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How AMI/MDM Can Change the World:Enabling New Business for the Utility ofthe Future

Infosys and Itron are partnering to change the game, again

Confidential and Proprietary to Infosys 2

Contents

• Telecommunications and Global Travel – the GDM story

• Automated Metering – Game-Changing Technology andOpportunities

• The Utility of the Future – no, really

GDM – the acronym that’s changing IT

Infosys’ Game-Changing Technology


It started in 1981 with $250

• India was generating scores of English-speakingengineers and computer programmers

• Infosys’ founders began writing code in India for largecorporations

• Telecommunications and travel options improved• 1991 India relaxed it’s socialistic import/export laws• Infosys developed the Global Delivery Model, GDM, and

created the processes enabling offshore development• Companies began to change the way they did business,

and the smart ones were immensely successful


Infosys – Where we are today


Transforming IT: Our Revolutionary Global Delivery Model

Addresses typical problemsfaced in Large organizations:

– Annual increases inoperating expenses in IT;

– No predictability indelivery of capital budgetprojects;

– No proper knowledge ofmanagement systems;

– Unable to leverageexperienced SubjectMatter Experts (SME) fortransformation as theyare deeply entrenched infixing legacy issues;

– Complexities inmanaging relationshipswith multiple vendororganizations supplyingresources and services;

– Threat of knowledgeretention with manycontractors, and theassociated costs ofencapsulating thisknowledge in repositoriesand transitioning it incase of vendor change;and

– No trend of increase inproductivity, preventiveand perfectivemaintenance activities.

• Framework for Off-Shoring• Project is Distributed and Teams Work from Various Locations Coherently

� Program Management� Analysis and planning� Design� Onsite testing� Implementation

Systems Integration

� Projectmanagement� Detailed design� Coding� Testing� Documentation

Systems Integration

� Project management� Enhancements� Non-critical support

Ongoing Support

Strategy & SolutionDefinition

Client Site & Global Centers Offshore Centers

Ongoing Support 70%30%

Outsourcing

� Infrastructure design� Interfacedevelopment� Applications mgmt

� Strategy / approach� Process change consulting� Outsourcing program mgmt

Outsourcing

� Project management� Change management� Rapid reaction support

SolutionDevelopment

IntelligentProject Breakdown

LeverageExtended Workday

LeverageCost Efficiencies

Scalability

GlobalDeployment and Support

Skill Accessibilityand Predictability

Reduced Time to Market& Ownership Costs

Automated Metering/Meter Data Management

Itron’s Game-Changing Technology


CIS WMS

OMS

SCADA GIS

T&DSmart

Meters

CommunicationNetwork

(PLC, IP, Cellular,Phone, Radio,Mobile Van,Handheld)

•Communicationhardware

•Metering andcommunicationsoftware

IEE- MDMU

tility Interfaces

Planning

Engineering

Marketing

Construction

Rates

Asset management

Forecasting

Field services

Call center

Billing

IEE - Meter Data Management: The seamless connector betweencustomers and the ‘Smart Utility of tomorrow’

•Demand Response•Load curtailment•Onsite generation•Conservation•On-line self service

•Usage & Pricingpresentment

•Energy audits &analysis

•Rates/ Contracts•Billing/ Settlements•Load control

C&I

Homes

ISO/RTO s

GenerationCos.

Utility Ecosystem

Leveraging the Powerof AMI interval data

Data Gathering

Collection


EnergyManagement

EnergyManagementIncremental AMI

Business Value

Today’s Utility Operations

AMI is the fulcrum for new business benefits

CustomerManagement

AssetManagement

AMI provides solutions to a variety of market pressures

EnvironmentalConsiderations

EnvironmentalConsiderations

The CustomerThe Customer

Reduce Green houseemissions

Informed, has choices

ApplicationsOf AMI

DSM, Analytics

KnowledgeApplications

Field ForceAutomation

Need to ConserveNeed to Conserve

Price: Demand/Supply ElasticityPrice: Demand/

Supply Elasticity

Energy Efficiency

TOU, Rate options

Load curtailmentprograms

Dynamic pricing

Load management

ApplicationsOf AMI

DynamicRegulatory

Environment

DynamicRegulatory

Environment

EconomicConditionsEconomic

ConditionsIndustrial growth

Higher EnergyPrices

State utility commissions

FERC, NERC, DOESmart grids

DistributionPlanning

ApplicationsOf AMI

AMI

The connection between the customer and utility now enables awhole new level of “business as usual” and so much more

Tomorrow’s Utility Operations

Toda

y

CustomerManagement

AssetManagement

AM

I Im

pact


AssetAnalysis &

DesignBusiness

Impact

AssetMonitoring &

ControlBusiness

Impact

EnterpriseEnergy MgtBusiness

Impact

LoadForecastingBusiness

Impact

DemandResponseBusiness

Impact

MeterReadingBusiness

Impact

The Business Case is There - SCE

$3,353M $512M $98M $77M

$26M

Source: Southern California Edison AMI Business Case Rate Case Testimony

Asset MgtValue

Legend:

CustomerMgt Value

EnergyMgt Value

$6,556M

RatesBusiness

Impact

BillingBusiness

Impact

CustomerCare

BusinessImpact

OutageMft/FieldServicesBusiness

Impact

RevenueAssuranceBusiness

Impact

$2,476M$14M

$26M

Total:

$4,040M

$2,490M

AMIImpact


Our Roadmap: We Needed An Engine

AgileArchitecture &FrameworkDefinition

AgileArchitecture &FrameworkDefinition

Steady state:Solutions &Service Offerings

Steady state:Solutions &Service Offerings

Identify the coreengine of ourbusiness track

Identify the coreengine of ourbusiness track Jointly

DeliverAdvanced

Solutions inAMI/MDM

Space

•Domain

•Technical

•Business

Our 3-step strategy Action plan Results End Goal• Performed market analysis. Internally

evaluated key MDM products andsoftware vendor's strategy…

• Selected Itron because of :

o The architecture & scalability ofIEE

o The widest amount of functionalcapabilities and product flexibilityand

o Strategy, expertise, and mgmtteam's innovation.

• Develop solution framework aroundkey AMI/MDM focus areas

• Linking business value to technologydelivery

• Utilizing global talent pools

• Applying information and technologyto improve operations

• Act as Itron’s Extended product team

• Leverage Infosys’ GDM and bestdevelopment practices

Partner with theIndustry Leader

Develop expertisearound niche AMI

MDM products

Evaluate alternativeapproaches

ProductDevelopment

SolutionFramework

ExtendedOfferings

What Does AMI mean for the Utility of theFuture?Baby-Steps and Giant Leaps


NextGeneration

services

ProductOfferings

InnovativeRate Structure

DistributionSystems

Online tools

Supplier / PartnerRelationships

DemandResponse

MeterInventory

Customer Operations Energy Delivery and Supply Support servicesPortfolio

OptimizationCustomer

ServiceNetwork

OperationsSupply ChainWork and

Asset MgtIT OperationsTrading and

Risk Mgt

Receivables and Inventory mgmt

Energy Assistance

CustomerService System

Renewal

Mobility

Pre-paidelectricity

Process andSystems

Optimization

Rea

l-tim

e in

terv

al m

eter

ing

data

for a

ll cu

stom

ers

Engineering

Online analytics

Field WorkforceAutomation

TransformerLoad research

LoadcurtailmentManagement

Forecasting

Depositmanagement

Premiumservices

Energy efficiency

Efficient BillingInquiry

Powerprocurement

GIS

Transformational Enterprise Systems Implementations

CustomerManagement

AssetManagement

EnergyManagement

Efficient Callcenter

Solutionsfor

Today’s UtilityOperations

AMI

Incremental AMI Benefit value:Leverage AMI data in Key Transformational Areas

Address targeted weak spots in meter to cash processwith IEE and Infosys custom solutions

The connection between the customer and utility now enables a wholenew level of “business as usual” and so much more


• Receive notification of Demand Response (DR) event

• Accept or decline offer; indicate KWh reduction

• View real-time energy cost reductions (as they occur)

• View actual demand relative to baseline & target levels

• Generate & view DR settlement compensation reports

• View report showing actual, target & reduction KWh

Demand Response

The Ultimate Customer Portal is Possible Today

Ultimate Customer Portal

• How much energy did I use last month?

• Is my bill based on estimated or actual usage?

• Is my bill accurate?

• How can I save money on my energy bills?

• Am I on the best rate?

• How can I quickly restore my service?

Customer Care & Billing (Today)

• Monitor energy usage by device (e.g., appliance)

• Evaluate energy efficiency (in total, by device)

• Identify opportunities for increased efficiency (i.e., BM)

• Identify energy device saving alternatives

• Identify energy procurement saving opportunities

• Identify energy usage savings opportunities

Energy Management (Future)

• Forecast energy demand (KWh in total & by device)

• Manage energy supply (KWh in total & by device)

• Forecast energy costs (in total & by device)

• Monitor actual versus forecast energy costs (variance)

• Detect billing errors & manage cost/energy variance

• Recommend initiatives to reduce energy usage / costs

Energy Budget & Bill Management (Future)

Utility to Consumer

Consumer HAN

HAN = Home Area Network

CustomerManagement


IEE Portlet Technology

IEE Mass Market Customer Care’s web-portlet based solution lets usersand CSR’s view and easily analyze usage, cost, and rate information

Electricity (Off-Peak) $0.05 per kWhElectricity (On-Peak) $0.10 per kWh

Electricity (Critical) $0.50 per kWhDistribution Charge $0.03 per kWh

Monthly Service Charge $20.00 per Month

Your electric rate varies by time of day will change depending and day of week. During certain periods,generally during the summer months, you will be subject to a "Critical Peak" rate. During these times,save money by using appliances before 4 pm or after 7 pm. The chart shows your rate in cents perkilowatt hour. (?) Other monthly service charges and taxes are listed below.

0

10

20

30

40

50

60

Mid - 7am (Off-Peak)

7am - 3pm (Mid-Peak)

4pm - 7pm (On-Peak)

7pm - Mid (OffPeak)

Rat

e (C

ents

per

Kilo

wat

t Hou

r)Weekend Weekday Critical Peak

•Designed to augmentexisting customer selfservice tools (ex. billpay)

•Focus is interval datapresentment, analysisand action

• Designed for theresidential and smallC&I users

• Additional AMI tools forCSR’s

CustomerManagement


Target Under Secured Accounts CustomerManagement

DisconnectDisconnectServiceService

ReconnectReconnectServiceService

AdjustDeposit

LaunchIEE RPS

Company TotalNew Service Account

Deposit Administration

UnderSecured

29.00%At Guideline

51%

Over Secured20%

Central Division

UnderSecured 13%

AtGuideline

75%

OverSecured

12%

Northeast Division

UnderSecured

20% AtGuideline

50%Over

Secured30%

Western Division

UnderSecured

50%

At Guideline25%

Over Secured25%

Company Level View

Division Drill Down View

Individual Account ViewsNew Account Consumption Analysis

Account # 72 036 29613015

0

5

10

15

20

25

30

Day 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23

Days of Service

Cons

umpt

ion

(kw

h)

kwhAverage kwh

Monitor aggregate consumption for first 120 days

New Account Deposit AnalysisAccount # 72 036 29613015

$0

$20

$40

$60

$80

$100

$120

$140

Day 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23

Days of ServiceExpected BillDeposit Guideline

Calculate average expected billbased on consumption to-date

New Account Deposit AdministrationAccount # 72 036 29613015

AmoundUnder/Overdeposited

$66.20

DepositGuideline$126.20

Amount Secured$60.00

$100.00 $50.00 $0.00 $50.00 $100.00 $150.00

Identify NSA accounts with under-funded deposits


Energy Management – Extend Your Reach

• How much energy did I use yesterday (by hour)?

• How much energy am I likely to use tomorrow (byhour)?

• What is my optimal energy supply plan for tomorrow(by hour)?

• What is the variance between day-ahead energyforecasts and actual next day energy requirements?

• Did I optimize my actual energy supply purchases?

Load Forecasting

• What is my energy usage baseline?

• What is my actual hourly energy usage?

• How does my actual energy usage compare to BMs?

• What are my opportunities for energy savings?

• How much energy did I actually save?

• What is the effectiveness of energy savings programs?

Energy Management

EnergyManagement

• Send hourly energy supply prices to consumers

• Use TOU rates, CPP or RTP to encourage consumersto shift energy usage to lower cost periods

• Facilitate manual or automatic (load control) responseto TOU rates, CPP or RTP

• Monitor actual versus committed energy savings

• Integrate Demand Response with other Demand SideManagement / Integrated Planning Programs

Demand Response

Energy Management Portal

Your Energy UsageYour Energy Usage

0

0.2

0.4

0.6

0.8

1

1.2

1.4

1.6

1.8

2

1 AM

4 AM

7 AM

10AM

1 PM

4 PM

7 PM

10PM

Usa

ge (k

Wh)

Gas Usage Energy Usage Summary

Total Usage 57 kWh Peak Time 7:00 pmOn Peak 15 kWh Temp at 7:00 88ºFOff Peak 42 kWh Avg Temp 78ºF

Electric Usage

?

Day

Billing Month

Week

Year

Show Temperature

7/17/2007<<

Display Usage For:

Previous Day Same Day, Previous Month

Same Day, Previous Week Same Day, Previous Year

Compare To:

Electricity UsageJuly 17, 2007

Tem

pera

ture

Joseph Franz 987 Fallen Leaf Cir. La Jolla, CA

Show Table

Show Temperature

123456Select Account:

>>

Sample Usage Portal Sample Cost Portal


Asset Management – Better Data Means Better Results AssetManagement

• How do actual rather than estimated loads affectdistribution asset analysis and design?

• How do automated design tools impact designquality and enforcement of engineering standards?

• Are my transformers over-loaded? Under-loaded?

• Can I reduce O&M expense and / or capitalexpenditures?

Distribution Asset Analysis & Design

• Can I use the AMI infrastructure to monitor distributioncircuits and automate distribution operations?

• What are my distribution circuit loads

• Can I remotely monitor and control capacitor banks?

• Can I monitor power quality?

Distribution Asset Monitoring &Control

Asset Management Portal

• Provide simple Transformer Load Managementoverloaded tx calculations

• Aggregate usage to transformer• Compare against transformer name plate rating• Calculate overload %• Provide list, sorted by % overloaded, color coded

Sample Asset management using IEE


Now The Fun Stuff – What’s Next?

The opportunities are endless…

• Allow customers to have fun with Hightech products the way they were meant tobe ....

• Control almost anything:•Lighting•Security Systems•Thermostats•Remote controlled devices

The "smart" meter can be utilized to:• Read the meter both locally and remotely

(on demand)• As a sensor• Remote limitation of the throughput

through the meter to control demand• Interconnection to premise-based

networks and devices, remote control ofmeters within home

• Remote provisioning of services (e.g.Security)

How Smart metering is different from Traditional metering

Traditional/AMR meter

Manual/Automated

reading

Utility database

Smart meter

Interface

Home controls

Gateway AMI Infrastructure

Smart homes


Partner with the Consumer: Pre-paid metering using AMI

Actaris/ Itron currently supports pre-paid programsworldwide:-Support multiple program and device types

•Purchase programs: Tokens/ third party payagents,

•SMS text, Web•Meter updates: Keypad, token, 2 way flash•1 way and batch 2 way communications

Further extend IEE portlet library to support Customer Prepaid Portal• Usage history, analytics• Overlay temperature data, usage comparisons to prior periods• Portal-compliant EFT/ credit card purchase and EBPP tools• Portal-compliant account balance

•Configurable rules for executing automated disconnect of service throughmulti-vendor console, including standard AMI remote disconnect and loadlimiting devices

Current State The future direction

Y o u r E n e r g y U s a g eY o u r E n e r g y U s a g e

0

0 .2

0 .4

0 .6

0 .8

1

1 .2

1 .4

1 .6

1 .8

2

1AM

4AM

7AM

10AM

1PM

4PM

7PM

10PM

Usa

ge (k

Wh)

G a s U s a g e E n e rg y U s a g e S u m m a r y

T o ta l U s a g e 5 7 k W h P e a k T im e 7 :0 0 p mO n P e a k 1 5 k W h T e m p a t 7 :0 0 8 8 ºFO f f P e a k 4 2 k W h A v g T e m p 7 8 ºF

E le c t r ic U s a g e

?

D a y

B i l l in g M o n t h

W e e k

Y e a r

S h o w T e m p e r a tu r e

7 / 1 7 / 2 0 0 7< <

D is p la y U s a g e F o r :

P r e v io u s D a y S a m e D a y , P r e v io u s M o n th

S a m e D a y , P r e v io u s W e e k S a m e D a y , P r e v io u s Y e a r

C o m p a r e T o :

E le c t r ic i ty U s a g eJ u ly 1 7 , 2 0 0 7

Tem

pera

ture

J o s e p h F r a n z 9 8 7 F a l le n L e a f C ir . L a J o l la , C A

S h o w T a b le

S h o w T e m p e r a t u r e

1 2 3 4 5 6S e le c t A c c o u n t :

> >

Portlet #1View My Available $ Balance on my Prepaid MeterDisplay and provide access to portal-compliant CIS selfservice tools for the consumer to see his account balance

Portlet #2Add $ to My Prepaid MeterDisplay and provide access to portal-compliant CIS self-servicecapabilities for the consumer to executeElectronic Funds Transfer or Credit Card Purchase

Pre-paid services & analytics using Itron Enterprise Edition

SmartElectricity


The future state: Home networking/

Expand Into New Business

For governments toreach energy saving &efficiency targets and toimprove freemarket processes

Smart metering is one of the biggest innovations in recent times. It is of indispensable use to everyone…

For grid operatorswho want to preparetheir grid for thefuture

For utilities/ energysuppliers who wantto introduce new,customer orientedservices & reducecall center costs

For end users toincrease energyawareness anddecrease energy useand energy cost,foundation for smarthomes of the future

FutureAvenues

The building blocks

Utility Pole

SmartHome

RemoteMeter

Connectivity

WirelessGateway

Repeater

Substation Internet WebServices

Meter Data ManagementGrid Control

Total automation of:�Communication

�Power grid & metering�Broadband services, phone services


The future landscape summarized :Give ‘Em Some Options

The possibilities are endless…

Instant-on ServiceOutage notifications

to families, business owners

Real-time notificationsEffective operational control

Real time audits

Advanced analyticsTarget capital investment

Mitigate financial risk

The Next generationPremium Services

A Paradigm changing technology for a ‘Smart’ tomorrow…

AnalyticsNotifications

•Out of Cycle reads•Reduced/ EliminatedField Support

•Positive Outage andRestoration Notification

•Improve load factorreducing generation &distribution capacity costs

•Allows customers toparticipate in tailoredDemand Responseprograms

•T&D BusinessTransformation

•“Next Generation” of assetmanagement Asset LifeAnalytics, Network DesignOptimization

Asset MgtCustomer Mgt Energy Mgt

In Conclusion:

We changed the world onceWe want to do it againWe have the technologyWe have the know how

how ami/mdm can change the world: enabling new business ... · how ami/mdm can change the world:...

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