Despite the benefits offered by smart grids, energy producers, distributors and consumers are increasingly concerned about possible security and privacy threats. These threats typically manifest themselves at runtime as new usage scenarios arise and vulnerabilities are discovered. Adaptive security and privacy promise to address these threats by increasing awareness and automating prevention, detection and recovery from security and privacy requirements' failures at runtime by re-configuring system controls and perhaps even changing requirements. This paper discusses the need for adaptive security and privacy in smart grids by presenting some motivating scenarios. We then outline some research issues that arise in engineering adaptive security. We particularly scrutinize published reports by NIST on smart grid security and privacy as the basis for our discussions.