Utilimetrics Selects SmithBucklin for Association Management Services

Posted by Utilimetrics on April 20, 2012

By Bob Sitkauskas, Utilimetrics chairman of the board

I am pleased to communicate to our Utilimetrics family some exciting news that will assuredly help take our organization to the next level. As you know, the economic challenges we’ve faced over the past few years have required all of us to do more with less. Utilimetrics, like many associations, has of necessity focused strategically on maintaining financial health.

As part of our strategic planning efforts, the Board has been exploring broader, more scalable operations management options to best support us as we move forward. After researching and exploring a variety of options, we have decided that moving back to an association management company will provide us with the best mix of professional resources and predictable, manageable expenses. We have thus chosen SmithBucklin Corporation to manage Utilimetrics and enhance the capabilities of the organization for long term growth.

SmithBucklin Corporation is the world’s largest association management and professional services company, providing flexible, tailored full-service management and project-based services to more than 320 trade associations, professional societies, technology user groups, government institutes/agencies and other nonprofit organizations. Through an international partnership, SmithBucklin also provides global reach and services to organizations operating internationally. I am confident that SmithBucklin’s people, their unparalleled expertise and their breadth of resources will help us expand our reach and allow us to provide best-in-class programs and services to our diverse stakeholders of electricity, water and gas distribution utilities.

As of March 30, our headquarters office has relocated to SmithBucklin’s downtown Chicago location.  I’m pleased to report that one of our current staff members, Janice Greenberg, has joined SmithBucklin and will remain part of the Utilimetrics team. You can still reach Janice at jgreenberg@utilimetrics.org. Our new headquarters contact information is:

Utilimetrics
401 N. Michigan Avenue, Suite 2200
Chicago, IL 60611-4267
Phone: 312.321.6882 (312.321.6UTA)
Fax: 312.673.6995
E-mail: info@utilimetrics.org
Website: www.utilimetrics.org

As part of this move, we have appointed an interim executive director to work with Janice and the rest of the team to ensure an orderly and successful transition. We will share information about this individual very shortly, so stay tuned. Our new team is already making plans around the celebration of our 25th anniversary and Autovation 2012. We hope you will join us in Long Beach, Calif. Sept. 30 – Oct. 3, as we expect this to be the best Autovation ever!

In closing, I want you to know that the Board approached this opportunity very thoughtfully and critically. Utilimetrics is the world’s premier utility technology association, and we strongly believe that this partnership with SmithBucklin is the right answer for us and will allow us to continue to serve the utility technology industry at the highest level possible.

I will continue to keep you up-to-date on our progress. In the meantime, please click here for more details on this upcoming change. Should you have additional questions or concerns, please don’t hesitate to reach out to me directly at mailto:sitkauskasr@dteenergy.com.

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Smart Grid Introduces Big Risks to Meter-to-Cash Processes

Posted by Utilimetrics on February 21, 2012

By Eric Nelson, Synaptitude Consulting

Utilities that have successfully implemented traditional revenue protection methods, focusing on credit and collections, and energy fraud, typically minimize the revenue lost as a result of inherent inefficiencies in these processes to 3 to 4%. The disruptive technologies enabling energy smart grids will introduce new complexities to the meter-to-cash process, just as they have in other industries. Tele-communications is one such industry, which has faced and solved challenges similar to the ones now being introduced to the utilities industry, and provides an excellent source for applicable “lessons-learned”. For example, when market forces compelled telecommunication service providers to introduce new products based on next-generation networks, some of them experienced revenue losses of 15 % or more. There is no reason for utilities to suffer the same as smart grid rolls out; like communications providers, utilities can implement revenue assurance strategies and tools that ensure accurate data collection and billing and identify fraud and loss continuously.

Four Key Risk Areas
There are four main risk areas that smart grid’s complex meter-to-cash processes exacerbate which utilities ought to address proactively.

1. Revenue and Profitability Loss. Smart meter-to-cash complexity creates more potential breakdowns, service calls, and difficulties in correlating delivered and consumed energy with billed and collected revenue. Reporting breakdowns can go unidentified for weeks, compounding revenue loss over time. More complex rating and discounting drives both under- and over-billing errors. Intelligent diagnostic tools are required to ensure that all delivered and consumed energy is monitored and measured completely and that energy usage and consumption correlates accurately with billed and collected revenue.

2. Increased Customer Complaints. Smart grid introduces new pricing, services, and equipment. All invoice-driven industries experience spikes in customer inquiries and disputes when introducing new services, rates, and invoice formats. Given the associated costs and the negative impact customer complaints to PUCs have on rate relief initiatives, utilities would be well-advised to address these issues.

3. Fraud and Theft. Adding technology to power measurement and management creates vulnerabilities for thieves to exploit. For example, the wireless industry suffers new waves of fraud with each network upgrade. CBS News reported in 2009 that 70 percent of online fraud is perpetrated by organized crime. These groups recognize that fraud, across all industries, is more lucrative and less risky than narcotics trafficking, and Smart Grid creates opportunities for them. Identifying new forms of fraud requires intelligent diagnostic tools that can identify usage behaviors that should be investigated for fraud.

4. Day Demand Curve Costs. Smart Grid necessitates predictive analytics that enable utilities to analyze and respond to usage behavior and manage the day demand curve proactively. Data from many systems must be delivered reliably to enable the feedback loop that makes Smart Grid valuable. If the feedback loop is not reliable, the ability to manage demand will break down, which will in turn increase supply-side energy costs. To manage

Smart grid is technology intensive. Utilities will benefit from expertise, and should leverage the experience and expertise developed across industries that have faced similar technical challenges. Most smart grid meter-to-cash risks can be met through the expert application of comprehensive, proactive approaches to revenue assurance that deliver process and data integrity controls, intelligent diagnostics, and predictive analytics.
1http://www.cbsnews.com/stories/2009/05/05/tech/cnettechnews/main4991799.shtml

Posted in Revenue Protection, Smart Grid, Smart Meters | Leave a Comment »

The Smart Grid – more than just smart meters

Posted by Utilimetrics on January 19, 2012

By Jonas N. Olsen, On-Ramp Wireless, Inc.

Search the term ‘smart grid,’ on the Internet and you’ll get a long list of articles about smart meters. But the smart grid goes far beyond the meters. Often located in underground basements or on impossibly high rooftops, devices associated with operating the smart grid can be hard-to-reach, especially in metro or other challenging environments, where there is no hardwire Internet connection. 

Distribution Automation (DA), which has the potential to significantly improve the performance of the smart grid, also struggles to connect these “smart devices.” DA systems strive to improve reliability of the smart grid through situational awareness, outage management, and faster response times when a fault is discovered. A smarter distribution system can also assist in utility capital planning by highlighting changing load conditions over time. Utilities are interested in implementing DA because it improves their bottom line and it is an autonomous project – they don’t need to communicate with their consumers.  

Half the battle of optimizing a DA system is connecting these billions of “smart” devices cost-effectively. Utilities need to be able to deploy a secure and reliable wireless remote monitoring system throughout their distribution network to accomplish asset monitoring, fault indication to improve outage restoration, alert to power quality issues, capture power theft and act as a hub for demand-side load management, which ultimately lowers cost of operation and maintenance costs for utilities.

For electric utilities, an added challenge is the advent of distributed generation, where electricity is generated from many small energy sources, and the introduction of Electric Vehicles (EVs), which bring new pressures to utilities’ distribution grids. However, wireless remote monitoring systems can address this too, especially as they become increasingly prevalent. 

Wireless Systems for Remote Monitoring

While utilities are increasingly using wireless technology for remote monitoring applications, it should be noted that not all wireless technologies are created equal. There are significant differences, which ultimately determine their applicability (cost and performance) to a specific application.

The key characteristics of a wireless system that determine its overall applicability are:

  • Coverage: The system’s ability to transmit a signal over a long distance.
  • Capacity: This can be defined in two terms. First, there is the actual application throughput (good put) from a single end device (such as a pressure sensor) in the network. Second, the overall network capacity must also be considered. This refers to the ability of a concentrator (or Access Point) to process data from nodes in the network. This is what we call the overall throughput capacity.
  • Power consumption: In remote monitoring applications, many end points must rely on batteries as the main source of power. The preference is for lower power consumption to extend the span between battery replacements. In some installations solar or other renewable sources can be used to supplement a main battery.
  • Latency: This term relates to the time it takes for information to move through the system in either direction (from the remote device to a central collection system and the other way around).
  • Communication type: Wireless (or any communication system for that matter) operates as either simplex (communication only one way), half-duplex (communication both ways but not at the same time), or full-duplex (same time, bi-directional communication).

Wireless spectrum allocation is another concern that must be addressed. Wireless systems perform over a wide range of frequencies, from a few kilohertz to high frequency gigahertz systems. Many frequencies are licensed and typically bought by private companies through public auctions. Other frequencies are designated unlicensed and can be used free of charge. The unlicensed frequencies, however, are associated with rules and regulations about how the free spectrum can be used by various different private operators. An example of a rule would be guide use of popular technologies such as Wi-Fi and Bluetooth. The rules and guidelines address the amount of power output and the occupied bandwidth that can be applied in the allocated free spectrum. The rules vary from country to country, and operators need to observe and comply with local restrictions. Many remote monitoring applications operate in the free and unlicensed frequencies. This is mainly due to cost concerns, as many of these applications do not warrant the high cost of dedicated frequencies or the monthly recurring fees incurred when renting this spectrum of a third party operator.

It is important to recognize that different wireless systems mix and match these characteristics in various ways. This also means that there isn’t a “one size fits all” wireless system that is ideal for any application. The unique application requirements of a flow measurement system, for example, are very different from a low latency, factory floor SCADA application, which may require millisecond response times. Some applications will require very high data rates, while others just process a trickle of index data throughout the day. Pick any of the above mentioned system characteristics and the same kind of comparisons could be made.

Most remote monitoring applications fall into a category where range and low power consumption is prioritized. Range, in this sense, should be understood as either great distance (e.g. >10 km), or as the ability to penetrate obstacles, like vegetation, building, etc. Low power is key, as many remote devices will require monitoring without access a continuous power source (i.e. battery operated). Relatively small amounts of data are typically transmitted and capacity therefore tends to be a minor concern. What is important, however, is the aggregate data rate at the collectors/Access Points. If a wireless system has great coverage it is likely to provide coverage for many thousands of devices from a single network infrastructure point. This “Access Point” must provide sufficient throughput capacity to, robustly, receive and process data from all of the covered devices. This is where many narrow-band radio systems fail to meet the requirements of utility customers.

Finally, one needs to consider the communication type. Some applications can survive with simplex communication. This would be the case when all the application is intended to do is to collect data from a remote point. For an application where two-way communication is needed (resetting alarms on remote devices or changing configurations) a duplex system must be deployed.

Backhaul Options

An additional concern is backhaul from the remote site to a central data processing site. Most remote operation is far from the main hubs for IT infrastructure. When a private wireless system is installed (as opposed to using public infrastructure like a carrier based GMS network), it is up to the user to provide all connectivity links in the system. A wireless system that uses unlicensed spectrum will typically terminate in a set of wireless access points or gateways, which then need to be connected to the overall company network. This can be done in various was, but the most commonly used methods are a direct connection to the Local Area Network (if available), backhaul via a public cellular network (again, if available), and finally through satellite links. These options are listed both in terms of preference and cost.

Systems Integration

Integration with a process automation platform has to be considered. For a wireless remote monitoring system to be effective, it has to present the collected data in an industry standard format. An end-to-end wireless remote monitoring application will provide every step in the process, from integration of the wireless module with the remote sensor, wireless networking and networking infrastructure and conversion of the data to a standard format, such as Modbus or OPC. This allows for simple integration, both with on-site process automation systems and backend historical data storage.

Conclusion

As electric, cable, and telecom utilities increasingly work to improve their DA systems while having an eye on their bottom line; they should look at wireless remote monitoring solutions. With the right system, utilities should be able to pinpoint a problem exactly where it occurs so that their work crews can go directly to the affected area to fix it, and don’t have unnecessary downtime. In some cases, preventative maintenance system integration will even avoid failures altogether. A system should also be able to integrate fault indicator alarms with work order systems for simple and automated dispatch of workmen. Beyond the workforce, a connected DA system also leads to low power consumption by limiting peak power requirements, better capital planning, and fewer outages.

Lastly, the network should ultimately allow for a low-cost, fully-automated Distributed Grid, which enables e.g. fault indication (above and below ground), transformer monitoring, substation automation and other applications that were previously thought unfeasible to automate. When these applications come “online”, utilities will see significant enhancements in key performance metrics.

Jonas N Olsen is the VP strategic partnerships for On-Ramp Wireless, Inc., which is currently deployed by a Western utility for its wireless communication system.

Posted in Distribution Automation, Electric Vehicles, Post Deployment, Remote Monitoring, Smart Grid, Smart Meters, Systems Integration | Leave a Comment »

Leading-Edge GIS Applications in Utility Environments

Posted by Utilimetrics on January 3, 2012

Geospatial technology (GIS) evolved from a highly specialized, niche-oriented application to a much broader-based platform widely used in government agencies, private sector companies and utilities. It has become an essential tool for improving service levels, providing for increased infrastructure protection, enabling enhanced emergency response and serving to integrate enterprise solutions. 

The benefits for a utility integrating GIS are:

  • Interoperability: Common language and data access API
  • Transaction management: Consistent and durable
  • Topological consistency: Seeing connecting objects as a visual
  • Referential integrity: Data maintenance, observing different behavior
  • Mobility: Local data storage and visualization
  • Security: Privacy with confidentiality agreements and good passwords

When utilities invest in GIS, they are looking for the technology to provide asset and customer location data. By integrating AMR and other systems, GIS helps increase enterprise benefits for the utility. Beyond that, several municipalities and utilities have joined together to optimize the rewards of this IT investment.

Following are highlights from the Sept. 28 Autovation GIS panel discussion…

Moderator:         Matt Bell, Vector1 Media
Panelists:          Robert F Austin, City of Tampa; Thomas Conry, Fairfax County; Mark Reichardt, Open Geospatial Consortium

Visualizing New Developments in 3D 

Virtual Fairfax, enables the residents of Fairfax County to view their community in 3D. Conry explained how using 3D GIS helps visualize new developments. The technology can be used to see a scaled-down but realistic depiction of the user’s environment, as if walking down the street through a computer. New GIS technology can detect small details beyond the basic infrastructure, even down to the furniture in each building.

Thousands of buildings in Tyson’s Corner, an area in Northern Virginia, are fully modeled in 3D. But Conry explained the technology goes beyond being able to see the picture: Residents have access to detailed information about a property through integrated connections to the TAX administration’s assessment website and more.

GIS As a Tool for Pattern Predictions

GIS can be used to measure, scale and manipulate the environment, but what about fighting crime? GIS technology has helped the City of Tampa track and prevent crime. According to Austin, crime in Tampa has dropped 62% since 2003 because GIS technology has revealed noticeable patterns in behavior. Austin described how a string of robberies could be used to predict a pattern using GIS, for example. The technology is also useful in predicting traffic patterns and preventing accidents. By reading information on specific zones where accidents occur more frequently, GIS can measure the probability of an accident happening in the same place, and when.

Working Together To Maximize the Benefits of GIS

The panelists agreed that when municipalities and utilities work together, benefits are maximized for both.

Communication is key

Above all, it’s important to recognize that as with any transition, communication is a large part of the shift. Ball said, “Communicating conditions prior to deployment is very important.”

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Success Factors for Implementing Change Management

Posted by Utilimetrics on December 21, 2011

Utilities considering smart grid technology recognize that implementation depends on the successful integration of new technologies with legacy system infrastructure. But it also depends on human dynamics, which are essential to effective change management.

This article highlights the Autovation Change Management Education Session from Wednesday, Sept 28.

Speakers:        
Shawn McDonough, Rappahannock Electric Cooperative
Tom Kerestes, West Monroe Partners
Kathy Cowan Sahadath, Hydro One Networks, Inc.
Deb Bradbury, Enspiria Solutions 

Implementing a Program Management Office for What’s Beyond the Smart Grid

Rappahannock Electric Cooperative (REC) is the ninth largest cooperative in the U.S., serving 22 Virginia counties. West Monroe Partners is a full-service business and technology consulting firm working in strategy and execution. West Monroe Partners provided project management solutions to REC as it implemented smart grid technology. The utility and consulting company partnered to oversee strategic development with projects, but executives recognized more was needed including:

  • Coordination and management of projects
  • Formalized project management and prioritization process for all major projects to properly manage resources and investments
  • Business process improvement for business transformation activities resulting from REC’s smart grid implementation

Utilities typically implement Program Management Offices (PMO) focused on IT activities. Under the Smart Grid Investment Grant (SGIG) funding, REC created a PMO to:

  • Monitor progress of multiple projects
  • Enable cross-functional team collaboration
  • Centralize specific financial and operational reporting requirements

By designing the PMO for use beyond the initial three-five year Department of Energy (DOE) SGIG funding period, REC planned to maximize capital investment. Kerestes described the best practices of a PMO:

  • Time management
  • Resource management
  • Risk and issue management
  • Scope and change management
  • Communication management
  • Quality management
  • Integration management
  • Cost management

Some problems may arise with change management, business process redesign and quality assurance. The top obstacle to successful change management is employee resistance. But the “number one success factor to implementing change management is strong sponsorship with an organization,” said Kerestes.

Some of the questions you should ask:

  • What are the requirement specifications for this project and does everyone know what they are?
  • What should a quality assurance plan look like for this project?
  • How do we know that we’ve managed this project to ensure a quality product is delivered?

All suggestions come into the PMO for review and analysis based upon strategically established filters. Projects are then grouped into categories based on whether or not they move forward, and how the PMO will treat them.

Change Management Enables Smart Grid Innovation

Hydro One, a utility that delivers electricity to 1.3 million customers across Ontario, is utilizing change management strategies to foster an environment of innovation. Hydro One’s Advanced Distribution Project (ADS) is one of several initiatives to sustain and modernize Ontario’s electricity grid. It is driven partially by the Ontario Green Energy Act, which mandates the connection of more renewable energy sources.

Hydro One’s ADS project is a multi-year initiative to analyze, identify and deploy applications, equipment and new processes to better serve their customers with the following business objectives:

  • Optimize connection of Distributed Generators
  • Improve distribution reliability and operations
  • Optimize outage restoration
  • Optimize network asset planning

Working with IBM Canada, GE Canada, Telvent Canada and Enspiria Solutions Advisors, Hydro One prepared a project schedule and identified the implementation challenges:

  • Utilizing new tools, technology and business process to make better business decisions
  • Staging a complex implementation
  • Managing an aggressive schedule
  • Securing resources needed for multi-disciplines
  • Managing impact to lines of business
  • Communicating effectively
  • Coordinating 10 project work streams working in parallel
  • Realizing business transformation

To tackle these challenges, a thorough change management strategy was established to provide a shared vision of the future. Through community and training activities, ADS awareness established a network of change leadership, delivering the “right messages to the right people at the right time.”

The team is working toward success by maintaining active and visible executive sponsorship, facilitating frequent and open communications, monitoring performance and leveraging best practices and lessons learned.

Attention utility professionals: please share your change management experiences (challenges and successes) with your peers. There are several ways you can do this:

We look forward to hearing from you!

Posted in Autovation, Change Management, Project Management | Leave a Comment »

The Expanded Role of AMI in Strengthening Customer Relationships and Improving Water Conservation

Posted by Utilimetrics on December 8, 2011

By Matt Thomas 

As utilities in areas across the country raise water rates to fund desperately needed infrastructure repairs and replacement, educating consumers on the true value of water can act as a “shock” absorber for rate increases, according to Avoiding Rate Shock: Making the Case for Water Rates, a study sponsored by the AWWA Water Utility Council. The study found that although consumers get upset over rate increases because of misunderstandings about the true value of a safe, adequate supply of water, a consistent, structured communications strategy helps build support for rate increases.

To help build and strengthen customer relationships despite rate increases, utilities should proactively leverage advanced metering infrastructure (AMI) data to educate customers on their water usage, especially in terms of rates and the importance of water conservation. Such a task might sound laborious and costly to utilities; however, consumer portals that integrate with AMI systems can allow customers to access their water usage online in real time. Online access to water usage is a relatively simple tool that utilities can employ to help consumers learn about their rates, improve conservation through leak detection and communicate with their utility.

While adoption of consumer portals in the water industry is still in its early stages, some utilities that have started to provide this service are already experiencing significant results. Since installing an AMI system that integrated with an online consumer portal, The Village of Frankfort, NY, reported that approximately 20 percent of its customers are using the system to view their water usage.  As a result of the project, The Village of Frankfort was recognized by the New York State Conference of Mayors and Municipal Officials (NYSCOM) at the conference’s 102nd annual meeting in which it received first place in the Public Works Category of the 24th Annual Local Government Achievement Award Program.

Consumer portals graphically illustrate stored AMI data and present it to customers in charts and graphs that allow them to easily monitor their consumption rates and usage patterns. Online access to this kind of information can be used by consumers to estimate future water costs, better understand their bills and manage their utility budgets. It also enables consumers to notice or be automatically alerted of data anomalies, which may indicate household water leaks they were not previously aware of, which can result in excessively high bills. This example is just one of many that demonstrate how easy access to such information is financially beneficial to consumers.

Providing access to detailed usage information can also help utilities partner with customers to improve water conservation. This is a valuable capability, as industry reports are showing that water conservation has become a significant concern among consumers. A recent Oracle survey found that 76 percent of consumers are concerned about water conservation. According to the report, 71 percent of those surveyed also indicated that having access to more detailed information about their water consumption would help further motivate their conservation efforts.

Consumer portals enable customers to accurately track their consumption in order to curtail water use to help meet personal conservation goals. And, by automatically alerting consumers of potential household leaks, utilities proactively help rectify necessary action to stop water loss. According to the EPA, 5-10 percent of American homes leak more than 175 billion gallons of water annually through old faucets and toilets. These portals not only show consumers that their utility provides them with the data and tools to allow them to better manage their water usage, they also show that utilities take water conservation seriously (the majority of states are predicting water shortages between now and 2013).

These systems can also help improve communication between consumers and their utilities. Besides accessing usage history, customers can view responses to frequently asked questions (FAQ) regarding billing issues, rates and conservation. And, through portals, utilities can easily reach customers with important information alerts such as water bans, leak alerts and budgetary threshold alerts. 

FAQ responses and improved communication between utilities and consumers is practical, as it helps to better educate consumers on billing and water conservation while also providing them with a means of staying informed on important service issues. And, portals give customer service departments extra support, which can help them to more quickly and efficiently address customers’ needs and concerns.

 

Essentially, integrating a consumer portal with an AMI system can give utilities the efficient means they need to help build and maintain customer relationships. As water rates rise across the country, utilities should leverage this kind of tool to provide customers with easy access to detailed usage information. Such a proactive approach can help improve consumer perception of utilities by instilling a better understanding of personal water usage and billing, and by allowing them to take a more active role when it comes to water conservation.

Matt Thomas is vice president, Sales & Marketing, for Cleveland, NC-based Mueller Systems, a leader in advanced metering solutions for water and energy systems. Mueller Systems is a subsidiary of Mueller Water Products, Inc. (NYSE:MWA), a leading North American provider of water infrastructure products and services.

Posted in customer engagement, Smart Meters, Water utilities | Leave a Comment »

Empowering Customers to Take Control

Posted by Utilimetrics on December 7, 2011

AMI deployment is a hot-button issue. Negative media attention has conveyed the wrong message to consumers, and utility companies are working to rectify misconceptions. By initializing strategic communication plans, utilities can show their customers they have more options, and ultimately more control with smart meters. By communicating the benefits of smart grid, utilities will have engaged and satisfied customers.

This article highlights the Consumer Engagement Session at Autovation. Read on to learn best practices for customer outreach and learn how early communication plans push deployments to succeed.

Empowered Customers, Smarter Grid

San Diego Gas & Electric (SDG&E) is working to give over 1.4 million electric and gas customers’ visibility into their energy usage habits, empowering their consumers and open energy markets. By taking a unique approach to the smart grid, SDG&E is improving grid reliability, resiliency, security and efficiency in the face of increased complexity.

Farrell Cox, smart meter deployment manager, SDG&E shared the strategic components of the program:

  • By using smart energy devices, new products and services, SDG&E is encouraging customer participation in energy management.
  • Incorporating and enabling all generation and storage options to support customer choice, improving grid stability and power supply options while reducing GHG.
  • Enhancing the grid to reduce customer disruptions, resist attack, improving workforce and asset optimization and improving efficiency.

Cox described the factors that are driving the need for energy system changes:

  • Customer empowerment: Choice, control and convenience.
  • Centralized renewables: Increased volume threatens grid stability.
  • Distributed renewables (rooftop solar): No control, can’t see it and no communication.
  • Electric vehicles: Current electric grid cannot manage potential volume.

As SDG&E installs smart meters it is increasing customer empowerment. The customer benefits of the deployment are:

  • Enhances reliability and outage detection, and speeds restoration.
  • Gives customers more control over every day energy usage, opportunity for lower bills.
  • Reduces need to access property, more privacy.

SDG&E uses online tools, demand response, dynamic pricing and Home Area Network pilots to empower its customers, giving them direct control over their data. Customers can track problems and rectify them on their own. By observing their energy spend, they can compare day-to-day energy usage and manage their bill.

A Smarter Path to Smart Meters

Pepco Holdings, Inc. (PHI) works to supply power to over 1.5 million customers through Atlantic City Electric, Delmarva Power and Pepco. The company is working to advance the smart grid with the utilities it serves. Jay Demarest, PHI and Susan Komornik, The Cadmus Group, Inc. shared lessons learned in early deployments. New technologies often bring an anxiety and a vacuum of misinformation, so it’s extremely important to communicate the benefits of smart grid deployment to customers early on.

Smart meter installation has been under way in Delaware since 2009, the District of Columbia since 2010 and in Maryland since June 2011. Delmarva Power’s aim with its communications plan was to strike a balance:

  • Don’t overpromise.
  • Keep stakeholders involved in planning.
  • Be flexible in timing and execution.
  • Provide good communications/not noise.
  • Offer credible benefits customers can understand.
  • Answer all questions factually.
  • Simple message in customer language/not utility speak.

Where did the communication play into the project lifecycle? For Delmarva, the planning began early:

  • In 2007, PHI announced its “Blueprint for the future” plan to meet the challenges of rising prices and the impact on the environment.
  • In 2008, the Commission approved installations.
  • In 2009, Delmarva initiated research, surveys and field testing to measure customer awareness and understanding.
  • In 2010, deployment began and meanwhile, marketing teams were selected to develop strategies for educating customers on smart meter benefits.

Customer research on smart meters showed positive indicators that 80 percent feel neutral to positive and half see smart meters as an advantage. Research showed the key benefits customers recognized are:

  • Tool to monitor usage.
  • Provide accurate readings.
  • Better customer service.

The challenge was that about one-third of Delmarva customers surveyed know little to nothing about energy efficiency, and while customers are aware of the online tools, most were not enrolled.

And when deployment began, the marketing team developed and implemented a phased plan with creative execution, focus group testing of messaging and communications planning.

Komornik described the goals of an education and outreach phased approach:

  • Introduce and educate customers about proactive energy management.
  • Position smart meters as key to their energy empowerment.
  • Activate customers in energy management with a phased approach.

The Delmarva marketing plan was all about empowering the consumer, with slogans like “Stop Guessing,” “Now you know that your smart meter can help reduce energy bills” and “Take Control of Your Energy.”

It’s vital to reach your consumer. Delmarva send a newsletter to customers. “A QR code is a very effective tracking tool,” said Komornik. And social media is vital because that’s how utilities can integrate themselves into the daily lives of their customers: “Get on the train or get off the tracks,” said Komornik on social media strategy.

Having a well-designed website is key. Easy navigation will help spread your message. Delmarva used a microsite approach which had different pages for:

  • Smart meter definition.
  • Understanding smart meter data.
  • How to start saving energy.

Using TV commercials, online banners, billboards, radio announcements, press releases and print advertisements, Delmarva got the message across that smart meters help curb energy spend, empowering customers to engage with their online tools and manage their energy usage.

Customer smart meter education can be successful if executed with:

  • Research and testing.
  • Careful planning.
  • Proactive partnership.
  • Phased messaging and an integrated media approach.

Please share your customer engagement experiences (challenges and successes) with your peers. There are several ways you can do this:

We look forward to hearing from you!

Posted in Autovation, customer engagement, Deployment, Smart Grid, Smart Meters | Leave a Comment »

Solving the Conundrum of How to Stay Constantly Connected

Posted by Utilimetrics on December 1, 2011

In a day and age where legal pads have been replaced by iPads and your Facebook page draws more interest than the price of oil, it’s important to keep your company connected constantly. Social media outlets and a strong online presence have become mainstays in today’s business environment as well as a key personal interaction tool.

With the likes of Facebook and Twitter having 500 million and 125 million users, respectively, the shift from Wall St. to the World Wide Web is becoming more and more evident with every click of the mouse and stroke of the keyboard. According to a poll from Effie Worldwide and Mashable.com, 70% of marketers plan to increase their social media budget by more than 10% this year (1).

In 2011’s version of a traffic report, gone are words like bumper-to-bumper and rush hour, replaced by click-throughs and unique visitors. The dark days of putting a message out, crossing fingers and hoping your target demographic glances at it are coming to a close. Engaging customers and providing a convenient, accessible catalog are necessities for survival in the World “Wild” Web.

The landscape of the Business-to-Business realm has taken a similar turn with the new digital age. According to a recent Enquiro Survey, when participants were asked to indicated how they would go about making a Business-to-Business purchase, 93.2 percent said they would research the purchase online (2).

B2B transactions differ from most consumer transactions because these decisions require coordination between a number of different personnel before the final transaction is completed. Therefore, the process requires a period of time between researching the product and placing the order. The biggest research tool available today? You guessed it: the World “Wild” Web.

The vastness and enormity of the Internet can either work for or against your company, depending on the approach you take. You can either get lost in the clutter or embrace the new mediums you’re presented. Providing your target demographics and potential buyers with additional information about your products, services and brand gives your company the opportunity to transcend the traditional role of supplier or vendor.

When drawing up a marketing strategy and taking into consideration the purchasing behavior of the 21st Century’s tech-savvy consumer one needs to keep a few key points in the forefront:

  • Spotlight Your Brand: Make sure your brand, products and updates are visible to the industry’s most relevant buyers. With today’s consumer being inundated with banner ads, billboards, e-mails, commercials, etc., it’s becoming more important than ever to distinguish your company and brand in the mind of the potential buyer. 
  • Showcase Your Products: Promote your newest products, overstock items and exclusive deals directly to your target market. Set your company apart from competitors by highlighting your business’s unique catalog of products and services.

 

  • Engage Your Customers: Website, Facebook page, Twitter handle, e-mail info, address, phone number.  Likes and Follows gain more influence each day, the consumer can never have too many ways to reach you or find out more information about your company and its products.

It’s information overload for today’s consumers, as they are constantly bombarded, even overwhelmed, by the ever-growing stream of advertisements and marketing pitches they receive every day. In 2007, the market research firm Yankelovich estimated that the average person living in a city is exposed to 3,500 to 5,000 marketing messages per day (3). Compound that with a 2009 Microsoft study that found that 97% of e-mails sent were destined for the junk mail folder and you’ll come to the conclusion that you’re constantly competing for your target demographics’ attention span, now more than ever (4).

Embrace the new age. Realize that when you open your mind to these new online outlets that you open the eyes of your potential buyers. Put the rubber to the road and get your business on your customers’ computer screens. And you’d better do it fast, because the ever-changing internet landscape of today won’t wait around for you, me or anybody.

 One business tool that could set you up for success is the Smart Utility Marketplace. Advertising in the Utilimetrics Smart Utility Marketplace gives your company the unique opportunity to directly engage your target market. For further information on the unique opportunities that the Smart Utility Marketplace offers your company visit SmartUtilityMarketplace.com.

  1. http://mashable.com/2011/04/19/marketers-social-media-spend/
  2. http://www.enquiro.com/whitepapers/pdf/b2b-survey-summary.pdf
  3. http://www.usatoday.com/money/advertising/adtrack/2005-06-19-cannes-box_x.htm
  4. http://news.bbc.co.uk/2/hi/technology/7988579.stm

 

Posted in customer engagement | Leave a Comment »

Preparation, Customer Focus and the Right Technology Help PPL Electric Utilities Excel During Storms

Posted by Utilimetrics on November 17, 2011

By Kurt W. Blumenau, PPL Electric Utilities

PPL Electric Utilities’ experience in several major storms this year has shown that timely preparation, customer focus and strong supporting technology are keys to effective storm response.

When the utility first received word of a potentially damaging pre-Halloween snowstorm moving toward its 29-county service area, it found itself in familiar territory. PPL Electric, which serves 1.4 million customers in central and eastern Pennsylvania, had already responded to three major storms this year alone. Damaging thunderstorms before Memorial Day, Hurricane Irene in August and Tropical Storm Lee in September all prompted the utility to extensively prepare and quickly respond to significant challenges and customer needs.

The lessons learned from those storms helped PPL Electric respond as smoothly as possible to what turned out to be one of the three worst storms of the past 20 years in terms of customer outages. The company appreciates the work of its field crews, the contributions of contractors and the patience and persistence of customers during the October snowstorm and throughout this turbulent year. 

As in prior storms, PPL Electric Utilities prepared for the October snowstorm by ensuring the availability of crews, both internally and from its contractors of choice. These are outside companies that regularly work with PPL Electric and are familiar with the company’s network and geographical area.

PPL Electric Utilities also reached out to its sister utilities in Kentucky, just as it had during Hurricane Irene. Crews and contractors from Louisville Gas and Electric and Kentucky Utilities were among the first on the scene to help. LG&E and KU were acquired last year by PPL Electric Utilities’ parent company, PPL Corporation.

Finally, the utility arranged for necessary materials and equipment, as well as extra staffing in a variety of support areas, such as customer contact representatives, system dispatchers, field assessors and material handlers.

All of these resources and more would prove to be needed in the response effort, as PPL Electric Utilities’ service area ended up in the bulls-eye of the storm. Eight to 13 inches of heavy, wet snow were reported Sunday in parts of the utility’s service area. That snow, falling on trees that still had their leaves, caused extensive damage to transmission and distribution lines as broken limbs and branches contacted wires and poles. In some places, the single day’s storm broke snowfall records for the entire month of October.

Nearly 390,000 customers were left without service, and PPL Electric Utilities faced more than 3,000 individual repair jobs. Some of those jobs required extensive cleanup before crews could even start on the electrical repair work. Dave DeCampli, president of PPL Electric Utilities, called the damage some of the worst he’s seen in more than 30 years in the utility business.

As PPL Electric Utilities deployed its initial resources, it immediately began looking for additional crews to help it repair the extensive storm damage. Over the course of the storm, the company received help from four other utilities and 16 contracting companies from 10 states.

PPL Electric Utilities arranged with vendors to make free ice, water and coffee available to customers in especially hard-hit areas. The company also reached out to customers with rounds of personal phone calls in the final few days of the restoration process. And, customer outreach representatives made door-to-door visits to affected customers in areas with concentrated damage.

PPL Electric Utilities worked throughout the storm to provide daily updates to state and local officials in affected areas, as well as to hear those officials’ input on high-priority jobs in their areas. 

It also used new media more extensively than ever, posting coordinated messages and updates on Twitter and Facebook and interacting with customers. Regularly updated outage information was also posted on PPL Electric’s online Outage Center, along with information on where to find ice, water and coffee vendors.

Many Twitter customers thanked the utility throughout the storm for information, updates and contact through social media. The company’s Twitter account, @pplelectric, rose from 1,500 followers at the start of the storm to 2,300 followers by the end.

Other forms of customer contact stand out as areas in which PPL Electric Utilities can improve its storm response. The utility’s customer contact system was overloaded by calls during the peak of storm outages on Sunday, and customers struggled to get through to report outages. More than 1.2 million calls to the company were reported during both Hurricane Irene and the snowstorm.

Also, many customers received automated estimated restoration times that offered confusing, sometimes inaccurate information on when power would be restored in their area.

DeCampli has pledged that PPL Electric Utilities will make necessary upgrades to make it easier for customers to reach the company, as well as to provide more accurate and consistent restoration information. Plans are being developed to expand the call center’s telephone capacity and upgrade the IVR system to better meet customer needs to report outages and get ERTs

PPL’s External Affairs team worked to pair television and print reporters with crews working in the field as much as possible. The coverage produced by this strategy showed viewers and readers just how severe the damage in the field was, and helped them understand why the customer restoration process was continuing into the week.

Some 540 tree and line crews worked around the clock to restore power over five to six days. In all field work, the company applied its standard prioritization policy. Public health and safety facilities, such as hospitals, received top priority for restoration along with transmission lines. After those facilities were back online, the company gave priority to larger repair jobs that would restore the most customers to power as quickly as possible.

The utility’s bulked-up workforce was able to bring the vast majority of affected customers back to service within 48 hours. However, the last and smallest outages lingered until overnight Thursday into Friday.

Posted in customer engagement, Outage Management, Storm Recovery | Leave a Comment »

Improvisation is Key for Some Gas Utilities

Posted by Utilimetrics on November 9, 2011

Gas utilities are considering advanced metering infrastructure programs to enhance operational efficiencies, customer service and safety and energy conservation. However, some utilities have to improvise when it comes to making the switch to AMI.

 In some cases, leveraging existing technology has proved most beneficial to the deployment of new technologies. In other cases negative media attention has caused several utilities to reconsider how they communicate the deployment to their customers. The goal is the same, but the path to deployment can vary.

This article highlights the Autovation Gas Session from Monday, Sept 26. Read on to learn how two resourceful utilities used improvisational methods to get the job done efficiently and effectively.

Leveraging the Value of Gas Datalogging

Brad Anderson, AMR project manager, Alabama Gas Corporation (Alagasco), shared how advanced AMR systems bring value beyond periodic meter reading. Anderson explained how Alagasco leverages additional information collected during the readings to better serve the customers.

Alagasco is a natural gas distributor, providing clean-burning, energy-efficient natural gas to roughly 440,000 homes, businesses and industries throughout Alabama. Beginning in March 2010, Alagasco partnered with Itron for a three-year deployment to implement AMR within the territory to approximately 497,000 meters.

Anderson described the datalogging collection components and their capabilities:

  • The datalogging module is capable of transmitting up to 40 days of daily or hourly read data.
  • Utilities can collect 40 days of daily consumption data at normal drive-by speeds.
  • Utilities can request a specific day’s read for a move-in/out scenario at normal drive-by speeds.
  • Utilities can collect 40 days of hourly data, which doesn’t slow down speed.

Anderson said that in order to store the data being collected, Alagasco’s existing data warehouse system was used for storage of the meter reading data.

How does this datalogging work? It’s actually “built in” so “no additional configuration is needed to enable datalogging of hourly and daily data,” said Anderson. Each meter receives a datalogging gas module programmed for its unique configuration. Then, a mobile collector vehicle is utilized, which requires no additional configuration for monthly reading sessions.

Once the data is collected, it is viewable from within the software client along with the periodic (SCM) reading used for billing. Utilities can organize the datalogging per individual route or universally on all meters.

When implementing this, utilities can reap the biggest benefits if they leverage existing data warehousing, business intelligence infrastructure and staff experience. According to Anderson, in choosing the data collection system, Alagasco was able to specify the datalogging class module as its standard module to be deployed company wide. There was “no noticeable impact to drive-by speeds.”

Datalogging collection allows Alagasco to leverage daily consumption data comparable to AMI systems while enjoying the ROI of an AMR drive-by system:

  • Datalogging returns important information regarding ERT configuration with every drive-by read.
  • Verification of BPI/ Electronic Correctors by comparison of daily readings and consumption of the corrected module vs. uncorrected module.
  • Back office and customer service groups use daily read data for various customer accounting tasks.
  • Datalogging gives the commercial marketing group access to daily consumption information on all of the commercial and industrial customers.

Anderson closed with important information to consider for those interested in leveraging datalogging. Here are a few of his points:

  • MDM (meter data management) software application or a third party warehouse/data analytics package will be required.
  • Work with the IT department to determine what is the best solution for long-term data storage needs.
  • Set accurate expectations for stakeholders in regards to datalogging.

Building the Business Case for AMI and Natural Gas

Atmos Energy Corporation, the nation’s largest pure natural gas distribution company, serves 3.2 million customers in 12 states. David Anglin, director regulated operations, Atmos, explained the differences between gas AMI and electric smart meters:

  • Gas meters are decades old, proven measurement devices.
  • The same meter remains in place with a wireless transmitter attached to the meter.
  • The index from the existing meter is reinstalled on the AMI device.
  • Ultimate use of data differs substantially from electric AMI.

Anglin explained that negative media coverage of AMI deployment in Texas led to a new way of implementing changes for Atmos: “We created a new term for the technology” that was self-explanatory. Whenever referencing the new technology in public, they said Wireless Meter Reading (WMR) instead of AMI. This term, according to Anglin, covers a broader range of technology and takes away nothing from the features and capabilities of the system.

So how was the WMR utilized for Atmos? Anglin described the data collection model:

  • SmartPoints collect hourly readings
  • Transmit every four hours
  • Daily reading success rate was 99.4%
  • Post one daily read to CIS

The benefits to using this system are:

  • Bills are produced with readings from the day of the bill
  • Customer access to daily usage online allows for more control, leads to higher acceptance from customers

This new technology also has a great benefit to utilities, said Anglin, because it allows for smaller, tactical deployment. In the near future, utilities will enjoy remote gas shutoff, pressure monitors communicated across WMR network, and cathodic protection voltage collection across WMR network.

Attention gas utility professionals: please share your technology experiences (challenges and successes) with your peers. There are several ways you can do this:

  • Submit an abstract for Autovation 2012, Sept. 30-Oct. 3 in Long Beach, Calif. The Call for Speakers deadline is Jan. 13, 2012.
  • Provide a byline article for News Link or agree to be interviewed by News Link staff for an article. Or, submit a blog post. Contact Janice Greenberg.
  • Consider hosting a regional learning lab or participating in a webcast. Contact Debby Scheck.
  • Start a discussion on the Utilimetrics LinkedIn Group

We look forward to hearing from you!

Posted in Autovation, datalogging, Gas, Smart Grid, Smart Meters | Tagged: , | Leave a Comment »

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