AMI Workshop January 31, 2010
Don Schlenger, VP, RW BeckDave Hughes, PE, American Water
Antony Green, VP, GL Industries
AMI for Water Utilities:
Best Practices for Selection,
Acquisition & Implementation
• Literature review, utility case studies, vendor interviews
• AMR/AMI topology
• Key elements of AMR/AMI system design
• Key elements of AMR/AMI implementation
• New applications
• Business case and cost/benefit tools
• Pilots: Distribution system leak detection, rapid backflow
detection, automatic shutoff valves, mesh technology
• Workshops, guidance document
Workshop ObjectivesWorkshop Objectives
• Brief review technology definitions
• Review analytical tools and approaches
– Operations (Leak detection, meters)
– Customer service
– Conservation
• Share perspectives, experiences with
procurement, implementation
• Solicit input for research needs
Today’s Schedule
• 1:00 - Welcome and Introductions
• 1:15 - Research Project Overview
• 1:30 - Technology Update, Customer Service Operation Enhancements
• 2:10 - AMI and NRW reduction
• 2:35 - Discussion
• 2:45 - BREAK
• 3:00 - AMI and Conservation
• 3:30 – AMR/AMI Procurement and Implementation
• 3:50 – Discussion
• 4:00 - CONCLUDE
Ground RulesGround Rules
• Schedule
• Roles
• Opinions
• Documentation
• Water Research Foundation In-kind
contribution
Project Premise: Technology, Project Premise: Technology,
Implementation Strategy and Business Implementation Strategy and Business
Case are InterrelatedCase are Interrelated
Economics/Bus. Plan
Drivers-Operating Costs-Customer Service-Conservation-Growth, etc.
Data Reqs.-Meter reading interval-Data reporting interval-Tamper, leaks,
backflow, etc.
Technology DeploymentStrategy
Goals,Objectives
ImplementationPlan
ExistingSystems
-Meter Reading-CIS-SCADA-Etc.
FinancialSituation
MarketPenetration
Time
100%
EarlyAdopters
MatureMarket
CommodityNear universalInformal business cases
“Stretch” business casesSevere problemsTechnology fever
EmergingMarket
Formal, moresophisticatedjustifications
AMI
Industry Transforming to AMI, Industry Transforming to AMI,
Business Cases More SophisticatedBusiness Cases More Sophisticated
Some Major Driving ForcesSome Major Driving Forcesfor Water Utility AMI/AMRfor Water Utility AMI/AMR
• Cost control or reduction in areas traditionally labor intense areas
• Water loss reduction and revenue recovery
• Customer service issues
• Conservation
• Reading frequency versus perceived cost of water and wastewater bills
• Asset management – meters, distribution system
• Labor issues
• Management issues
• Technophilia; “meter envy”
Traditional AMR/AMI Benefit AreasTraditional AMR/AMI Benefit Areas
• Meter reading– On-cycle reads – labor, vehicles, supplies, equipment– Rereads– Off-cycle reads – finals
• Investigations– High consumption– Low consumption
• Customer service– Processing estimates, rereads– Handling reading anomalies– Handling customer complaints related to meter reading
• Credit adjustments over water waste, bill errors– Time to process– Revenues loss
• Tamper and theft reduction
Evolving AMI Feasibility StudiesEvolving AMI Feasibility Studies
• Enhanced applications – e.g., watchdog services
• Add-on technology – e.g., leak detectors
• Synergies – non-revenue water balance
• Risk analysis – technology and business
• Scenario analysis – deployment schedules, ownership and financing strategies
• Capture externalities – e.g., wastewater agency benefits
• Monetize intangibles – e.g., reduced traffic congestion, improved collections
AMR/AMI TermsAMR/AMI Terms
• AMR - automated collection of readings from customers’ meters to a remote central location
• Interval Metering - records usage on predetermined or remotely configurable time intervals
• Advanced Metering System - Records usage in time differentiated registers; other functions
• AMI – Advanced Metering Infrastructure – not just two way, using system for more than reads.
• Ancillary devices
– Actuators (e.g., shut-off valves)
– Sensors (e.g., leak detectors)
Meter
RepeaterComLink 1
ComLink 2
Hardware
ApplicationSoftware
CIS Host Controller
First Hop (“LAN”) Backhaul (“WAN”)
Receiver
Encoder
Transponder
MIUDataColl.Unit
OtherSystems
Components of an Advanced Components of an Advanced
Metering SystemMetering System
Other Sensor
EncoderTransponder
Intelligent CPU, Memory
Meter DataManagement
System(Database)
Actuator
Mobile (and Handheld) Radio AMRMobile (and Handheld) Radio AMR
• Relatively low cost
• Flexible deployment
• Provides high read success
rate
• Meter reader present
• Simple backhaul
• Advanced mobile units can
store data and alarms
• GPS, mapping software,
route management
• Successful installation
readily confirmed
Photo courtesy Datamatic
Photo courtesy Badger
Photo courtesy Itron
Copyright Datamatic
Fixed Network Radio AMIFixed Network Radio AMI• Redundant data collectors
• Multiple readings per day (no added cost), profiling capability
• Two way communication with MIU
• Easy aggregation of meter readings
• Tamper, leaks, etc., detected quickly
• Data management required!
• Collector siting– Each vendor’s DCU has different range, capacity
and unit cost
– Site candidates: tank tops, building roofs, power poles, antenna masts
– Access for maintenance
– Cost of acquiring or leasing sites
– Power supply (solar, street light, AC)
– Repeaters may be available if needed
Photo courtesyItron
Photo courtesyAclara
Photos courtesySensus
Mesh Network Architecture Extends Mesh Network Architecture Extends
the Reach of AMIthe Reach of AMI
MIU DCU
MIU
MIU
MIU
MIU
DCU
DCU
DCU
Control
ComputerReceiver
MIU
MIU
MIU MIU
MIU
MIU
MIUMIU
MIUMIU
MIU
MIU
“Modified” or “partial” Mesh Network
“Full”MeshNetwork
Backhaul Options, ConsiderationsBackhaul Options, Considerations
• Bandwidth (speed) needed for how long?
• Uplink versus downlink volumes
• Public carrier vs. utility/city-owned vs. AMI proprietary
• Cost (e.g., $20-100/mo per collector for cell)
• Connection to control computer
• Hardware connections
• Performance guarantees
• Cell: GPRS, GSM, CDPD (Cingular, T-Mobile) or CDMA (Verizon/Sprint)
• PCS
• Ethernet
• Wi-Fi
• Fiber
Photo courtesyBadger Meter
AMI Software AMI Software –– Meter Readings and Meter Readings and
Other Data, System ManagementOther Data, System Management
• On- and off-cycle reads
• Aggregation applications
• Meter, consumption database
• High and low alarms
• Standard and custom reports
• Queries
• System security, backup
• MIU communications• Meter tampering• Network collector alarms• Network collector
communications• Data discrepancies• Remaining battery life
Copyright Itron
Meter Database/Meter Data Meter Database/Meter Data
Management System ConsiderationsManagement System Considerations
• Far more than revenue cycle reads
• Multiple metering systems
• Provider options
• Utility (or 3rd party) builds it
• Acquired from MDMS provider
• Turnkey by AMI provider
• Integration with other systems
• Phases, timing of deployment
• Use for installation project control?
• Operation
• Applications development
• Maintenance & upgrade
• Reports, custom queries, data mining
• Migratability
DataData--Centric Characterization of AMI Centric Characterization of AMI
SystemsSystems• Frequency of meter sampling
(e.g., monthly, hourly)• Synchronized intervals vs. non-
synchronized• Frequency of data transmission
(e.g., daily, monthly)• Latency – time between read and
meter reading to get to accessible database
• Data granularity/resolution/precision
• Read success rate• Ancillary data (sensors)• Control capabilities (actuators)
New Technologies Expanding AMI New Technologies Expanding AMI
ApplicabilityApplicability
• Distribution system leak detection• Conservation• Backflow detection• Automatic shutoff• Sensors
Discussion: AMI Technology IssuesDiscussion: AMI Technology Issues
• What constitutes a smart meter? Where is the best
place for the “intelligence”?
• One-way or two-way?
• How do you evaluate additional features versus
additional cost?
• City-wide telecommunications system, e.g., Wi-Fi)
• What other field data do we want to collect?
• Others?
AMI Customer Service Improvement AMI Customer Service Improvement
ConsiderationsConsiderations• 1st-tier operational benefits
– Meter reading– Call center– Field service
• 2nd-tier operational benefits– Adjustments– Collections
• Utility-facing versuscustomer-facing– Tamper and theft– Backflow monitoring
• Enhanced services– Submetering– Self-service, customization– Watch dog services
Account Service Account Service Calls Reduced Calls Reduced ~60%~60%
Data courtesy Boston Water and Sewer Commission
0 5,000 10,000 15,000 20,000 25,000
Estimated Bills
High Consumption
Meter Problems
Liens/Sale Reads
Operations
General Billing
2005
2000
0 5,000 10,000 15,000 20,000 25,000 30,000 35,000
Sale Read
Special Read
Meter Test
Meter Invtgt/Rpr
ARB Only
ARB Repair
2005
2000
Meter Reading Meter Reading & Billing Work & Billing Work
Orders Reduced Orders Reduced ~80%~80%
Consumption Profile Shows Evidence Consumption Profile Shows Evidence of Possible Leakof Possible Leak
0
10
20
30
40
50
60
70
80
90
100
1 AM
2 AM
3 AM
4 AM
5 AM
6 AM
7 AM
8 AM
9 AM
10 A
M11
AM
12 P
M1
PM2
PM3
PM4
PM5
PM6
PM7
PM8
PM9
PM10
PM
11 P
M12
AM
Gal
lons
Irrigation
Leak
• First call resolution improved
• Questions about consumption addressed in real time
• Enhanced, detailed information
• Consistent policies and enforcement
• Proactive notification, “watchdog”
• Self-service and self-determination– Web-based services
– Selectable read date, billing frequency
– Optional pricing schedules, rates
• Additional services– Conservation audits
– Submetering
AMI Supports Enhanced Customer ServiceAMI Supports Enhanced Customer Service
AMR/AMIAMR/AMI--Based Water RecoveryBased Water Recovery
• Meter Registration
• Distribution System Leak Detection
MonitoringMonitoring
• Theft
• Backflow
Meter Age/Registration ChangeMeter Age/Registration Change• How long should meters be left in service?
• Function of: meter cost, installation cost, cost of water (&
WW), volume passed, inflation rates, discount rate, rate of
accuracy decline
• Most meters last a long time, only a few fail
(Data courtesy Kansas City Water Services Dept.)
y = -0.2654x + 101.15
0
20
40
60
80
100
0.00 5.00 10.00 15.00 20.00 25.00 30.00
Yrs in Service
Acc
urac
y
Meter Age/Registration ChangeMeter Age/Registration Change
• Select change interval to minimize total cost of lost
water and meter replacement
• If AMR/AMI, replace or retrofit?
• Where are these meters located?
• Is pattern/strategy repeated next time?
• Synchronization of future MIU replacement with
future meter replacement• MIU lasts 20 years, meter lasts 20 years?
• MIU lasts 13 years, meter lasts 25 years?
• MIU lasts 13 years, meter lasts 20 years?
Large Meter Replacement Doubled Large Meter Replacement Doubled Total RegistrationTotal Registration
Data courtesy San Diego Water Department0.0
50.0
100.0
150.0
200.0
250.0
300.0
350.0
1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35 37 39 41 43
Pre-Exchange Actual ADC
Post-Exchange ADC
Many Compound Meters Exhibit Many Compound Meters Exhibit Performance IssuesPerformance Issues
Compound Meters Ideally at 60% High and 40% Low
6" Compound Meters
0
10
20
30
40
Low Register"Dead"
>75% ThroughHigh Register
25-75% ThroughHigh Register
<25% ThroughHigh Register
High Register"Dead"
No.
of M
eter
s
Meter too large?
AMI Can Support Large AMI Can Support Large Meter ManagementMeter Management
• Right-sizing analysis
• Right-typing analysis
• Flow profile (depends on time interval)
-
5,000
10,000
15,000
20,000
25,000
30,000
3/2/2
009
3/3/2
009
3/4/2
009
3/5/2
009
3/6/2
009
3/7/2
009
3/8/2
009
3/9/2
009
3/10/
2009
3/11/
2009
3/12/
2009
3/13/
2009
low flow meter
high flow meter
-
5,000
10,000
15,000
20,000
25,000
30,000
3/2/2
009
3/3/2
009
3/4/2
009
3/5/2
009
3/6/2
009
3/7/2
009
3/8/2
009
3/9/2
009
3/10/
2009
3/11/
2009
3/12/
2009
3/13/
2009
low flow
high flow
AMI Can Help Track and Identify NonAMI Can Help Track and Identify Non--Revenue WaterRevenue Water
Controllable NRW constant level suggests source is leakage
Metered Usage
NRW
Supply to system
Variable NRW level suggests source is meter error or theft
Metered Usage
NRW
Supply to system
Using AMI for Distribution System Using AMI for Distribution System
Acoustic Leak Detection (ALD)Acoustic Leak Detection (ALD)
• Acoustic monitoring systems interface to AMI systems to provide routine leak detection– FCS Permalog attaches to valve nut in street, transmits
separately from meters
– Gutermann Zone Scan units attach to valve nut, transmitter housed in valve box. Developing potential remote correlation capability.
– Itron MLOG units attach to service line near meter
• Incorporated with fixed network, can go mobile
• Find small leaks sooner, when they are easier to repair
• Reduce crews or improve service level
ALD Vendors Provide Software to ALD Vendors Provide Software to
Interpret Data, Help Locate LeaksInterpret Data, Help Locate Leaks
Evaluating the Potential Benefits/Costs Evaluating the Potential Benefits/Costs
of AMIof AMI--Based ALDBased ALD• Significant leakage and non-revenue water?
– Minimal payback if there are few leaks to find
• What kind of leakage?– Acoustic monitoring best at finding hidden leakage
• How much are leaks costing?– Beneficial if your water is expensive and/or scarce.
• Staff/crews available to pinpoint, repair promptly?
MOBILE AMR/MLOG Reduction
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
0.0%
3.0%
6.0%
9.0%
12.0%
15.0%
18.0%
21.0%
24.0%
27.0%
30.0%
33.0%
36.0%
39.0%
42.0%
45.0%
48.0%
NRW change from MOBILE AMR
NRW change from FIXED NETWORK AMR
INCREMENTALINCREMENTAL Benefit/Cost of AMI Benefit/Cost of AMI Acoustic Leak DetectorsAcoustic Leak Detectors
•Additional costof digging up mains
•Additional cost ofmain and servicerepairs
•Improved reduction in risk/cost of major failures
•Unit repairs less costly
•Extended life of mains
•Better perception of system reliability
•Better understanding of replacement needs
Indirect CostsIndirect Benefits
•Sensors, installation
•Additional leak detection crews
•Ongoing sensor repair, replacement
•Computer, software
•Improved reduction in water losses
•Reduction in leak detection staffing and equipment or
Direct CostsDirect Benefits
X
Computing the Cost and Benefit of Computing the Cost and Benefit of
Acoustic Monitoring Acoustic Monitoring
leak noise correlator needed, computersupport equipment
minimal if done with AMR installationcost of installation
fixed feecost of software, training
dual port unit or separate MIUcost of transmitter upgrade
dependent of quantity and unitcost of units
CAPITAL COST
Computing the Cost and Computing the Cost and
Benefit of Acoustic Monitoring Benefit of Acoustic Monitoring
In Connellsville, marginal cost of “adding” 500 MLOG s to project was roughly $75,000 and costs about $6,000 per year to maintain, mon itor. Savings estimated at $180,000 per year. Changed pay back of full AMI system from 12 years to 2.5 years. ($1.90/ 1000 gallons)
OPERATING COST
maintenance cost mostly software maintenance
staff analysis of data perhaps 1 hour per week per 1000 units
field investigations correlation about 30 minutes per site
additional repairs per year offset by reduced cost per repair
OPERATING SAVINGS
reduction in NRW dependent on volume and cost of water
added system intelligence priceless
The Meter/AMR/AMI/Acoustic
Monitoring Relationship Maze
Meters Network AMI Acoustic Monitors
Itron MLOG
Permalog
Gutermann
Echologics
Neptune
Sensus
Itron
Datamatic
Aclara
Elster
Neptune
Sensus
Elster
Badger
Actaris
Badger
Metrotech
Arkion
Metron Farnier
KP Electronics
Hersey
Itron 2nd generation
AMI Can Help Detect Backflow at AMI Can Help Detect Backflow at CustomersCustomers’’ Premises Premises
• Research suggests that each month about 0.5-1.5% of customers have a backflow event.
• Backflow can indicate– Impacts of main breaks
– Customer tampering
– Operational difficulties
– Faulty backflow prevention devices
– Plumbing issues
– Illegal activity
35 day backflow mapLow level backflow
High level backflow
Isolated high level backflow
AMI Can Help Detect Tampering and AMI Can Help Detect Tampering and Theft of Service Theft of Service
• Different systems have different tamper measures– Cut wire
– Magnetic disruption
– Tilting
• Time stamping, frequent measurements identify time of activity, quantify of water unreported.
Meter registerremoved
Strong magnetsplaced on meter
Some AMI Vendors Now Offering Some AMI Vendors Now Offering Remote Shutoff ValvesRemote Shutoff Valves
• Can be operated by fixed
network and mobile AMI
• Potentially useful for
property transfers, vacation
properties, collections,
multiple feed customers.
• Open, closed and “trickle”
position
• Self-exercising
• Issues with installation,
regulations, cost.
AMR/AMIAMR/AMI--Based Conservation and Based Conservation and Demand ManagementDemand Management
• Conservation objectives and tools
• AMI enhancement of conservation tools
• Water budget
• Conservation business case element for AMI
Conservation ObjectivesConservation Objectives
• Short Term– Respond to drought conditions– Reduce peak demand– Temporary versus permanent
program
• Long Term– Meet mandates to reduce draw– Improve load factor (peak-to-
average ratio)– Sustain growth
PeakHour/FireFlow
MaxDay
BaseLoad
• Change demand
– Reduce peak hour demand
– Reduce maximum day
pumping
– Reduce seasonal peaks
– Reduce base
load
• Adjust Capital
Planning
Old Paradigm: Supply Management; Old Paradigm: Supply Management; New Paradigm: Demand ManagementNew Paradigm: Demand Management
Conservation ConcernsConservation Concerns
• Impact on revenues – neutrality
• Revenue unpredictability
• Opportunity for rate relief
• Fairness; allocating target reductions or “burdens”
• Managing rationing schemes
• Designing and managing water budget model
• Residual impact of short-term programs
• Can capital construction be deferred?
• Is there a capacity or resource constraint (marginal
cost of additional water)?
• Can purchased water or interbasin transfer issues be
minimized?
Conservation Tool HierarchyConservation Tool Hierarchy
• Education – water tips, generic data• Audit – inspection, surveys• Hardware – toilet dams, flow restrictors• Economic incentives – toilet or irrigation
controller rebates• Metering• Regulatory restrictions – wastage fines,
alternate day watering bans, • Rates – peak period surcharges, increasing
block structure• Water budget• Combinations
Conservation Program Effectiveness Conservation Program Effectiveness Affected by Several FactorsAffected by Several Factors
• Rate structure
• Reading and billing frequency
• Wastewater charges on bill
• General awareness
• Other existing programs
• History
• Demographics Photo courtesyDatamatic
How AMI Enhances Conservation ToolsHow AMI Enhances Conservation Tools
• Audit – provides profile data, diagnostics (e.g., leak)
• Hardware – shows before and after; feedback on
effectiveness
• Regulatory restrictions – supports monitoring and
enforcement
• Rates – enables time-sensitive rates; “sensitizes” price
elasticity of demand
• Water budget – provides use-to-date data, usage
comparisons
• Watchdog – flags leaks when they occur
• Theft and tampering – monitors
• Facilitates submetering
AMR/AMI
ReducedO&MCosts
(energy,chemicals)
ReducedCapitalCosts
ReducedRevenue
AMIAMI--Derived Conservation Derived Conservation Benefit/Cost ConstructBenefit/Cost Construct
ConsumptionProfile
RemoteMonitor
BillingHistory
ProactiveLeak or
High-UseNotification
Short-termCustomerResponse
IncreasedCustomer
Satisfaction
Long-termCustomerResponse
OtherConservation
Initiatives
RateRevision
Customer Interfaces Reflect a Customer Interfaces Reflect a Changed RelationshipChanged Relationship
HOME
Customer: Joe Smith
Address: 42 Elm St.Springfield
Acct. No.: 34083453
Your Bill Statement
Metropolitan Water Service
Your Water Budget
Review Your Customer Profile
Update Your Account
Irrigation Budget
Water Conservation Tips
Rainfall this Period 1.8”
Moisture Deficit: 2.3”
Recommended CCF 128
Contact Us:
0
5
10
15
20
25
Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
CC
F
Cohort
Budget
Actual
Merchandise
Framework for Evaluating AMS Framework for Evaluating AMS Impact on Conservation ProgramImpact on Conservation Program
IncrementalUnit Costof AMR
No. of AccountsDeployed
IncrementalUnit Water
Savings ImpactDue to AMR
ExistingPenetration
of ConservationMeasure
IncreasedPenetration
of conservationMeasure
Unit Waterand Wastewater
Costs
Combined Unit Water
Savings Impact
Water PlusOther Savings
DollarsSaved
TotalCost
Evaluation
SupportingCosts
ExistingUsers
NewUsers
Percent of costattributable to
feature
Unit Cost ofConservation
Measure
Total Costof Measure
Calculating the Benefits and Costs of Calculating the Benefits and Costs of AMI for ConservationAMI for Conservation
0
20
40
60
80
100
120
140
160
180
2010 2015 2020 2025
Milli
on G
allo
ns p
er D
ay
Avg Day
Max Day
Max Day w/AMI-BasedConservaton Program
Growth rate w/out AMI-based conservation
1 MGD/yr
Max Day reduction w/ AMI-based program
7.0%
Total CIP (4 years) $65M Interest rate 4.5% Pct of CIP attributable to Max Day
33%
Annual financing cost $975K No. years postponement
10
Net present value $7.8M Pct of saving attributable to AMI
50%
Savings attributable to AMI
$3.9M
Discussion: AMR/AMIDiscussion: AMR/AMI--Based Based Conservation and Demand ManagementConservation and Demand Management
• Can it be done? Can it be sustained?
• Is a business case analysis needed?
• What does it have to look like?
• Can AMI change the capital improvement plan?
• What does it take to make AMI-based conservation program enhancement work?
• Water budget – staffing, data capture and management, role of metering data, frequency of communication with customer
• What data do you need, and how do you manage it?
Read Success Rate Read Success Rate –– You DonYou Don’’t Get All t Get All
the Readsthe Reads
95%24 reads per dayHourly Read (profile)
98%1 read every dayDaily Read
99%1 read in 48 hour windowMonthly Read for Billing
SuccessCriteriaFunction
• The broader the criteria, the higher the success rate
• Limit the number of failures in any one area
• Cause of non-reads determined ex post facto
• “Quality” dimension of the application
• How much is enough??
• What’s the additional [full] cost??
AMR/AMI Applications Have AMR/AMI Applications Have
Varying Data RequirementsVarying Data Requirements• On-cycle and off-cycle (e.g., finals) meter reading• Leak, tamper and theft of service detection• “Soft” turn-off• Consumption profile• Time of use (e.g., seasonal or time of day) rates• Conservation monitoring and enforcement• High bill investigations• Watchdog services• Synchronized sub-metering• Non-revenue water; Inflow and Infiltration• Distribution system leak detection
Meter Transmitted Granularity Meter Transmitted Granularity
Versus Sampling FrequencyVersus Sampling Frequency• If transmitted increment is not several times less than
flow rate times sampling interval, get “sawtooth”
McKinley High School
0
50
100
150
200
250
300
350
11/14/0112:43 AM
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Date and Time
Ga
llons
pe
r M
inut
e
Ex: Meter resolution = 10 gallonsAverage flow rate = 6 gals/hrSampling interval = 1 hourResolution factor = 0.6 (6 “pulses”in 10 hrs)
Guidelines for leak detection:Hourly: 1 CF
Daily: 10 CF
Aux. CustomerInfo. (e.g., alarm
thresholds)
Meter ReadingDatabase
Meter DataMgt. System
Fro
nt E
nd
AMI
OtherMeter
ReadingSystem
LeakDetectors
MIUsAssetMgt.
System
Work OrderMgt. System
CustomerInformation
System
GeographicInformation
System
AMI System MaintenanceEndpoint Maintenance
Meter Mgt.System
RevenueProtection
DistributionOperations
CustomerPortal
Ad HocAnalyses
SCADA
WOs, investi-gations
Meter Asset Data
ConsumptionProfiles
Data collector, MIU &metercondition & alarms
Scheduled readsReal-time eventsAlarms
High/LowConsumptionAlerts
Soft DisconnectTamper Alerts
Meters
Integrating AMI Data Enables Integrating AMI Data Enables
SystemSystem--Wide BenefitsWide Benefits
Old role – utility asreactive doer
• Meter reading,
investigations, etc.
• Utility reacts to
customers’ needs
and complaints
• Relatively
undifferentiated
service
• Hands-off customer
relationships
New role – utility as
proactive thinker
� Analysis of
consumption
� Scanning for
anomalies
� Differentiated
service
� More intimate
customer
relationships
� Field audits
AMI Changes Organization and AMI Changes Organization and Nature of Customer ServiceNature of Customer Service
AMIAMI--Based Policy ChangesBased Policy Changes
• Turn-offs and turn-ons/“soft” versus hard disconnects• Final bills• Leak detection/adjustments• Submetering / deduct metering• Theft of service• Responsibility for vandalism• Others?
– Do policy adjustments require changes to charter? Regulatory commission approval?
– Timing: how long to change them, when do you start? Who works on this?
Organizational Needs with AMIOrganizational Needs with AMI
• Manual meter reading• Inspection interval (if any) for meters, settings• Collections with soft disconnect• Broad-banding office positions• Broad-banding field positions• Conservation programs• Consumption data analysts• Staffing to goal (e.g., projected call volume and
call times)
Operation and Maintenance Protocols Operation and Maintenance Protocols ––
Maintaining an AMI SystemMaintaining an AMI System• How quickly to respond to missed reads
• Ability to estimate; tolerance for estimates
• Who reads the meters (job descriptions)
• Physical inspections
• Tweaking mobile routes to maximize yield
• Audits, manual reads
• Preventive maintenance on network
• Monitoring noise, protecting the frequency
• Flags from system – nature and volume;first response
• Trend analysis
• Performance standards
AMI Implementation Planning AMI Implementation Planning
Organization Organization
ProjectManager
Steering Committee
Cus. Serv.Process/
Policy Team
IT/InterfaceTeam
MeterReading
Mgt. Team
CommunicationsTeam
AuditorLegal/
Purch. Reps.
ProjectControlTeam
Executive Sponsor
Core Team
Procurement and ImplementationProcurement and Implementation
• Risks and risk management• Role of the utility• Procurement strategies• Contract provisions
AMR/AMI Technology Risk ManagementAMR/AMI Technology Risk Management
• Technical obsolescence
• Lack of standards
• Lack of interoperability
• Application and third party software
• Battery life
• Excessive failure rates; system failures, product recalls
• Radio frequency incursion
• Programming errors
AMR/AMI Business Risk ManagementAMR/AMI Business Risk Management
• Long-term viability of vendors
• Lack of stakeholder (employee, customer, etc.)
buy-in
• Business case assumptions don’t hold
• Lack of ongoing system support and maintenance
• Failure to integrate AMR with other systems
• Failure to change processes, policies and practices
Procurement Process ObjectivesProcurement Process Objectives
• Best bang for the buck
• Optimum number of creative, tailored proposals
• Professionalism, integrity, level playing field
• Vendor commitments
• Risk mitigation
• Buy-in of project team
Vendors assess you – Proposals are costly
AMI Project MultiAMI Project Multi--FacetedFaceted——Affects Affects
Approach to ProcurementApproach to Procurement
• Proprietary electronic technologies (MIUs, DCUs)
• “Commodity” services (installation)
• Professional services (e.g., project management, call center management, production logistics, interface programming, public relations)
• Information technology (control system software, database management tools)
• Communication equipment (wireless modems) and services
• Commodity products (meters, lids)
Procurement StrategiesProcurement Strategies
• Purchasing components separately— utility
as “general contractor”
• “Turnkey” projects—one prime contractor
• Mixed procurement—vendor as utility’s agent
• Program manager
• Installation– Specialized contractors
– In-house
• Performance contracts
• RFQ vs. RFP
Contract/Scope of Work Components Contract/Scope of Work Components
• Operating performance
• Pricing protection
• Integration with existing IT systems
• Customer support
• Product and system warranties
• Bonding
• Acceptance Criteria
• Installation schedule
• Installation warranty
Contract/Scope of Work Components Contract/Scope of Work Components
(continued)(continued)
• Equipment delivery, inspection, warehousing
• Training
• Customer appointment scheduling and call center
• Project organization, staffing and contact info
• Customer contact and installation percentages
• Installation quality/Inspections
• Problem response times
• Data control
Discussion of AMR/AMI Discussion of AMR/AMI
Implementation ExperiencesImplementation Experiences
• Implementation Planning organization
• Implementation project team organization
• Managing product and service suppliers
• Equipment delivery, inspection and inventory
• Project installation control
• Installation procedures
• System acceptance testing
Coordination with Meter ReadingCoordination with Meter Reading
• Objectives– Manage displacement – smooth,
planned
– Minimize estimated bills
– Level batches to billing system
– Avoid erratic bills (e.g., low then high)
– Avoid process “crashes”
• Rerouting flexibility?
• Blackout window
• When to cut a route over
1a
1b
1a
1b
1c
2a
2b
3a
3b
2-PassScheme
3-PassScheme
Control System is Critical to Control System is Critical to
Successful Project ManagementSuccessful Project Management
• Ensure that all data concerning system components and their location is correct and accurately captured and transferred
• Ensure proper data in billing system
• Track all work orders and ensure they get closed
• Ensure contractors’ invoices are correct and promptly paid
• Enable project team to manage work
• Ensure confidence in system
• Ensure that system components are working when installed
Project Plan and Schedule Project Plan and Schedule Negotiated with Contractor(s)Negotiated with Contractor(s)
• Delivery, installation of AMI system control computer, software
• Acquisition of warehouse, personnel, vehicles, installation equipment
• Delivery of meters, MIUs, other end-point equipment
• Delivery and installation of data collection hardware and infrastructure
• Development and approval of all system deployment procedures and policies
• Pilot and acceptance testing
Closing RemarksClosing Remarks
Some Meter Interface Unit ConsiderationsSome Meter Interface Unit Considerations
• Access
• Mounting options
• Repeaters
• Battery Life– Lithium thionyl chloride
– Some coupled with capacitor
– Life affected by frequency of transmission, meter current requirements, temperatures
• The Value of Warranties
NeptuneIntegrated
R900
Master MeterUniversalAMR Adaptor
AMR/AMI Procurement and AMR/AMI Procurement and Implementation ConsiderationsImplementation Considerations
• Procuring and contracting
• AMI and Meter Management
• MIU placement and meter lids
• Deployment strategies
• Implementation planning
• Controlling and managing the installation
• System maintenance
Important RFP/Contract Important RFP/Contract ConsiderationsConsiderations
• Specific performance –“complete and working system”
• Pricing protection
• Bonding
• Life cycle costs
• Provisions that survive installation
• Relationship of the parties
• Defaults and cures
• Acceptance criteria
• Payment provisions
• Data ownership and management
• Co-marketing• Integration with existing
systems• Customer support,
response times• Upgrades• Protection from
obsolescence• Software licenses
Major Issues Major Issues –– AMI and ConservationAMI and Conservation
• Does conservation compel a more sophisticated metering system?
• Do you have to justify AMI if conservation is a major driver?
• Can conservation benefits be quantified, attributed or allocated to AMI?
• Can AMI help with any of the concerns about conservation programs?
• Liability concerns Photo courtesyBadger Meter
Example: Making Consumption Data Example: Making Consumption Data Available OnAvailable On--Line (EBMUD)Line (EBMUD)
Example: Evidence of a LeakExample: Evidence of a Leak
Example: Watchdog Services, East Bay Example: Watchdog Services, East Bay MUDMUD
Conservation Pricing Conservation Pricing –– California California ExampleExample
• AB2882 – Allocation-Based Water Conservation
Pricing– Must be based on metered water use
– Must be cost-based (including incremental operating and
capacity costs)
– “Basic use allocation” for individual customer (lot size, local
climate during billing period, etc.)
– Basic use volumetric charge
– Conservation charge – to curtail demand
– Overuse charge
• AB3030 – Automatic Adjustments
Water Budget ExampleWater Budget Example(Contra Costa Water District)(Contra Costa Water District)
Site Water Budget = (Actual ETo x Kl) - ER x Area /
IE x CF
Where:
Eto = Daily Reference Evapotranspiration
Kl = Landscape Coefficient (used to adjust ETo to monthly water
needs of turf and non-turf)
ER = Effective Rainfall (portion of usable daily rainfall)
Area = Square footage of turf and non-turf
IE = Irrigation Efficiency (increases water budget to account for
system inefficiencies.)
CF = Conversion factor to place result into a
HCF/time period
Water Budget ModelWater Budget Model
• Customer signs up, fills out online survey• Budget established• Leak and high consumption thresholds established• Automatic notification: out of range, over budget• Budget vs. actual vs. usage of similar customers• Closer to real time, not well after the fact
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5
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Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
CC
F
Cohort
Budget
Actual
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