SmartMeterTM Steering Committee Update - January 2011 · 2017-03-24 · Steering Committee Report January 2011 7 2010 Install Rate vs. Plan - Weekly Meter Totals 0 10,000 20,000 30,000

SmartMeterTM

Steering Committee Update - January 2011

2Steering Committee Report January 2011

Agenda

► Monthly Updates

► Release Status Update

► Deployment Status Update

► Schedule Update

► Deployment Update

► Budget Status – Expenditures by Workstream

► Budget Status – Benefits

► Issues / Risks Summary

► Program Metrics

► Appendix

► Project Deployment Plan Progress

► Contingency Reconciliation

► SmartMeterTM Acronyms


Release Status Update

Release I - Migrate NEMs and ABS Billed Accounts from ABS to CC&B.

Release J - Enable quicker outage notification & allow query of meter status.

Release K - Transition customers to interval billing to support SmartMeterTM initiatives.

Release O - Process improvement efforts in support of SmartMeter.

Release I

▪ Non-NEMS component is still on target for Business usage in March, 2011.

▪ Some functionality from the internal December deployment has been pushed to

the January deployment. This will not impact the March go-live.

Release J

▪ Transformer Loading Management (TLM) is in the Build stage. Completed

review of the test model. Test execution is scheduled to begin second half of

January.

▪ Outage Identification is in the Plan/Analyze stage.

Release K

▪ Working on estimates for Design, Build, Test and Deploy activities for Phase 1

service requests.

▪ Working on the scope of Phase 2 which focuses on process redesign. Target is

end of January to define scope.

Release O▪ Completed all Service Requests that Release O is budgeted to deliver. Closing

the project.

▪ Compiled PDM (PG&E Delivery Methodology) deliverables for loading into

EDMS (Electronic Document Management System).

Overall Actions/Status

*Funded Budget represents the amount of funding that has been approved through the "gated" funding

process. Projects that are noted as "Plan/Analyze" or "Analyze" are only partially funded through those

initial phases. Upon completion of the Analyze phase, the release team will prepare a request to authorize

the remaining amount required to complete the Release.

EAC Funded Budget* ITD Scope Schedule Resources Issues Risks

IT Releases (ITD)

Release I - Build/Deploy

Release J - Plan/Analyze

Release K – Plan

Release O - Build/Deploy


Release Status Update (continued)

Application Upgrades – Upgrade Meter Data Management System (MDMS)

Performance & Scalability - Ensure operation at necessary performance and scalability levels

HAN Alpha I & II - Pilot activities for customer-side messaging via HAN module

HAN Enablement - Deployment of In Home Devices (IHD) to SMB & residential customers over the (AMI) network

Overall▪ Multiple releases being worked on in parallel. Impacted elements include PTR,

PDP, MARA, NEMS, and Release K (interval billing).

Application Upgrades▪ CC&B and Senior Management need to review the new proposed Go Live Date

and weigh any risks to the CC&B upgrade. Decision is expected first week of January 2011.

▪ Additional funding was approved to complete the project.

Performance & Scalability▪ Focus is on scale test of MDMS with Head-end system (electric). It is

scheduled to complete in January 2011 depending on the availability of application environments.

HAN Alpha I & II▪ Project is complete and closed on 12/31/2010. Project scope was satisfied and

delivered on time and within budget.

HAN Enablement▪ Foundation work is planned for January 2011 as the Technology Innovation

Center (TIC) is working to finalize the plan.

Overall

▪ The Planning team continues to work on a SmartMeter™ Closure Plan intended

to communicate and ensure final scope with business stakeholders.

Overall Actions/Status

*Funded Budget represents the amount of funding that has been approved through the "gated" funding

process. Projects that are noted as "Plan/Analyze" or "Analyze" are only partially funded through those

initial phases. Upon completion of the Analyze phase, the release team will prepare a request to authorize

the remaining amount required to complete the Release.

EAC Funded Budget* ITD Scope Schedule Resources Issues Risks

IT Releases (ITD)

Application Upgrades - Execution

Performance & Scalability - Test

HAN Alpha I & II - Build

HAN Enablement - Plan

2010 Other Capital Projects

(IT PMO, 09 carryover, SM Apps, DC)

2010 Operating Expenses (CC&B, Stabilization)


Deployment Status Update

Budget

(Budget / CPI)

2010 Forecast

(2010 EAC / CPI)

Scope Schedule Resources Issues Risks

Deployment: (ITD)

Deployment: YTD - December, 2010

Endpoints (2010 YTD)

Gas Network (2010 YTD)

Electric Network (2010 YTD)

Endpoints

▪ Revised endpoint deployment plan that accounts for the implementation of

enhanced Customer and Community Outreach strategies will require changes to

resource assumptions and allocations

▪ Non-standard installations

Electric Network

▪ Remote area electric backhaul network

Endpoints

▪ Revising resource plan to match endpoint schedule, targeted completion mid-

January, 2011

▪ Development of non-standard deployment solutions and strategies progressing

▪ Defining urban customer access, non-standard installation and customer outreach

processes

Electric Network

▪ Pilot test for a satellite-based backhaul completed December, 2010 and

production solution availability expected in February, 2011

Actions/StatusChallenges


Schedule Update

2010

Jul Sep Oct Nov Dec FebJanMay Aug Apr Jun

As of 12/31/10

2010

Benefits

Apr JunMayMarIT Release Deployment

Release H

Release O

Field Delivery

Remaining Engineering Solutions for MLPP Scenarios

3.0M Meter/Module Installations, 2010

Baseline Milestone

Milestone Met

Forecasted Milestone (early)

Forecasted Milestone (delay)

Approved Milestone (delay)

Le

gen

d

Release I Selected ABS migration to CC&B

Release J

Performance & Scalability

HAN Alpha I & II

Alpha II complete

HAN Enablement Plan/Analyze complete

MLPP Cost/Benefit Analysis

Initial Network Deployed

350 Positions Captured

4 Phase-1 Office Closures

Additional Office Closures

2011

Meter Reading Reductions (ITD)450 Positions Captured

550 Positions Captured

Office Closures (2010)

Meter Power Status Check (MPSC) - Call Center and IVR

NEMS migration to CC&B (Q3, 2011)

Remote Connect

Disconnect 2 - TBD

Q3 DeployQ2 Deploy

UIQ 4.2 5M Silo Testing

Check Point- Enhanced Outage Notification (EON) Replacement / Transformer Loading Management (TLM)

9.7M Meters Scalability

Alpha I Pilot complete

2 Phase 1 Office

Closures Complete

EON On HoldTLM Plan complete

TLM Analyze complete


2010 Install Rate vs. Plan - Weekly Meter Totals

0

10,000

20,000

30,000

40,000

50,000

60,000

70,000

80,000

90,000

100,000

8-J

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22-J

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5-F

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19-F

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5-M

ar

19-M

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2-A

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16-A

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30-A

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14-M

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28-M

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11-J

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25-J

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9-J

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23-J

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6-A

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20-A

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3-S

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17-S

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1-O

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15-O

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29-O

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12-N

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26-N

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10-D

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24-D

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Week Ending (Friday) Dates

We

ek

ly I

ns

talls

.0M

.4M

.8M

1.2M

1.6M

2.0M

2.4M

2.8M

3.2M

2010 target (Rev. 13 prelim) : 3.0M

2010 Baseline Plan: 2.7MTotal SM Inception to

date meters in

service: 7,474,163

As of December 31, 2010 Deployment Update

Through

Friday,

12/31

2010 Baseline Plan, Cumulative

2010 Target, Cumulative

2010 Actuals, Cumulative

2010 Target, Weekly

2010 Actuals, Weekly

12/31/10 Actuals Target Variance

Rev. 13

Prelim. 3,096,327 3,000,000 96,327


2010 Budget Status – Expenditures by Workstream

Year-to-Date Variance Explanations:

Unfavorable year-to-date capital variance versus plan of $5.7 million (1%) primarily driven by:

1) fewer PG&E endpoint installation costs than planned ($37.0 million – Line #4)

2) more than offset by fewer early retirements of certain meters and modules than planned ($46.30 million – Line #3)

Favorable year-to-date expense variance of $5.4 million (4%) due to:

1) fewer early retirements of certain meters and modules than planned ($9.0 million and $5.5 million – Lines #16 and #18) and less HAN-related spending (Line #21)

2) offset by greater than planned spending requirements for PMO, SM Operation, Customer and Change Management (Lines #12, #13, #14, and #15)

# Workstream Plan Actuals Variance Plan Actuals Variance % Var. #

Capital (000s)

1 PMO 356$ 673$ (317)$ 4,267$ 7,186$ (2,919)$ -68% 46,329$ 1

2 SM Operations 288$ 277$ 11$ 3,455$ 3,158$ 297$ 9% 11,305$ 2

3 FD- Strategic Relationships 17,504$ 28,730$ (11,226)$ 340,057$ 386,358$ (46,301)$ -14% 1,088,373$ 3

4 FD Endpoint Installation 6,428$ 2,089$ 4,339$ 66,888$ 29,868$ 37,020$ 55% 74,231$ 4

5 Field Delivery Office 2,738$ 1,037$ 1,701$ 25,295$ 28,851$ (3,556)$ -14% 51,155$ 5

6 FD - Network Install 118$ 1,122$ (1,004)$ 4,192$ 6,652$ (2,460)$ -59% 28,254$ 6

7 Deployment Subtotal: 26,788$ 32,978$ (6,190)$ 436,433$ 451,729$ (15,297)$ -4% 1,242,014$ 7

8 Business Process 546$ (966)$ 1,512$ 10,924$ 54$ 10,870$ 100% 14,394$ 8

9 IT/CC&B 2,155$ 4,112$ (1,957)$ 47,951$ 46,648$ 1,303$ 3% 328,407$ 9

10 Technology Monitoring -$ -$ -$ -$ 3$ (3)$ 1,735$ 10

11 Capital Total: 30,132$ 37,073$ (6,940)$ 503,030$ 508,778$ (5,748)$ -1% 1,644,185$ 11

Expense (000s)

12 PMO 143$ 1,283$ (1,140)$ 1,715$ 7,741$ (6,026)$ -351% 24,816$ 12

13 SM Operations 1,729$ 2,678$ (949)$ 20,158$ 25,363$ (5,205)$ -26% 55,627$ 13

14 Customer 2,059$ 4,010$ (1,951)$ 28,877$ 36,735$ (7,859)$ -27% 68,667$ 14

15 Change Mgt Customer Impact 691$ 223$ 467$ 8,287$ 8,998$ (711)$ -9% 12,578$ 15

16 FD- Strategic Relationships 1,416$ 420$ 996$ 14,635$ 5,642$ 8,993$ 61% 49,484$ 16

17 FD Endpoint Installation -$ (25)$ 25$ 4$ 106$ (103)$ -2894% 746$ 17

18 Field Delivery Office 776$ 410$ 367$ 7,984$ 2,464$ 5,520$ 69% 16,782$ 18

19 Deployment Subtotal: 2,193$ 805$ 1,387$ 22,623$ 8,212$ 14,411$ 64% 67,012$ 19

20 Business Process -$ 103$ (103)$ -$ 307$ (307)$ 307$ 20

21 IT/CC&B 3,502$ 814$ 2,689$ 36,106$ 25,440$ 10,666$ 30% 109,248$ 21

22 Technology Monitoring 121$ 192$ (71)$ 1,841$ 1,432$ 409$ 22% 21,290$ 22

23 Expense Total: 10,437$ 10,108$ 330$ 119,607$ 114,230$ 5,377$ 4% 359,545$ 23

2,003,730$ 24

Current Month - December Year to Date - DecemberInception to

Date Spending


2010 Budget Status – Benefits

2007 2008 2009 Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec ITD Actual#

1 Activated Meter Benefits: 111$ 4,705$ 26,055$ 3,851$ 3,999$ 4,034$ 4,158$ 4,232$ 4,357$ 4,548$ 4,857$ 5,186$ 5,468$ 5,669$ 5,953$ 87,183$ 1

2 Mainframe License Benefits: 1,250$ 5,000$ 5,000$ 417$ 417$ 417$ 417$ 417$ 417$ 417$ 417$ 417$ 417$ 417$ 417$ 16,250$ 2

3 Total: 1,361$ 9,705$ 31,055$ 4,268$ 4,416$ 4,451$ 4,575$ 4,648$ 4,774$ 4,964$ 5,273$ 5,603$ 5,885$ 6,086$ 6,370$ 103,433$ 3

4 2010 Cumulative Actual + Forecast: 4,268$ 8,684$ 13,135$ 17,710$ 22,358$ 27,132$ 32,096$ 37,369$ 42,972$ 48,857$ 54,943$ 61,313$ 4

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Budgeted LOB Benefits:

5 Monthly 5,403$ 5,800$ 6,275$ 6,681$ 7,057$ 2,528$ 7,909$ 7,835$ 7,798$ 4,775$ 5,706$ 3,245$ 5

6 Cumulative 5,403$ 11,203$ 17,477$ 24,158$ 31,215$ 33,744$ 41,653$ 49,488$ 57,286$ 62,061$ 67,767$ 71,012$ 6

Actual / Current Forecast:

7 Monthly 4,448$ 4,756$ 5,040$ 5,156$ 5,242$ 5,533$ 5,568$ 5,921$ 6,253$ 6,719$ 7,124$ 7,259$ 7

8 Cumulative 4,448$ 9,204$ 14,244$ 19,400$ 24,642$ 30,174$ 35,742$ 41,664$ 47,916$ 54,635$ 61,759$ 69,018$ 8

9 YTD Variance (955)$ (1,999)$ (3,233)$ (4,758)$ (6,574)$ (3,569)$ (5,910)$ (7,824)$ (9,370)$ (7,426)$ (6,008)$ (1,994)$ 9

SmartMeter Balancing Account (SBA) Credits

Actual

#

2010 Line of Business (LOB) Expense Reductions, Budget vs. Actual and Current Forecast

($ in thousands)

($ in thousands)


Issues Summary

Target Resolution

Date

Issues Impact Status Summary

1/31/2011

Volume of deployed un-

transitioned meters to SM

Read status higher than

expected under 2010

base plan

Increased costs and negative

customer impact

Significant business process enhancements have been implemented and

have contributed to a 33% reduction in the percent of un-transitioned

meters against the number installed. Finalizing transition targets consistent

with 2011 deployment goals.

2/15/2011

Outreach strategies need

to be further refined for

customer specific

concerns

Increased costs, customer

change management

Enhanced customer outreach approaches in process of completion within

the larger deployment implementations - including San Francisco

deployment and Kern replacements.

2/28/2011

Increasing number of

installations affected by

access refusals

Increased costs, increase in

unable to complete (UTC) back-

log, customer change

management

Working plan to engage customers across multiple communication

channels to enhance customer understanding of SmartMeter journey and

benefits.


Risks Summary

#Created

OnP I Score

Prev.

ScoreRisks Impact Status Summary

Assoc.

Issue

1 5/15/2009 5 5 25 25 Non-standard Installations may

impact deployment cost and

schedule

Key drivers: Need customer

access to reach meter, meter

with space limitations and

customer overbuilds

Schedule and additional

costs

Cost impact estimated and integrated into the installations

and resource planning models. Deployment durations being

adjusted to mitigate the schedule impacts. Customer

outreach strategies being incorporated into field pilots and

deployment strategies prior to starting full scale deployment

to minimize customer impact

2 3/22/2010 4 4 16 12 Vendor SmartMeter products

cannot be delivered to meet the

deployment schedule.

Key drivers: Remaining vendor

development activities and

resources to complete

solutions, insufficient lead time

for procurement due to design

changes/schedule decisions.

Deployment slow/stand

down, resource planning

ability, and additional costs

Vendor solutions for non-standard deployment under

development, testing and review. Management of vendor

delivery timelines subject to ongoing joint project and vendor

leadership review. Focus on remaining deployment

dependencies being used to validate integration of vendor

product deliveries.

Finalization of network design/equipment mix to complete

network deployment in process with vendors.

3 4/4/2008 3 5 15 15 Business processes enabled by

new technology may not

perform as intended.

Key driver: Increased data

volume and validation,

underlying business processes.

Billing errors, customer

complaints, inability to meet

endpoint deployment goals.

Continuing to monitor technology performance and

identifying mitigations to resolve any identified technology

performance issues. Meter transition process checks

updated to include new integrated standards with Vendor for

validating Network design, meter connectivity and read

performance. Planning for Full –Deployment/Interval Billing

via functionality deployments and additional process

capability initiatives through 2011 underway.

Vendor delivered two critical hardware components, the

MPACK external meter antenna, and the satellite backhaul

Access Point in Dec 2010.

4 6/25/2008 3 4 12 12 Project costs may exceed

approved CPUC authorized

amount at completion (including

contingency)

Costs at completion exceed

CPUC approved amount

Detailed review of work stream forecasts complete.

Executive review of completed analysis scheduled to

complete in early 2011.


Program MetricsVariance Analysis

Metric Key Performance Indicator Actual Target Var Actual Target Var Actual Target Var Forecast Target Var

P1SM Earnings Contribution ($M -

estimated)5.74$ 5.90$ -2.8% 56.07$ 55.41$ 1.2% 62.28$ 61.48$ 1.3%

P2 OSHA Recordables (SmartMeter) - - - - 1.0 1.0 1.0 1.0 One OSHA in Feb '10, YTD actuals rate = 0.56

P3 MVI Recordables (SmartMeter) - - - - 2.0 3.0 2.0 3.0

C1Customers enrolled in SmartRate

(net)24,466 (track only) 24,242 (track only) 24,242 (track only) 24,242 (track only)

C10Customer Complaint Rate (escalated

to CPUC)0.031% (track only) 0.028% (track only) 0.053% (track only)

D1Meters Installed - Electric & Gas

(Rev. 13 prelim)169,782 188,688 -10.0% 199,505 162,587 22.7% 3,096,327 3,000,000 3.2% 3,096,327 3,000,000 3.2%

2010 target revised in mid-December to reflect impact of enhanced

outreach activities.

D2 DCUs Installed 119 51 133.3% 18 - 1,045 981 6.5% 1,045 981 6.5%

D3Electric Network - Nodes Installed

(including MV90)742 434 71.0% 380 138 175.4% 4,682 4,294 9.0% 4,682 4,294 9.0%

D5 UTC Rate 8.2% 4.5% -82.2% 7.9% 4.5% -75.5% 6.4% 4.5% -41.9% 6.4% 4.5% -41.9% Increase in Access issues (see issues).

D7 UTCs open beyond 90 days 118,293 (track only) 134,896 (track only) 134,896 (track only)

D8CPI - Endpoints (direct labor & other

costs in 2010)*$35.78 $39.39 9.2% $32.01 $39.39 18.7% $31.02 $39.39 21.2% $31.02 $39.39 21.2%

D12CPI Gas Network (direct labor & other

costs in 2010)*$1,229 $1,604 23.4% $11,631 $1,604 -625.1% $1,763 $1,604 -9.9% $1,763 $1,604 -9.9% Year end accrual for Network Acquisition Rights

D13CPI Electric Network (direct labor &

other costs in 2010)*$634 $1,011 37.3% $2,403 $1,011 -137.7% $1,193 $1,011 -18.0% $1,011 $1,011 0.0% Year end accrual for install costs & misc material purchases

D14Total Weeks of Inventory on Hand -

Electric Meters18 6 199.7% 22 6 273.2% 22 6 273.2% 22 6 273.2%

D15Total Weeks of Inventory on Hand -

Gas Meters23 6 290.3% 20 6 231.4% 20 6 231.4% 20 6 231.4%

O4 Transition Aging - Average Days 118.2 (track only) 118.9 (track only) 107.5 (track only)

O5 SM Billing accuracy % (SA) 99.89% 99.70% 0.2% 99.90% 99.70% 0.2% 99.88% 99.70% 0.2% 99.88% 99.88% 0.0%

O6 SM Billing timeliness % (SA) 99.87% 99.60% 0.3% 99.86% 99.60% 0.3% 99.85% 99.60% 0.3% 99.85% 99.85% 0.0%

O7 SM % Bills not estimated (BSEGs) 99.94% 99.70% 0.2% 99.94% 99.70% 0.2% 99.90% 99.70% 0.2% 99.70% 99.70% 0.0%

B2Meters Activated - Electric & Gas

(end of month)198,530 (track only) 167,120 (track only) 1,503,775 (track only)

B3Count of All Remote Disconnects &

Reconnects25,628 (track only) 24,321 (track only) 230,542 (track only) 230,542 (track only)

B5 ITD Meter Reading HC reductions 452 (track only) 461 (track only) 461 (track only) 461 (track only)

2010 Year End ForecastYTDNov '10 - Month Results Dec '10 - Month Results


Appendix

► Combined Plan / Target / Actual Progress

► Contingency Reconciliation

► SmartMeter™ Acronyms


Project Deployment Plan Progress

Combined Gas and Electric Plan, Target, and Actuals

(Cumulative)

0

1,000

2,000

3,000

4,000

5,000

6,000

7,000

8,000

9,000

10,000

11,000

EOY

2007

Q108 Q208 Q308 EOY

2008

Q109 Q209 Q309 EOY

2009

Q110 Q210 Q310 EOY

2010

Q111 Q211 Q311 EOY

2011

Q112 Q212 EOY

2012

Plan Target Actual# in Thousands


Contingency Reconciliation

SmartMeter Contingency Reconciliation $000s

1. Business Case Approved Contingency $177,753

Total PDRs Adopted by Steering Committee $2,856

Subtotal Adopted PDR's $2,856

Approved Date 2. Approved Project Decision Request (PDRs) - Pending Contingency Drawdown

2007 2007 PDR Total $103,473

2008 2008 PDR Total $32,240

2009 2009 PDR Total $20,313

7/23/2010 Change Management interim funding $8,871

7/23/2010 SmartMeter Operations interim funding $10,000

Subtotal PDRs $174,897

Total Approved PDRs $177,753


SmartMeterTM Acronyms

Acronym Definition Acronym Definition

ABS Advanced Billing System MARA My Account Re-Architecture

AFCI Arc Fault Circuit Interrupter MDMS Meter Data Management System

AMI Advanced Metering Infrastructure MLPP Meter Location Problem Project

AP Access Point MPSC Meter Power Status Check

Apps Applications MV-90 Multi Vendor - 90

ASM Automated Storage Management MVI Motor Vehicle Incidents

BDG Business Development Group NEMS Net Energy Metering Services

CC&B Customer Care and Billing NIC Network Interface Card

CEDSA Centralized Electric Distribution System Assets OIR Order Instituting Rulemaking

CoE Center of Excellence OIS Outage Information System

CPI Cost Per Install OMT Outage Management Tools

CPUC California Public Utilities Commission Ops Operations

DART Distribution Asset Reconciliation Tool OSHA Occupational Safety and Health Administration

DC Data Center PCR Project Change Request

DCU Data Collector Unit PCT Programmable Communicating Thermostat

DR Disaster Recovery PDP Peak Day Pricing

DRA Division of Ratepayer Advocates PDR Project Decision Request

DSCI Distribution Control Systems, Inc. PE Perfomance Engineering Company

EA Ecologic Analytics PMO Project Management Office

EAC Estimate at Completion PTR Peak Time Rebate

ED Energy Division QBR Quarterly Business Review

EMR Electric Meter Reader RCDC2 Remote Disconnect Phase 2

EMT Electric Meter Technician Rev. Revision

EOM End-of-Month RF Radio Frequency

EON Emergency Outage Notification RFA Request For Authorization

EOY End Of Year RV Restoration Validation

FA Functional Area SBA SmartMeter Balancing Accounts

FD Field Delivery SM SmartMeter

GE General Electric Co. SM Apps SmartMeter Applications

GFI Ground Fault Interrupter SMU SmartMeter Upgrade

HAN Home Area Network SR Service Request

HC Head Count TBD To Be Determined

IHD In-Home Devices TechArch Technical Architechture

ISTS Information Systems and Technology Services TIC Technology Innovation Center

IT Information Technology TLM Transformer Load Management

ITD Inception To Date TOU Time Of Use

IVR Interactive Voice Response UIQ Utility IQ - SSN software

KC Knowledge Center UTC Unable To Complete (meter installation)

KVAR Kilo-Volts-Amps Reactive YTD Year-To-Date

LOB Line of Business

SmartMeter Acronyms

Documents

SmartMeterTM Steering Committee Update - January 2011 · 2017-03-24 · Steering Committee Report January 2011 7 2010 Install Rate vs. Plan - Weekly Meter Totals 0 10,000 20,000 30,000