  We study the design of pricing schemes for a group of consumers with smart
meters (e.g., in a Greenfield area) who are connected through a gateway to a
traditional electricity greed with a progressive tariff. Because the
progressive tariff cannot take into account the time aspect of electricity
demands, we apply it to consumers in both an individual and a group basis over
a shorter time period, which can flatten the overall demand over time and
thereby reduce peak load. This scenario for the coexistence of traditional and
smart girds and the pricing schemes under this scenario can enable smooth
migration to a future smart grid.
