inovgrid to Smartlife April 2015

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1 inovgrid to Smartlife April 2015

2 EDP started as a local incumbent and is now a truly global energy player Wind energy 25% of EBITDA IPO at Jun 08 Power: 8.1 GW # 3 world operator (in 11 countries) Company: EDP Renewables (EDP owns 77.5%) USA Canada Peru Brazil Brazil 17% of EBITDA Company: EDP Brazil (EDP owns 51%) Bought in 1996 Power generation: 2.2 GW (with 1.8GW hydro) 2 electricity distribution companies Portugal UK Spain Angola France Belgium Italy Poland Romania China Spain 17% of EBITDA Presence since 2001 Power generation 3.9 GW (excluding wind) # 2 in gas distribution Portugal 41% of EBITDA Privatization in 1997 (IPO) Power generation: 8.9 GW (excluding wind and with 5.4 GW hydro) Distribution of electricity at all the mainland and gas at the northern mainland Main remarks: From generation and distribution to supply & efficiency 4 continents 14 countries 31 different nationalities 9.8 million electricity customers 1.3 million gas supply points 60.2 TWh generated 71% generated energy came from renewable sources EBITDA: * 2014 figures Portugal 41% Others 59% * 2

3 SmartGrids are essential to the new challenges of distributed generation, energy efficiency and integration of electric vehicles... Historical challenges New challenges Quality of Service Renewabless and Distribution Generation Operational Efficiency Smart Grid Energy efficiency and new business models Give to the consumers a better supply quality Minimize OPEX and CAPEX Electric Vehicle Allow greater renewable energy penetration Integrate the electric vehicle Support new customer-centric services 3

4 With inovgrid project, EDP Distribuição is building a smart grid based on a holistic concept, touching several changing areas... Substation VHV/HV HV Network Substation HV/MV MV Network 2 nd Substation MV/LV LV Network Consumers Wide area network Local area network Home area network WAN LAN HAN Head-end systems DTC EDP Box Systems Integration and Cybersecurity DG and storage MV Automation and telecontrol Remote public lightning management Mini and microgeneration integration New tariffs, products and services Information Management and data mining Network management new tools Operations and quality of service improvement GIS and Work Force Management EV charging network Energy efficiency services 4

5 To reach it, EDP Distribuição created an implementation model where were identified several initiatives Implementation Coordination Platform Project Office Project lines InovGrid Operations Solution Development European Initiatives Systems and Processes Integration Automation and Telecontrol Energy Management Customer/ Comercial Business Impact Electrical Mobility Networks Innovation 1 Campaigns Planning and Management 2 3 Processes and Operations Data Infrastructure Supervision 4 End-to-end integration 5 Functional and Technical Specification 6 Tests and Qualification 7 Demand Management 8 European Funds and Projects 12 Information Systems 17 Dispatch AV/MV/LV 21 Telemetering 25 Évora 29 S Substation and PL Products and Services Pilot SG Business Energy Municipalities Work Force Distribution and Models Balance and Energy Management Automation Services Profiles Efficiency 10 InovGrid Institutional Promotion 11 European Projects PMO 14 Geographical Information Economic Impact Social Impact 32 EV Charging Network REIVE Project Energy Quality Storage Commercial 36 Commercial Cyber- Losses/ Regulation Assets Operations Security Revenue Ass Impact Sensorization Efficiency Information Telecom Government Pilots and Mgmt 16 Organizational Development Technical Losses InovGrid Operational Management InovGrid Solution Integration 28 Claims Management InovGrid Projects and Business Development Management InovGrid Communication Microproduction Integration 38 PL new technologies 39 Electromagnetic fields 5

6 EDP Distribution created Évora inovcity, which is a living lab to demonstrate the SmartGrid concept Évora key attributes EV Charging points Efficiency audits at specific customers New products and services to residential customers and SOHOs inovcity showroom InovCity store Efficient public lightning DTC installed at all the 2 nd substations Microgeneration integration 1. Municipality inhabitants square km of area (urban + rural) 2. Infrastructure components: 31k EDP Boxes and 341 DTC Processes and systems integration Communications (WAN, LAN, HAN) New products and services pilot 3. Involvement of the major authorities of the region 4. Coordination with the national electric vehicle charging network 6

7 with a strong involvement of the local stakeholders Évora information and promotion prepared plan Major initiatives The Information and DynamizationPlan aims to motivate consumers to take advantage of the benefits of InovgridProject regarding the consumption rationalization and energy efficiency The whole project was based on the realization of a reasoned analysis of costs and benefits to the various stakeholders, including customers. Customer surveys and psycho-social studies; Joint actions with the municipality and other local public authorities; Collaboration with universities; Media, professional organizations and local businesses connections. 7

8 and with institutional visits from over 30 Countries and 2500 visitors Customer with in-home display Micro Producers 8

9 The results in key areas of SmartGrid are significant Energy Telemetering 100% of the energy entered at the distribution network is telemetered, including all microgenerators (21k), wind farms (600) and primary substations (350). Recently we conclude the telemetering installation campaign at special LV customers. About 50% of all the distributed energy is telemetered, corresponding to all VAV, AV, MV and special LV customers. Electric Vehicle Loading 1060 EV charging points installed in selected 25 Municipalities. Évora InovCity belongs to these selected municipalities, with 20 charging points. Secondary Substations Telemetering Public Lightning Remote Mgmt Telemetering installation campaign in all 66k EDP Distribution secondary Substations. With this telemetering at MV/LV secondary Substations, we can make the Power Energy Balance. Investments in measure equipment (#6k), cabinets (#3k) and network reconfigurations to allow us to telemeter 53k Public Lightning circuits. Public lightning new technologies pilots at several locals (e.g. Évora and Cascais). Covenants elimination at Lisbon and Oporto metropolitan areas (actually with estimation invoicing, without readings). 9

10 The results in key areas of SmartGrid are significant Investment in 700 Secondary Substations and 400 OCRs in 2012 the MV network automation and telecontrol aims to ensure a bigger MV and LV networks management capacity. MV Automations and Telecontrol It allows the LV faults detection, PL control, Microproduction integration, Energy quality, Secondary Substation Voltage regulation and Demand Side Management (DSM). MV defaults detection and apartness, self healing and network automatic recovery Dispatching and Active Management Quality of Service monitoring and Network Dispatch with digital solutions. AV/MV dispatch at Oporto (50% of EDP Distribuição network): Network Visualization and Management with virtual information, digitally represented at a video wall, Technical Systems Monitoring. Schematics Paperless (all in computer screens). Cyber-security new solutions implementation. LV network deeper knowledge, through geo-reference e assets classification. LV geo-reference campaign allows a better energy planning and incidents management. LV network georeference and WFM Work Force Management (WFM) allows parameterization and SmartMeter automatic information picks and better field teams management (EDP and Subcontractors ). 21k Microproducers connected to the network in 4 years Nº Pot. Microproduction Integration More than 70 MWh installed power. Miniproduction quick growing. 13

11 mainly in the energy and operations efficiency, as well as in quality of service ÉvoraSavings with InovCity effect Energy efficiency increase of 4.4% with InovCity effect (invoice based on actual consumption + consumption information + efficiency generic recommendations + exposure to projects environment). Consumption reduction between 2.6% and 6.7%, with a margin of error of 2.3%. Energy efficiency increase of 6.9% with consumption reports/alerts and special tariffs (5% error margin). Energy efficiency increase of 6.7% with displays (4.2% error margin). ÉvoraSavings with new services tests The above results were measured compared to an independent control group and already integrates the InovCityeffect (ie, the effects are not cumulative) Operations efficiency >98% success rate in remote readings >90% success rate in remote work orders >12% reduction of unnecessary workers travel in current faults reported by customers Quality of Service 11

12 While we don t have Government s rollout decision, we are anticipating the network management optimization, focusing on the Secondary Substations modernization Projects Main objectives Clients covered SmartMeters Installation - 2nd phase Develop the smart grid component market; Validation of new communication technologies; Deepen integration of new solutions in business processes. 5,1% 1,7% 0,7% Main Secondary Substations DTCs installation Increase network supervision and control capacity; Improve network management in severe conditions situation; Create new remote management options. 27% 14% 6% Secondary Substations remote metering Increase energy balance and ensure its breakdown by voltage level (HV / MV / LV); Support commercial and technical losses fights. 98% 100% 35% Public Lighting (PL) remote metering and management Secondary substations area Improve the municipalities provided services, supporting the effort to increase public lighting energy efficiency; Improve the energy balance. 100%* 80% 28% * % of SSs with PL 12

13 We are also on an ongoing effort to integrate systems and processes, essential to reach the forecasted benefits... HV/MV Dispatch Inovgrid Supervision Centre Contact Center Fraud detection and fight LV network and monitoring management Inovgrid infrastructure supervision MV supervision MV remote management LV supervision SS sensoring Remote metering PL remote metering and management LV production / usage LV network supervision DTC EB LV DTC Cell EB PT EB PL 13

14 and several pilot projects that reflect the smart grids broad view concept Projects Main objectives In numbers Remote mgmt and network automation MV Remote Mgmt Batalha Pilot LV Monitoring OCR3 Reduce outages; Increase operational efficiency; TCMT (DTC cells) OCR Distributed Generation LV Monitoring Energy Balance Development distribution network management solutions with production usage balancing; Proof of Concept Communications Carregado Pilot Batalha Pilot SS Router Communication technologies pilots; Architecture tests; >5.500 RF Mesh Customers 150 routers Public Lighting Web PL Évora Pilot (DTC) Batalha Pilot (EB PL) PL multi vendor control and management solution test as an alternative to centralized remote management; ~500 SS with PL control Electric Mobility Charging stations REIVE EV charging solutions test; ~400 EV charging stations 14

15 In conclusion EDP Distribution focuses on value creation based on benefits to the system and to the society, as well as in customer service and active participation of stakeholders demonstrating at Évora the concept of inovcity, a solution in a technically and commercially future project, facilitating innovative services... aligned with the EDP Group sustainability and innovation strategy... and in conjunction with initiatives, institutions and European projects focusing on knowledge sharing and dissemination. 15

16 Gonçalo Lacerda Thank you!

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