WEF Digital Transformation Initiative 2016. 2nd India-Canada... · 2017-08-03 · Data monetization ... Customer Engagement Personalized Energy Management Advice Advice on how to

Shalabh Srivastava

Analytics Opportunities for the Indian Utility

8th March 2107

India Smart Grid Week

Principal Director

WEF – Digital Transformation Initiative 2016

The electricity industry: uncovering value through digital transformation

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Indicative and for discussion purpose only

Context @ WEF

World Economic Forum

Fourth Industrial Revolution

Global Challenge Initiative: Future of the Internet

Digital Transformation Initiative

Electricity Industry

2Indicative and for discussion purpose only

Global Trends in Electricity Industry

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Decarbonization

Decentralization

Intelligent Enterprise

75% of global energy supply currently is non-renewable Energy sector represents 2/3 of global GHG emissions CO2 emission from energy rose from 16 to 32 Bn tonnes

from 1973 to 2012*Shift to

renewables

*Source: IEA

Rapid technological development is making accelerating distributed generation + energy storage solutions

Consumption is growing @ 3.3% CAGR globally, while decentralized energy @ 40% faster

Machines are becoming smarter Software is being embedded M2M communication is spreading Big Data + Advance Analytics Smart Data Cost of cloud computing is falling

Customer Centricity

Mass personalization of services Multi channel customer engagement Beyond the electron

Focus on Analytics led

business transformation


Digital themes and initiatives

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GenerationMarket Operational Trading

Transmission DistributionSmart Meters

Asset Lifecycle Management

Grid Optimization &

Aggregation

Integrated Customer Services

Beyond the electron

Smart Home / Building

Asset Performance ManagementDigital field workerSmart Asset Planning

Energy Aggregation Platforms

Real time supply and demand platforms

Real time network controls

Connected & Inter-operable devices

Energy Storage Integration

Energy management

Digital customer model

Energy solution integration

Smart city related servicesEnergy efficiency servicesSecurity & convenience products


Digital Theme #1.Asset life cycle management

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Optimize asset life cycles: from generation to distribution

Asset Performance Management

Digital field worker

Smart Asset Planning

“A marginal improvement in the operating efficiency of generation, transformers or power lines will have an exponential effect once scaled across the industry.”

Digital Initiatives

Increased asset life

Improved productivity

Optimized site selection for renewables

Potential Value to be Unlocked

Condition monitoring, Predictive Forecasting, and Reliability-centred Maintenance… enabled by analytics and robotics

Electronic work packages across end-to-end work cycle..

Improving performance of Planners, Schedulers, Field Workers, Data Entry & Reporting operators

Predictive analytics, machine learning, robotics Renewable generation forecasting


Digital Theme #2.Grid Optimization and Aggregation

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Build a more flexible and resilient electricity grid


Real time supply & demand platform


Digital Initiatives

Real-time optimization

Demand aggregation

System flexibility

Loss Reduction

Real-time pricing


Bring small distributed renewables on to a single platform as a virtual power plant

Monitor & communicate current load supply and demand, paired with a discriminatory pricing framework

Enable real time adjustments to changing loads

Connected and inter-operable devices

Network Devices: Seamless connectivity to the Grid

Consumer Devices: Smart Car, Electrical Appliances, Wearables, Phones, Smart Home / Building, Smart Cities


Digital Theme #3.Integrated customer services

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Reinvent customer service through digital innovation

Energy Storage Integration

Energy Solution Integration

Energy Management

Digital Initiatives

Transparency between Utility and customer / citizen

Enhanced customer experience


Integrate energy storage devices into the Grid..

..Including storage at domestic level

Digital Customer Model

Branded solution providers help customers optimize energy production and use

Energy information display and control empower prosumers to manage generation, consumption and storage

Customer interacts through web, phone, social media, et al


Digital Theme #4.Beyond the electron

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Enable Utilities to enter non-energy services

Smart City related services

Energy efficiency services

Digital Initiatives

Data monetization

Gateway to other services


Fully integrated citizen services, such as transport, waste management, etc.

For which, DISCOM can provide the anchor platform to build all non-energy services

Security & Convenience Products

Enable Industrial Services such as power management, energy optimization, safety, lighting, etc.

Smart Home / Building, enriched by sensors based connected devices and real time analytics


Success Stories : Select Examples

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Asset Performance Management

Digital field worker

Smart Asset Planning

Digital Initiatives

Ausgrid, Australia, deployed IT solution for field data collection, across its distribution operations covering 250 power stations, 500,000 poles, 30,000 small substations, 50,000 km cable network (OH + UG) ~72% improvement in productivity was recorded.1

1. Avoka Technologies; 2. PVMapper.org

US DOE’s Sunshot programme has made multiple mapping applications open-source to assist in siting decisions; they factor inter alia site location, time zone, sun path, nearby weather station data, etc. to optimize site selection for solar plants.2

75% breakdowns eliminated by energy companies through predictive maintenance: US DOE

Success Stories


Success Stories : Select Examples cont’d

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Real time supply & demand platform


Digital InitiativesNext Kraftwerke, Germany, launched a Virtual Power Plant in 2009 based on distributed generation capacity, with a central platform managed by a control room in Cologne. By 2013, it aggregated 1GW of capacity from 2,400 installations and traded 2,500 MU – mostly from biogas, biomass, combined heat & power plants.

Success Stories

Reposit Power, Australia, enables consumers to sell back electricity to the grid by placing bids back into the market, thereby turning residential properties into micro power plants.

Nordic Power Market, (Denmark, Sweden, Norway, Finland), trade electricity through aggregation at scale across 4 country borders; day-ahead scheduling with minute-wise generation & consumption data for each country enables real time coordination in operations.


More Examples: Use of Smart Meter Data


AMI analytics (A US example)

Estimated potential value of applied analytics could approach $40 to $70 per electric meter per year:

Total net benefit 100% = $64.1 per meter per year


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1. Improve the Customer Experience

Initiative Description Example(s)

Customer Engagement

Personalized EnergyManagement Advice

Advice on how to manage and reduce energy bill based on usage. Can be delivered though digital.

PG&E

Enhanced Bill Presentment

Bill redesign to incorporate detailed usage information, comparisons, and personalized tips

British Gas

MarketingLeveraging Real-time Usage

Campaigns designed to use real-time usage information to engage customers

VestforbrændingSDG&E

Digital Capabilities

Usage Visualizations & Comparisons

Digital (portal and app) capabilities to view energy usage, compare to others and overlay data

AGL, BC Hydro


Usage Based Alerts & Notifications

Notifications customers can sign-up for or are automatically sent based on usage / bill forecast

Alabama Power, SouthernComp.

Community Based Energy Management Platform

Energy management platform leveraging real-time data designed for use by groups or communities with energy insights for the group / community

Toshiba

Smart Tariffs & Billing

Time of Use TariffOptions

Tariffs that change based on time of day (e.g. free evenings & Saturdays)

ReliantEnergy

Tariff Comparison Based on Usage

Tools to allow comparison of different tariffs based on past usage

Centerpoint

Customized Billing Periods

Ability for customer to select their preferred bill date or to request a bill on demand

NV Energy, SDG&E



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2. Optimize Revenue

Initiative Description Example

Connected Home Services

Use real-time data to help enable connected home services and in-home devices

British Gas, ComEd

Smart Building Services (Small businesses)

Use real-time data to help enable connected building services and energy management

Green Mountain

Product Recommendations

Leverage usage data and customer insights to suggest additional products to customers

AGL

Demand Management

Energy Demand Management Programs

Use smart meter to enable programsto manage peak usage (e.g. peak pricing, AC control)

ConEd, So.Cal. Edison

Third Party Data Integration & Sharing

Create API to enable sharing of smart meter data or usage insights with third parties

SDG&E, PPL

Third Party Promotions & Advertising

Leverage usage insights to provide a platform to advertise to customers on behalf of third parties

AGL


Customer Insight

Load Disaggregation & Analytics

Analytics that break down customersusage to see what devices and appliances are using electricity

Bidgely

EnhancedCustomer Segmentation

Improve customer segmentation with insights on usage and lifestyle from smart meter data

PG&E

Next Best Action Leverage usage information and segmentation to enable intelligent recommended actions for call center and in digital channels

AGL

Value Added Products

Digital Pre-payment Offerings

Develop digital pre-payment offering that allows customers to top-up in digital channels

Powershop, E.ON

Energy Audit Leverage smart meter data to do energy audits on customers and provide recommendations

BGE Home



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3. Increase Operational Efficiency


Commercial Loss Reduction

Automate Customer Connections, Disconnections & Investigation Requests

Automate the process to connect, disconnect or re-connect customers electricity service. Initiate investigation requests to the network company if there are anomalies in usage.

BC Hydro

Theft Analytics Analytics to analyze energy usage and identify customers who may have tampered with the meter or be stealing power. This could be offered as a service to the network company.

Florida Power & Light

Outage Management and O&M Optimization

Outage Notifications & Alerts

Send customer notifications proactively when electricity is out and provide alerts on restoration time and status updates. May be offered by network company rather than the retailer.

Center point, ComEd



NetworkOptimization

Degrees of control/influence on network costs (TUoS, DUoS, etc.) with Grid relationship

PG&E

WorkforceOptimization

Efficient use of workforce for outage management and fault repairs with the help of integrated system

ComEd

Optimized Demand Forecasting

Use smart meter data and analytics to optimize demand forecasting and energy trading strategies

RepositPower, AGL

Relevance & Applicability to Indian Utility


1. What may not apply to India2. What additional factors would apply specifically to India

3. What is commonly applicable across India and developed countries



1. What may not apply to India

ꭕ Manpower Cost Reduction

ꭕ Headcount Reduction / Job Loss



2. What additional factors would apply specifically to India

Commercial Loss Reduction

Push customers towards cashless bill payments

Large scale of deployment




Open Access Separation of carriage & content Retail Competition

CERC : Penalty on variance between scheduled and actual renewable generation

Net Metering Full scale prosumer / aggregator based market

Electric Vehicles Full scale charging infrastructure, tariff policy, TOU incentives

Falling price of renewables + storage + computing = Potent mix for explosive growth

Focus on Energy Efficiency LED + PAT

Not if, but when




Smart City

Smart Buildings / Campus / Township

Connected Citizen

Digitalized Infrastructure & Facilities

DISCOMs are the best “incumbent” to anchor Smart City initiative, as it already has readymade database of all premises, all households and all organisations in a city.

Unlike TELCOs in the developed countries, in India, it is DISCOMs who should own and drive the smart city initiative, in collaboration with Urban Local Bodies, and other authorities like UIDAI.

Cont’d

Concluding Thought


BC (Before Cloud Computing)

Gold In Gold Out

AD (After Digitalization)

Garbage In Garbage Out

Gold In Nothing Out

Silver In Gold Out

Analytics of Business-as-Usual caliber

Advanced Analytics

THANK YOU

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Contact: [email protected]

Acknowledgement: All people and organisations involved with WEF-DTI initiative, referred to in detail at digital.weforum.org

mailto:[email protected]

Documents

WEF Digital Transformation Initiative 2016. 2nd India-Canada... · 2017-08-03 · Data monetization ... Customer Engagement Personalized Energy Management Advice Advice on how to