MINUTES OF SMART GRID WORKSHOP HELD ON THURSDAY, 12 TH APRIL 2012 AT SANEDI, 152 ANN CRESENT, STRAHAVEN, SANDTON

Transcription

1 MINUTES OF SMART GRID WORKSHOP HELD ON THURSDAY, 12 TH APRIL 2012 AT SANEDI, 152 ANN CRESENT, STRAHAVEN, SANDTON PRESENT IN ATTENDANCE: Mr Isaac Chauke Mr Ndivluwo Lithole Mr Pheneas Tlabela Mr Phuti Mabotja Mr Costas Angelides Mr Michael Rhode Mr Hannes Roos Mr Sandile Maphumulo Mr Amal Khathri Mr Comfort Masike Mr Phillip Groenewald Mr Prathaban Moodley Mr G Booysen Mr Kevin Nassiep Dr Minnesh Bipath Dr Willie de Beer City of Tshwane City of Tshwane City of Tshwane City of Tshwane Department of Energy Drakenstein Municipality and AMEU Ekurhuleni ethekwini (Durban Electricity) Eskom Eskom Eskom Eskom SALGA SANEDI SANEDI (Chairman) SANEDI Secretariat: Dr Willie de Beer SANEDI APOLOGIES Mr Peter Fowles AMEU Mr Marius v.d Westhuizen City of Cape Town Ms Vicky / Shuping City of Johannesburg Mr Tshidiso Nkgoedi City Power Mr Wolsey Barnard DOE Mr Lucky N Ngidi NERSA

2 1. WELCOME Dr Minnesh Bipath welcomed the attendees to the first Smart Grid workshop. He explained the evacuation process. The attendees were offered an opportunity to introduce themselves. The evacuation procedure was explained to the attendees. Two videos were played to provide an international Smart Grid perspective and to contribute to the scene setting. 1.1 Apologies The apologies listed above were NOTED. 2. OPENING REMARKS Mr Kevin Nassiep the CEO of SANEDI addressed the workshop and provided a comprehensive background to the establishment of SANEDI. He explained the relationship between SANEDI and CEF and indicated that CEF is providing certain services to SANEDI. However, SANEDI is in the process of migrating to a fully independent self supporting organisation. Furthermore, he provided a detailed account of the future perspective and vision for SANEDI. He stressed the importance of the energy sector in the economy of the country as well as the role which the sector must play, amongst others in terms of reducing the carbon footprint and in job creation. He went through a detailed presentation which introduced the attendees to the SANEDI strategic 5 year plan. In the presentation he also addressed the three operation scenarios as well as the forth (4 th ) scenario which became the default scenario as result of the funding constraints. The financial implications as well as the deliverables under each scenario were discussed in detail. (Please see the handouts for more detail). During the question time the attendees indicated that there is an urgent need for a strong effective integration and co-ordination capability in respect of the SMART GRID initiatives in the country. The attendees wanted to understand how SANEDI can assist in this regard. Furthermore there was a need to get all the relevant players involved. The general view was that SANEDI should play the role of the co-ordinator and integrator of the Smart Grid initiatives in South Africa. Page 2 of 9

3 The CEO gave his perspective and it was confirmed that the expected role to be played fits into the SANEDI mandate. 3. FEEDBACK FROM THE USTDA MISSION 3.1 City of Tshwane: Presentation based on the overseas exposure was made to thetshwane City Leadership. There is strong buy in to move towards Smart Grids. The visit to PECO is regarded as a very good reference point. Furthermore, in respect of the USA, the strong government support and industry leadership are regarded as key characteristics of their Smart Grid programme. The importance of a country view and enabling decisions must therefore not be underestimated. The Tshwane leadership is looking for a proposal within 90 days on a recommended way forward. The workshop is therefore, regarded as a key input to this process. Through the USTDA grant funding to the tune of $ will be made available to support a Smart Grid study for the City of Tshwane. A further key learning point was the appreciation of the difference between a pre paid meter and a smart meter in the context of a Smart Grid. SANEDI indicated that they are available to provide support where required in respect of the preparation of the submission to the City Leadership. 3.2 City of EThekwini: The City of ethekwini had the benefit of previous engagements with the USTDA as well as some international visits. Therefore, there was a reference base in respect of the US Smart Grid developments. The importance of a country decision and decisive leadership stood out as key success driver. Furthermore, the need for South Africa to get organised and not to shy away from selecting a business partner are important issues that must be dealt with. What is also important is that we must not underestimate the level of progress in South Africa in respect of moving towards Smart Grids, It is important for South Africa to adopt open standards and to leverage what we have available in South Africa. 3.3 Eskom: The dominance and importance of bold leadership stood out. The industry leadership in the USA clearly understood the consumer\utility relationship. The level of passion to make a success of the Smart Grid roll out in the USA was demonstrated. Page 3 of 9

4 While there are many examples to draw from, it is essential that a SA country perspective must be developed inclusive of a process and journey map. It is also important to define what is practical and what will serve the interest of a specific entity and its customers the best. Technology is not the challenge but getting the consumers on board might be the biggest challenge. There is a risk of technology dumping and it is essential that South African must lodge against this. During the USA visit the importance of relating partners that can go to the full journey with you, was journey seined as a critical success factor. 3.4 SANEDI: It is clear that technology can work for the industry and that we must enhance the technology deployment. Without risking employment the industry can become more efficient and effective by moving towards Smart Grids. While standardisation is of critical importance, without inter-operatibility you are in trouble. Effective integration of the Smart Grid programme leads to economy of scale and progress. The selection of industry partners (Service Providers) must be done with caution. If you neglect a service provider without amongst others the financial capability to go the full journey you could find yourself in serious trouble. In South Africa we do have in certain areas a Smart Grid footprint which we must leverage and promote. It is essential that we register what we have, learn from it, and move forward in an integrated and co-ordinated way. If we cannot get the integration, coordination and sharing of lessons learned right, it could result in unnecessary expenditure for South Africa. Without effective integration and coordination we will run the risk of repeating the same mistakes and potentially end up with a less than optimal smart grid. 4. SMART GRID VISION FOR SOUTH AFRICA Dr Minnesh Bipath took the attendees through a very comprehensive presentation. There is a clear message that a whole new opportunity come into view and electricity has become the life blood of the South African economy. There is a compelling case to address the asset condition within the electricity industry. This also presents as significant opportunity to move towards a more intelligent grid. In the systems view, the Smart Grid will: Enable active participation by consumers; Accommodate all generation and storage options; Enable new products, services, and markets; Page 4 of 9

5 Provide power quality for the digital economy; Optimise asset utilisation and operate efficiently; Anticipate & respond to system disturbances (self-heal); Operate resiliently against attach and natural disaster. Furthermore the Smart Grid is transactive which implies that in addition to the points reflected above it will also anticipates and responds to system disturbances (selfheal). The role of SANEDI is to facilitate the acceleration of the South African Smart Grid transition. This implies amongst others: Develop a South African vision for the Smart Grid; Reach out to stakeholders to get input and consensus; Assist in the identification and resolution of issues; Act as an independent broker ; Promote testing of integrated suites of technologies; Communicate concepts to assist interested stakeholders; Technology management, development and adaption; Technology Marketing; Standards and best practises; Modelling; Demonstration and evaluation; Business case. NOTE: Please refer for more detail to the presentation handout. From the discussion which followed it was clear that a number of challenges must be dealt with going forward. These challenges are amongst other: Asset management; The IT/OT accountability; Skills development and capability; Page 5 of 9

6 Development of a Smart Grid roadmap and milestones. 5. POTENTIAL INDUSTRY ENGAGEMENT STRUCTURE Dr WJ de Beer introduced the proposed stakeholder engagement structure and terms of reference. He indicated that the objective was to establish a representative, efficient and effective electricity Industry Smart Grid institute. The scope of work of this proposed institute would amongst others be: Assessment of smart grid related developments within the South African electricity supply industry (ESI); Applicable technology consideration; Directing standards and specifications; Identification and motivation of enablers to promote smart grids in South Africa. Furthermore from a governance and mandate perspective it is suggested that: The electricity Smart Grid institute ( SA SmartGrid ) will direct the relevant working groups established under this institute. The institute will function as an extension of SANEDI and as such will operate under the mandate of SANEDI; While the Electricity Industry Smart Grid institute ( SA SmartGrid ) will select its own Chairperson, it is recommend that the Department of Energy assumes this role; It remains the intention to establish a Smart Grid Inter-Ministerial or Inter- Department Committee at Government level. Once established, this Committee will also provide inputs and direction to the Electricity Industry Smart Grid institute ( SA SmartGrid ). It is envisaged that the proposal institute would establish working groups as required but that there will be a minimum of three standing work groups, namely. Policy Technology & standards Implementation (Applied research) Furthermore, the proposal is that the envisaged institute would be made up of representative organisations\entities and that this institute will also affiliate with other Smart Grid international institutes. At work group level specialists\service providers\manufacturers\ etc. can be co-opted as and when required. Page 6 of 9

7 The envisaged representatives at the proposed institute level are: AMEU; Cities Network; DOE; DTI; Eskom; ESLC; Metro s; NT; NERSA; SABS; SALGA; SANEDI. As a way forward, from the proposed stakeholder engagement structure perspective, the following was presented: Approval of the proposal to establish the Electricity Industry Smart Grid Institute ( SA SmartGrid ); Selection of an appropriate name for the institute; Approval of Terms of Reference; Nomination and selection of Chairperson; Nomination and selection of Work Group Chairpersons; Confirmation of meeting dates and venue. It was also proposed that the Department Energy or NERSA should chair the proposed institute. Page 7 of 9

8 There was general consensus and support for the establishment of a stakeholder engagement institute. Furthermore the following recommendations were made\points raised: Consider options to accommodate: Universities; CSIR; ECSA; Developers of security estates (gated communities) Developers of Smart Grid Solutions. Once the institute is established guidelines for the work groups should be developed; Current initiatives must be recorded; Other institute related arrangements dealing with Smart Grids must be identified and brought in ; There must be clarity whether the proposed institute will provide guidelines or enforceable standards; It was proposed that the name of the institute should not be Electricity Industry Smart Grid Institute ( SA Smart Grid ) but South African Smart Grid Initiative (SASGI). The proposal was supported and South African Smart Grid Initiative (SASGI) was approved as the name of the institute. 6. WAY FORWARD: As a way forward it was resolved that: The proposed Terms of Reference must be updated to reflect the recommendation made; The organisations represented at the workshop will receive a letter inviting then to put forward nominations for the institute as well as for the work groups; SANEDI to engage with DOE & NERSA regarding the Chairmanship of the institute; That Dr Willie de Beer would serve as the interim chairman of the institute; Page 8 of 9

9 The next Smart Grid meeting to take place ASAP and to be arranged by SANEDI. Close Dr Bipath closed the meeting at 15:15 and thanked everyone for their contribution and attendance. CERTIFIED AS A TRUE RECORD OF THE PROCEEDINGS (Dr W J de Beer) 22 May 2012 CHAIRPERSON DATE Page 9 of 9