Smart Metering System for Smart Communities

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1 Smart Metering System for Smart Communities Chuck Sathrum, Director Smart Grid Solutions

2 Metering s Transitional Role Product Oriented Value Process Oriented Value People Oriented Value EM Meter Send Bill EL Meter Send more accurate bill with flexible rates. AMR Lower O&M Costs Low Risk 100 Years 20 Years 10 Years AMI Connected to Consumer Smart Grid for Community Today Environment Consumer Prices AMI Utility Costs 2

3 Community Friendly Network Low hardware profile Low energy footprint Scalable Extensible Easy to install and maintain Low RF footprint Affordable 3

4 Utility Friendly Network Utility Needs* in order of priority: 1. Reliability 2. Standardization of technology and protocols 3. Adaptability 4. Higher bandwidth 5. Low latency 6. Ubiquitous coverage 7. Tight cyber-security 8. Uninterrupted power supply backup to network 9. Cost effectiveness (including price) *Source: Utility Telecom Council 2011 Annual Conference 4

5 Elster s Smart Metering System 5

6 Number of points AMI Enables Economical Communications AGI Initiative AMI Distribution Transmission Generation Cost of communications 6

7 Technology choices today Mesh Tower PLC Point to Point Speed Fast Fast Slow Bandwidth Broad Narrow Narrow Scalability High Low High Broadcast Speed Medium Fast Slow WAN Choice Fixed Fixed Interference Technology Does Prevent Technology Does Not Prevent No Interference License Unlicensed Shared Bandwidth License Protects Right to Exclusive Bandwidth NA Risk of Frequency Re-allocation Very Low Low NA Contention Low (Distributed Path) High (Bubble Up) Low Redundancy Easy (Add gatekeeper) Difficult (Add Towers) None Self Healing High Low None Data Throughput Reliability High (Every Network Element is Repeater) Low to High (Varies with # of Towers and Repeaters Deployed) High

8 Generation 2 RF Mesh Quadrupled bandwidth Improved latency Extended reach 2400 feet planning hops (vs ft. in G1) 16 hops per subnet (vs. 8 hops in G1) 8

9 Network Bandwidth 10% or less of network capacity used today 1-2 seconds per on-demand read 9

10 Operational IT and Communications Convergence IP AxisLink enables connection of SCADA devices to the AMI infrastructure avoiding the cost to extend or add a separate DA communication network. 10

11 IP AxisLink TM Platform Network Diagram Utility IED (DA IP endpoint) MultiSpeak - CIM TCP/IP connectivity IP AxisLink server DA Recloser Ethernet IP EnergyAxis WAN / LAN Infrastructure IP connectivity Ethernet IP Utility IED (DA IP endpoint) DMS/SCADA EnergyAxis Management System DA Voltage Regulator Ethernet IP Utility IED (DA IP endpoint) DA Capacitor Bank IP AxisLink routers (EnergyAxis IP endpoint) 11

12 Elster: Hosted Solutions Portfolio Infrastructure as a Service Software as a Service Fully Managed Services EnergyAxis Explore TM AMI evaluation program Smart Grid as a Service TM (SGS) 12

13 Infrastructure as a Service Hosted IT from Elster Utility Data Center Enterprise Applications Hosted Data Center Utility Service Territory WAN Communications Network EnergyAxis Management System LAN Servers and other IT infrastructure HAN 13

14 Software as a Service Hosted AMI from Elster Utility Data Center Enterprise Applications Hosted Data Center Utility Service Territory WAN Communications Network EnergyAxis Management System LAN Servers and other IT infrastructure HAN 14

15 Fully Managed Services Utility Data Center Enterprise Applications Hosted Data Center Enterprise Applications Utility Service Territory WAN Communications Network Communications Network EnergyAxis Management System LAN Servers and other IT infrastructure HAN 15

16 Flexible ownership models offer choices Business model and commercial terms Fully Licensed Infrastructure as a Service Software as a Service Fully Managed Utility licenses the EnergyAxis System Utility pays for the hardware and license upfront Utility enters into an annual System Maintenance Agreement (SMA) with Elster Utility licenses the EnergyAxis System Utility pays for the license, (and optionally, server hardware) upfront Utility pays a monthly subscription for the infrastructure and system maintenance Utility licenses the EnergyAxis System Utility pays a monthly subscription fee for the license, cloud computing resources and system maintenance Minimum 3 year contract term required Utility pays a monthly subscription fee for managed services and system maintenance Minimum 2 year contract term required Utility directly contracts with WAN provider Utility directly contracts with WAN provider 12, 24 or 36 month contract term available Utility directly contracts with WAN provider Utility directly contracts with WAN provider 16

17 Obstacles to Building a Smarter Grid Capital investment required Uncertain payback period Complexity of design, build & operate decisions Death by Pilot Attitude Its really just enhanced AMR, isn t It? Perceived lack of solution flexibility & fear of technology obsolescence We also supply water/gas Confusion over best course of action What works best in hardware, software, network? Whose technology platform for desired results? Where/when/how should I start? What do I need/afford today? Tomorrow? 17

18 What s Creating a Burning Platform for Change? Rising energy costs Demand growth projected for next years Aging infrastructure including 1-way load control Retiring work force of the best and brightest Systemic system losses in water, gas & electric business operations Rising number of disconnects for non-pay and related charge-offs Regulation, policies and activists legislation Rising expectations of customers for reliability and innovative programs Impact of technology advancements on distribution system from plug-in vehicles, distributed generation, solar & wind energy 18

19 What Are The Available Options? Do Nothing Customers are not waiting to implement new technologies Customers are not reducing consumption or demand for energy System losses are not getting better Employees will retire Infrastructure will not be getting any younger Build, Own & Operate Lack of capital Complexity of decisions increase risks and price of failure Technology integration is difficult to obtain & maintain and at the same time is absolutely critical to driving benefits Business needs will change making it difficult to future proof applications What Other Options Are Available? 19

20 Smart Grid as a Service: Potential Benefits Accelerated deployment to realize maximum benefits Low initial cost Paid for solution out of savings generated from implementation Defer payments until savings begin to accumulate Reduced total cost of ownership over lifecycle Reduce risks of technological obsolescence Reduce risks of design, build and operate Eliminate integration service support issues Enable new market driven offerings (prepaid, TOU) Platform to build on for advanced applications 20

21 Elster Partners Enterprise Applications Meter Data Management Systems EnergyAxis Management System Network Mgmt Meter Mgmt Data Collection Mgmt Grid & DR Device Mgmt WAN Communications LAN Communications Gatekeepers Repeaters WAN Connected Meters WAN Connected Sensors Measurement, Sensing, and Control Elements In Premise Equipment In Premise Equipment Electric Meters Grid Sensors & Controllers Water & Gas Meters

22 Thank You 22

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