fischer-2011-030-0424-06-e

Demand Side Management to lower the CO2 footprint in Cities

Bastian Fischer, Oracle Utilities Global Business Unit EMEA

Vice President and General Manager

Thursday, May 12th, EURELECTRIC Smart Cities, Brussels, Belgium

The following is intended to outline our general

product direction. It is intended for information

purposes only, and may not be incorporated into any

contract. It is not a commitment to deliver any

material, code, or functionality, and should not be

relied upon in making purchasing decisions.

The development, release, and timing of any

features or functionality described for Oracle’s

products remains at the sole discretion of Oracle.

Safe Harbor

Agenda

• SMART CITIY : Definition and Objectives

• Large Scale Municipal DSM applications

• Customer Engagements and Benefits

• Summary and Questions

Smart Cities – Transforming the Energy Value Chain

• Must demonstrate customer value

• Investment pay-back and customer / societal benefits

• Environmental objectives

Regulatory

• Information to engage customers and keep them engaged

• Impact of Choice / Impact of new Energy Applications

• Expectation of improved performance – “I have options now”

Customer Expectations

• New entrants into consumer energy – Google, Microsoft, etc.

• Speed of decision making -Customers and Energy companies

• Media focus / Post Fukushima Changed Energy Policies

ChangingBusiness

• Customer program management

• Grid impacts / Utility Integration / Municipal Service Integration

• Media Hype – Higher bills, EMF, who do you trust?

OperationalIssues

© 2011 Oracle Corporation – Proprietary and Confidential

OECD – Cities and Green Growth

1. The “urban-based” green growth is the engine of intelligent, sustainable and environmental aware recovery.

2. Our cities consume between 60 and 80% of the world’s total energy output, so it is not surprising that the most innovative solutions are designed in our metropolis.

3. Moving towards a low-carbon, more sustainable society will require significant up-front investments and require new financial instruments to power investments in urban green growth.

4. A policy that enables green growth requires to bridge the gap between national and city strategies. National governments have a key role to play in enhancing cities’ capacity to act on green growth.

Adapted from the speech: Paris, 25 May 2010

Angel Gurría, OECD Secretary-General© 2011 Oracle Corporation – Proprietary and Confidential

Agenda






CUSTOMER PERSPECTIVE

“With Oracle Utilities Meter Data

Management, we will be able to support

one of the largest AMM deployments in

European history. The Oracle solution

will help us to provide our customers

with advanced options including

consumption profiles as well as

consumption information online -

ultimately allowing the consumer to

make more informed decisions about

their energy use.”

Delio Svaluto Moreolo, Metering

Department, Acea Distribuzione S.p.A

RESULTS

•Single Source of truth for metering

data – with full auditability of data

versions and editions

COMPANY OVERVIEW

• ACEA is the 2nd largest Italian Electricity Distributor. The are the

Distribution Concession for 1.5 Million meters in Rome with 8

Millions gas meters.

• Industry, Utilities

CHALLENGES/OPPORTUNITIES

• Monthly readings mandated by Italian law• TOU• Real time customer access to their consumption data• Customer services improvements • Fraud reduction and Network Management Improvement

SOLUTIONS• Interfaces to Metering Systems: Dial up C&I meters, AMI meters

with interval data, Manually read meters with register reads• Validation – Edition – Estimation• Balance Perimeter Calculations• Calculation of Area Residual Load and Profile per Supplier• Data Publication to Suppliers• Interface with billing systems for consumption data and standing

data

Month 20##

Italy’s Acea Distribuzione to Power Automatic

Meter Management Project for 1.6 Million Meters


CUSTOMER PERSPECTIVE

RESULTS

•Once an hour relationship with 6

Million customers

•3.6 Billion electric meter reads/month,

plus 150M electric status reports/month

•150M gas meter reads/month, plus

150M gas status reports/month

•Support 7 years of historical data (3

years on-line, 4 years archived)

•300x increase in storage

COMPANY OVERVIEW

• California based company founded in 1905, it is one of the largest combination of natural gas and electric utilities in the US

• Industry: Utilities• Employees: 20,000

CHALLENGES/OPPORTUNITIES

• Provide a multi-step billing solution that integrates with several systems including head-end systems, meter data management systems

• Solution needs to provide critical peak pricing and dynamic pricing- Real –Time pricing

• Solution needs to measure, bill, collect processes to support meter reading, meter data management, rendering of bills, customer records, credit and payment processes

• Solution must provide Contact Center and Front Counter Support to customer transactions such as start/stop and account status

• Solution must provide scheduling and dispatching of customer field orders

SOLUTIONS• Oracle Utilities Customer Care and Billing

June 2010

PG&E Smart Meter


10

Energy Services to about 15 M People:

5.1 M Electric Customer Accounts

4.3 M Natural Gas Customer Accounts

70,000 square miles with diverse

topography

~20,000 Employees

A regulated investor-owned utility

Pacific Gas and Electric Company

11

A smart grid

Overlay with an “Intelligence” Infrastructure

• Pervasive sensing and measurement devices

• Pervasive control devices

• Advanced data communications

• Computing and information management

Smart

Power

Plants

Transmission

Networks

Substations Distribution

Networks

Consumers

12

Smart Grid = sense, communicate,

compute, control

ERP

Oracle

Customer

Care & Billing

Meter Data

Management

System

Ora

cle

Fu

sio

n M

idd

lew

are

-E

SB

Customer DW

(Oracle)

Sensors

Distributed Computing

Control Devices

Collectors BackhaulPG&E

Systems

Data Management

& Storage

Web Server

(Oracle Fusion)

Outage

Management

Communication Central Computing

Public Wireless

Network

13

The largest AMI deployment

in the United States

Automated meter reading for all

customers

10 million meter upgrades by 2011

Frequent meter reads

daily for gas

hourly or 15 minute intervals for

electric

Enhanced customer energy

management

14

Data Demands

Old World

Once a month relationship with 6 Million Customers.

5 Million Electric Meter Reads a Month

5 Million Gas Meters Reads a Month

7 Years of Historical Data

New World

Once an hour relationship with 6 Million Customers.

3.6 Billion Electric Meter Reads Month, plus 150 Million Electric Status Reports a Month

3.6 Billion Gas Meter Reads Month, plus 150 Million Gas Status Reports a Month

7 Years of Historical Data (3 years online, 4 years archived)

Represents a 300x increase in storage

15

Oracle Technologies

Customer Care and Billing (CC&B)

Supports meter to cash. Supports Contact Centers.

40 TB billing system.

350,000 bills a day, 6 days a week.

99.9% operations

2,300 concurrent users, 5,000 primary users.

Oracle RAC

8 Node Cluster, RMAN, Data Guard, Grid Control

multiple databases from 40TB (CC&B) to 300TB (Customer DW)

Oracle Fusion Middleware – ESB, SOA

Oracle WebLogic Portal – Customer Web Presentment

16

Secure customer access

through PGE.com

Displays energy use by

billing cycle, month, or week

Displays hourly electric use

by day

Customer service reps able

to view same graphs online

Online energy use information

17

SmartRate: Empowering

Customers, Cutting Peak Loads

Recruitment

10,000 voluntary participants in

summer 2008

Experience

Across 9 called events, the average

residential customer achieved a

reduction of 16.6%

7 of 10 customers saw a reduction

in their cumulative summer bills

Retention

90% of customers intend to stay on

the plan in 2009

Rollout follows SmartMeter program deployment

18

Home Energy Management

Basic

Enhanced

Advanced

Simple high-low

indicator

More comprehensive in-

home displays (usage,

cost, time)

Programmable

Communicating

Thermostat (PCT)

Fully automated intelligent

energy management system

Other automated/

programmable appliances

Electric vehicle charging /

storage

Distributed generation and

storage

http://www.amazon.com/gp/product/images/B0009726GU/ref=dp_image_0/102-1883522-2689753?ie=UTF8&n=284507&s=kitchen

19

Time-differentiated pricing

Price

Noon12:01 11:59

Time-Of-Use

Pricing

Flat Pricing

Real-Time

Pricing

Encourage smarter energy use by exposing customers to

the real marginal cost of electricity

20

Home Area Network

AMI/SmartGrid

Time-shifting

Electricity

Electric Vehicle Smart ChargingG

Wh

http://us.lge.com/products/model/detail/home appliances_cooking_electric ranges_LRE30755.jhtml

SOLUTIONS

• Oracle Utilities Customer Care & Billing

• Oracle Utilities Meter Data Management

• Oracle Utilities Business Advisor

CHALLENGES / OPPORTUNITIES

• Replace and consolidate two outdated and inflexible billing systems

• Provide interface in both Arabic and English

• Integrate billing and CRM

• Provide full billing and credit and collections capabilities before privatization

• Establishing Multi Utility Smart Meter Infrastructure

• Combining Water and Electricity

RESULTS

• Multiple language support

• Flexible software to adapt to local regulations

• Introduced standardized processes and industry best practices

• Smart Meter Integration

• Enablement for DSM and Energy Analytics

COMPANY OVERVIEW

• Approximately 300k electric and water customers

• Headquarters located in Abu Dhabi

• Leads De-regulation of the market with the Government

Abu Dhabi Water & Electric


SOLUTIONS

• Oracle Utilities Customer Care & Billing

• Oracle Utilities Business Advisor

CHALLENGES / OPPORTUNITIES

• To setup an efficient and cost effective e-based Billing, Collection and Customer Services department

• Real-time meter readings, meter error diagnostics, customer database and revenue recognition

• Automated bills generation and delivery

• Enhanced customer service experience

• Ability to better control Palm Utilities (PU) cash flows by controlling billing cycles

RESULTS

• Centralized Customer Data Base, Centralized Meter Readings handing and processing, Invoice generation and distribution, Cash, bank transfer & credit card payments reconciliation with accounting, deposit refund management

• Business Intelligence & Management Reporting

• Resolve 90% of customer issues at 1st contact

• Centralized End User Agreement generation and Management, Management of Meter Operations, Initialization and Maintenance teams, department efficiency monitoring and control

• Risk management capabilities and real time monitoring of contract covenants

COMPANY OVERVIEW

• Headquarters – Dubai, United Arab Emirates

• Founded – 2007

• Utility Type – Retail and Distribution

• Market – District Cooling

Palm Utilities


Solution

Field

Activities

Credit &

Collections

Payment/

Cashiering

Rates/

Billing

Meter Manage-

ment/Reading

Premise/

Service Points

Customer

Information

CC&BCollection

Process

Account Debt

Monitor (AD

M)

Collection Process

Monitor (CPM)

Eve

nt A

ctiv

ato

r

(CE

T)

Functional Areas

Chilled Water

Polished Water

Treated Sewerage Effluent

Sewerage

Potable Water

Business Services

SCOPE: Implement single configuration of Customer Care & Billing system for Palm Utilities and its two subsidiaries namely Palm Water and Palm District Cooling in a centralized instance to support the key services offered by the businesses. The project covers implementation, training, documentation, integration, reports & printing solution, and cash points installation to successfully deliver CRM & Billing project and assist Palm Utilities to achieve their business objectives.

Ultrasonic Energy Meter

Ultrasonic Flow sensor

No mechanical moving parts

Battery life of 10 years

Historical Logging

Wireless enabled

Digital Readout

Agenda






What Consumers Want

Oracle study indicates…

95% - detailed information on energy use

76% - renewable energy technologies for home

only 14% of Americans

and 16% of utility managers gave utility supplier an “A”


1. The Brattle Group. The Power of 5 Percent. May 2007.

+17% Savings

Efficiency and Impact of Energy Awareness

with information:13% average reduction

with smart thermostats:23% average reduction


Agenda






29

Conclusion: Smart Utility Roadmap

SummaryBills

DemandResponse

DistributionAutomation

AutomatedMeter Reading

Now10-years ago 10-years

AdvancedMetering

Infrastructure

Time of UsePricing

Critical PeakPricing

AdvancedDistributionManagement

Systems

SmartMeters

Home AutomationNetworks

SmartAppliances

DistributedGeneration

ElectricityStorage

MicroGridBalancing

Real-TimePricing

ElectricVehicles


30

DatabasesApplications

Content

InfrastructureInformation

Conclusion: Standards-based strategy

• CIM enabled Application Platform for Utilities

Oracle Enterprise Information Management Strategy

Ad

d C

urr

en

t S

tds

.

AIA Foundation Pack Canonical Model Library

• Oracle EBOs

• Utility EBOs

• IEC CIM Objects

• Open SG

• MultiSpeak

• End-to-End SmartGrid Security Strategy

Information Rights Mgmt.

Identity Management

Database Security

Infrastructure Security


More Value, Less Complexity

More Flexibility, Less Cost

More Choice,

Less Risk

Standards-Based

Architecture

Open

Utility Solution Paradigm



BASTIAN FISCHER

Vice President and General Manager

Utilities Global Business Unit EMEA

Utilities Global Business Unit

Europe – Middle East – AfricaPortes de la Défense,15 bd Charles de Gaulle

92715 Colombes Cedex, France

Tel: +33 1 57 60 84 78

Cell: +33 6 37 23 33 94

[email protected]

Q&A


mailto:[email protected]


Oracle in the Utility Industry

Apendix


Oracle Corporation

Scale• $24.2B in TTM revenue for Oracle

• #1 in 50 product or industry categories

• 370,000 customers in 145 countries

• 30,000 partners

• $40B on 60+ acquisitions, since 2005

• 106,000 employees

• 10 million developers in Oracle online communities

Innovation and Investment• 29,000 developers and engineers

• 15,500 customer support specialists, speaking 27 languages

• 20,000 implementation consultants

• 1 million students supported

• 870 independent Oracle user groups with 355,000 members

Revenue represents March 1, 2009 – February 28, 2010


Oracle in the Utilities IndustryDid You Know?

Customer Base: Best Solutions Running at

2,600+ Electric, Gas, Water Utilities Worldwide

Dedicated to the Industry: Oracle Utilities

Global Business Unit with 1,000+ Worldwide

20 of the Top 20 Utilities: Get Results with

Oracle Solutions

Experience: 30 years of Technology, Innovation

and Growth


Oracle Utilities Global Business Unit

Dedicated Utilities Team

• 1,500+ employees focused solely on utilities

• Define, develop, and offer mission-critical applications specifically for utilities

• Global organization and reach

Industry Leading Utilities Capabilities

• Smart grid software

• Customer care and billing

• Meter data management

• Mobile workforce management

• Network management and load analysis

• Work and asset management

• Self-service billing, payment, and support

Leveraging the Capabilities of the #1 Enterprise Software Vendor

• ERP, CRM, HR and more

• Most scalable, reliable, secure infrastructure

• Most complete range of on-demand and on-premise deployment options


Ageing Infrastructure and Changing / Ageing Workforce:How can we optimize capital and ensure the best use of our people

and our assets?

“They have neglected their infrastructure for too long… We are sick and tired of them

and they had better change.” After downtown Chicago black outs.

– Mayor Richard Dailey, Chicago

!

The Challenges We’re Hearing

Managing a complex energy portfolio:How do we turn the data deluge into information that used throughout

the business?

“A Smart Grid is characterized by the ability to use real-time information to anticipate,

detect, and respond to system problems”.

– Michael R. Peevey, President California Public Utilities Commission

!


Maintaining Safe, Secure, Reliable Supply:How do we incorporate renewables, comply with regulations and

standards, and meet greenhouse targets?

“I strongly believe that the energy industry needs to help shape the future of carbon

regulation”.

– Jim Rogers, CEO Duke Energy

!

The Challenges We’re Hearing

Meeting the Changing Customer Expectations:How do we engage with the customers as they get fully involved with

distributed generation, electric vehicles and a need for information?

“Electric Utilities are evolving to become energy advisors to their customers. Electricity

today does more than light homes and businesses. We see a future where success in

our industry will be measured by companies offering new, innovative approaches to

achieving these expectations”.

– Joe Rigby, CEO PEPCo.

!


The need for utilities to transform

Around the world, utilities are under pressure.

• Citizens demand energy and water that

don't undermine environmental quality.

• Regulators seek action on smart grid

and smart metering initiatives that add

intelligence to infrastructure.

• Customers seek choice and convenience,

but without additional costs.


Oracle can help you on your journey

• We offer utility experts, mission-critical software applications, a rock-solid operational software suite, and world-leading middleware and technology.

• We understand the complexity around smart grid initiatives, implementations, and the unknown.

• We provide flexible, innovative technology and interoperable applications that increase efficiency, improve stakeholder satisfaction, future-proof your organization, and turn information into power.


A Closer Look…

• Moving to distributed generation and micro grids while satisfying rising demand requires new systems and process to ensure supply is safe and secure

• Incorporation of intermittent power sources will need more accurate forecasting, more robust sensing equipment and more real time monitoring

• Management of smart equipment requires new processes to ensure accuracy and reliability in the field with the need to move towards distributed system management

Maintaining Safe, Secure, Reliable Supply!

Protecting today’s resources for the next generation


• The balancing of costs and reliability require new risk profiles to be managed for all assets in the field to ensure minimal disruption to service

• 40-50% of the utility workforce is eligible for retirement in the next 5 years so technology must be used to automate previous manual processes

• Being able to schedule resources to the right place at the right time with the right skills and equipment will become key to managing the new network

A Closer Look…

Ageing Infrastructure and Changing / Ageing Workforce!

Optimizing the risk and return of your assets


A Closer Look…

• The engagement model for consumer is proactive enabling them to make decisions about energy and water usage through a variety of channels

• The need for more product choice and bundling capability, engaging the customer in the value chain for programs such as green energy or demand side management

• The need to have efficient and cost effective customer care processes while dealing with a change to real time information and increased options

Meeting the Changing Customer Expectations!

Interacting with consumers in new ways


The more you expose people to the data the more excited they get

A Closer Look…

• How do you build applications and give

customers access for a future that is yet to

be defined?

• How do you manage the 600x increase in

data, while minimizing the duplication across

the organization, ensure all functions have

the data they need in a timely manner?

• How do you manage the new smart devices

to ensure security and timelines of updates,

with new applications and analytics

requirements?

Managing a complex application portfolio!

More Value, Less Complexity

More Flexibility, Less Cost

More Choice,

Less Risk

Standards-Based

Architecture

Open

Oracle’s Solution Strategy

Interoperable applications on a smart platform…

Architecture for the Transformational Utility

Oracle Utilities “Smart Grid” Appliance: Powered by Exadata

…running on the world’s best hardware

Utilities Integration Platform: Powered by Oracle Fusion Middleware 11g

…leveraging open standards technology for integration…

Spatial and Utilities Analytics: Powered by OBIEE

Customer Meter Grid

Smart Grid Gateway

Utility Customer Management Portals and AppsEnabling new consumer models with Self Service and BI…

© 2010 Oracle Corporation – Proprietary and Confidential 6

Ora

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Open SmartGrid PlatformEnabling the EnergyCloud

Co

mm

on

Te

ch

no

log

y

MDM CC&B Mobile

Common Integration Platform

Powered by SOA & Industry Standards

Business Intelligence

Real-time Decisioning

Innovative Spatial visualization and mash-ups


Spatial and Utilities Analytics: Powered by OBIEE

Utility Customer Management Portals and Apps: Powered By Web Center

Utilities Integration Platform: Powered by Fusion Middleware

Oracle Utilities “Smart Grid” Appliance: Powered by Exadata

…leveraging open standards technology for integration…

…running on the world’s best hardware

Interoperable applications on a smart platform…

Enabling new consumer models with Self Service and BI…

49

Architecture for the Transformational Utility

Smart Grid Gateway

MeteringCustomer

MicroGridSupervisory Control

SystemEnergy Advisor Advanced Energy

Management

Network Management

Ora

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Oracle Member in Industry Standards Groups

57TC

IEC TECHNICAL COMMITTEE

AMI/HAN Research Group

Deliver Foundation for Utilities Integration

• OBJECTIVE – Provide a leading

integration platform and fully integrated

Oracle Utilities Suite of applications on

top of that platform.

• APPROACH – Leverage and expand AIA

Utilities Foundation Pack to include CIM

and MultiSpeak compliant object

definitions and message structures.

• BENEFIT - Oracle Utilities Foundation

Pack (Reference Process Models and

Common Objects) will deliver

integrations based on Oracle’s leading

Fusion Middleware and comprehensive

industry domain coverage.

Foundational Objects from CIM

Message Structures from CIM

Reference Process Models

Industry Standards

Oracle Corporation Internal – Proprietary and Confidential

52

Communications SystemsCommunications

Systems

Network sensors& controls

The Oracle Smart Grid Suite

Oracle Utilities Customer Care and Billing

Oracle Utilities Load Analysis

Oracle Utilities Network

ManagementOracle Utilities Work and

Asset Management

Oracle Utilities Mobile Workforce Management

Oracle Utilities Meter Data Management

ConsumerEnergy

Technologies

Oracle AIA and Fusion Middleware / Smart Grid SOA

Oracle Primavera Oracle SpatialOracle Business

IntelligenceOracle Database

Oracle Governance, Compliance & Regulation

Oracle Hyperion

Oracle AutoVue

SmartMeters

Oracle Utilities Meter Event

Management

53

Oracle for Utilities Solution Footprint

INFRASTRUCTURE

Middleware Integration, Business Process Design, Orchestration and Monitoring

Technology Spatial, Database

CORPORATE ADMINISTRATION

Financials Procurement Facilities Human Resources Supply Chain …More

BUSINESS OPERATIONS

Assets & Work

Supply

Field Service

Networks

Metering

Projects

BUSINESS INTELLIGENCE

Financial

Operational

Transactional

CUSTOMERS

BillingCustomer Relations

54

Oracle Utilities Footprint


Process: Top to Bottom Support for Utilities

Leading Enterprise Software Vendor

• #1 in CRM, HCM, EPM, Middleware, and more

• Most scalable, reliable, secure infrastructure

• Most complete range of on-demand and

on-premise deployment options

Built-In Utilities Capabilities

• Interval based pricing (real time, TOI, CPP, event)

• Industry Standard VEE

• Integration with smart devices

• Self Healing Grid

• Field workforce optimization

Largest Software Assistance Team

• 64,500 development, support, and services professionals

• 145 countriesServers

& Storage

OperatingSystem & VM

Database

Middleware

Applications

Consulting

Support& Training

Oracle UtilitiesA Global Business Unit of Oracle Corporation

Objective– Definition of Utilities Strategy

– Global and Central point of INDUSTRY- Contact

– Defines, develops, and offers utility Industry applications

– Ensures entire Oracle stack meets utility needs

– Engagement with Partners and SI’s

– Over 1800+ Utility experts globally

Richest Utility Application set

•Best in Class:

•HRMS

•Billing

•Customer Info

•Asset

•Outage

•Analytics,

•Consumer

•Insight

• Smart Grid

•Profile Mananagement

•Complex Billing

•Meter Data Mgmt

•Quotation MgmtBest-in-Class Applications:

Complete – Open - Integrated

•Best in Class:

•Customer

Mgmt


The preceding is intended to outline our general

product direction. It is intended for information

purposes only, and may not be incorporated into any

contract. It is not a commitment to deliver any

material, code, or functionality, and should not be

relied upon in making purchasing decisions.

The development, release, and timing of any

features or functionality described for Oracle’s

products remains at the sole discretion of Oracle.

fischer-2011-030-0424-06-e

Documents

oracle corporation proprietary

energy use

oracle solution

urban green growth

benefits summary

energy value chain

consumer energy google

eurelectric smart cities