Case Study: Transforming Energy Networks. John Theunissen, Director Smart Networks

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1 Case Study: Transforming Energy John Theunissen, Director Smart

2 Presentation Overview Context - Australian energy networks and SP AusNet Drivers for smarter networks High profile Federal and State Smart Grid initiatives Transforming SP AusNet s energy networks

3 Australian Energy National Energy Market (NEM) Includes Eastern and Southern States 260+ Registered Generators, 6 Transmission, 13 Distribution In geographical span, the largest interconnected power system in the world? (>5000km) Voltage Levels Transmission (500kV/330kV/275kV/220kV) Distribution (33kV/22kV/11kV)

4 Australian Energy Geographical coverage and customer density Population of 22 Million, 10M electricity connections Could have >100km of electricity distribution network serving <50 customers Extreme weather conditions Cyclones and flooding in the North Intense heat in the interior Catastrophic bushfires in the South Reference websites: Fully contestable markets in Victoria Disaggregated, privatised electricity supply industry Extremely active competitive retail market

5 SP AusNet Transmission Assets Primary electricity transmission provider in Victoria Distribution Assets Electricity distribution (blue area) Gas distribution (green area) Ownership 51% Singapore Power International 49% Public investors

6 Drivers for Smarter Energy Population Energy Demand Security Threats Climate Change Ageing Assets Distributed Energy Resources Electric Vehicles Changing Customer Demands Socio-political attitudes Pervasive Communication Intelligent Digital Technologies Data & Information Availability Aggregation potential Products/Systems/Services Integration

7 Increasing Energy Network Dynamics # Solar PV adoption Now # Distributed Energy Management Solutions Now Ability to satisfy customer needs Now Smart Conventional t t t Electric Vehicles Distributed Energy Storage Now High EV Take-up # Now t # Now t Distribution Network utilisation High DG and Storage Impact t

8 Federal/State Initiatives Distribution network reliability incentive schemes Introduces a service term in the price control formula, typically (1-CPI)(1-x)S Guaranteed servive level payments to customers for low reliability Victorian Advanced Metering Infrastructure program Government developed cost-benefit analysis Replacement of up to 3M meters Includes remote communications, 30min interval data Solar Cities program Adelaide, Alice Springs, Blacktown, Central Victoria, Moreland, Perth, Townsville. Remote Read Last Gasp HAN Interface Load Control Quality of Supply Tamper Detection Remote Upgrades Remote energisation

9 Federal/State Initiatives National Broadband Network Combination of fibre, wireless and satellite technologies 10Megabit per second speeds to 93% of Australian premises and 12 Megabits per second to 7%, subject to final design Smart Grid Smart City grant Corporate scale deployment in Australia test business case Build corporate awareness of the benefits of smart grids obtain buy-in from industry Gather info and data to inform broader industry roll-outs of smart grids Investigate synergies with other networks: gas, water and telecommunications Victorian Electric Vehicle trial 60 Vehicles, 180 charging points Six vehicle suppliers 24 Fleet operators 180 Households Four charging infrastructure providers

10 Value Transforming SP AusNet Energy Traditional: Changing Operational Paradigms Time Decision/Action Automated Manual and collate data Gather Collate Validate Analyse to a state that is trusted Series of individual data points Real-time operational response focus Reliance on manual activities and subject matter expertise New: Gather G/C/V Analyse Emerging: Gather G/C/V/A Multi-dimensional data In-built intelligence More than just real-time Multiple applications (Business Rules) Distributed Intelligence + Centralized Configuration Management Reflection after action Diagnostic emphasis Combination of probabilistic & deterministic decision making

11 Effective data, information and configuration management Enabling Digital Systems and Infrastructure Analytics, Presentation and Action Realise enterprise and societal value

12 OBJECTIVES Transforming SP AusNet Energy Strategic intent drives investment Applied networks intelligence that improves network performance, customer service and safety Effective integration of Distributed Energy Resources Enabling digital technology platforms that enable business efficiency and transformation SEGMENTS Distributed Energy Resources ACTIVITIES Network modernisation Enabling technology platforms Extended network automation Innovative condition monitoring Realising benefits from AMI Emerging technology studies Integration of Solar PV Embedded generation Demand management EV pilots and business responses Energy storage Business models that leverage disruptive change to deliver sustainable outcomes Customers Customer Education & Engagement IHD & EMS Customer Trial Business model development

13 Network Management Automation Key transformational programs Advanced Metering Infrastructure New Geospatial Information System Value Dependency Mutual Value-Add Distribution Management System Value Dependency Integrate AMI Replace Mobility Platform Value Mutual Value-Add Outage Management System Value Network Reliability Improvement Distribution Feeder Automation SCADA System & Extensions Value Consolidate Enterprise-based ICT Platforms Year 0 Year 1 Year 2 Year 3 Finance / Procurement Asset Management / Billing / HR Work Scheduling / Mobile Devices / Management Report Field Service / Mobility ERP / EAM Business Intelligence

14 Automated fault identification, isolation and restoration Automation Controller FDR1 Distribution Feeder Automation Initiative System Normal CB Switch FDR2 CB Switch Switch Switch N/O Switch Automation Controller FDR1 During Fault Sequence CB Switc h FDR2 CB Switc h Switc h Switc h N/O Switc h Automation Controller FDR1 After Automation Action CB Switch FDR2 CB Switch Switch Switch N/O Switch

15 Automated fault identification, isolation and restoration Automated response USAIDI Saving (minutes) Remote control benefits >1200 Switching devices automated >400 Schemes in service >80% of 22kV Feeders covered >460 Successful Operations >22 Minutes USAIDI saved >1.0 USAIFI cumulative savings <60 Second restoration time ROI typically achieved in less than 2 years

16 Predictive modeling to enable effective operational response Public Domain Data SP AusNet Data Wind Storm Hot Weather Bushfire Lightning Outage Estimation Damage Estimation Restoration Targets Resource Estimation Restoration Performance SCADA & Field Reports Logistics Management Statistical basis, validated, optimised over time with real event data Prime purpose is to improve network operational response (eg. matching fault crew availability with event severity) Provides useful metrics for performance monitoring

17 Business Challenges Develop Analytics & Action Leveraging advanced metering infrastructure to realise network and customer value Asset utilisation (load profiling, unbalance, duration curves, MD etc.) Voltage regulation (voltage profiles, correlation with loading/generation, dynamic behaviour & response etc.) Solar PV penetration and management Outage management (near real-time views, dashboards, impact calculations USAIDI, Guaranteed Service level payments etc.) Safety leadership (loss of neutral connection) Network phase connectivity (balance loading, enhance operational efficiency) Demand management (identify opportunities, monitor response etc.)

18 Geospatial view of customer voltage heat map

19 Using AMI and big data analytics to determine network phase connectivity Application of IBM CPLEX technology to analog measurements from smart meters 1

20 Outage management using multiple data sources and analytics Network-based events Customer or social network analysis (eg. tweets) Trigger Smart Meter Ping Accelerated/effective operational response

21 Smarter networks reduce risk and increase certainty of decision making Available relational data Medium risk Confused Subjective decisions Constrained High risk High uncertainty Reactive Low performing Low risk High certainty Agile/adaptable Predictive High performing New opportunities Medium risk Constrained Responsive Limited opportunities Analytic/Computational ability

22 Applications in SP AusNet using IBM CPLEX technology Smart meter analogs and events Other network data Customer data Energy consumption data Customer data Demographics Tariff data Algorithms and rules Analytics/Optimiser Engine Constraints and levers Asset utilisation modelling LV Network connectivity model (Phase ID) Network tariff optimisation Energy forecasting accruals model

23 Thanks for listening, enjoy your journey to a smarter future John Theunissen Smart Director [email protected]

24 Business Strategy and Planning Excellence in traditional utility capabilities Traditional high-performance utilities Utility of the future At risk utilities New entrants, non-utilities Ability to embrace disruptive forces/technology

25 Functional Silo Functional Silo Transforming SP AusNet Energy Functional Silo Typical Organisational Paradigms Natural tendency to operate in functional silos (encouraged by organisational hierarchy) Function centric solutions (small sweet-spot) Leverage of new technology typically constrained by first area of application Overlapping business systems Hierarchical versus Network affiliation Structural/business inertia

26 Strategy Alignment Technology Operating Model and Relationships ICT Collaborative Partnering Network Business Dev. Regulation Energy Network Strategy & Development Integrated Network Services Operations Mutual Engagement Finance Operational Technology Information Technology

27 Changing data/information paradigms Traditional T=0+ T=0+ New Use thin slice of near real-time data to make decisions and to solve problems Correlate data from different domains (time, space, content) to make decisions and to solve problems Value

28 Network Reliability Improvement Approach Ageing Assets Increased Asset Utilization Growth in Customers Network Topology Issues Replace Assets Increase Capacity Augment Network USAIFI & USAIDI Systems & Processes Latency (data/info) Operational Response Automate Consolidate Infrastructure Integrate Systems Enhance Outage Response S Factor based Asset Management Time

29 Automated fault identification, isolation and restoration Business Case Network Topology Dependent (Typically ) Operational Response Dependent (10 40min) Weather & Asset Dependent (1 4) Annual SAIDI Benefit (per Feeder) = # of Customers Affected Reduced X Total Customer Base Outage Duration X # of Incidents Annual SAIFI Benefit (per Feeder) = 0.01 Project Proposal 0.20 Gate NPV # of Customers Affected Total Customer Base X # of Incidents Gate Project Proposal NPV

30 Automated fault identification, isolation and restoration Establish Enforce Maintain Electrical Network Model IED 1 Configuration & Settings IED n Configuration & Settings Comms Network Model SCADA Data Points & Configuration Emphases on: Governance Change management Work/process management Single source reference Automation Consequences of getting it wrong are unacceptable Requires Information Management Strategy

31 Smart Meter voltage reporting using Cognos 10 Reports

32 Using fringe data to solve voltage regulation issues

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