Advanced Metering Infrastructure for Seattle City Light · 2-way electric: polyphase meters (32)...

Advanced Metering Infrastructure

for Seattle City Light

May 10, 2007

Linda Lockwood

www.meteringamerica.com

Seattle City Light –7th Largest US Municipal Utility

Customers kW HoursResidential 336,363 2,954,848 Non-Residential 39,506 6,206,617 Total 375,869 9,161,465


Mount Rainier


Pacific Northwest


Ross Dam


Sockeye Salmon


Seattle City Light – A Green Utility

Power Supply %Seattle Hydro 46Treaty (BC Hydro) 3Purchased-BPA 36 Hydro 86.5Purchased-Other 15 Fossil 6.2Total 100 Wind 3.0

Other 0.1

Fuel Mix for 2005By Generation Type


Seattle City Light

738,400 population of service area

131 square miles of service area

1,560 personnel (FTE)

15 major substations

657 miles transmission circuit

2,470 miles distribution circuit


Seattle residents have the lowest-cost electricity in urban America

Average rate per kilowatt hour (¢) for the year ended December 31, 2005

Seattle National

Residential: 6.62 9.42

Non-residential: 5.91 7.30


Seattle City Light Values

�Conservation Programs since 1977

�First priority resource to meet load growth

�Averaging 3.5% of retail sales revenue

�Stewardship

�Skagit River Dams certified low impact hydro:“Water for Fish, Power for People”

�Greenhouse Gas Neutral for all operations


Seattle City Light Service Territory


Seattle’s AMI Strategy

�Deploy pilots in new development areas (2006)

�Complete a Business Case (2006).

�Evaluate the pilots (2007)

�Work with Utility management and City governance to evaluate AMI for funding

�Formulate a go forward AMI plan


About Our Pilots

�High Point Pilot (700 residential meters)

� Outsourced except for end points

� Validate monthly versus bi-monthly billing impact

� 1-way RF, both water and electric

� South Lake Union (1,000 meters)

� Own everything

� 2-way RF technology

� Mix of customers (commercial, high-rise residential)

� Geographical challenges (Seattle hills, urban canyons)

� Electric distribution system: both downtown network and radial


South Lake Union Pilot Area


South Lake Union Pilot Project Overview

1. Host Data Collection Servers: Utility’s Downtown Office

2. Production Network: South Lake Union / Denny Triangle

� 1 UtiliNet Take Out Point (TOP)

� 16 UtiliNet concentrator/repeaters

� 2-way electric: form 12S meters (455)

� 2-way electric: polyphase meters (32)

� 1-way water: residential and commercial (30)

3. Test Network: North Service Center

• 1 TOP

• 1 UtiliNet concentrator/repeater

• Test meters: 2-way electric (9) and 1-way water(3)


North Service Center – Test Lab


Broad Street – Take-Out Point


Concentrators/Repeaters


Downtown Environment

Residential Products:

Remote DisconnectSmart Thermostat

Load Shedding/Control

Residential Meters

Host Systems:

AMI HostCISOMSSCADA

Commercial;

Office, Laboratories, Data Centers, Retail

Take-Out-Point

High-Rise SolutionResidential Units

Commercial;Retail, Offices


Solution Center

Host System Multiple Network options (fiber, Cable, Modem, etc.)

Take-Out-Point

Reclosers

Switches

Sectionalizers

Capacitor Bank

Additional 3rd Party Applications (CIS, Outage Management, DA, HAN, etc.)

Residential Products:•Remote Disconnect•Smart Thermostat•In-premise Display•Load Control

Residential, C&I Electric meters Integrated with 2-way Cellnet mesh technology

1-way Water Meters

Take-Out-Point

Two - Way Technology

Home Area Network


Two-Way UtiliNet RF Network

ElectricEndpoints

Repeater/Router

Utility Fiber Connection

InfiNet Host

Take Out Point at Substation

CommercialCommercial

Utility

ResidentialResidential

ResidentialResidential


Why SPU/Water is dropping out

�The Pilot tests both water and electric

�Water requirements vary greatly from the electric: 1-way is adequate

�Electric utility has a business case that supports going on our own with 2-way technology

�RF Network for 2-way only is less expensive to deploy and operate


Business Case Results Say Go!

Discount Rate

Net Present

Value

Benefit / Cost Ratio

Internal Rate of Return

3% $ 32.7 M 1.5 11.1%

•Capital Investment = $59 million•Deployment interval = 5 years•AMI system (model) life = 15 years•Annual Benefits, 100% installed = $ 9 million


Net Present Value of Benefits

28%

24%13%

22%

11%

1%

1%

Meter ReadingAccount ServicesMeter AccuracyRevenue RecoveryCash FlowCall CenterDistribution Ops

The Benefits Are Many ($ millions)

NPV of BenefitsNPV of Capital

NPV of Operating CostNPV of AMI Project

NPV

$27.9

23.6

12.1

21.1

10.3

1.3

0.8

$97.1

55.7

8.7

$32.7


A Word about the Financial Model

� Financial planning is important

�Discussions regarding numbers bring out the real issues which are about people, jobs and change

� The pilot doesn’t confirm all the financial assumptions

� We became comfortable with installation cost

� We became confident about capital cost

� We understand we will have to manage labor transitions

� We’re not yet confident about the cost to interface into legacy systems


Recommended AMI Strategy

� Complete meter and billing systems

� Meter data management in 2007 (in progress)

� Replace complex billing system for time based rates in 2008

�Rollout AMI to 100% of meters, area-wide

� Start soon (2008 or 2009)

� Complete rollout in 5 years or less

� Improve other processes using AMI data� Outage Management (OMS) and GIS

� Asset Management, Load Flow, Distribution System Planning

� Customer Billing/Relationships (CIS/CRM)


Wind, Storm Damage/Outage


Windstorm December 14-23, 2006

�49% of customers out

�95% restored in 3 days

�“We could have used restoration management information during this big storm if we’d had it.”System Operations Center Dispatcher, Jan. 2, 2006


Opportunities and Challenges

�Resource Requirements –rapid installation will mean outsourcing installations

�Workforce Transition Plans

�55% of the benefits result from personnel reductions

�These FTE reductions are in excess of normal attrition

�Major Business Process Changes


Focus on Accountability

�Use the business plan as a benchmark for accountability—achieve the benefits

�The better our labor transition plan (the faster we reduce labor cost) the better the ROI for the project

�The expansion will require that we re-bid the technology to the vendor community


Seattle City Light - Vision

�Billing and Payment Options

�Rapid Power Restoration Information

�Help customers manage their energy use

�Business process efficiencies support lower rates

“The best customer service experienceof any utility in the nation.”


Seattle City Light – The Green Utility

“The best customer service

experience of any

utility in the nation.”


Feel free to contact me with questions at:

Linda Lockwood

Seattle City Light

Address 700 5th Avenue, Suite 3200

Phone 206-684-3628

Email [email protected]

Advanced Metering Infrastructure for Seattle City Light · 2-way electric: polyphase meters (32)...

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Transcript of Advanced Metering Infrastructure for Seattle City Light · 2-way electric: polyphase meters (32)...