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People of the world are now fully aware of the importance of measures against global warming. It raises high expectations for clean power generation and advanced technologies. In this regard, Smart Grid, which effectively controls supply and demand of electric power by information technology, is a leading tool for developing a “new town”. Although many aspects of such new town have been observed recently and worth knowledge has been achieved, rarely can be found an article to make a comprehensive overview on smart grid and its related vision, therefore, in this paper a working definition is presented that will help to put in context the framework for better realization of smart grids.