iea dsm task 24 subtask 2: similar smart grid stories from new zealand and the netherlands

Subtasks of Task XXIVsocial media and

Task XXIV

Dr Sea Rotmann Operating Agent

Graz Task 24 workshop, October 13, 2014

Subtask II - in-depth case studies New Zealand vs the Netherlands

Domain/s: Smart Meter/Feedback & Buildings

IEA DSM TASK 24

Subtask I - Helicopter OverviewPremise for Task XXIVNZ-Buildings/Smart Grid

PowerCo Smart House Trial

THE POWERCO SMART HOUSE PILOT PROGRAMME

IEA DSM TASK 24 Subtask 2 report - NEW ZEALAND

(Domain: Smart Metering/Feedback and Building Retrofits)

Author: Dr Sea Rotmann Date: July 11, 2014

1. We are not there yet but: Can or can’t we make a significant technical shift in peak demand self consumption?

2. Every consumer, every intervention, every household has a different response, it is very complex. It’s about the conversation the consumer wants to have, not what the market or government want to have. It is about finding the best solution for consumer and good compromises. This is a good learning.

3. We need to go beyond classical economics and BAU models, the world and the system is changing.

STRATEGY FOR SMART HOMES: IMPLEMENT AND MEASURE

In order to embark into new territory, we need a methodology that embraces change but re!ects the kind of solid, robust engineering that PowerCo already delivers. One of the clear outcomes of recent “Smart Grid” trials is the need for simplicity. While there may be users that actively enjoy using energy management software and gadgets, the majority of people do not have the time. It is our opinion that the solutions PowerCo provides to customers be “opt-in” in the sense that they will be working for you whether you look at them or not. They do not require the consumer to take an interest, but provide very detailed information for the interested consumer. We do not want this new paradigm to be a burden on users - rather let’s craft technology that serves consumers’ needs rather than the other way around.

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Studies Show...Consumers respond to information - enabled with technology. They respond to price somewhat but respond to price plus technology most of all.

Opportunities for EDBsInformation: pricing and technology services and solutions to lower peaksInformation standards plus demo technology to lower new investmentsEnable new consumer choices without surprises / e"ciently using networksEvolve new services and / or engagement models

EDB Pressures

Higher Peaks, Lower Load Factors, Lower Economic E"ciency

Threat to VolumeNeed for New InvestmentsIncreasing CostsUncertain Reserves

EDB Network Strength

Need not be volume consumed - kWh basedRegulated - right incentive can deliver NZ Inc e"ciencyAcross Network View - (can optimise)Enable infrastructure best shared (storage?)Long DSM history (hot water)

Evolving Consumer Preferences and Choices

ValueSocial and EnvironmentComfortResilienceLifestyle

Enabling Technologies

Smart MetersHeat PumpsE"cient AppliancesApps and ServicesPVInternet of Things (Smart Appliances)EVs Storage

Retailers and Aggregators

TOU PricingNew Commercial Models

v 2013.09.17a

Figure 4. From the PowerCo Smart House brochure

Methodology

This case study analysis is based on an analysis of project documentation provided by PowerCo and 4 semi-structured interviews (3 with (all of) the householders and one with the project manager). The interviews were adapted from the ‘Beyond kWh’ paper by Karlin and Ford (in prep) and the laddering

The 3 houses chosen here fall into 3 of the 4 categories from the Energy Cultures5 research project:

Figure 3. Energy Cultures Clusters

House A in Tauranga belongs to the Energy Cultures’ Energy Efficient cluster and PowerCo’s Value Consumers. A young couple and a baby live in the house, as well as 3 cats. The homeowners are using only a little over 6000kWh pa and operate only 23 appliances. The House was built in 1998, has 100m2 and had good insulation and weather tightness (though no double glazing, which is typical for New Zealand. None of the houses in this trial have double glazing). The house operated on tariff-reduced ripple control for the hot water (from 11pm-7am and 1pm-3pm). There was no heated towel rack or clothes dryer. Heating was originally undertaken via portable heaters and a water radiator with plug-in timers. They also use electric blankets in winter and a HRV heat replacement system which is on 24h a day.

The house received 1kW of Canadian Solar PV installation, and a network-controllable (for occasional critical peaks) heat pump, as well as an energy efficient ceramic topped stove, a smart hot water controller using timers/delay functions and smart plugs and web/phone reporting and control for a number of the home’s appliances. Monitoring is undertaken via room sensors to assess temperature distribution and circulation; water flow meters to measure hot water supply to heating, tank and use; circuit monitors; heat pump setting to measure temperature and use; PV monitoring software to measure generation; as well as via energy diaries (both written and as iPad apps) and interviews to assess attitudes, norms, engagement and behaviour changes.

House A is scheduled to be tested in 5 categories, 3 of which will require householder engagement, one is monitoring and the 5th is not in play until Year 2. The behavioural considerations around home heating

5 www.energycultures.org.nz

Duration 2014-2017

Country New Zealand (3 cities)

Type Pilot project

Cost >NZD 500,000

Specification/Goal Better design tomorrows network; determine pricing strategies with customers; guide development of appropriate policy and technical standards, understand DSO’s role in DSM

Behavioural model/s or theories of change

Neoclassical economics, energy cultures, technological innovation systems, transition theory, moments of change

Context 80% RES, DSM issues, legislation requiring EE from DSOs, smart meter/grid rollout

Piloting smart home technology is/not:

A good way of establishing technological potential

A good way of establishing technological potential A very good way to engage customers

A good way of establishing technological potential A very good way to engage customers A first step to creating smart prosumers

A good way of establishing technological potential A very good way to engage customers A first step to creating smart prosumers A way to change lifestyles and break (some) habits

A good way of establishing technological potential A very good way to engage customers A first step to creating smart prosumers A way to change lifestyles and break (some) habits A good way to showcase best practice before rollout

A good way of establishing technological potential A very good way to engage customers A first step to creating smart prosumers A way to change lifestyles and break (some) habits A good way to showcase best practice before rollout Important lesson on consumer service perspective

Statistically meaningful to quantify impacts

Statistically meaningful to quantify impacts Necessarily straightforward DSM tool

Statistically meaningful to quantify impacts Necessarily straightforward DSM tool Technologically fully matured

Statistically meaningful to quantify impacts Necessarily straightforward DSM tool Technologically fully matured Easily replicable on the national scale

Engaged participants

Ruth Mourik

PowerMatching City

Subtask I - Helicopter OverviewPremise for Task XXIVNL-Buildings/Smart Grid

PowerMatching City

Duration 2007-2011 (pilot) 2012-14 (evaluation)

Country the Netherlands (2 cities)

Type Pilot project

Cost several million €€€

Specification/Goal Test integral smart grid with innovative appliances in real life; set up by a consortium of stakeholders (DSO, technology, ICT, research); early movers; variable pricing; co-creation of feedback with end users

Behavioural model/s or theories of change

Neoclassical economics, gamification, participatory learning, co-creation

Context Technical system not yet mature nor available; energy communities already existed

PowerMatching City

Piloting smart home technology is/not: A good way of establishing technological potential

PowerMatching City

Piloting smart home technology is/not: A good way of establishing technological potential Important to match technology to consumer needs

PowerMatching City

Piloting smart home technology is/not: A good way of establishing technological potential Important to match technology to consumer needs A 1st step to creating smart prosumers/communities

PowerMatching City

Piloting smart home technology is/not: A good way of establishing technological potential Important to match technology to consumer needs A 1st step to creating smart prosumers/communities Lesson that communities offer scalability

PowerMatching City

Piloting smart home technology is/not: A good way of establishing technological potential Important to match technology to consumer needs A 1st step to creating smart prosumers/communities Lesson that communities offer scalability A good way to embed trust and transparency

PowerMatching City

Piloting smart home technology is/not: A good way of establishing technological potential Important to match technology to consumer needs A 1st step to creating smart prosumers/communities Lesson that communities offer scalability A good way to embed trust and transparency Important lesson on consumer service perspective

PowerMatching City

Piloting smart home technology is/not: A good way of establishing technological potential Important to match technology to consumer needs A 1st step to creating smart prosumers/communities Lesson that communities offer scalability A good way to embed trust and transparency Important lesson on consumer service perspective Especially around importance of co-creation

PowerMatching City

Easy to make technology match real life needs

PowerMatching City

Easy to make technology match real life needs A way to change individual behaviour

PowerMatching City

Easy to make technology match real life needs A way to change individual behaviour Technologically fully matured

PowerMatching City

Easy to make technology match real life needs A way to change individual behaviour Technologically fully matured Easily trusted as commercial interests get in the way

PowerMatching City

Easy to make technology match real life needs A way to change individual behaviour Technologically fully matured Easily trusted as commercial interests get in the way A good idea to ignore frustrations

Subtask I - Helicopter OverviewPremise for Task XXIVCommon lessons and

learnings

It really is all about the people, but...

learnings

It really is all about the people, but... Not just about the individuals, also wider community

learnings

It really is all about the people, but... Not just about the individuals, also wider community Big differences even within households (eg gender)

learnings

It really is all about the people, but... Not just about the individuals, also wider community Big differences even within households (eg gender) Trust really is everything, hard to gain and easily lost

learnings

It really is all about the people, but... Not just about the individuals, also wider community Big differences even within households (eg gender) Trust really is everything, hard to gain and easily lost Present a face and keep one human intermediary

learnings

It really is all about the people, but... Not just about the individuals, also wider community Big differences even within households (eg gender) Trust really is everything, hard to gain and easily lost Present a face and keep one human intermediary It’s OK to be technical, but don’t be technocratic

learnings

It really is all about the people, but... Not just about the individuals, also wider community Big differences even within households (eg gender) Trust really is everything, hard to gain and easily lost Present a face and keep one human intermediary It’s OK to be technical, but don’t be technocratic Learn how to communicate differently

learnings

It really is all about the people, but... Not just about the individuals, also wider community Big differences even within households (eg gender) Trust really is everything, hard to gain and easily lost Present a face and keep one human intermediary It’s OK to be technical, but don’t be technocratic Learn how to communicate differently Balance research needs with user needs

learnings

It really is all about the people, but... Not just about the individuals, also wider community Big differences even within households (eg gender) Trust really is everything, hard to gain and easily lost Present a face and keep one human intermediary It’s OK to be technical, but don’t be technocratic Learn how to communicate differently Balance research needs with user needs Make it about lifestyle not technology

learnings

It really is all about the people, but... Not just about the individuals, also wider community Big differences even within households (eg gender) Trust really is everything, hard to gain and easily lost Present a face and keep one human intermediary It’s OK to be technical, but don’t be technocratic Learn how to communicate differently Balance research needs with user needs Make it about lifestyle not technology Listen to the frustrated, don’t shy away from problems

learnings

It really is all about the people, but... Not just about the individuals, also wider community Big differences even within households (eg gender) Trust really is everything, hard to gain and easily lost Present a face and keep one human intermediary It’s OK to be technical, but don’t be technocratic Learn how to communicate differently Balance research needs with user needs Make it about lifestyle not technology Listen to the frustrated, don’t shy away from problems Co-create and share learnings

Subtasks of Task XXIVsocial media and

Task XXIV

QUESTIONS?drsea@orcon.net.nz

ruth.mourik@duneworks.nl

IEA DSM TASK 24

iea dsm task 24 subtask 2: similar smart grid stories from new zealand and the netherlands

smart meteringfeedback

smart homes

new territory

new paradigm

consumer preferences

interested consumer

networksevolve new services

agentgraz task

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