Implementing MDM System at SDG&E. Itron Users Conference September, 2009 Ron Amundson Smart Meter Operations Project Manager SDG&E

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1 Implementing MDM System at SDG&E 2008 San Diego Gas & Electric Company. All copyright and trademark rights reserved Itron Users Conference September, 2009 Ron Amundson Smart Operations Project Manager SDG&E

San Diego Gas & Electric Service area 4,100 square miles, covering two counties, 25 cities Owns 1,835 miles of electric transmission lines and 21,601 miles of electric distribution lines Operates two

2 San Diego Gas & Electric Service area 4,100 square miles, covering two counties, 25 cities Owns 1,835 miles of electric transmission lines and 21,601 miles of electric distribution lines Operates two compressor stations, 166 miles of natural gas transmission pipelines, 8,100 miles of distribution pipelines and 6,197 miles of service lines 4,500 employees Solar Electric Power Association (SEPA) ranked SDG&E No. 4 among U.S. utilities for installed solar power and power capacity California San Diego Gas & Electric Southern California Gas Company 2

3 Sempra Energy Sempra Global Sempra Utilities Sempra Generation Sempra LNG Sempra Pipelines & Storage RBS Sempra Commodities* Southern California Gas San Diego Gas & Electric Regulated utility providing service to 3.4 million consumers 3

About Sempra Energy Ranked 210 on the Fortune 500

1 billion in 2008 Ranked #2 on Fortune Magazine s

4 About Sempra Energy Ranked 210 on the Fortune 500 list Headquartered in San Diego 29 million customers worldwide 14,000 employees worldwide Revenues of $11 billion in 2008 Net income of $1.1 billion in 2008 Ranked #2 on Fortune Magazine s Most Admired Companies in the Electric and Gas Utility industry (2008) 4

5 Program Overview $572MM Capital/O&M approved by CPUC April 2007 Install 1.4 million smart/ami electric meters for all customers Solid-state electric meter technology with ZigBee chip 2-way communications 4 channels Electric interval data reads Residential hourly, C&I 15 mins. Remote disconnect/connect integrated within 200 amp meter Programmable load limiting switch On demand reads, demand reset Adding module to existing 900,000 gas meters Daily gas reads - ZigBee 5

6 Program Overview cont. Next-day data for customers online/phone Home area network (HAN) - ZigBee Local connectivity to remote devices, load control technology Case includes 57K programmable communicating thermostats (PCTs) for Small/Medium C&I 55% Operational benefits, 45% Demand Response Support price responsive tariffs (TOU, CPP, PTR, etc.) Information systems, integration with legacy systems Firmware downloadable to the meter Remote device configuration/firmware & feature updates Tamper/theft Voltage Outage/restoration Security 6

7 Project Approach Vendor and technology neutral as possible Vertical integration where it makes sense Open standards, standards-based architecture Interoperability, future-proofing Rigorous RFP process Consistent focus on business improvement Recognize this is nascent technology This is not business as usual Risk management Phased release approach Robust security architecture Walk before running Focus on internal and external stakeholders It s all about the customer 7

8 Accomplishments Started Mass Deployment in March 2009 Smooth cut over exceeded expectations Day-to-day deployment activities running smoothly Business process design and automation Moved all IT systems into Production Completed SDG&E Infrastructure build out on schedule/on budget Completed 5K endpoint test Solid partnerships continue to support milestone delivery Customer and employee feedback is positive First Billing from Smart s in June

9 Timeline 2010 Program Complete Q Q Q Q Q Q Q Q Online Consumption Information Smart Enabled (Time of use) HAN devices Smart Enabled Rates Residential & C&I for installed customers Commercial & Industrial (C&I) Installs Start Large Account s Changed Out 9

10 Project Objective Support time based rates for all customers Traditional TOU Variable TOU different daily time periods based on energy demand Support Energy Management Programs Online interval data presentment In home appliance controls Install Smart Interval s for all customers Hourly interval data for residential 15 minute interval for commercial & industrial 10

11 Our Solution Architecture (a.k.a our Eye Chart ) 11

12 Who does what? Deployment CE MDM ORS CIS What s the status for billing today? How is the system operating today? Which meters are not reporting? 12

13 Data Management System Itron IEE Ver Itron Openway More than just data storage Collect Interval & register data VEE Validate, edit, estimate Store - Calculate Roll up intervals to TOU summary Transfer send to CIS & other authorized parties 13

14 Integration with Collection Engine Where do you draw the line between IEE and CE Gray areas meter data, grouping, schedules, VEE, gap filling Integrates with any CE isn t just plug & play It takes a lot of work to make it a reality Data translation Number Serial ID, codes, formats Reporting Communicaton Rate vs Read Rate Detailed Production Support Data vs Summary Management Reports 1% Rule 1% of meters cause 99% of work % 1 er 14

15 Integration with CIS What data do you duplicate Account, customer name, address, bill cycle Where do you store and display data Will CSR s use new systems One place for everything or multiple sources What do you calculate in MDM vs CIS Billing determinants Billing amount Account level charges (taxes, franchise fees) 15

16 Approach to Billing Leverage existing systems and processes Automate the collection keep processing the same where possible Use MDM for calculating billing determinants Use CIS to calculate bills Develop new SDG&E program to extract data from MDM and deliver to CIS 16

17 Traditional Billing Monthly consumption Register reads CIS estimates and pro-rates CIS calculates bill 17

18 Traditional - Reader Based Reader s to Read Today s to Read Today s Reads Read Mgmt System s Reads CIS 18

19 Traditional Billing - Reader/ Smart Based Reader s to Read Today Data Extract Program s Reads Smart s to Bill Today s Reads Read Mgmt System s to Read Today s Reads CIS Data Mgmt System Data Collection System IEE Openway Smart 19

20 Advanced Billing Interval and TOU consumption Interval data MDMS estimates intervals MDMS calculates billing determinants 20

21 Existing Advanced ing Reader Reader s to Bill Today Data Data Data Read Mgmt System s to Bill Today CIS Billing Determinants MV-90 Data Data Store Data Extract Program Interval Data System 21

22 Future Advanced ing Openway Network Data Read Mgmt System s to Bill Today CIS Billing Determinants Collection Engine Data Data Mgmt System Billing Determinants Data Extract Program 22

23 Lessons Learned - MDM Set realistic expectations on what the MDMS can do for you This is new stuff don t assume that anyone actually knows how to do it Deep dive into requirements before you move to design Performance Tuning will be required Data in MDMS OK to duplicate data with CIS Consistency of data format across systems is challenging Understand the difference between dumb meter data and smart meter data 23

24 If you haven t read the ANSI C12.19 spec You won t understand 24

25 Lesson s Learned - Project Stay focused on business objective Get business operations involved early Make sure experienced people are driving the development Be realistic Don t spend all the time and money on the easy stuff Learn from other utilities Put more emphasis on cross functional interdependencies avoid working in silos Scope, scope, scope 25

San Diego Gas & Electric MDM Project Approach

San Diego Gas & Electric MDM Project Approach Jerry Sugerman October 21, 2008 What s Driving our AMI Project? California has a significant issue meeting the current and anticipated future demand for electricity