Simplicity in Metering and Added Services
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1 Simplicity in Metering and Added Services - is mandatory to meet the customer expectation Willy Bergstrøm, DONG Energy, Denmark John Heibel, POWRtec, USA
2 Abstract Engineering does not easily go with simplicity it is by nature the opposite. As metering and added services is a low involvement task for most customers, the interface and content must comply with strict rules of simplicity to make the customer value proposition big enough to make them buy the services. The internal design is of necessity rather complex, but to achieve the needed operational reliability, simplicity becomes a vital parameter DONG s AMR platform includes Smart Home facilities using the customer cell phone as the user interface avoiding PIN codes and internal cabling. The system has been created utilizing best in class skills which became possible applying simplicity in agreements and control systems. A short over view will be presented to demonstrate our perception of the phrase simplicity. 2
3 3
4 MARKETING SALES DISTRIBUTION CUST. SERVICE BILLING Marketing corporate energy products Market surveillance and analyses Corporate branding Selling electricity, gas, fibernet and special products Outbound customer contact Energy advice service 1 million customers (B2B/G and B2C) Maintenance and operation of distribution grid Troubleshooting and power restoration Maintenance of customer installations Energy metering Inbound customer contact Complaints Customer advice service Technical dispatch Billing Collection of debts Product management 4
5 OIL DISTRIBUTION GAS TREATMENT GAS STORAGE GAS DISTRIBUTION GASBEHANDLING GASDISTRIBUTION Distribution of 118 mill. barrels of oil a year 220 kilometres marine pipeline and 110 kilometres on land Operation of gas treatment plants Storage of natural gas in order to secure equalization of seasonal fluctuations systems balance reserve stocks Stock volume of 800 mill. m3 (approx. 20% of Denmark's yearly gas consumption) Distribution of natural gas from the transmission system to consumers Metering of consumption and billing of gas supplies Inspection of gas boilers and meters with the customers 6,200 kilometres grid 112,000 connection points to customers Approx. 500 stations regulating pressure 5
6 ELECTRICITY GAS FIBERNET Approx. 40 Danish electricity companies offer fibernet to their customers or plan to do so in the future Market share >30% (number of customers) Customer profile 860,000 B2C 55,000 B2B Market share 30% (number of customers) 55% of volume sold Customer profile 100,000 B2C 8,000 B2B 6 The market is under development
7 POWRtec Corporation Dedicated to the design and manufacture of Electric Utility System Solutions Metrology Intelligent Active and Reactive Meter solutions to Class 0.2 S Power Supply Integration and Certification Advanced Mechanical Design and Miniatureization Communications RF (GSM and ISM) solutions for world applicability Economic System Design for Volume Production US and China Manufacture Data Systems (CIM, Payment, Web presentment) Awarded the Utility Industry Product of the Year for Smart Read 2006 California-based private company with system and product deployments in Europe, Scandinavia, India and China. Development partner with DONG Energy for Customer Information and Services in Denmark.
8 Introduction Framework The challenge of Simplicity Realistic Means Actual Case Conclusions 8
9 Framework Smart Home add on to AMR No requirements of AMR in Danish legislation AMR implemented on a commercial basis Strict differentiation between trade/grid Infrastructure synergies Billing System Customer Interaction Centre Existing Customer Contacts AMR Smart Home creates scale of operation DSM the CO 2 focus helps a lot No existing AMR system met the requirements 9
10 The challenge of Simplicity Smart Homes are non-existent Pushed to the market for many years Technology-freaks and high-end consumers have been the early adopters Mrs. Peterson doesn t have a clue of the possibilities Drivers for Adoption Safety - threatened consumers have already acted to purchase Alarm Systems Environment bright future for the kids CO 2 -issues top of mind sustainable welfare realistic Barriers to Acceptance Hassle of adoption and incorporation in home design Visibility of the Benefits of the Smart Home - not Direct Cost of Implementation without Return on Investment 10
11 Realistic means Smart Home a follower rather than an entry feel good doesn t call for specific actions in the mood reaction AMR links to energy and CO 2 Energy Saver Campaigns based on CO 2 Move in/out natural reason for contact to Energy Companies No hassle services can t be important easy to use low attention try it the only channel Market analyses not relevant Mrs. Peterson doesn t dream futuristic dreams not about Smart Homes anyway 11
12 Actual DONG Energy AMR strategy AMR vision enhance customer support utilizing no hassle billing present trustworthy supply metrics provide low cost home automation Commercially based roll out reduced number of contacts and reduced loses on bad debts energy saving effect political request Smart Home add on service Characteristics selective roll out GSM/GPRS communication phase meter voltage level surveillance and Zigbee local communication consumer cell phone user terminal 12
13 Actual DONG Energy AMR strategy AMR customers SME customers Governmental multi-site customers Electrically heated houses Too-active customers Prepayment for bad payers Domestic spot price customers Smart Home customers Fiber to the Home identical services IP-based communication replaces GSM 13
14 Smart Read POWRtec meter 14
15 Technical details Modular construction Build in power supply 2 A / 4 V (operates on any phase) Voltage surveillance output Main Communication GSM / SMS Data sent as PDU SMS packed as SaSAT 24 reading in 1 SMS / 24 Hour or 31 Readings in 1 SMS P.C.M Alarm if phase drop out Registration of voltage level Local Communication: 2,4 GHz ZigBee for Home automation & reading of other energy meters 15
16 Smart Read system overview System operator SMS-center GW SRDB SAP PIR-sensor Customer cell phone GSM Disconnect load Meter ZigBee Control outlet External meter (gas/heat/wather) 16
17 Involved Parties Meter manufacturing (Unimeter) Meter development (POWEtec) GSM data logger (RTX) Smart Home Devices (Develco) 17
18 18
19 Overview 19
20 Overview 20
21 SMS-commands Sent to 800 SIM Menu a1 = alarm on a0 = alarm off k1 = relay on k0 = relay off afl = read meter st = status Alarm on Alarm of Turn on Turn off Read Status If several connections: k21 = relay 2 on k20 = realy 2 off More+ 21
22 Home automation Customer segment worried summer cabins parents of school children children of elderly people Concept no hassle no installation no pin code no noise no extra devices cell phone menu 22
23 Actual status Field Test systems installed at selected sites no technical challenges detected usability extremely high Trial installations at customers system installed for 6 months for free collection of usability and price level Commercial roll out initiated launched this Easter summer cabins sustainable welfare customers 23
24 Future needs Flexible pricing price fluctuation extreme prices may go up investments may go down customer incentives will rise 2-way communication direct contact to individual appliances reliable billing may be the challenge 1-way AMR kills flexible pricing 24
25 Conclusions To keep it simple is very complex the number of options are extreme natural wish for enhancements and flexibility is dangerous Traditional Market Analysis not applicable you will always get an answer but it may not be worth the effort Kennedy had a dream but no expectation Confront Mrs. Peterson she never lies always ready for a try otherwise forget the rest public commitment is a strong internal driver 25
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