Smart Metering experience - New Zealand

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1 Smart Metering experience - New Zealand Towards the smart utility 18 th May 2011

2 Introduction and Objectives Industry Background Approach to Rollout Key Lessons Learnt Positive Negative

3 Electricity Market Overview

4 Introduction to NZ Market We have the most de-regulated energy market in the world. There is no other industry like ours. There is no where else that energy retailers are responsible for the rollout

5 Energy Retail Transmission & Distribution Generation

6 A day trip to the power station Kiwi Style

7 Market Overview New Zealand Population of about 4.3 million 1.9m ICP (Independent Control Points) The Electricity Authority regulates the Electricity Sector in NZ Australia, Great Britain, New Zealand and Ireland are all considered Hot Markets for customer switch according to World Energy Retailer Rankings Electricity retailers leading the rollout Benefits and costs on retailer Distribution requirements follow retailers Four of the five energy Retailer commenced Smart rollout Estimated 1.3 million homes will have meters installed by 2012

8 Leading Edge or Bleeding Edge?

9 Approach to Rollout

10 Approach to Rollout Government Led Rollout UK Smart Grid Vision Consumer Engagement Interoperability Industry Processes Decisions by committee Risk averse

11 Approach to Rollout No regulation governing smart meters Guidelines are not mandatory Allow space for innovation Gentlemen agreement regarding asset displacement Learn from global partners (US/Canada) System Evolution/ Agile Approach Its like flying a plane and rebuilding it whilst it s in the air It s hard but not impossible

12 Approach Metering Technology INDUSTRY METERING PROVIDER GPRS Network Retailers Data Hub Public Netw ork Smart Meter Cell Tow er Smart Meter Smart Meter MDMS Metering Companies Radio Mesh Smart Meter Lines Companies Asset Repository Works Order System Public Netw ork Collector Smart Meter Smart Meter Gas Meter Collector Smart Meter Water Meter

13 A day in the life of a Smart Metering business operations

14 A day in the life of Smart Metering Operations Management Issues 1. Attainment Rate (Register Read and Interval Data) 2. Radio Mesh Firmware Upgrades 3. Out of Hours Support (Moving to 24 X 7) 4. Network Monitoring

15

16 Key Lessons Learnt

17 Opportunity vs. Capability Core Services (RR) vs. Load Profile (LP), TOU Billing, Event Management, Smart Gird Meter Rollout pace = Market Share Business and System Change Programme Transition to Data Services 24 X 7 Business WOM/Asset Management for Smart / Meter Data Management Complex Event Processing / Network Monitoring It s really is hard to fly the plane whilst its being rebuilt

18 Data and Information Management Data Volume/Processing Data Synchronisation and Integration Customer Data/Asset Data Master Data Source Turning Data into Information Access to information for business Weeding out the value events Enrich, Aggregating data streams

19 Technology How does hardware behave in the natural environment Radio Mesh - Weather GPRS Availability, SIM Card Issues Meter Malfunctions Meter Software vs. Firmware Version Control Software How can the software be fit for purpose when the requirements are not understood?

20 Summary

21 Summary Smart Metering will reduce data exceptions due to the increased frequency and accuracy of data Our market may be different but don t wear blinkers global lessons Be ready for the data Do you have the right tools? Have you embraced the business and cultural change? Forget the customer, forget success All the planning, testing and analysis you can do will never truly replicate what happens in the field. The only way to truly test is to start Go to New Zealand it s an amazing place!

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