Presentation on theme: "Smart Grid implications for cable operators"— Presentation transcript:
1Smart Grid implications for cable operators COMMUNICATIONS FOR THE SMART GRIDSmart Grid implications for cable operatorsMatt HaileTantalus
2Smart Grid Overview How do we define the Smart Grid The application of technology to upgrade and improve the electricity gridPreviously SG was Advanced Metering Infrastructure (AMI / smart meters), now first step is often Demand Management or Distribution Automation.Smart Grid uses technology and business models to improve control, efficiency, and reliability of the electricity grid.Some Popular DefinitionsWikipedia:“A smart grid delivers electricity from suppliers to consumers using two-way digital technology to … reduce cost and increase reliability and transparency.”DOE:“Smarter grid”: Near-term, focused on data and communications within power system“Smart grid”: Long-term, focused on transforming the way we use energyCommonwealth Edison Executive:“A scratch for whatever itch you may have.”
3Why do we need a Smart Grid? A smarter grid applies technologies, tools and techniques available now to bring knowledge to powerEnsuring its reliability to degrees never before possible.Maintaining its affordability.Reinforcing our global competitiveness.Fully accommodating renewable and traditional energy sources.Potentially reducing our carbon footprint.Introducing advancements and efficiencies yet to be envisioned.Underinvestment in grid infrastructure - 60% of US power grid needs to be replaced within 10 years40% more power outages in second half of 1990s compared to first halfNumerous government programs that view grid improvement projects as a method of stimulating the economySlow down in development of large-scale generation facilities due to cost & environmental impactsCapital expense avoidanceShifting of small % of energy usage = lots of savingsSurgical Deployment – address high impact opportunities early in the processPower system disruptions cost US $100 billion a year30% increase in demand for electricity from 1988 to 1998; 20% from 1999 to 2009Improved customer serviceMeet regulatory requirementsPositive environmental impact leads to ‘Green PR’Coal generates 54% of US electricity, and is the single biggest air polluterUnclean energy needed to meet capacity accounts for approx. 15% of GHG emissionsFuel generation also causes groundwater contamination and land disruptions thru mining and exploration
4Why is this happening?Hundreds of thousands of high-voltage transmission lines course throughout the United States, only 668 additional miles of interstate transmission have been built since 2000.As a result, system constraints worsen at a time when outages and power quality issues are estimated to cost American business more than $100 billion on average each year.US DOE
5Regulatory Actions Act 129 - Pennsylvania Act 129 directed that all electric distribution companies with at least 100,000 customers are to file an energy efficiency and conservation planRequires a 4.5 percent reduction (1,193 MW) in peak demand by May 31, 2013The utility could be fined up to $20 million for failing to meet these reduction targets.
6Three Pillars of the Smart Grid REAL TIME INTELLIGENCEDATA MANAGEMENT1AMIAdvanced Metering Infrastructure“Smart” meters enable time-of-use billing, power quality and outage reportsEconomic EfficiencyTECHNOLOGYLOAD MANAGEMENT2DRLOADMANAGEMENTDemand Response Educates and enables acustomer to make “Smart” energy conservation decisionsConservationCommunicationsTwo-way, real-time connectivityCommunicate with meters (E/W/G), load control devices, smart thermostatsCommunicate with individuals, defined groups or all devicesOver-the-air firmware upgrades and ability to change reporting parameters and DR settingsTime-stamped messages to verify duration of participationEasy integration with other utility applications – billing, customer service, engineering & operationsUtility FunctionsScheduled interval meter reads & power quality monitoringOn demand readsInstant outage alerts & restoration verificationRemotely program meters, alter rates & program parametersSignal customers about prices and price tiersAutomatic load shedding capabilities to consumer appliancesRemote disconnect & reconnectConsumer ToolsAbility to opt-in and opt-out of load shedding events as desiredAbility to select which appliances involved in curtailmentsChange preferences according to cost or comfortIn-home display or smart thermostat that acts as signaling deviceAccess household usage profile via the web – pay bills and enroll in programsASSET MANAGEMENT3DADistribution Automation Enables “Smart” infrastructure to enhance asset yieldDelivery Efficiency, Asset Yield
7Financial Implications Why is this important to businesses – beyond social implicationsThink about the scale# of endpoints on network increasingInterval data updatesThink about costsA small change in peak demand can lead to significant cost savingsThink about benefitsPrograms typically target 3% - 6% reduction in energy; depends on specifics of programBenefits of the Smart GridFinancial benefits to implementing DM are the main driver for the industry. Some other benefits are:Offset the need for peaking capacity – capital expense avoidance/rate increasesDecreased operational costsReduce the need for additional transmission and distribution networks.Enable federal, state, local governments to obtain emissions reduction goals; meet regulatory actions and avoid penalties or take advantage of incentives.“Green PR” – utility and its customers perceived favorably as contributing to the environment.Substitute the need for additional generation capacity, lowering green-house gas expenditures.Prepare for ‘What’s Next’
8Trends and Transformations Technology has evolved rapidly: - Smart Meters more sophisticated and reliable - Costs have decreasedMany early adopters abandoning original AMR systems: - Features that were once uneconomic & unproven now cost-effective, reliable and practicalDriving ChangeBusiness case justifiedCosts reasonableBenefits quantifiableSkilled workers retiringConservation a necessityCo-opetition among vendors
9Goal: Balanced Demand TYPICAL DAY PEAK DAY Direct Load Control Utility forecasts how much energy it expects to use on a given dayPurchases energy slightly in excess of forecasted peak demandTypical peaks morning & evening; more costly to produce energy during these high-use periodsPeak DayEnergy consumption spike usually caused by unexpected hot/cold temperaturesAppliances & HVAC forced to work harderTwo tough choices: - Spot Market: purchase energy that is often x higher than retail; costs & greenhouse gas emissions rise - Shed Load: brownout; inconvenience customersCONSERVATIONFORECASTED USAGE::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::COST / kWhEMISSIONSComparison of typical day to peak dayTHREE FLAVORS OF DRDirect Load ControlAllows utility to quickly shed load during emergency conditions or to avoid high peak energy pricesLoad decreased or curtailed during peak event: - pre-defined HVAC settings for time and/or temperature offset - on/off or cycling of appliances: water heaters, pool pumps, etc.User over-ride optionUtility directed program with voluntary consumer participationTOU PricingUtility establishes energy price levels for different times of the day including weekdays / weekends or seasonal adjustmentsUtility notifies consumers when price levels are in effect, e.g. peak, mid-peak and off- peakAppliance can be set to cycle down or shut off during high energy price periodsCheaper energy during off-peak periods motivates consumers to move non-essential energy use to off-peak timesVoluntary or mandatoryDynamic PricingVariable pricing levels determined by supply and market conditionsCurrent energy price presented on In-Home Display – rates adjusted periodically or dynamicallyAppliances can be set to automatically shut off / cycle down during peaksEnables a utility to match its retail costs with fluctuating wholesale costOptimizes supply and demand on a real-time basisTYPICAL DAYPEAK DAYOver 50% of a utility’s annual power costs can be incurred within 10% of operating hours.MORNING PEAKEVENING PEAK1:00 | 2:00 | 3:00 | 4:00 | 5:00 | 6:00 | 7:00 | 8:00 | 9:00 | 10:00 | 11:00 | 12:00 | 13:00 | 14:00 | 15:00 | 16:00 | 17:00 | 18:00 | 19:00 | 20:00 | 21:00 | 22:00 | 23:00 | 24:00
10Goal: Balanced Demand BALANCE CONSERVATION Goal 1: flatten the peaks by moving some consumption to periods where energy is more abundant and cheaper to produceGoal 2: shed load on specific devices (air conditioners / pool pumps) rather than enacting full-scale brownoutsGoal 3: signal customers when different price levels are in effect so they can better manage household usage and reduce costsCONSERVATIONFORECASTED USAGE::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::::COST / kWhEMISSIONSBALANCEMORNING PEAKEVENING PEAK1:00 | 2:00 | 3:00 | 4:00 | 5:00 | 6:00 | 7:00 | 8:00 | 9:00 | 10:00 | 11:00 | 12:00 | 13:00 | 14:00 | 15:00 | 16:00 | 17:00 | 18:00 | 19:00 | 20:00 | 21:00 | 22:00 | 23:00 | 24:00
11DR Scenario #1 Direct Load Control PEAK CONSERVATION C&I METERING Utility encounters critical peakLoad Shed command broadcast to participating customersPower cycled down or shut off on registered appliances (HVAC, pool pumps, etc.)Action verified & recorded at utility; data integrated into billing reportCustomer can override eventUtility can stop shedding event or normal operations resume after pre- set periodPEAKC&I METERINGCONSERVATIONSMART HOMESDemonstrates direct load control via LM-1481Click sequenceUtility detects peak periodSignals LM modulesCycle / shut power at two residences - emphasize that the TC or LM can be the gatewayOpt out of eventAutomatic event termination after a set period
12DR Scenario #2 Signaling PEAK CONSERVATION Smart Thermostats (IHD) installed - Smart appliances (fridge, dish & clothes washer)Alert sent to participating customer which TOU level is in effect or if load shed imminentIHD alerts all customers or only those enrolled in a particular DR programCustomer decides on the level of participation - full, partial or ignorePower cycled down or shut off on selected appliances (HVAC, pool pumps, etc.)Action verified & recorded at utility; data integrated into billing reportCustomer can override an event or change preferences / programs at any time via the IHD consolePEAKCONSERVATIONDemonstrates direct load control via LM-1481Click sequenceUtility detects peak periodSignals LM modulesCycle / shut power at two residences - emphasize that the TC or LM can be the gatewayOpt out of eventAutomatic event termination after a set periodPEAKPEAK
13Smart Grid Building Blocks ScalableEasy integration with back office applicationsProcessing powerScalablePublic & private comms optionsStandards basedRedundancyStrong securityPriority driven messagingUtility lifecycleAppliance connectivitySimple managementIsolate HAN lifecycleCustomer signalingEvolutionary designDESIGN CRITERIALANLocal Area NetworkWANWide Area NetworkHANHome Area NetworkNSNetwork ServerSMART GRID EVOLUTIONApplication interfaces - simple TCP/IP linksTwo-way communications interoperability: - SCADA - CIS / Billing / etc.Multiple platforms - wired or wirelessStandards based – WiFi, WiMAX, GSMPublic/privateRight-sized capacityCost-effective migration pathRapid deploymentSurgical deploymentSelf-initiating & self-healing networkStandard radiosMeter endpoints for - electric / water / gasMultiple meter types supportedOver-the-air programmingAccess via meter / load controlDR modules: - load control - IHD / smart thermostatTime-stampedOpt-in & outATTRIBUTES
14The Smart Grid Network Components WAN Wired & Wireless Command & control centerPrivate and public WAN options – RF & BroadbandField initiated network – self- configuring, self-healingHome Area NetworksBuilt for urban & rural coverage; scalableTwo-way, real-time connectivityTCP/IP900 MHz LANNetwork ServerWANWired & WirelessHOME AREA NETWORKDemand Response
15220 MHz Transceiver :: RT-3250 RF Gateway for WAN Communication Ensures reliable & efficient two-way wireless communication between a Utility Operations Center and a cluster of LAN devices.Provides long-range, terrain hugging communication in rural & urban environments via 220 MHzGathers data from multiple LAN endpoints: – meter readings, power quality data, and outage alertsIssues commands to single or multiple meters: – remote disconnect or time-synched readsRead on request or interval reads: – minutes, hours, days, weeks, or monthsDelivers interval data for advanced metering: – TOU, CPP, RTP pricing – load control & demand responseSimple installation in Form 2S meter socket: – solid state & electromechanical meters
16Ethernet WAN Collector LAN / WAN Gateway for Ethernet CommunicationA two-way Ethernet hub for utilities that prefer to use the Internet as their backbone data communications network.Connects an Ethernet WAN to TUNet enabled 900 MHz LAN devices:Designed for utilities/municipalities that operate Fiber-to-the-Home networkGathers data from multiple LAN endpoints: – meter readings, power quality data and outage alertsIssues commands to single or multiple meters: – remote disconnect, load control events or time-synched reads:Supports on-demand reads or scheduled interval reads: – minutes, hours, days, weeks, or monthsDelivers interval data for advanced metering: – TOU, CPP, RTP pricing – load control & demand responseSimple installation in Form 2S meter socket: – solid state & electromechanical metersTUNet PRODUCTS
17Use CasesA Closer Look at How Electric and Telecoms Providers Would Reach HomesUse Case #3: Wireless WANEndpoints (meters / homes) are far enough away from each other that we need Sharkfin on each home to connect to the network --- LAN not enough rangeUse Case #4: Indoor ModemIndoor Modem connected to outdoor meter via EthernetOne of the Ethernet ports on the indoor ONT or modem must be wired out to the outdoor smart meterUse Case #1: Outdoor interface directly to smart meters via EthernetThis is what we show on our display wallUse Case #2: Wireless LAN (Tantalus traditional deployment)ONT / NIDAccess NetworkTantalus RT-4101IP Collector(Fiber)USE CASESMOdemAccess NetworkTantalus RT-4101IP Collector(Fiber)
18HAN: HOME AREA NETWORK TUNet TECHNOLOGY SMART HOME Serves as backbone network for all meter & HAN dataEndpoints provide access to home: meter, In-Home Display, load control deviceTUNet TECHNOLOGYTwo-way, real-time network established between utility & homeLM communicates via MHzIHD communicates via ZigBee or 900 MHz; interfaces with multiple devices
19LOAD MANAGEMENT SWITCH :: LM-1421 The Cornerstone of an Effective DR ProgramCentrally manage loads directly via TUNet in order to quickly reduce electricity consumption both locally or across the service territory during critical economic & emergency events.Remotely manage in-home customer loadsConnects to a variety of appliances: central air conditioners, electric water & baseboard heaters and pool pumpsPart of a utility reliability strategy aimed to improve SAIDI & SAIFI results by avoiding overloads, blackouts & brownoutsCompatible with low and high current loadsEnd-user flexibility: allows customers to opt-out of shedding events; notifies utility if device is physically disconnectedAll events verified, logged & time-stampedEasy to install and operate / inside or outsideEasy to use Web interface for utility control; over-the-air firmware upgradesAutomatically re-activates power after pre-programmed timeTUNet PRODUCTSLoad Management Switch LM-1421Operates seamlessly within the TUNet network for two-way, real-time, 24/7 connectivity so a utility can react instantly whenever a critical event occursEnables a utility to centrally and remotely manage load shedding eventsWorks with a variety of high and low load appliances such as electric water & baseboard heaters and central HVACsSupports firmware upgrades over TUNet to ensure relevant operation and compliance to changing regulation and operational practicesConfirms commands and operation as part of the two-way system architecture; time-stamped messages confirm start and stop time of curtailment for accurate billing and regulatory reportingProvides maximum end-user flexibility with over-ride capabilities that allow homeowners to opt out of a load shed eventInvolves homeowners in conservation initiatives and help both the utility and customers save moneyPresents alternatives to capital investment projects where short-term load management strategies can avoid or delay projectsFlexible wiring options; can be powered from the appliance or from a separate power sourceReliable communications, self-initiating & self-healing association within the TUNet LANAutomatically re-activates power after pre-programmed time, fail-on designRugged design for indoor and outdoor installationNon-volatile memory maintains data and configuration during “off” periodsFuture versions will be able to connect to multiple devices and control multiple loads
20PROGRAMMABLE THERMOSTAT :: ST-1480 Communicating Smart Thermostat to Maximize ConservationCustomizable, feature-rich Demand Response device for customer signaling, load control & a full range of conservation programs.Highly configurable & customizable – implement desired rate structures, load control programs, user messaging and over-ride permissionsSupports over-the-air upgrades and programming via TUNet to extend features and change operating parametersReliable communications, self-initiating & self-healing association within the TUNet LAN; optional ZigBeeBright visual alerts notify consumers when load shedding is active and when low, medium or high energy price in effectFunctions as a standalone device or in conjunction with other TUNet-enabled meters or load control switchesConfirms commands; time-stamped messages verify start & stop time for accurate billing and regulatory reportingWorks with both residential and C&I loads: – HVAC air conditioners and heat pumpsTUNet PRODUCTSST-1480 Programmable Smart ThermostatThe ST-1480 Programmable Communicating Thermostat is an end-to-end Demand Response solution that gives utilities a fast, affordable and highly effective way of curtailing system loads and interacting with customers in energy conservation programs.The ST-1480 is more than a smart thermostat. It is an interactive DR tool that gives a utility central control over HVAC units at residential and C&I accounts. It also displays up-to-the-minute curtailment notifications and price alerts so consumers can see when load shedding events and peak energy rates are in effectIt also displays up-to-the-minute curtailment notifications and price alerts so consumers can see when load shedding events and peak energy rates are in effect.Tantalus designed the ST-1480 as a two-way, utility/consumer communications tool that can be customized, configured and upgraded to fit each utility’s DR program. It supports multi-tier, Time-of-Use price signaling as well as load control so a utility can take action to avert a system crisis. Time-stamped records verify start & stop time and provide the data needed for accurate billing and regulatory reporting.It can also serve as a Home Area Network (HAN) gateway via TUNet or optional ZigBee. Advanced applications such as messaging can be incorporated which enable a utility to communicate directly with its customers and provide easy access to household billing and consumption history.The ST-1480 features an intuitive console and large LCD panel. Tri-color indicators (green, yellow, red) can be configured to glow when an event is in effect and to display the degree of importance as defined by the utility. For example a red light can signal a critical peak and high rates. With the push of a button, a consumer can opt-out of a shedding event.Operating ranges such as thermostat set point and scheduling preferences are easily adjusted. The ST-1480 can be programmed to automatically regulate the temperature when certain rates are in effect. An optional “conserve mode” allows customers to instantly change the temperature to a pre-set level and begin saving energy and money.Installation is easy; an ST-1480 simply replaces the existing thermostat. Communication via TUNet is automatically established. Over-the-air programming enables a utility to configure devices remotely. Altering price alert levels, adding functionality or moving a customer to a new DR plan can all be done from the utility’s operations center via a web application.A utility can leverage TUNet and the ST-1480 to drive Smart Grid functionality and implement a full range of emergency, environmental and economic DR activities to whatever degree it desires. The ST-1480 closes the communications loop with customers and is the cornerstone of year-round load management and energy conservation programs.
21Current Environment – Home Automation and Security
23Current Environment – Cable Opportunity? TV as portal of choice?Vs. previous consumer gatewayPower of the Set Top BoxZigbee connections?Partnership to head off competitionMuni’s looking to run fiber – and for add’l revenue?Cross MarketingConsumer Portal / dashboard that allows users to see their energy usage and trends in real-time. The Portal gives users control over their consumption by allowing them to set up custom profiles based on their needs for comfort and desire to save on energy bills. Dashboard controls can also be accessed from any smart phone that can access the web.
24Recognize the Players Municipal Electric vs. City Cooperatives Investor Owned Utility (IOU)
25OpportunityHancock Telecom and Central Indiana Power
26Know your Customer Know what Itches Know the IndustryEach utility’s vision, philosophy, plans and priorities – that’s what drives their SG solution (if any)Understand electric utility economicsGeneration/Wholesale Power Cost is the primary driver – it’s all about cost/resource avoidance.Is selling less of something a good thing?Focus is on reliability, power quality – non-revenue generating objectives
27High Level Utility Overview StrengthsBuilding, operating and managing highly complex electro-mechanical infrastructureCommitment to reliability and redundancy – failure is not an option (Cost is usually second to reliability)Cautious and methodical – electric service is essential to public safetyGapsBuilding and managing high-volume endpoint communication networksIT prowessApplication integrationManaging continuous consumer interaction
28What are the Opportunities? Seek solutions – not simply connectivityNetworksNon-critical communications – the place to startNon-time criticalMost consumer level dataCommand and control networksCritical – failure is not an option…period.Hardest space to break in to…need to build trustIT supportEnterprise level solutionsOSS/BSSTime differentiated billingCustomer portalsCall centers
29Perspectives How far along are you in thinking about smart grid? Just starting to look into itHave met with local electric utilitiesWhat do you see as the key challenges of working with utilities?ReliabilitySecurity concernsGeographic coverage /dissimilar footprintsRegulatory issuesOperating philosophiesEach wants to own the network
30What are the Challenges? Build TrustHaven’t necessarily played together very nicely in the past.pole attachmentsmunicipal broadbandUnderstand what’s at stake for the utility (your customer) economically, operationally, politically etc…Rethink customer care. A utility is not a customer. It’s a partner. Your highest priority partner. Often when their service doesn’t work, yours doesn’t either.
31MSO’s and the Smart Grid Leverage the strengths of your organization to enable comprehensive end to end solutions for utilitiesUtility requires reliable, secure and low latency networkSpeeds deployment by using an existing access infrastructureLeverages technical skills of communications provider staffCommunication service providers leverage their core asset – the network – as well as IT capabilities to provide utilities with the communications fabric over which the smart grid can be deployedExpands service revenue streamsJustifies deeper fiber deployment to electric sub-stations, wireless base stations and perhaps all the way to the home
32Recognize Cultural Differences and Develop a Strategy for SG Develop SolutionsKnow IndustryCultural DifferencesIdentify GapsBuild Trust
33Which Utilities Make Good Targets Some utilities are more likely than others to cooperateFocus on utilities that do not produce their own power - those that buy all their power are more incented to implement Smart GridThe more territory overlap the betterUtilities with small IT and telecom staffs are more likely to be willing to work with communications service providers
34The Future is NowAdaptable communications technology that meets the broad set of requirements utilities face today and in the years to come.Technology Built for Future NeedsCapacity to grow – single network to supports ALL Smart Grid functions individually and simultaneously – functionality ready when neededBuilt for speed; instant data and responseDesigned to interface and interconnect – plug & playRisk ManagementProven technology / adaptability built-inFlexible communications options: – single transport or best combinationSingle network for cost-effectiveness and easy maintenanceSurgical deployment minimizes risk and accelerates paybackOpen standards for interoperability with future applicationsTiming: change priorities as objectives shiftCrystal Ball ConsiderationsBeyond billing!Energy Bill impact: – TOU, fuel surcharges, otherHome Area Network: – full menu of DR optionsDistributed GenerationCongestion managementMultiple utilities: – electric, water, gas, propaneYour utility objectives: – today, tomorrow, next year…VALUE
35Thank you for your time! Questions? Matt Haile Tantalus email@example.com (919) 605-0454
37Edison vs. BellIf Alexander Graham Bell were somehow transported to the 21st century, he would not begin to recognize the components of modern telephony – cell phones, texting, cell towers, PDAs, etc. –Thomas Edison, one of the grid’s key early architects, would be totally familiar with the grid!
38Smart Grid Capital Smart grid is drawing capital investments RUS-Investing hundreds of millions in advanced metering in rural areas; client cooperatives cover 42% of US distribution networkARRA-$3.4 billion in funding for Smart Grid projects was awarded by the Department of Energy in 2009Tantalus funding / finance facilitySignificant private capital is flowing in to Smart GridOver $4 billion complements ARRA funded projects
40Sources of Smart Grid Information Good reference sites for further informationFederal government Smart Grid portalNational Institute of Standards-Smart Grid Framework and RoadmapFederal Smart Grid Task ForceRUS-Loan and grant programs for electric and waterARRA-Link to see who won smart grid funding through ARRA