A smart grid electrical distribution system is coming to the city of Sault Ste. Marie.

It's being called unique, and there are promises it will reduce greenhouse gas emissions and increase efficiency.

The new smart grid system will cost more than $32-million.

Those involved with the project say the price tag is worth the benefits.

Robert Brewer is the President and CEO of Public Utilities Commission Services in Sault Ste. Marie.

"We'll see about a 4% reduction in the amount of energy used, which again is fantastic for the city. It results in almost 3,000 tonnes of carbon dioxide that aren't emitted every year. Which is, we've used the equivalent of 420 homes entire electricity use for a year." said Brewer.

The PUC CEO says the new system will self-diagnose problems in the line and in some cases correct them on its own.

"Traditionally what happens is that whole area goes dark, and then we send line crews out to go and figure out what the problem is, and then the line crew will liven up any areas they can while they then address the problem. This system automatically livens up those areas that aren't affected. As a result, instead of having hundreds of people out, we might have ten or twelve people out." said Brewer.

Veteran city councillor Steve Butland has long been a green energy advocate.

He and other staff say the benefits of becoming the first city to implement this system could have other benefits.

"The city applied for a Smart City Grant from the federal government. We didn't pass, we didn't qualify. I truly, truly believe that smart grid will mean smart city for Sault Ste. Marie, which brings with it a whole lot of money." said Butland.

Christian Provenzano is the Mayor of Sault Ste. Marie.

"It's innovative, it's really cool. And most importantly, it really upgrades our electrical system, which is pretty dated. So, we will be a leader, we'll be the first community that does this and I strongly believe other communities will follow." said Provenzano.

Upgrading current technology and infrastructure isn't cheap, but city staff says the cost will not be directed to taxpayers.

Private funding is being used for about half, while provincial and federal support will be needed.

The smart grid is expected to be operational in early 2020.