Ten Things to Consider When Writing an AMI RFP October 2, Badger Meter, Inc. 1

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1 Ten Things to Consider When Writing an AMI RFP October 2, Badger Meter, Inc. 1

2 Definitions AMR AMI Automatic Meter Reading (a.k.a. drive-by reading system) Meter is connected to radio via an encoder register and the reading equipment is located in the hands or vehicle of the meter reader. Advanced Metering Infrastructure (a.k.a. fixed network system) Meter is connected to a radio via an encoder register and the reading equipment is located in fixed geographical locations such as ground storage tanks, buildings, light poles, etc Badger Meter, Inc. 2

3 Definitions RF Radio Frequency Underlying technology used to transmit data in AMR and AMI systems Endpoint = Radio = Transmitter = MXU Device attached to the meter via an encoded register Meter readings and alerts are sent by the endpoint via RF Gateway = Collector = DCU In an AMI system, equipment used to pick up the endpoint s meter readings and alerts and send the data to a head-end server 2013 Badger Meter, Inc. 3

4 #1 Is AMI a Good Fit? Unlike AMR systems, each AMI system is custom built based on: Topology Available Infrastructure Sites Height of Infrastructure Sites Meter Locations Depending on these factors, an complete AMI system may not be a viable solution Better to determine this earlier rather than later via vendor propagation studies Badger Meter, Inc. 4

5 #1 Is AMI a Good Fit? Site selection for network infrastructure is critical for optimal system performance. Radio waves start out at a certain strength and lose their strength due to distance traveled and impediments (buildings or terrain) along the way. This is referred to as Path Loss or Attenuation and is measured in units called a decibels or db. Output power is typically measured in the unit of Watts ( W ) but can also be measured in a unit known as dbm, or decibels referenced to 1 milliwatt.

6 Tower Height, Range and Quantity of Collectors The higher the gateway is installed, the farther it sees, reducing number of collectors that are required to cover the same geographic area miles or 1,847 feet 1.5 miles or 7,920 feet With the height to reach distances above, to cover a one square mile area, assuming the terrain is relatively level, a system of three or four gateway transceivers at 30 or one gateway at 60 may be deployed CONFIDENTIAL 2013 Badger Meter, Inc. 6

7 #1 Is AMI a Good Fit? 2013 Badger Meter, Inc. 7

8 #1 Is AMI a Good Fit? 2013 Badger Meter, Inc. 8

9 #1 Is AMI a Good Fit? What you will need to provide for a study: 1. Definition of your service area 2. Physical location of your meters 3. Physical location of potential infrastructure sites Format of Information in order of preference 1. GIS shape files preferred 2. Decimal geocoded addresses preferred and service area map 3. Physical addresses and service area map Study will determine the best technology: AMI AMR Hybrid 2013 Badger Meter, Inc. 9

10 #2 Defining your Goals Define your goals Articulate your reasons for moving to an electronic reading method Keep it realistic and simple What s necessary vs. nice to have 2013 Badger Meter, Inc. 10

11 #2 - Goals MOBILE Eliminate Human Error Increase Productivity Balance Revenue Flow FIXED Eliminate Human Error Increased Productivity Enhanced Customer Service For a utility of 1000 services: 720,000 meter reads/month For a utility of 1000 services: 1000 meter reads/month Data for Billing Diagnostic Data Data for Billing, but also for: Auditing / Compliance System Leak Detection Conservation Efforts Reduce Non-Revenue Water Manage Water Production

12 #2 Defining your Goals Decrease number of customer service calls Efficient methodology to address customer service billing disputes Efficient scheduling and tracking of needed maintenance and testing Providing a way to validate conservation efforts Proactive approach to dealing with distribution system leaks Increasing meter reading efficiency Decreasing number of reports to run and manage Proactive tracking and notification of exception conditions Efficiently distributing reports and metering information throughout the utility Monitoring usage patterns and trends of large users Monitoring usage of inactive accounts Monitoring sprinkler ban activity Calculating metered usage from AWWA/IWA Water Balance Audit Providing a way to effectively manage fixed network performance 2013 Badger Meter, Inc. 12

13 #3 What Features are Important? AMR & AMI technology education (general & vendor specific) AMI is not a simple technology White papers, seminars, site visits, vendor presentations, vendor supplied RFPs Vendors will present information to their best interest Determine which features are important to you Lots and lots of features available and more being added Not all vendors have the same features Each vendor will have their strengths and weaknesses AMR & AMI technologies share many features 2013 Badger Meter, Inc. 13

14 #4 Other Expenses? Lid Change-Out to Composite Pit Lids Installation Staffing Schedule Project Management Turnkey Geocoding Post-installation pit maintenance Pit Rehabilitation Bring up to grade 2013 Badger Meter, Inc. 14

15 #4 Other Expenses? A primary cause of path loss is associated with getting a signal out of a house. Here are a few common examples of typical RF loss with an indoor set application from a 1W, 30 dbm endpoint: Type Loss Output Floor -10 db +20 dbm Interior Wall -4.4 db dbm First Floor Ceiling -6 db +24 dbm Exterior Wall -6 db +24 dbm Window -3 db +27 dbm Solid Metal -30 db 0 dbm

16 #4 Other Expenses? Metal Lid Plastic Lid

17 #5 Public Relations Strategy Get out early and often Public Forums Website Articles Mailers Rate increases + Meter change-outs + AMR/AMI Not a good idea to implement at the same time Perceived health issues Data Protection Opt-Out programs 2013 Badger Meter, Inc. 17

18 #6 Narrowing it Down Short List Request for Information (RFI) How will they meet your goals? Do they have the features you defined as important? References How many utilities deployed? How many endpoints shipped? Site Visits Presentations/Demonstrations Software You re choosing a partner: Financials ISO Manufacturing Standards Warranties Return rates Local support Technical support/time zones Long term support Project Management Turnkey Compatibility/best meter 2013 Badger Meter, Inc. 18

19 #7 Return on Investment ROI tools Vendor Financing Options 2013 Badger Meter, Inc. 19

20 #8 Testing it Out Pilot short listed vendors endpoints 1-3 gateways Repeaters? Define goals and parameters for success Consider what staff you will need Allocate enough prep time for yourself and the vendors Lead time on equipment Who will install endpoints? Infrastructure? Show and tell or operation? Basic training needed for operation 2013 Badger Meter, Inc. 20

21 #9 Defining Success Feet to the fire Define the parameters of a successful deployment Percentage of meters read daily Percentage of meters read within 3 days, a week, a month, etc. Mitigation on additional infrastructure Cost of equipment, installation, maintenance agreements, etc Badger Meter, Inc. 21

22 #10 Allocating Enough Time Include all players in process, but have one decision maker The camel is a horse designed by committee Buy in from all departments Seek input, but not a democracy If this is not possible, consider a scoring system Keep it simple More pages is not more better Consultants Consider limiting length of response Consider formats to make response comparisons easy Vendors 30 day response time 2013 Badger Meter, Inc. 22

23 Questions / Answers / Discussion 1. Is AMI a good fit? 2. Define your goals 3. What features are important 4. Other expenses 5. Public relations strategy 6. Narrowing it down 7. Return on investment 8. Testing it out 9. Defining success 10. Moving forward/other considerations Thank You! Michele Harvey Badger Meter Field Technical Support cell/text: mharvey@badgermeter.com

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