InovGrid Project. Beyond smart metering... Amesterdam, October 9 th 2012

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1 InovGrid Project. Beyond smart metering... Amesterdam, October 9 th

2 EDP From a local electricity incumbent to a global energy player with a strong presence in Europe, Brazil and considerable investments in USA #1 World leader Electric Sector in Dow Jones Sustainability Indexes #3 World wind energy company #1 Europe hydro project (+3,5 GW in development) #1 Portuguese industrial group USA/ Ca na da 260 Employees 3422 Installed Capacity (MW) 9330 Net Generation (GWh) 100% Generation from renewable sources 3,422 Installed C apacity (M W )* 9,330 N et G eneration (G W h) 100% G eneration from renew able sources** Bra zil 2,635 Em ployees 2635 Employees 2,831,651 Electricity C ustom ers Electricity Customers 1,874 Installed C apacity (M W )* 1874 Installed Capacity (MW) 8,043 N et G eneration W h) 8043 Net Generation (GWh) 100% G eneration from able sources** 100% Generation from renewable sources 24,544 D istribution W h) Electricity Distribution (GWh) USA Canada Portugal Brazil UK Spain Angola Port uga l France Belgium Italy 7, Employees Electricity Customers 271,5 576 GGas a s Customers C u 10, Installed Capacity C a p a (MW) W )* ,3 6 4 NNet Generation era (GWh) W h ) 51% Generation from renewable sources 46,508 Electricity Distribution D (GWh) W h ) 7, Gas G a s Distribution D u tion (GWh) W h ) 6,053,509 Electricity C ustom ers Poland Romania 51% G eneration from renew able sources** It a ly 14 Employees 14 Em ployees 34 Em ployees China 中国 Fra nce/ Belgium 34 Employees 363 Installed Capacity (MW) 705 Net Generation (GWh) 100% Generation from renewable sources 363 Installed C apacity (M W )* 705 N et G eneration (G W h) 100% G eneration from renew able sources** Spa in Unit ed Kingdom 21 Em ployees 21 Employees Poland/Romania 51 Em ployees 51 Employees 475 Installed C apacity (M W )* 475 Installed 621 N et GCapacity eneration (MW) (G W h) 621 Net Generation (GWh) 100% Generation from renewable sources 100% G eneration from renew able sources** 2,038 Em ployees 2038 Employees 1,015,543 Electricity C ers Electricity Customers 7,8 6 0 G a s C u ers Gas Customers 6,0 8 7 In sta lled C a p a city (M W )* 6087 Installed Capacity (MW) 15,3 3 1 N et G en era tion (G W h ) Net Generation (GWh) 37% Generation from renewable sources 9,517 Electricity D istribution (G W h ) Electricity Distribution (GWh) 4 8,4 4 7 G a s D istrib u tion (G W h ) Gas Distribution (GWh) 37% G eneration from renew able sources**

3 Évora InovCity in short The city of Évora is a Unesco World Heritage Site 1. Évora municipality: inhabitants km 2 of area (urban and rural) 2. The project includes: 30k EDP Boxes and 341 DTCs Integration of IT systems Communications infrastructures New services and products 3. Involvement of the major players of the municipality 4. Coordination with the national electric vehicle charging network Évora InovCity has the dimension, the network diversity, the customers and the context to support a thorough evaluation of the solution

4 Sociological studies allowed us to understand clients expectations about feedback on energy efficiency and satisfaction with EDP Box installation Client Interest on New Services related with Energy Efficiency: 6,7 7,0 7,3 5,8 6,0 5,8 6,2 5,4 2,5 In general, Clients showed a great interest for the new services InovGrid infrastructure will allow Alert when Consumption varies more than xx% Alerts Displays Information Tariffs Alert about "Contracted Power" Suggestion about ideal Tariff plan Display instalation Display Alerts Software with information Consumption Segmentation Tariff Intelligent system connected with Smart meter Pre-paid Tariff Pre-payment was considered the least interesting functionality by consumers, but it can be relevant for suppliers and vendors to decrease fraud and bad collects Evaluation of Client Satisfaction with EB installation process: ,1 3,5 Commercial Clients Domestic Clients Global Source: Estudo da Adesão das Comunidade Locais à Energy Box no Contexto do Projecto Évora InovCity, ISCTE-IUL (Sociological Study on Local Community relating Energy Box perception) 3,4 Installation process was well perceived and evaluated by clients (above average) Appropriate training to the installations teams was a critical factor of success

5 Information complexity Efficient behavior triggered by making available information about consumption habits and by introducing price incentives Tariff simulation ~300 Clients Invoice simulation for new tariffs: Time-of-Use tariff Target consumption level tariff Consumption intervals tariff 1d 2d 3d 4d 5d 6d Indirect feedback (after consumption) ~1.000 Clients Alerts / Messages by sms and/or with information regarding: Level of consumption Power usage against historic Hours with highest consumption Direct feedback (real-time) ~1.000 Clients In-home Displays with real-time connection to the EDP Box Smart plugs to manage electronic equipments Web-portal

6 The 3.9% Efficiency Consumption gain obtained in InovCity is aligned with several international studies Montemor GCMTN Control Group (#0,8k) No Feedback : Only EB installation Customers without any information about the study and InovGrid Évora 3,9 % GCE Control Group (#30k) Indirect Feedback (InovCity Effect): Info about how to use the EB Real consumption invoicing InovCity initiatives EDPOnline Web access GTE Test Group (#1,4k) Direct Feedback : Sms and Consumption reports Simulated Tariffs Prices In-home displays 3.9% Efficiency Consumption gain (*) InovGrid business case assumed only 2% reduction Strong InovCity Effect (indirect feedback) Reference: Ehrhardt-Martines et al, 2010, Rigorous methodology and scientific approach The results of the Study are aligned with several other international Projects; Results can be scientifically certified by Qmetrics, company specialized in market research, that worked together with 2 Professors & Researchers from Universidade Nova de Lisboa (UNL) Direct Feedback results still under consolidation * daily average GCE vs GCMTN 95% confidence interval with 2.1% error

7 00:15 01:45 03:15 04:45 06:15 07:45 09:15 10:45 12:15 13:45 15:15 16:45 18:15 19:45 21:15 22:45 Significant energy efficiency gains with high consumption LV customers in Évora Main Conclusions Data coming from EDP, particularly the visual information, has been extremely useful and interesting for all the Museum team There was a major concern of involving all the 17 people that work here, and making them aware of the energy consumption reduction topic We started by solving the night problem, ( ) we chose to switch on the lights step by step, instead of all at the same time, when we needed to walk around the museum at night. Natural light in the building was maximized in order to reduce consumption Small reductions in consumption altogether have a large impact in the monthly bill for high consumption LV customers Close interaction with consumers (in particular the facilities manager) is key to ensure effective consumption reduction, as only 11% of them accessed the online web service Energy efficiency gains between 6% and 24%, in high consumption LV consumers. kw 50 0 Évora Museum Horas Média das 4ª feiras Maio Média das 4ª feiras Outubro ~ 16%

8 Lessons Learned... Focus on value creation for customer, involving local stakeholders active participation Develop Évora the 1 st Iberian InovCity, as a project commercially tested futureproof solution... Selected by EC/JRC/Eurelectric as the single case study for assessment of smart grid projects in Europe and winner Utility of the Year Award 2012 Aligned with EDP s Smart Grid Thinking and the world smart grids trends as a reference in the Sector Promoting international partnerships for smart grid new solutions...

9 InovCity Évora, Portugal - You are invited! Visit us at:

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