Elster Overview Sept 15th, 2010

Transcription

1 Elster Overview Sept 15th, 2010

2 Agenda, 9/15 Michigan PSC Industry overview Evolution of the SmartGrid Regulatory strategy Overview

3 Source: DOE The SmartGrid, provides benefits to utilities customers Stakeholders Policy Makers Regulators Consumer Advocates Environmental Groups Concept Technology & Tools, provide benefits to utilities & customers Transformational and Affordable Assures reliability Improves efficiency Improves consumer knowledge & choice Increases societal benefits Conserves, Reduces carbon footprint Accommodates renewables, EV, etc Advancements & efficiencies yet to come Utilities Technology Providers by Elster. All rights reserved.

4 Role of AMI, remove the blind spot for improved customer service and reliability Already Smart, getting Smarter AMI Extends Smart Grid Blind Spot substation to the consumer Utility Site Field, Distribution system, Meter, Premise Enterprise Applications Network Mgmt Systems Customer information Data Acquisition Prepayment Meter Data Mgmt (MDM) Asset Management Data applications Demand response Outage Management Planning Control by Elster. All rights reserved. Wide Wide Area Area Network Network (WAN) (WAN) Technologies: Technologies: Fiber Optic, Private wireless, BPLC Fiber Optic, Private wireless, BPLC Public Wireless - GPRS,CDMA, etc Public Wireless - GPRS,CDMA, etc Telephone, Satellite, others Telephone, Satellite, others Multiple WAN Multiple WAN Technologies: Technologies: See above See above AND Gate- Ways Local Area Local Area Networks (LAN) Networks (LAN) Utility Wireless Utility Wireless Utility PLC Utility PLC WIFI, WIMAX WIFI, WIMAX Wired - Ethernet Wired - Ethernet Measurement, Sensing, and Control Elements

5 Elster, global leadership 130 global markets 6,800 employees 38 major locations 200 million installations in the last ten years 175 Years providing utility solutions by Elster. All rights reserved. Elster/Kromschroeder/Instromet (Gas) American Meter (NA Gas) Westinghouse/GEC/ABB (Electricity) Kent (Water) Coronis (RF) / PowerOneData (GPRS)

6 Experience market differentiation Established and successful business Critical mass to weather economic downturns Continued investment with R&D approaching $100M/yr Active and supportive of industry standards and alliances Proven track record of performance in the industry Can and will stand behind our offerings Focus on solutions Products, systems, applications Services, delivery & the environment Partnering & choice Utility experience designing for utility applications Understand utility environment and challenges Understand revenue metering accurate and auditable a MUST! Understand systems must support Interoperability Current, future and legacy standards Distributed intelligence Security across the system, tools, and applications by Elster. All rights reserved.

7 Elster, leading the industry in annual revenue Annual Revenue ($B) Data Elster Itron/Actaris ESCO Bayard Roper Sensus Elster products satisfy buy American products objectives for ARRA by Elster. All rights reserved.

8 EnergyAxis proven in the Market Market Leading Solutions 81+ installed systems worldwide +4.0 million EnergyAxis endpoints Multi-Utility electric, water, & gas Delivering Smart Grid Capabilities Empowering Consumers: Consumer Portals Home Area Networks Modernizing the grid: Voltage Conservation Advanced Grid Infrastructure Proven utility-grade solutions Total network solutions 175+ years industry experience 2010 by Elster. All rights reserved. Proprietary and Confidential

9 Elster Proven technology for many different environments In Cities In Communities In the Country In the Jungle Under Snow In High Rises In Multi-use Space In Single Family Homes In Shacks In Rice Fields On Low Voltage Transformers by Elster. All rights reserved. Inside Pad Mount Transformers On Medium Voltage Lines On Re-closers

10 Utility EnergyAxis, scalable around the world Total Electric endpoints deployed sample set of installed systems Total customers available (electric) Total Gas Endpoints Deployed Consumers Energy 1,800 1,800,000 1,600,000 Questar 1,000,000 (AMR) 1,000,000 Toronto Hydro 628,053 Salt River Project 505,539 Ottawa 296,473 Arizona Public 274,775 Service Horizon Utilities 226, , , ,024 1,102, ,000 City of Tallahassee 196, ,000 10,000 (AMI) 30,000 Enersource 162, ,000 Total Customers available (Gas) Metrix (Mighty River Power) 121, ,000 City of Ocala CFE Mexico Black Hills Turlock Irrigation District 76,000 72,316 69,161 38,582 76,000 27,000,000 69,161 80,000 Orlando Utility Council 35, ,000 Entergy 12,714 2,400, ,000

11 AMI shipments +54% since % Proj 2010 Source: Scott Report, Q1, 2010

12 and will continue to grow, 50% penetration projected in North America by 2015 % Household penetration of smart meters by % 45% 40% 35% 30% 25% 20% 15% 10% 5% 0% By million Smart meters deployed throughout the world US Europe Asia Source: Berg Insight Aug, 2010

13 Current: 2010

14 Current Deployments.2010 Imagine.. Current:

15 PHASE 1 Enabling Infrastructure Phase 2 Introduction of New Technology and Programs Phase 3 Widespread Consumer Adoption

16 Elster s EnergyAxis system - Satisfies Michigan Requirements Michigan Act 295: Energy Optimization Plan REP (Renewable Energy Plan) Net metering requirements Michigan has defined REP goals, varies by utility Two goals with increasing deliverables 2013 & 2015 Energy Optimization goals (Energy Efficiency) Goals with increasing deliverables 2009, reduction of Energy by.3% of 2007 electrical energy delivered 2010, reduction of Energy by.5% of 2009 electrical energy delivered 2011, reduction of Energy by.75% of 2010 electrical energy delivered 2012, reduction of Energy by 1.0% of previous year thereafter

17 PHASE 1 Enabling Infrastructure AMI Source: Mike Howard (EPRI) Smart Grid & AMI, NARUC Winter Meeting Feb 2008 AMI the enabling infrastructure.

18 PHASE 1 Enabling Infrastructure Robust/Cost effective Multi- Technology Communications network Smart Meters Security Standards Multi-Utility Electric, Gas, Water Communication Technologies to meet the need today and tomorrow Auditable Data Built-in security and standards Full utility Solution by Elster. All rights reserved.

19 Elster EnergyAxis Network A field proven (Tried & True) end-to-end Network offering providing required Smart Grid characteristics; LAN Authentication Confidentiality WAN Data Integrity Standalone Reliability Repeater meter/repeater Security Enterprise Network Gatekeeper meters Utility Network HAN control router firewall EA_MS Standalone Gatekeeper WAN DA Devices DA Devices Meters w/wan Direct connection by Elster. All rights reserved.

20 The network must economically enable current and future capabilities Elster has executed +300,000 secure over the air upgrades Execution must be flexible and NOT interrupt critical everyday operations WAN by Elster. All rights reserved.

21 Customers expect answers now!... EnergyAxis leads the industry in performance Industry-leading performance, optimized for cost 142kbps throughput Variable packet size up to 256 bytes Fastest data rate local area network for the unlicensed MHz space Retrieve data in seconds 1-2 seconds per on-demand read EA Management System WAN Gatekeeper LAN 142 kbps Network Elements 256 bytes

22 AMI networks must support the future evolution of the SmartGrid EnergyAxis provides Superior data transport capacity 10% or less of network capacity used today 100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0% Open System Capacity

23 EnergyAxis reliable coverage for all Michigan customers Extended penetration and reach for urban, suburban, and rural customers 16 Hops Network providing reliability and redundancy Deterministic latency Multiple dynamic deterministic paths for consistent and reliable information Flexible network supporting mesh or direct connect applications Gatekeeper Level 1 Level 2 Level 3.. to Level 16

24 Secure the data at the most economical cost Distributed Intelligence throughout the network Messages and tasks prioritized and executed close to point of need Expedites actions and alerts Gatekeeper-managed tasks Optimized for cost and performance Data collection Data retransmissions Device programming and flashing Filtering out redundant alarms and events

25 EnergyAxis, auditable and future proof metrology functions Smart Meter vs Dumb Smart Meter Solid state meter does not equal smart meter Smart Meter itself needs to calculate metrological data Allows use of standard meter tables Provides complete billing data audit trail Allows government approval of the meter (e.g. Measurement Canada) EnergyAxis based on smart meters Elsters meters support upgrading metrology and communications firmware by Elster. All rights reserved.

26 Elster a greener more economic meter solution EnergyAxis meters Low power consumption less than nominal voltage $120,000,000 Cost of Smart Meter Burden Vendor 3 Assumptions: 20% radio transmitting $045 energy cost Vendor 2 = 3.5 watts Vendor 3 = 8 watts $100,000,000 Generation Cost $80,000,000 $60,000,000 $40,000,000 Vendor 2 Elster Vendor 2 Vendor 3 $6.9 million dollar savings per year with Elster $20,000,000 Elster $1.8 million dollar savings per year with Elster $0 Year 1 Year 5 Year 10 Year 15

27 Energy Axis Management System quick system and customer specific information Instant information at a click of a button Outage Restoration On Demand Read Power quality Reconnect/disconnect Voltage Network Diagnostics Network management by Elster. All rights reserved.

28 Security of customers data A MUST HAVE Security has been a top priority for the EA system Elster designed in security vs. bolted-on strategy Minimizes performance impacts Minimizes cost impacts Security has been resourced for success X-Telecommunications engineers and managers White Hat hackers EnergyAxis supports complete End to End security Utilize defined security standards Leverage 3 rd party security experts for assessment Leverage customer primed security analysis Security testing and validation is a continuous improvement process Each system release tested for security performance by Elster. All rights reserved.

29 Standards and Interoperability at the core of Elster s system strategy Elster a committed stakeholder in standard bodies, examples: IEE g NIST/CIM/Zigbee Elster a history of leveraging standards Standard interfaces enabled an integrated solution at all 81 installations Standards allow grid control Standard TCP/IP and SCADA protocols Enable smart grid with legacy equipment Security standards are essential for a reliable network NIST Approved (e.g. AES encryption) CIP requirements MDM AMI Headend SCADA AMI Smart Grid DR Consumer Portal by Elster. All rights reserved.

30 30 Standards and interoperability provide economical choice throughout the system

31 Energy Axis AMI system, provides infrastructure for all utility One network, one infrastructure for electric, gas, and water Smart Grid Customer service and reliability Conservation and efficiency Operational benefits by Elster. All rights reserved.

32 Energy Axis 2 Way Gas solution provides the benefits of the smart grid Smart monitoring & conservation Managing delinquencies Move-in and Move-out automation Soft or Hard disconnect Theft and loss detection Usage information Data warehousing Operational efficiency Predictive preventive maintenance Un-regulated energy management service offerings

33 Elster s Energy Axis Gas Solution Flexible system, to match utilities service territories 1. Utilities service territory includes overlapping gas and electric customers 2. Utilities electric service territory includes gas customers from neighboring utilities 3. Utilities gas customers, not within electric service territory Complete End to End security Forward Compatible for future functionality

34 EnergyAxis gas module, compatible with legacy and new gas meters Reuses existing index and avoids errors and efforts associated with closing reads during index change-out. Sprague Rockwell Elster American Meter

35 Compatible with Large Diaphragm Meter Models Elster American Meter Actaris Sensus/Rockwell*

36 Utilities with combined gas and electric service territories MDUS Enterprise Bus EAMS IP backhaul EnergyAxis Gatekeeper EnergyAxis Gatekeeper EnergyAxis Gatekeeper EnergyAxis LAN EnergyAxis LAN EnergyAxis LAN

37 Provide neighbor utilities with AMI coverage gas customers Service Territory MDUS Service Territory MDUS Enterprise Bus EAMS VPN Enterprise Bus WAN IP backhaul EnergyAxis LAN

38 AMI coverage to include gas only territories. Service Territory Service Territory MDUS MDUS Enterprise Bus EAMS VPN Enterprise Bus IP backhaul WAN EnergyAxis Gatekeeper IP backhaul EnergyAxis Gatekeeper EnergyAxis LAN EnergyAxis LAN

39 AMI / AMR Hybrid coverage Service Territory MDUS Service Territory MDUS Enterprise Bus EAMS Route Manager VPN AMR Data Enterprise Bus AMR Data IP backhaul WAN EnergyAxis Gatekeeper IP backhaul EnergyAxis Gatekeeper EnergyAxis LAN EnergyAxis LAN

40 PHASE 1 Enabling Infrastructure Phase 2 Introduction of New Technology and Programs NEW Remote connect / disconnect Real time meter reading Outage reporting Grid Modernization Voltage Conservation Load Reduction Transformer Monitoring Workforce Management Renewable /Distributed generation Plug-in hybrid vehicles (PHEV) Home Automation Call Center Work Management / Service Orders Service Restoration Elster is leveraging the customers AMI infrastructure for distribution grid modernization (AGI Initiative) by Elster. All rights reserved.

41 Remote service switch, provides both operational and customer benefits Elster s 200A disconnect switch Resides within residential meter Remotely administered via utility network No visual equipment signifying remote service switch capability Programmed to provide demand thresholds, demand limiting Load side voltage monitoring for safety and tamper Operational and customer benefits Avoid lost revenue and costs associated with move in s/move outs Prepayment, enabled via Elster s remote service switch +500K devices deployed and operational today

42 Real time voltage control enabling voltage conservation Voltage Conservation Leverages distributed intelligence architecture for optimal voltage data collection Deployment to monitor voltage levels at key points on distribution feeders Off-peak voltage is conserved and monitored Maintain voltage at minimal thresholds EA_MS by Elster. All rights reserved.

43 Load reduction for rural commercial customers irrigation pump control Load Reduction Control of large three phase irrigation pumps during peak times Year 3 of commercial deployment in process AGI RLC by Elster. All rights reserved.

44 Transformer Monitoring Deployment to monitor secondary transformers Monitor voltage, transformer loading, outage by Elster. All rights reserved.

45 Providing a solution for renewable implementations Renewables require not only net metering, but sub metering of subsidized renewable energy Installed Elster residential meters in interface to PV to monitor actual PV output Enables verification of green energy contribution by Elster. All rights reserved.

46 The network does need to provide PHEV support Use of AMI for monitoring EV charging stations Elster smart meter used to monitor and control electricity consumption patterns at charging station Part of Burlington Hydro s GridSmartCity project Continued discussions with partners by Elster. All rights reserved.

47 Providing energy efficiency information to the end use customer EnergyAxis DR provides consumer information and control Information, knowledge and ability to better manage demand Better understanding of the cost of using appliances, AC, heating, etc. In general At different times of the day under a TOU rate Ability to manage / reduce overall energy consumption Manage peaks, shift load Additional benefits during Critical Peak periods Control (direct/indirect) of energy use by Elster. All rights reserved.

48 PHASE 1 Enabling Infrastructure Phase 2 Introduction of New Technology and Programs Phase 3 Widespread Consumer Adoption Behavioral changes Distributed / Renewable generation PHEV Consumer choices for consumption Green energy initiative Partially available today with pilots, web portals, Home Automation deployments Home Automation/PHEVs/Distributed Generation Business cases need further clarification Continued evolution of standards necessary by Elster. All rights reserved.

49 R&D - Grid Modernization Activities Capacitor Bank Control Typically 1-2 control devices per feeder Leverage deployed WAN technologies deployed for Capacitor Bank Control Provides TCP/IP capability for SCADA protocols; backward compatible for legacy equipment EA_MS WAN LAN LV Node EA Gateway/GK Cap Bank Controller by Elster. All rights reserved.

50 R&D Areas CIM IEEE g Zigbee SEP 2.0 TCP/IP GPRS Public Wireless CalAmp Private Wireless Standard Interfaces Support New Standard for LAN Support New Standard HAN (SEP 2.0) TCP/IP for Grid Control WAN connected GK/Meter Enable private wireless for rural GK/Meters Grid Monitoring (V,PQ, TX, MV Line Monitoring, FCI) Grid Control (TCP/IP for SCADA) by Elster. All rights reserved. Gather information from additional points Support applications such as voltage conservation Provide grid information to operations for feeder control

51 Ed Gray VP, Legislative & Regulatory Affairs

52 Influential in the Direction of the Smart Grid Federal: EPAct 2005, EISA 2007, ARRA 2009, (PURPA 1978), new energy legislation White House Smart Grid Subcommittee DOE FERC FCC NIST interoperability standards State PUCs: MI (2006, 07, 08, GLEMS 09), PA, MD, IL, OH, TX, NJ, NY, KS, 41 overall NARUC, MARC, principal Elster focus has been AMI functional requirements Standards groups: national & Canada ANSI C12 series, international IEC Part 9 Regional groups: PJM, MADRI Trade Associations GridWise Alliance National Electrical Manufacturers Association American Public Power Association Edison Electric Institute Utilities Telecom Council Peak Load Management Alliance

53 Regulatory Strategy Work with trade associations, utilities, and governmental bodies nationwide promoting: Technology neutrality Widespread competition lower cost solution to consumers Appropriate social and economic benefits for consumers

54 A Partner with Utilities Supporting utilities primary objectives: Participation in regulatory process Providing best practices and associated case studies Defining technology requirements Protection against stranded assets Defining cost recovery options

55 Elster Involvement at Federal level FCC Broadband Plan: wireless broadband everywhere new spectrum for smart grid DOE: supporting smart grid grants Defining requirements with awardees Providing reporting metrics Shaping cyber security standards DOE, DHS, NIST, GWAC, NERC Influence federal Process for adoption and scope of NIST Standards by FERC Influence White House smart grid subcommittee developing a framework for all the diverse smart grid work

56 Congress initiated SmartGrid interoperability effort EISA 2007 Section 1305 gives NIST the primary responsibility to coordinate framework development; as per EISA: Scope for Information management protocols model standards Product scope Generation and Transmission (possible mandatory standards under FERC) Consumer appliances (possible voluntary standards)..nist expansion to include Electric Distribution System The interoperability standards purpose: define the standards for federal smart grid grants.

57 Elster s solutions are proven to be interoperable Solutions for utilities must be interoperable with existing legacy systems Elster s 81+ deployments Proven interoperability with many suppliers Elster s strategy, participate in standards development influencing future applications Example: NEMA SG-AMI SCADA MDM AMI Smart Grid DR AMI Headend Consumer Portal

58 Sources for NIST Standards Voluntary consensus standards are developed in committees of experts from stakeholders utilities, manufacturers, testing firms, government agencies Open protocols and standards may come from Accredited Standards Development Organizations (for example the National Electrical Manufacturers Association ANSI C12 electricity metering series) Industry Alliances (for example, ZigBee) A users group (for example, DNP 3) Voluntary standards may be made mandatory by government action, such as FERC adoption The NIST process is endorsing a portion of the open standards that may be used for smart grid applications

59 NIST Standard Implementations ARRA 2009 provided the funding to implement the NIST work, EISA had only authorized it Smart Grid Interoperability Panel launched 11/2009 First Release 1/19/2010, initial set of 75 standards Priorities for additional standards established Future Proofing.NEMA SG-AMI , Provides standards for future proofing advanced metering Firmware upgrades:» Elster has executed +100K over- the- air NIST has used this standard as assurance for state regulators to go forward with deployments

60 Elster Solution Satisfies Michigan Requirements Michigan Act 295: Energy Optimization Plan REP (Renewable Energy Plan) Net metering requirements Michigan has defined REP goals, varies by utility Two goals with increasing deliverables 2013 & 2015 Energy Optimization goals (Energy Efficiency) Goals with increasing deliverables 2009, reduction of Energy by.3% of 2007 electrical energy delivered 2010, reduction of Energy by.5% of 2009 electrical energy delivered 2011, reduction of Energy by.75% of 2010 electrical energy delivered 2012, reduction of Energy by 1.0% of previous year thereafter

61 Thank you..