A more thorough explanation:

Smart Grid is a set of energy policies that aim to decrease the amount of energy used during peak hours.

For example, during hot summer days, many people turn on their air conditioners at the same time, causing a surge in energy demand. Smart Grid policies would encourage people to use their air conditioners at different times or use more energy-efficient models to reduce the overall energy demand during peak hours.

Another example is the use of smart meters, which allow homeowners to monitor their energy usage in real-time and adjust their consumption accordingly. This helps to reduce energy waste and lower overall energy costs.

Overall, Smart Grid policies aim to create a more efficient and sustainable energy system by reducing energy waste and promoting the use of renewable energy sources.