Smart Grid OG&E

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1 Smart Grid OG&E Carl Johnson Sr. Customer Programs Planner 1

2 OG&E s s Demand Response Program: Making the Customer Seamless through effective Communications & Customer Programs System Statistics OG&E s 2020 Vision Smart Grid Deployment Program Initial Pilots of Smart Grid Technology First Smart Grid Community Program Collateral Material Examples Lessons Learned Q&A 2

3 OG&E s s Smart Grid Program: System Statistics 765k retail customers in OK & AK and a number of wholesale customers Total production: 6.7 GW Service territory: 30k square miles 23k miles of overhead distribution lines & 10k miles of underground lines 500 substations & more than 1,000 distribution circuits 3

4 OG&E s s 2020 Vision: To delay the building of any incremental fossil fuel power generation until Pete Delaney, CEO 4

5 Smart Power: OG&E s s Vision OGE s response to the Smart Grid vision is the thoughtful integration of advanced metering, automation, communications & information technologies on the electric distribution system. Smart Grid will provide an innovative array of choices and services to all customers while improving service reliability and lowering costs. Success is dependent on our ability to partner with our Customers

6 2020 Vision: Achieving the Goal Transparency Listen to Customers Focus Groups General & Transactional surveys Face to face meetings Civic Groups, Special interest groups (AARP, Community action groups, Churches) Civic Leaders Collateral Materials Letters & Bill stuffers & Door hangers Installation Welcome Packets 6

7 2020 Vision: Achieving the Goal Web Sits OGE.com Positive Energy Together Smart study together My OGE power Smart Grid Technology - HAN Daily & Weekly Messaging Text messages Voice mail Call Center 7

8 2020 Vision: Achieving the Goal Advertorials Bill Boards TV & Radio adds Commission Staff Special events Ball games State Fair Schools Town Halls Community events 8

9 Initial Pilot Smart Meters & Demand Response 9

10 Smart Grid: Initial Smart Meters Pilot 6,600 smart meters in apartment buildings Installation began 10/07 Performed remote reads & connect/disconnects Validated technology performance & operational savings Smart Meter AMI Programmable Communicating Thermostat In-home Device 10

11 Smart Grid: Initial Demand Response Pilot Twenty-five homes equipped with smart meter, thermostat & in-home display device with access to customized Web Portal Installed June 2008 Monitored customer acceptance & any resulting changes in energy usage Studied the performance of technology & customer response to time-of-use pricing 11

12 Smart Grid: Initial Demand Response Pilot Web Portal with energy price, current & historical energy usage FPO 12

13 DR Pilot NW OKC Study Results Customer energy awareness increased In July and August, participants reduced bills ~11% Many made investments in efficiency improvement o Energy audits, timers, new windows, storm doors, compact fluorescent lights, new a/c All participants changed their usage behavior o Most raised thermostat, shifted usage to night time

14 OG&E s First Smart Grid Community is

15 Norman! 42,000 smart meters AMI secure, wireless communication Distribution automation Automation small # of high priority circuits & substations IT integration data management Demand response customer study

16 Norman Why First? Citizens, local government, OU and area businesses have demonstrated a strong concern for the environment. Curbside recycling citizens support OU s big commitment to use wind power City of Norman first in OK to sign US Mayors Climate Pact Norman Chamber Greenovation Committee Norman also has a high concentration of rental property OG&E customer base in Norman reflects entire service territory

17 Smart Grid Program: Full Deployment Approval Milestones OG&E applied 08/09 for $130 million matching grant (represents about 35% match of total project cost) Notified in 10/09 that OG&E was selected for negotiation Final DOE grant agreement signed 04/10 Filed with PUC for rider for un-matched portion Stimulus plus new rider will accelerate smart grid system wide deployment- from 5-7 years to 3 years Received PUC approval on July 1,

18 Smart Grid Full Deployment

19 Smart Grid - Home Area Network (HAN) Home Area Network FPO

20 Norman Customer Study Use newest technology Web and Call Center enrollment True-up bills at end of study Help America determine how to use energy more wisely

21 Dynamic Pricing to shift Peak Demand Peak demand Hours: 2-7 PM Monday - Friday June - September Customers receive day-ahead price via in-home display, web, text, , etc. FPO

22 Smart Grid Web Page Web page with customer s price, current usage, historical usage FPO

23 In-Home Devices Energate PCT Rate$aver by LS Research 23

24 Program Collateral Material Examples

25 Norman Customer Bill Insert

26 Smart Meter Customer Letter

27 Smart Grid Vision Ad

28 Smart Grid Contractor Ad

29 Smart Study Campus Recruitment Ad

30 Smart Grid Brochure

31 Smart Meter Installation

32 Smart Grid Advertorials

33 Oge.com/price

34 Oge.com/price

35 Oge.com/price

36 Oge.com/price

37 Smart Grid Exhibit

38 Smart Grid Other Media Radio Spanish and English Television Ad (Nov. 2010) Spanish and English Mobile iphone app for price signals (Beta testing) Interactive exhibit School curriculum

39 Lessons Learned Educate Educate Educate and Educate Current Technology Limitations Customers are Interested in Information and will use the it to change their Energy Usage 39

40 Q&A 40

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