's called: Smart Grid.

What is Smart Grid?

Smart Grid is a broad technical term that encompasses the generation, distribution and consumption

of electrical power, with an inclusion for gas and water as well. America's aging power

grid is increasingly fragile and inefficient. Smart Grid is an initiative that seeks to completely

redesign the power grid using advanced digital technology, including the installation of new,

digital meters on every home and business in the U.S.

These digital meters provide around-the-clock monitoring of a consumer's energy consumption

using continuous 2-way communication between the utility and the consumer's property. Furthermore,

meters will be able to communicate with electrical devices within the residence to

gather consumption data and to control certain devices directly without consumer intervention.

According to a U.S. Department of Energy publication,

"The Department of Energy has been charged with orchestrating the wholesale

modernization of our nation's electrical grid... Heading this effort is the Office of

Electricity Delivery and Energy Reliability. In concert with its cutting edge research

and energy policy programs, the office’s newly formed, multi-agency Smart Grid

Task Force is responsible for coordinating standards development, guiding research

and development projects, and reconciling the agendas of a wide range of stakeholders."

(See The Smart Grid: An Introduction)

This is a relatively new initiative, but it is racing forward at breakneck speed. The Office of

Electricity Delivery was created in 2003 under President George W. Bush, and elevated in stature

in 2007 by creating the position of Assistant Secretary of Electricity Delivery and Energy Reliability

to head it.

It is not clearly stated who "charged" the Department of Energy to this task, but since the Secretary

of Energy answers directly to the President, it is assumed that it was a directive from the

President. There certainly was no Congressional directive or mandate.

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On October 27, 2009, the Obama administration unveiled its Smart Grid plan by awarding $3.4

billion awarded to 100 Smart Grid projects. According to the Department of Energy's press release,

these awards will result in the installation of:

more than 850 sensors called 'Phasor Measurement Units" to monitor the overall power

grid nationwide

200,000 smart transformers

700 automated substations (about 5 percent of the nation's total)

1,000,000 in-home displays

345,000 load control devices in homes

This is the "kick-start" of Smart Grid in the U.S. On January 8, 2010, President Obama unveiled

an additional $2.3 billion Federal funding program for the "energy manufacturing sector"

as part of the $787 billion American Reinvestment and Recovery Act. Funding had already been

awarded to 183 projects in 43 states, pending Obama's announcement.

One such project in the northwest is headed by Battelle Memorial Institute, covering five states

and targeting 60,000 customers. The project was actually developed by the Bonneville Power

Administration (BPA), a federal agency underneath the Department of Energy. Since it is pointedly

illegal for a federal agency to apply for federal funds, BPA passed the project off to Battelle,

a non-profit and non-governmental organization (NGO), which was promptly awarded $178 million.

It is interesting to note that BPA takes credit for originating the Smart Grid concept in the early

1990's, which it termed "Energy Web." You can see from BPA's graphic depiction that it is comprehensive

in scope from production to consumption.

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According to Battelle's August 27, 2009 press release,

"The project will involve more than 60,000 metered customers in Idaho, Montana,

Oregon, Washington and Wyoming. Using smart grid technologies, the project will

engage system assets exceeding 112 megawatts, the equivalent of power to serve

86,000 households.

'The proposed demonstration will study smart grid benefits at unprecedented geographic

breadth across five states, spanning the electrical system from generation

to end-use, and containing many key functions of the future smart grid,' said Mike

Davis, a Battelle vice president. 'The intended impact of this project will span well

beyond traditional utility service territory boundaries, helping to enable a future

grid that meets pressing local, regional and national needs’.”

Battelle and BPA intend to work closely together and there is an obvious blurring as to who is

really in control of the project's management during the test period.

In a "For Internal Use Only" document written in August 2009, BPA offers talking points to its

partners. It states that "Smart Grid technology includes everything from interactive appliances in

homes to smart meters, substation automation and sensors on transmission lines." [Emphasis


A Network of Things

As the World Wide Web (WWW) is to people, the Network of Things (NOT) is to appliances.

This brand new technology creates a wireless network between a broad range of inanimate objects

from shoes to refrigerators. This concept is "shovel ready" for Smart Grid implementation

because appliances, meters and substations are all inanimate items that technocrats would have

communicating with each other.

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For instance, In 2008 the Pacific Northwest National Laboratory (PNNL) developed this small

circuit board called a "Grid Friendly Appliance Controller." According to a Department of Energy


"The GFA Controller developed by Pacific Northwest National Laboratory is a

small circuit board built into household appliances that reduces stress on the power

grid by continually monitoring fluctuations in available power. During times of high

demand, appliances equipped with the controller automatically shut down for a

short period of time, resulting in a cumulative reduction that can maintain stability

on the grid."

According to PNNL's website,

"The controller is essentially a simple computer chip that can be installed in regular

household appliances like dishwashers, clothes washers, dryers, refrigerators,

air conditioners, and water heaters. The chip senses when there is a disruption in

the grid and turns the appliances off for a few seconds or minutes to allow the grid

to stabilize. The controllers also can be programmed to delay the restart of the appliances.

The delay allows the appliances to be turned on one at a time rather than

all at once to ease power restoration following an outage."

You can see how automatic actions are intended to be triggered by direct interaction between

objects, without human intervention. The rules will be written by programmers under the direction

of technocrats who understand the system, and then downloaded to the controllers as necessary.

Thus, changes to the rules can be made on the fly, at any time and without the homeowner's


PNNL is not a private enterprise, however. It is "owned" by the U.S. Department of Energy and

operated by Battelle Memorial Institute!

All of this technology will be enabled with Wi-Fi circuitry that is identical to the Wi-Fi-enabled

network modems and routers commonly used in homes and businesses throughout the world. Wi-

Fi is a trademark of the Wi-Fi Alliance that refers to wireless network systems used in devices

from personal computers to mobile phones, connecting them together and/or to the Internet.

According to the Wi-Fi Alliance, "the need for Smart Grid solutions is being driven by the

emergence of distributed power generation and management/monitoring of consumption." In

their white paper, Wi-Fi for the Smart Grid, they list the specific requirements for interoperability

posted by the Department of Energy:


Provide two-way communication among grid users, e.g. regional market operators, utilities,

service providers and consumers


Allow power system operators to monitor their own systems as well as neighboring systems

that affect them so as to facilitate more reliable energy distribution and delivery

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Coordinate the integration into the power system of emerging technologies such as renewable

resources, demand response resources, electricity storage facilities and electric

transportation systems


Ensure the cyber security of the grid.

Thus, the bi-directional and real time Smart Grid communications network will depend on Wi-

Fi from end to end. This is easily understood from the two figures included in the Wi-Fi Alliance

white paper:

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While the consumer is pacified with the promise of lower utility costs, it is the utility company

who will enforce the policies set at the regional, national and global regulators. Thus, if a neighboring

system has a shortage of electricity, your thermostat might automatically be turned down

to compensate; if you have exceeded your monthly daytime quota of electricity, energyconsuming

tasks like washing and drying clothes, could be limited to overnight hours.

Smart Grid and the utility's control extends beyond electricity. Notice in Figure 1 above that

there is a Wi-Fi linkage to gas and water meters as well!

Consumer Blowback?

Wall Street Journal reported "What Utilities Have Learned From Smart-Meter Tests..." on February

22, 2010, and revealed several important early aspects of smart grid implementation.

A principal goal is to enable utilities to restructure rate plans

A principal goal is to force consumer behavior to change

Some utility executives anticipate and fear a consumer rebellion

Nevertheless, the big carrot for utility companies to go along with the government's Smart Grid

is to balance electrical demand, cut back on new power generation facilities and enhance their

profit picture.

Before the dust settles on Smart Grid, both consumers and utilities may learn some sharp lessons

about government intervention: When the government shows up on your doorstep and offers

to help you save money, everyone knows that is an oxymoron. Government does not function

to help people or companies to save money or to be more efficient; rather, it functions to

maintain and increase its own power and control over its citizens.

Going Global

The UNEP report mentioned above reveals that "15 percent of the fiscal stimulus funds committed

for 2009-2010, which exceed $3.1 trillion, can be regarded as green in nature... most green

components are oriented towards energy efficiency and renewable energies in a variety of sectors."

A BusinessWeek article, "How Italy Beat the World to a Smarter Grid" stated on November 16,

2009 that "After several false starts, 2010 finally could be the year when smart meters go


Indeed, it is:

Italy has already implemented Smart Grid technology in 85 percent of its homes nationwide reports that Smart Grid will generate $200 billion of global investment in

the next few years

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The International Electrotechnical Commission (IEC) has laid out a global roadmap to

insure interoperability of Smart Grid systems between nations

Global companies are rushing to gain their share of the global Smart Grid market: IBM,

Siemens, GE, Cisco, Panasonic, Kyocera, Toshiba, Mitsubishi, etc.

China is spending $7.32 billion to build out Smart Grid in Asia.

Other countries with Smart Grid pilot projects already launched include Germany, France,

England, Russia, Japan, India, Australia, South Africa and a host of others. Regional organizations

such as SMARTGRIDS Africa have been set up to promote Smart Grid in smaller countries.

Thus, the global rush is on. In every case, Smart Grid is being accelerated by government

stimulus spending. The global vendors are merely lining up their money buckets to be filled up

with taxpayer funds.

As is the case in the U.S., there was little, if any, preexisting or latent demand for Smart Grid

technology. Demand has been artificially created by the respective governments of each country.


Smart Grid meets 100 percent of the Technocracy's original requirements as described above.

In other words, it will monitor and control both delivery and consumption of energy and other

green resources such as water and gas.

The Smart Grid initiative was developed and funded by government agencies and NGO's. It

was the Energy Department's Bonneville Power Authority that invented the concept in the

1990's. It was the Department of Energy's Pacific Northwest National Laboratory that invented

the Grid Friendly Appliance Controller. It was the Federal Administration that showered billions

of dollars over the private sector to jump-start the nationwide initiative to implement Smart Grid

in every community.

If the Federal government had not been the initial and persistent driver, would Smart Grid exist

at all? It is highly doubtful.

Following the same pattern as the U.S., many other industrialized nations are implementing

Smart Grid at the same time, using their own stimulus money. This synchronized implementation

is certainly by design, and as such, it implies that there must be a designer. Who might be providing

such top-down coordination on a global basis must be saved for another paper. One thing is

certain: The technology being purchased world-wide all originated in the United States and is

being marketed by the same global corporations as mentioned above.

Lastly, there is an assumption throughout Smart Grid literature that the Federal Administration

will have full visibility of all data within the Smart Grid, even down to the individual household.

They will also be in a position to set national, regional and local distribution and consumption

policies, such as your "fair share" of available energy, gas and water.

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August 2010


International standards created for Smart Grid will also enable the U.S. Smart Grid to be connected

seamlessly with Canada and Mexico, thus providing a comprehensive North American

energy management and distribution system.

Is Smart Grid destined to be a global phenomenon? Yes. Is it designed to support a new global

Technocratic, resource-based economic system? Yes.

Technocracy must be seen for what it is: An attempt to impose a totalitarian, scientific dictatorship.

In 1933, it called for the inauguration of Franklin Delano Roosevelt as dictator in order to

"pave the way for economic revolution." Fortunately at the time, they failed in their attempted


If today's Smart Grid is successfully completed, it will enable the conversion of our existing

economic system into something far different and far worse. This is why the American people

repudiated Technocracy in 1933, and this is exactly why we (and citizens around the world)

should thoroughly repudiate it today.


Scott & Hubbert, Technocracy Study Course, Technocracy, Inc., 1934

Background paper for the ministerial consultations, Governing Council of the United Nations

Environmental Programme, December 14, 2009

The Smart Grid: An Introduction, U.S. Department of Energy

Pacific Northwest National Laboratory, web site

2010 Strategic Plan, Office of Electricity Delivery & Energy Reliability

The Networked Grid 100: Movers and Shakers of the Smart Grid

Meloan, Steve, "Toward a Global 'Internet of Things'", Oracle Software, November 11, 2003

Wi-Fi for the Smart Grid, Wi-Fi Alliance, 2009

Obama Announces $3.4 Billion Investment to Spur Transition to Smart Energy Grid, Department

of Energy Press Release

Note: In preparing for this report, the editor would like to give special thanks to Dr. Martin Erdmann,

Carl Teichrib and Dr. Michael Coffman, for their encouragement, testing of ideas and additional

supporting research.

Forcing Change, Volume 4, Issue 8

August 2010


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Forcing Change, Volume 4, Issue 8

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The Great Technological War

It’s hard for us, almost one hundred years after the fact, to comprehend the cultural shock that came with the Great War – better known to us as World War I. Science and technology had promised a horn of plenty and human unity, yet it unleashed indescribable horrors.

In August 1914 the might of modern industry, science, and engineering baptized Europe in fire, steel, and blood. In terrible irony the opening battles witnessed French infantrymen marching across fields in “blue breaches and red coats,” and artillery officers in bold black and gold dress (47) – throwbacks to a Napoleonic age. The Great War for the French (and others) started with its foot in the romantic past. But this was the era of science and mechanization; World War I was the first engineered slaughterhouse....


1. Graham A. Laing, Towards Technocracy (The Angelus Press, 1933), p.46.

2. Arthur C. Clarke, Childhood’s End (Ballantine Books, 1953), p.69.

3. Scott Nearing, United World (Island Press, 1944), p.221.

4. David F. Victor and Joshua C. House, “A New Currency: Climate Change and Carbon Credits,” Harvard

International Review, Summer 2004, p.56.

5. A Rough Guide to Individual Carbon Trading (Centre for Sustainable Energy, November 2006), p.13.

6. A very interesting book on technology’s role in cultural change is Technopoly: The Surrender of Culture

to Technology, by Neil Postman (Vintage, 1993).

7. Neil Postman, Technopoly: The Surrender of Culture to Technology (Vintage, 1993), p.11.

8. From the 1936 movie, Things To Come.

9. Henry C. Clausen, Emergence of the Mystical (Ancient and Accepted Scottish Rite of Freemasonry,

1981), p.xi.

10. Henry C. Clausen, Emergence of the Mystical, p.92.

11. See the H.G. Wells’ listing in the webpage for the Grand Lodge of British Columbia and Yukon


12. H.G. Wells, The Open Conspiracy: Blue Prints for a World Revolution (Doubleday, Doran and Company,

1928), p.143.

13. Wells, The Open Conspiracy, p.163.

14. As quoted in Vance Packard’s book, The People Shapers (Little, Brown and Company, 1977), p.3.

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15. Dante Germino, Machiavelli to Marx: Modern Western Political Thought (University of Chicago

Press, 1972), p.273.

16. “Auguste Comte,” Stanford Encyclopedia of Philosophy,

17. Dante Germino, Machiavelli to Marx, p.273.

18. Felix Markham, introduction to Henri de Saint-Simon’s collection, Social Organization, The Science

of Man, and Other Writings (Harper, 1952), p.xxi.

19. Henri de Saint-Simon, “Introduction to the Scientific Studies of the 19th Century,” Social Organization,

The Science of Man and Other Writings (Harper, 1952), p.20.

20. Henri de Saint-Simon, “Essay on the Science of Man,” Social Organization, The Science of Man and

Other Writings (Harper, 1952), p.21.

21. Dante Germino, Machiavelli to Marx, p.296.

22. Dante Germino, Machiavelli to Marx, p.290.

23. Dante Germino, Machiavelli to Marx, p.289.

24. Dante Germino, Machiavelli to Marx, p.296.

25. Dante Germino, Machiavelli to Marx, p.296.

26. W.H.G. Armytage, The Rise of the Technocrats: A Social History (Routledge and Kegan Paul, 1965),


27. W.H.G. Armytage, The Rise of the Technocrats: A Social History, p.120.

28. For a Christian perspective, see Ken Ham and A. Charles Ware, Darwin’s Plantation: Evolution’s Racist

Roots (Master Books, 2007). An older text worth perusing is Richard Hofstadter, Social Darwinism in

American Thought (George Braziller, 1959). See also, Edwin Black, War Against The Weak (Four Walls

Eight Windows, 2003), and page 208 of Ronald W. Clark’s book, The Survival of Charles Darwin: A Biography

of a Man and an Idea (Random House, 1984). Finally, Benjamin Kidd discusses class and evolution

in his book, The Science of Power (Methuen, 1918/1919).

29. Quoted by Benjamin Kidd, The Science of Power (Methuen, 1918/1919), p.92.

30. A number of important books on the subject of eugenics have been published. I would suggest Edwin

Black’s War Against the Weak (Four Walls Eight Windows Publishing, 2003) for its thoroughness in regards

to American and Germanic eugenics.

31. Benjamin Kidd, The Science of Power (Methuen, 1918/19), pp.73-74.

32. Harold Loeb, Life In A Technocracy: What It Might Be Like (Syracuse University, 1933/1996), p.178.

33. Harold Loeb, Life In A Technocracy, p.174.

34. John L. Reed, The Newest Whore of Babylon: The Emergence of Technocracy – A Study in the

Mechanization of Man (Branden Press, 1975), p.120.

35. B.F. Skinner, Walden Two (Macmillan, 1968 paperback edition), p.308.

36. David Lindsay, Madness in the Making: The Triumphant Rise and Untimely Fall of America’s Show

Inventors (Kodansha, 1997), p.269.

37. W.H.G. Armytage, The Rise of the Technocrats: A Social History, p.246.

38.W.H.G. Armytage, The Rise of the Technocrats, p.249. See also pages 120-121.

39. For a detailed exploration of these events, see Armytage, The Rise of the Technocrats: A Social History,


40. See, Don K. Rowney, Transition to Technocracy: The Structural Origins of the Soviet Administrative

State (Cornell University Press, 1989). See also, W.H.G. Armytage, The Rise of the Technocrats: A Social


41. Norman Dodd, The Dodd Report to the Reece Committee on Foundations, 1954. This short report can

be read over a cup of coffee, however, the Reece Committee hearings and final reports are very substantial

documents, exploring in detail the rise and influence of foundations as agents for international and

domestic social transformation.

42. Robert M. Gates, as explained in a speech he gave to the Carnegie Endowment for International

Peace, Washington D.C, October 28, 2008.

43. Hendrik C. Andersen, World-Conscience: An International Society for the Creation of a World-Centre

(1913), p.4.

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44. Andersen, World-Conscience: An International Society

for the Creation of a World-Centre, p.8

45. Andersen, World-Conscience: An International Society

for the Creation of a World-Centre, p.11.

46. Andersen, World-Conscience: An International Society

for the Creation of a World-Centre, p.11.

55. Benjamin Kidd, The Science of Power, p.12.

56. Kidd, The Science of Power, p.9.