Smarter Energy For Punjab Challenges & Transformation Capturing the Opportunity 1 IBM Copyright
Topics Energy & Utilities Trends & Challenges What Utilities are doing about it? IBM Point of View & Capabilities enabling Utilities transformation with specific focus Smart Metering Asset Management Architecture Framework Analytics Technology Services 2 IBM Copyright
Challenges facing energy and utilities companies in developed developing countries Transform New entrants from and subsidized disruptive sector to commercial technologies sector Electrifcation in rural areas Climate change and environmental concerns Meet fast Aging increasing asset performance demand with increased expectations on reliability Revenue assurance Increased pressure on operational efficiency and workforce productivity Increasing Improve desire quality by consumers of life for consumers for a role in near energy the base management of the and conservation pyramid Growth Improve in quality renewable of service generation and distributed resources 3 IBM Copyright
Challenges facing energy and utilities companies in developing countries Transform from subsidized sector to commercial sector Electrifcation in rural areas Meet fast increasing demand Revenue assurance Improve quality of life for consumers near the base of the pyramid Improve quality of service 4 4 IBM Copyright
Challenges in India The generation as well as distribution utilities need to adopt newer technologies for demand forecasting, market price realization and increase revenues through active market participation 5 IBM Copyright
Mexican Government Direction The Energy and Utilities Industry is one of the top priorities for the new Government of Enrique Peña Nieto In his campain closing speech he commited to lower the costs of electricity bills. In his first Presidential speech he addressed the Energy Transformation as one of his government s 16 fundamental milestones. In the recent Pacto por México treaty signed by the top 3 political parties, Energy Transformation is the second of five main pilars of Mexico s new government fast start. This pact addresses the need not only for transformation, but also for investment and technological development for the energy sector. Challenge: Mexico Utility has negative financial return which are compensated by government subsidies; new government wants to investigate other ways to change the situation 6 IBM Copyright
Mexico: What is hindering Sector Transformation? Relative high level of T&D losses, Average outages over 20 days per year Losses are trending upwards High level of Non Technical Losses Estimated NTL higher than 20% Official NTL numbers kept artificially low Subsidized Rates Electricity subsidies in Mexico are among the highest in the world costing approximately $9 billion or one third of electricity sector revenues. Two thirds of the subsidies go to residential users. Regulatory Framework lacking with regards to Renewables and Energy Efficiency Bureaucracy and unfavourable regulation with regards to connections and rates Greatest barrier to renewable energy in Mexico lies in the price of electricity paid to electricity producers. CFE is required to produce power at the lowest cost. The rate paid for power from small producers or for surplus power from self supply projects is established by the short term marginal cost of gas fired plants Lack of Investment Centralized government initiated EE initiatives such as energy efficient light bulbs and fridge replacement successful Lack of private investment due to regulatory barriers & lack of understanding in financial community 7 IBM Copyright
Malta Power & Water Challenges Total Area: 316 Sq. KM, Population: 401,000. Enemalta: Elect Utility 240K clients, 1900 employees, 293M revenue WSC: Water Utility, 1500 employees, 100% Publicly owned 8 IBM Copyright
Enemalta Pain Points Generation Transport / Distribution Retailer Metering Huge Exposure to Fuel prices & weather fluctuations Increasing Demand Minor Risk Management Policies Lack of Monitoring Systems Annual Blackouts Technical Losses Inefficient workforce management Poor Data Quality Customer Dissatisfaction Increasing Debt Average Revenue per user can be increased easily (cross-up selling) Electricity thefts & technical losses Workforce Inefficiencies No connectivity to the EU Grid, isolated system. Lack of automatisation Supply Chain Inefficiencies ( high Inventories, Purchase Organization, ) Staff and Assets Inefficiencies Not use of Renewable Energies ( by EU Directives they need to generate 5% in 2010) 9 IBM Copyright
Topics Energy & Utilities Trends & Challenges What Utilities are doing about it? IBM Point of View & Capabilities enabling Utilities transformation with specific focus Smart Metering Asset Management Architecture Framework Analytics Technology Services 10 IBM Copyright
Energy & utilities industry client imperatives in developing countries Smarter energy and utilities Client Imperatives Transform the utility network Improve generation performance Transform customer operations Improve enterprise performance Vision Elements (scope, description, etc.) Limited knowledge of utilization of the network harms reliability of service. Improving knowledge on demand patterns will enable optimization of existing assets and better planning for network extensions High economic growth rates imply rapid increase in demand that cannot be met by new built plants only. There is therefore an imperative to manage demand in a way that enables efficient use of existing generation capacity. Increase customer base by including the base of the pyramid by deploying new business models and technologies including pre-payment and mobile financial transactions Enable the executive to improve financial performance, make better decisions, reduce risk across the enterprise and predict regulatory events before they become an issue Increasing access to energy stimulates economic development 11 IBM Copyright
India: Latest 5 years Plan 2012-2017 for Distribution Utilities 12 IBM Copyright
TPDDL profile Joint Venture of Tata Power and Govt. of Delhi (51:49) License Area: North and North West Delhi (510 sq km) Consumer Base: 1.33 Million Employee Base: 3612 Peak Load Served: 1573 MW (July 12) ISO 9001, 14001, 18001, 27001 ; SA 8000 Certified Founder Member Global Intelligent Utility Network of Coalition (GIUNC), IBM & coalition of 14 Utilities across Geographies Founder Member Smart Grid Maturity Model Joint collaborative partnership with IBM for Smart Grid Emerging Solutions specific to Geographies; create Solution Standards 13 IBM Copyright
Turnaround Snapshot Parameter Unit 2002-03 2012-13 % change Operational Performance AT&C Losses % 53.1 10.78 393% System Reliability ASAI -Availability Index % 70 99.94 43% Transformer Failure Rate % 11 0.72 1428% Peak Load MW 930 1573 69% Length of Network Ckt. Km 6750 10364 54% Street Light Functionality % 40 99.57 149% Consumer Related Performance New Connection Energization Time Days 51.8 6 763% Meter Replacement Time Days 25 6 317% Provisional Billing % 15 3 400% Defective Bills % 6 0.2 2900% Bill Complaint Resolution Days 45 6 650% Mean Time to Repair Faults Hours 11 1.2 817% Call Center Performance - Service Level % - 91 Payment Collection Avenues Nos. 20 5377 26785% Consumer Satisfaction Index % - 88 Financial Performance Capex Incurred (Cumulative) Distribution Rs. Cr. 1210 4531 274% Generation (Rithala + Solar) Rs. Cr. - 342 Others Consumers Lacs 7 13.3 90% Employees Nos. 5,600 3612 55% 14 IBM Copyright
Approach to Technology upgrade Development of Automation Road Map (2003-2012) Power Supply Initiatives: new circuit breakers, switch gears, revamped substation/last Mile, Mobile Transformer,.. Has implemented technologies like GIS, SCADA, DMS, AMR, SAP R3 and SAP ISU, OMS. Many of these are the first time in a power distribution utility in India Metering Systems to 11Kv, Prepaid metering, HVDS Smart Grid Feasibility Study Business Process Reengineering Customer operations & engagement: Portals, 100% billing info on the web, mobile alerts, outage info,..enhanced collection centers New Wave of Smart Grid Initiatives: SG pilots, Smart metering, RF mesh Communication network, MDMS and Auto Demand Response to address the major key drivers for Smart Grid Technologies deployment in India i.e. Loss Reduction, Supply short Fall, Peak Shaving and improving operation efficiency. 15 IBM Copyright
Malta : Drivers behind Country & Utilities Transformation Government focus on create value for the country Education & Job Creation Funds from EU Environment concerns Country Efficiency Public support Attract Foreign Investments Access to new technology Utilities focus on transformation and efficiency Management Information Efficiency Losses Elimination Reliability EU Directives Accomplishment (Kyoto, Renewable Energies, Market openness ) Customer Satisfaction & Market Growth Risk Management 16 IBM Copyright
Malta: Gov t + Enemalta & WSC joined forced and went out to tender for end to end approach covering all the functional areas of the Utilities. Objective: Speed of implementation ENTERPRISE RESOURCE PLANNING - Theme 1 ASSET MANAGMENT CUSTOMER RELATIONSHIP MANAGEMENT - Theme 2 FINANCIAL & MANAGEMENT ACCOUNTING INVENTORY PROPERTY MANAGEMENT WORKFORCE MANAGMENT WORKS CONTROL TROUBLE TICKETING & MANAGEMENT RECEIVABLES MANAGEMENT CUSTOMER ACCOUNT MANAGEMENT BILLING INTEGRATOR PORTAL (crm/billing/gis) WEB-BASED CUSTOMER SERVICE CONTACT CENTRE ASSET PROCUREMENT MANAGMENT DOCUMENT MANAGMENT BUSINESS INTELLIGENCE PROJECT PLANNING, SIMULATION, SCHEDULING GENERATION PROJECT PLANNING- DISTRIBUTION ENERGY MANAGEMENT SYSTEM & SCADA GEOGRAPHICAL INFORMATION SYSTEM NETWORK PLANNING, ANALYSIS, CONTROL, FAULT DETECTION, MAINTENANCE, FORECASTING MOBILE WORKING EMS COMMUNICATION INFRASTRUCTURE ENERGY DATA COLLECTION WATER / ELECTRICITY LOSSES RECONCILATION LV ENERGY DATA MANAGMENT AUTOMATED METER READING ENERGY MANAGEMENT SYSTEM - Theme 4 AUTOMATIC METER MANAGEMENT - Theme 3 17 IBM Copyright
Malta Results: A major change in the way to manage data for electricity and water in order to create efficiencies, reduce losses, increase cash collection while encouraging conservation Benefits Enhanced Organizational efficiencies Reduction of Losses Faster Cash Collection Efficient and Sustainable Consumption patterns Reduction in greenhouse gas emissions Solution: Enemalta & WSC partnered with IBM * to help Malta become the first in the world to build a nationwide smart grid and a fully integrated electricity and water system. Smart Metering (water & electricity) will monitor electricity usage in real time, set variable rates, and reward customers who consume less energy and water. CRM & Billing solution, ERP. Web portal to interact with consumers and Process Redesign * IBM partners participating: Local partners, SAP, Enel, Elster, ABB & several water meters manufacturers like Itron,.. 18 IBM Copyright
Topics Energy & Utilities Trends & Challenges What Utilities are doing about it? IBM Point of View & Capabilities enabling Utilities transformation with specific focus Smart Metering Asset Management Architecture Framework Analytics Technology Services 19 IBM Copyright
2004 2004 IBM begins Energy Hub development Launched e-scada IBM signs global AMM collaboration agreement with Enel IBM is investing in the energy and utilities industry for the long term 20 IBM Copyright 2009 IBM transferred ownership of Smart Grid Maturity Model to Carnegie Mellon University 2005 2006 2007 IBM launched SAFE in the marketplace IBM chairs GridWise Architecture Council Commissioned China E&U Solution Lab IBM acquired SPSS and Guardium 2008 IBM acquired Cognos, Princeton Softech and ilog Built the IBM Center of Excellence for Nuclear Power in La Gaude, France The IBM Nuclear Power Advisory Council was formed 2006 IBM Innovation Jam identified IUN as top idea IBM acquired FileNet, MRO, ISS and Micromuse Austin and LaGaude E&U Solution Labs IBM launched E&U Partner Industry Network IBM chairs DOE s EAC Smart Grid Subcommittee 2007 IBM invests $100M in Energy & Utilities Industry Growth Case over 4 years IBM founded the Global Intelligent Utility Network Coalition IBM chairs GridWise Alliance 2008 2009 2010 Global Smart Grid Federation formed with IBM as chair Launched IBM Intelligent Utility Network Communications Services Offering Global IUN Coalition develops and launches model for CO2 impact of smart grid IBM acquired Intelliden, Open Page, Netezza, BigFix and Lombardi 2010 2012 Launch Grid Operations Launched software solutions for Intelligent Metering Network Management, Security for Smart Metering and Common Information Model (CIM) Driven Application Integration for E&U Acquired Tririga, Q1 Labs and i2 SAFE framework business projects introduced New SAFE framework software capability introduced for Intelligent Utility Transformation Management SAFE framework surpasses 30 validated partner solutions 2011
IBM s Global Smart Metering and Smart Grid Engagements American Electric Power ATCO Electric BC Hydro BELCO CenterPoint Energy CMS Energy Con Edison Consumers Energy CPFL Energia Dominion Energy Entergy EPCOR First Energy Florida Power & Light Hydro One Hydro Ottawa Hydro-Québec IESO London Hydro National Grid NB Power NV Energy Oncor Ontario Energy Board Pacific Gas & Electric Pacific Northwest National Laboratory Pepco Holdings Inc Progress Energy Sempra Energy Smart Meter Texas Southern California Edison Toronto Hydro A2A - AEM Torino A2A - ASM Brescia DONG Energy Eandis Edelia EDF Demasz EDF Energy EDP E-Energie EnBW Enemalta Enel E.On EnergiMidt Enexis ESB Networks Fortum Gasnatural Fenosa. Liander Nuon Oxxio RWE npower Scottish & Southern Energy Terna 30 Italian distributors AusGrid Chubu ENERGEX Ergon Energy Essential Energy Jiangsu Power KEPCO NDPL Shanghai Electric SP AusNet TaiPower TEPCO TNB Western Power WISC0 Xin'Ao Energy 2013IBM Corporation
Energy and utilities industry solution portfolio IBM s energy and utilities industry solution portfolio addresses a utility s business and technology needs across the full energy value chain POWER GENERATION TRANSMISSION AND DISTRIBUTION CUSTOMER OPERATIONS ENTERPRISE SERVICES Asset Performance Management Plant Lifecycle Information Management Fleet Optimization Intelligent Utility Network Grid Operations Smart Metering Communications Networks Intelligent Electric Vehicle Enablement Platform Asset and Workforce Management Customer Systems PHYSICAL AND CYBER SECURITY Customer Contact Center Customer Management Human Resources Finance and Accounting Risk and Compliance Management Collaboration and Knowledge Management DELIVERY OPTIONS EN D US ER S SOLUTION ARCHITECTURE FOR ENERGY AND UTILITIES (SAFE) FRAMEWORK INFRASTRUCTURE Servers, storage, system communications, and associated services 22 IBM Copyright
Our approach focuses on three foundational capabilities to deliver end-to-end solutions SOLUTION DEVELOPMENT AND DELIVERY POLICY AND REGULATION INDUSTRY THOUGHT LEADERHSIP Solution Development First of a Kind projects Smarter Energy Research Institute Solutions Centers Solution Delivery Partner Ecosystem 23 IBM Copyright
IBM Research Smarter Energy - Analytics Smarter Energy Research Institute (SERI) Creating the utility of the future through predictive analytics, optimization, and advanced computing 6 active projects across all 5 tracks with three large utilities worldwide Announced publicly on Oct 25 th, 2012 http://bit.ly/rhft02 Continuing to grow with more utilities joining in 2013 SERI Research Agenda - 5 Innovation Tracks Outage Planning Optimization - Minimizing outages driven by planned maintenance - Optimizing the response to unplanned outages Active Demonstrations Pacific Northwest SmartGrid Demonstration Project Largest smart grid demonstration in the U.S. Demonstration project went live (phase 3) Oct 2012 60,000 smart metered customers in 5 U.S. states Over 90,000 responsive assets deployed and 95 smart grid use cases Led by Battelle, IBM teamed with 11 utilities, 2 universities, and other technology infrastructure companies IBM designed, implemented, and deployed nearly all of the required regional infrastructure including system management, data collection, & transactive control functionality Asset Management Optimization - Loss detection and phase-id and balancing - Condition-based maintenance - Capital investment planning Integration of Renewables & Distributed Energy Resources (DER) - Power forecasting for wind and solar - Grid integration of renewable energy - Optimized demand-response - Electric vehicles and DER Wide-Area Situational Awareness - Syncrophasors and stream computing - Transactive control EcoGrid EU SmartGrid Demonstration Project Large-scale demonstration of a real-time market place for distributed energy resources Demonstration in Bornholm, Denmark of a real power system with more than 50% renewable energy IBM is responsible for demand-response experiments in 200 Bornholm The Participatory Network - Social Energy 24 - Creating new services households winter 2012/13 IBM Copyright
IBM s E&U solutions also contain key tools to help utilities plan and execute their energy value chain transformations Component Business Model -- A structured set of functions performed by utilities regardless of organizational orientation Smart Grid Maturity Model -- A management tool that provides a common language and framework for defining key elements of smart grid transformation and helping utilities develop a programmatic approach and track their progress. IUN Method -- A set of activities and tasks that guide the planning and delivery of smart grid projects and the cataloguing of assets Customer Focused Utility -- The CFU method is a five step approach that aligns customer requirements with AMI roadmaps ending with an actionable roadmap to enable delivery of the customer experience. IUN Conceptual Architecture a reference model of smart grid technical components and their inter-relationships IUN Engagement Assets -- The templates, accelerators and sample deliverables gathered from IBM s many smart grid engagements 25 IBM Copyright
The Smart Grid Maturity Model 5 4 3 2 1 0 6 Maturity Levels: Defined sets of characteristics and outcomes SMR Strategy, Management, & Regulatory Details the domains that must be addressed in a comprehensive smart grid transformation 175 Characteristics: Features you would expect to see at each stage of the smart grid journey Developed in conjunction with the Global IUN Coalition Now managed by the Software Engineering Institute at Carnegie Mellon University OS Organization & Structure GO Grid Operations WAM Work & Asset Management TECH Technology CUST Customer VCI Value Chain Integration 8 Domains: Logical groupings of smart grid-related characteristics 26 IBM Copyright SE Societal & Environmental
Utility operating domains are growing and becoming inter-related Information exchanges should be secure and interoperable Portal HAN Mobile devices Outage Mgmt. System Distributed Energy Resources Electric Vehicles Smart Metering Customer Domain Distribution Mgmt. System Demand Response Customer Analytics Control Room Grid Analytics Grid Operations Domain Security Integration Communications Enterprise Optimization Process Automation Regulatory Compliance Scheduling Planning Line Automation Substation Automation Construction Condition Based Monitoring Remote Asset Monitoring Work and Asset Domain Asset Mgt Crew Optimization Mobile Workforce Managment Remote Device Monitoring Work and Asset Analytics 27 IBM Copyright
Energy and utilities leaders are prioritizing three imperatives in order to succeed. Transform the utility network Improve generation performance Transform customer operations 28 IBM Copyright
IBM Solution Area : Grid Operations Smart metering Grid operations IUN communications networks Asset and workforce management Intelligent electric vehicle enablement Transformational stages Value Network Visibility and Automation Participant Integration and Collaboration Network Responsiveness Network Optimization Continuous Orchestration Analyze patterns Optimize outcomes Manage data Maturity 29 IBM Copyright
Grid Operations Provides enhanced operational and analytical capabilities to improve distribution network performance Power Station Substation MV Distribution Network Enables you to Develop an integrated grid management system that brings together key systems, such as OMS, DMS, GIS, and workforce and asset management Integrate real-time monitoring of grid assets with systems such as OMS, DMS, GIS, and workforce and asset management Reduce demand through demand response programs and Volt/VAR control LV Distribution Network Substation Integrate distributed generation resources Maintain security and compliance, and employ industry standards to ensure interoperability with evolving systems 30 IBM Copyright
25-50% potential reduction in outage minutes. DONG Energy reduces outage time and saves on capital investment by deploying a Grid Analytics Solution 1/3 Reduction of fault search time 90% estimated capital savings on planned grid reinforcements, when fully implemented Business problem: Develop the capacity to better manage and utilize its electrical distribution network in order to respond to outages faster and more efficiently. Solution: Implement an intelligent utility network by installing remote monitoring and control devices that provide information about the current state of the grid, reengineering business processes, and analyzing the resulting data to improve operations. It turns out that the real key isn't the fact that we ve got visibility into the grid, though that was our initial goal. It s that we now have information available on grid performance that we didn't have before. We can do a lot with that information. Peter Vinter, Power Grid Specialist, DONG Energy 31 IBM Copyright
The Value of Grid Monitoring & Analytics across the Utility MV & LV Grid Planning System Control Detailed Load & voltage data Embedded generation impacts Load & Phase Balance Topology & switching history Events & alarms Fault location Grid conditions IBM Distribution Grid Analytics Platform Asset Mgt. Load History Temperature & Condition Ratings & Impedance Voltage Reg & Protection Voltage & PF profiles Batteries & secondary equip Exceptions & Excursions Customer Operations Power Quality Outages & Events Field Services Avoid manual collection Load & voltage surveys PQ & outage investigations Regulatory Reporting SAIDI/SAIFI Risk Assessment Technical and non-technical losses 32 IBM Copyright
Smart Metering Enables business transformation through enhanced metering capabilities Enables you to Revenue enhancement Demand management Distribution operations/ reliability Customer service Smoothly deploy smart meters with expert planning, business case, deployment tools, and integration services Enhance revenue with more efficient billing, identification of tampering and losses, remote disconnect and load limiting Boost distribution system reliability while reducing operation and management costs Improve customer service and lower call center costs Manage demand with improved energy usage information and demand response programs, and help reduce greenhouse gas emissions Integrate energy management systems, electric vehicle charging, renewable energy resources, microgrids, and other new grid participants 33 IBM Copyright
IBM Smart Metering Offering Components Smart Metering Systems Integration Centralized Meter Data Services Meter Data Analytics Smart Meter Operations Features End-to-End Smart Meter Implementation and program management Includes project planning and justification, management of meter deployment and communication networks, installation of Meter Data Management Systems and integration to utility back-office systems Planning, development, connecting and integrating meter data from multiple utilities into an centralized Smart Metering platform Apply business analytics to data collected thru a AMI from Smart Devices in the field to gain insights into site interactions, smart meter infrastructure/operation and smart grid operations Design, build, run; and provide application management and hosting services to optimize smart meter infrastructure and operation supporting applications Metering Innovation Identify, design, and incorporate emerging metering capabilities as part of a smart grid deployment that integrates with home area networks, electric vehicles, smarter buildings, renewable energy resources, micro grids and other new smart grid devices 34 IBM Copyright
Systems Integration: IBM has a solid Smart Metering integration framework which is evolving to support and drive industry innovation (Smart Grid, Demand Response,..) Premise Last mile LAN WAN Service Platform Backend Customers and other stakeholders Load control devices Displays Meter Home Area Network Gateway Neighborhood Network Access Network Backhaul Network Communication Interface Office Network Effizienz Portal Intelligent Miter NW Mgmt Churn Mgmt Business Process Manager Smart Metering Portal IOC Portal Server Platform Services Charging Pole Reservation Renewables Monitoring Head End System (ZFA) ESB email Server LDAP Event Mgmt Datenzentrale Market manager ESB Security Appliance Client & 3rd Party Data Mgmt... Device Heartbeat Application Server Flextlast Meter Roll out Support B2B Gateway Access Mgmt Endpoint Mgmt Reporting engine Demand Response Virtual Power Plant EAM (Asset Mgmt) Optimization Engine OSGi Server Data Anonymisati on LV-Grid Monitring Predictive Maintenance Value Added Services Web Commerce Core Business Process Services Analytics Engine ETL engine... Retailer DSO Core Technical Services... CIS ERP Meter Meter Gateway Gateway Data Collection Systems Meter Data Management System OMS GIS Integration with existing systems Consumer Smart Metering Systems Integration 35 IBM Copyright
Smart Meter Integrated Live Environment (SMILE): Demonstrates Business Value + enables quick project implementation with reduced risks Description Description Integration from SAP Industry Solution for Integration from SAP Industry Solution for Utilities to a live Smart Metering Infrastructure Utilities to a live Smart Metering Infrastructure using using leading leading MDM MDM Systems Systems to to support support the the following business scenarios: following business scenarios: Smart Meter Roll-out / Installation Smart Meter Roll-out / Installation Customer Customer Move-In Move-In Upload Upload Consumption Consumption - - Bill Bill & & Invoice Invoice On-Demand Read On-Demand Read Connection Connection / / Disconnection Disconnection Time-of-Use Billing (based on Interval Data) Time-of-Use Billing (based on Interval Data) Solution Solution Architecture Architecture Business Business Value Value Integrating Integrating actual actual Meter Meter Readings Readings and and Meter Meter Controls Controls Events Events with with the the SAP SAP Customer Customer Care Care and Billing System can improve: and Billing System can improve: Billing accuracy Billing accuracy Operational Operational efficiency efficiency Customer Customer service service Outage management Outage management Demand Demand management management Software Software / / Hardware Hardware Components Components Customer Care and Billing System Customer Care and Billing System SAP SAP ECC ECC 6.0 6.0 EHP EHP 5 5 (AMI (AMI 2.0) 2.0) SAP SAP CRM CRM 7.0 7.0 EHP EHP 1 1 MDMS MDMS emeter emeter EnergyIP EnergyIP 7.2 7.2 L+G L+G Gridstream Gridstream MDUS MDUS 2.0 2.0 Middleware Middleware SAP SAP PI PI 7.0 7.0 EH1 EH1 with with AMI AMI 2.0 2.0 Plug-In Plug-In Websphere Websphere Process Process Server Server 7.0 7.0 Head Head End End Systems Systems Iskraemeco Iskraemeco SEP2W SEP2W L+G L+G Gridstream Gridstream Based on Customer Requirements & Industry Best Practices! 36 IBM Copyright
IBM is the lead project manager and systems integrator for many of the largest smart metering deployments in the world United States Program management, systems integration and Oracle MDMS implementation December 2008 ongoing 950,000 electric Ontario Design, build and operate the province-wide emeter MDMS December 2006 ongoing 4.5 million electric Washington, DC Program management, systems integration and Itron MDMS implementation March 2008 ongoing 2 million electric United Kingdom Program management, systems integration and SAP-USI and emeter MDMS implementation December 2009 ongoing 4.1 million electric and gas United States Overall program manager, systems integration, Itron MDMS implementation, and business case development February 2006 ongoing 5.5 million electric Japan Overall PMO and architecture design January 2012 ongoing 10 million electric United States Program management, systems integration and Ecologics MDMS implementation December 2008 ongoing 3.4 million electric United States Program management, systems integration, emeter MDMS implementation, and deployment management December 2005 ongoing 1.9 million electric Brazil Program management, systems integration and emeter MDMS implementation December 2011 ongoing 5.2 million electric Malta Turnkey solution provision, systems integration and deployment management December 2006 ongoing 250,000 electric and water 2013IBM Corporation
Asset and Workforce Management Helps monitor, manage, and optimize both workforce and asset productivity and utilization Enables you to Improve asset performance, prolong asset life, and control asset-related costs Work Increase employee productivity Asset Procurement Asset and Workforce Management Materials Service Contract Reduce downtime and enhance customer satisfaction by proactively managing asset planning, implementation, and maintenance Shorten dispatch and order times, and reduce administrative costs Integrate solutions for strategic sourcing, supplier enablement, requisitions, order management, work management, and materials management Optimize the inventory replenishment process 2013IBM Corporation
Asset Management for Plant, Transmission and Distribution Managers Over 300 utilities use Maximo for asset maintenance management and asset lifecycle planning for generation plants, Transmission, Distribution, Fleet Management, Facilities Management, and Meters. Fossil Generation Nuclear Generation Transmission & Distribution Vehicle Maintenance Corporate Functions: IT Asset Mgmt Facilities Mgmt Work Mgmt Plan & Sched Asset Mgmt Contract Mgmt Supply Chain Work Mgmt Plan & Sched Asset Mgmt Contract Mgmt Supply Chain Action Tracking Work Mgmt Plan & Sched Asset Mgmt Contract Mgmt Supply Chain Compatible Units Est Work Mgmt Plan & Sched Asset Mgmt Contract Mgmt Supply Chain Warranty Mgmt Work Mgmt Plan & Sched Asset Mgmt Contract Mgmt Supply Chain Service Desk Pop-up Apps Pop-up Apps Pop-up Apps Pop-up Apps Pop-up Apps 39 2013IBM Corporation
IBM Maximo supports all the business processes of a Smart Meter Deployment Program through a set of unique industry and problem specific extensions Maximo for Utilities Functionality Maximo Scheduler Provides graphical planning capabilities Maximo Base Services Meter Lifecycle Management End to end lifecycle management of the smart meters Maximo Graphical Assignment Provides graphical assignment and route visualization capabilities 40 Mobility Solutions Maximo Work Manager, Inventory Manager OOTB integration with third party applications Maximo Spatial Brings ESRI GIS context into Maximo 2013IBM Corporation
Analyst Viewpoint Magic Quadrant for Power Generation Enterprise Asset Management : KristianSteenstrup, September 20, 2012 Magic Quadrant for Delivery Utility Enterprise Asset Management : KristianSteenstrup, September 20, 2012 Gartner has recognized IBM as a leader in The Magic Quadrant ARC Advisory Maximo #1 in marketshare for EAM for 7 consecutive years IDC 2011 Market Share: IBM is #1 Enterprise Asset Management 41 2013IBM Corporation
Objectives Nordic Transmission Operator is implementing a new Asset & Operations Management system to reduce on-going maintenance and support costs Reduce maintenance costs Reduce amount of customization Efficient workflow and business processes Ability to Integrate with Internal & External Systems Business problem: TransCo had an old legacy application that was difficult and costly to maintain. There was a lack of agility when responding to new requirements and the skills required to maintain the legacy systems are aging and eroding. Solution: Implement a new asset and operations management system that supports asset and maintenance operations (IBM Maximo) with a spatial view (ESRI GIS), supporting mobile workforce and integrating to grid network planning & analytics tools Open Architecture and CIM compliance 2013IBM Corporation
Energy Transmission Energy Distribution Energy Delivery Intelligent Utility Network Communications Networks Enables information exchange across all the components of a smart grid via Enables you to utility-wide voice and data communications networks Enterprise networks Data center or control center networks Data center routers Wide Area Network Core fiber network Backhaul network point of presence (PoP) Point-to-point wireless link to PoP Substation LAN Process bus Monitoring and control Protection Field Area Network Substations/Field Data Aggregation Broadband Wireless CPE2/modems DA3, sensor and (or) data concentrator Intelligent electric meters Develop a communications strategy to support your smart grid transformation Consolidate communications networks to reduce costs and meet current and future smart grid needs Connect substations, feeders, and intelligent devices throughout the distribution system Manage and monitor networks to improve performance Counter the latest cyber threats, and manage compliance requirements 2013IBM Corporation
Energy and utilities leaders are prioritizing three imperatives in order to succeed. Transform the utility network Improve generation performance Transform customer operations 2013IBM Corporation
Transform Customer Operations IBM Solution Area Customer Systems Customer Contact Center Customer Management Transformational stages Value Customer Systems Optimization Customer-Driven Operations Customer Empowerment Customer Relationship Transformation Optimize outcomes Manage data Analyze patterns Maturity 2013IBM Corporation
Pacific Northwest National Laboratory uses innovative ways of managing demand to keep the electric grid healthy in times of stress. 50% reduction in short-term peak electricity loads, helping to avoid power restrictions and cascading blackouts 10% average savings on electricity bills $70 billion projected reduction in infrastructure spending over 20 years Business problem: Wanted to manage electricity demand through a combination of intelligent technology and financial incentives. Solution: Set up two parallel studies: created a virtual marketplace that allowed consumers to trade flexibility in usage for lower costs; and tested smart appliances that could sense and respond to stress on the grid by temporarily curtailing electricity use. We re finding that people are actually curtailing their use and saving energy simply because they have greater control. Don Hammerstrom, project manager, Pacific Northwest Gridwise Demonstration Projects 2013IBM Corporation
A group of utilities provide consumers with direct access to their consumption metrics. Standard platform across 7.1 million energy meters and 2.5 million consumers, provides visibility into their personal energy use Business problem: Seeking to improve the quality of service they could offer, a group of energy providers wanted to increase transparency within the energy industry and provide consumers with direct access to their consumption metrics. Solution: A public energy tracking solution that allows consumers to closely monitor their personal energy use. 2013IBM Corporation
IBM applies advanced capabilities to help utilities through each stage of transformation Strategy Process re-engineering and design Implementation Maintaining and operating Enabled by: Intelligent Utility Network Methodology, Smart Grid Maturity Model Investment model to estimate ROI Work with policy makers and standards groups, worldwide, to shape the future of the industry IBM Centers of Excellence, solution labs, proofs of concept, and Research First-of-a-kind projects that demonstrate innovation Solution Architecture for Energy and Utilities (SAFE) framework Network of industry solution partners to provide choice and flexibility Over 3,000 experienced professionals involved in over 150 smart grid projects, globally Ongoing application management Hosting and service management 48 IBM Copyright
IBM E&U Solution Centers Comprehensive Industry Knowledge and Analysis Global Solution Center at IBM Dallas Energy and Utilities Solution Center at IBM La Gaude, France China Development Lab Energy and Utilities Solution Center Global Industry Solution Center of Competency Client Facing Technical Sales Leadership In-depth Industry Solution Architects and Integration Specialists - Integrating Industry Solutions with Cloud & Dynamic infrastructure - Bridging business and technology gaps - Accelerating Smarter Planet solutions - Bringing IBM together in front of clients World-class Facilities - 21st Century Enterprise Data Center - End-to-end solution prototypes & pilots - Executive Workshops - Industry Solution Innovation Areas Demonstration center which showcases innovative solutions for the E&U Industry -Advanced Meter Management -Energy Monitoring with Cognos -Security -EAM Maximo -BI with ILOG -Intelligent Plant Life Cycle Management -Knowledge Management with FileNet -High Performance Computing 10+ integrated, solution prototypes Demonstrations can be projected in live video anywhere in the world Value Proposition Key Solution Underpin for E&U engagement and delivery, acting as ONE team for E&U bold play in GMU Strategic partnership with Key influencer in IUN / Nuclear / Wind, contribution in Eco- System building Replicable and sustainable solution/asset with high value for both customer and IBM WW contribution to both GBS & SWG E&U solution/asset portfolio Business Scope Demo center for E&U solutions PoC and PoT with engagement team Asset and solution harvesting & enhancement for reuse New asset development with key value Investment on strategic partnership program 49 IBM Copyright
Topics Energy & Utilities Trends & Challenges What Utilities are doing about it? IBM Point of View & Capabilities enabling Utilities transformation with specific focus Smart Metering Asset Management Architecture Framework Analytics Technology Services 50 IBM Copyright
Thank You www.ibm.com/energy 51 IBM Copyright