AGENDA ITEM NO.: 5.B.1 MEETING DATE: 12/09/2013 ADMINISTRATIVE REPORT NO.: 2014-34 To: Honorable Public Utilities Board Submitted by: /s/ Robert Orbeta AGM Administration From: Steve Chiu Approved by: /s/ Utility Information Girish Balachandran General Manager Subject: Advanced Utility Technology Presentation on Preliminary Findings and Recommendations RECOMMENDATION This report is for information only; no action is required at this time. The purpose of the presentation is to provide the Public Utilities Board (Board) with the preliminary findings and recommendations of the Boreas Group. BACKGROUND In December 2012, the Board authorized the Boreas Group to develop an Advanced Utility Technology Plan for Alameda Municipal Power (AMP). The plan is currently under development and nearing the final stages of completion of the Phase 1 report. To date, over 60 of AMP s employees representing all divisions, were engaged during this first phase, which was composed of over 79 workshops. The workshops were conducted during six weeks of onsite visits and were composed of a combination of education, discussions, job-shadowing, and assignments. DISCUSSION As the completion of Phase 1 of Boreas report enters its final stages, AMP staff will present to the Board an overview of the report s preliminary findings and recommendations as developed by the Boreas Group. Also included in the overview is a proposed schedule for the implementation of the recommendations. FINANCIAL IMPACT None.
AGENDA ITEM NO.: 5.B.2 MEETING DATE: 12/09/2013 ADMINISTRATIVE REPORT NO.: 2014-34 LINKS TO BOARD POLICY AND OBJECTIVES Strategy 3: Strategy 6: Strategy 8: Attract and retain an effective workforce that is appropriately aligned, well trained, equipped with the right tools and technology, and properly recognized. Implement energy efficiency, renewable power and customer service programs to increase customer satisfaction. Plan for the long-term reliability of utility distribution system assets while ensuring that annual operations and maintenance are implemented. INITIATIVES Initiative 4: Initiative 7: Develop and implement an Advanced Technology Business Plan that is tailored to Alameda strategic, operational, financial, and environmental needs. Continue to develop change management and workforce initiatives. EXHIBIT A. PowerPoint Presentation
AGENDA ITEM NO.: 5.B. MEETING DATE: 12/09/2013 EXHIBIT A Smart Grid Technology Plan Preliminary Findings and Recommendations Public Utilities Board December 9, 2013 1
Overview 1) History and Phase 1 Approach 2) Smart Grid Maturity Model (SGMM) 3) Findings 4) Recommendations 5) Next Steps 2
3 History and Phase 1
History 2010 APW Strengthening its Foundation Staff education; strengthen knowledge and skills. 2011 APW Introduced Advanced Technology Issued RFI for Advanced Utility Technology 2012 APW Board Provided Direction for Advanced Technology. Issued RFP for the Development of Advanced Utility Technology Plan. 4
History December 2012 PUB Authorized Boreas Group to develop an Advanced Utility Technology Plan. December 2012 to Current Phase 1 of Technology Plan. 6 Weeks On Site Over 60 Employees Engaged Over 79 Workshops (Education, Job Shadow, Discussions, and Assignments) Report Review and Revision July 15, 2013 Technology Building Blocks Education Presentation for PUB 5
Phase 1 Approach Workshops including all staffing levels. Education and examples. Compare with current industry trends and similar utilities. Identified business gaps and needs. Validate 6
Phase 1 Approach Discovery Analysis Week 5 Validate opportunities/pain points Identify value Start to develop options Discuss cost/schedule/resourcing of options Weeks 1 and 2 How AMP works together What technology is used Identified certain opportunities. Cross Functional Weeks 3 and 4 Identify opportunities Familiarize everyone with potential solutions (e.g. Cost/Benefit, Functionality) Building Blocks Week 6 Brainstorming and refining the options Options Development - Process - Organization - Technology - Convergence of above Report 7
8 What is the Smart Grid to AMP
What is the Smart Grid to AMP? What: New technologies to increase operational capabilities Two way communications systems Down the road, link distributed generation, storage and alternative energy sources Why: Practical working efficiency Increased customer service to Alameda Data analytics 9
What is the Smart Grid to AMP? Fundamental Technology Layer Geographic Information System Work Management System Outage Management System Maintenance Management System Advanced Metering Infrastructure (AMI) Distribution Automation & SCADA Communications AMI / Smart Meters is only one component of the Smart Grid. 10
What is the Smart Grid to AMP? Generation Transmission Distribution Customer Gen Control EMS SCADA Mobile GIS OMS MWM Operations Management Energy Mgmt Asset Management CMMS RCM Customer Management WMS EIS GIS MMS CMMS EA Graphic Design EIS Mobile GIS CIS Meter Reading CRM IVR EE Portal TOU Energy Mgmt FLISR BI AMI DR CES Smart Grid Paradigm DMS VVC DA MDM Dynamic Pricing DER 11
12 Smart Grid Maturity Model
Smart Grid Maturity Model AMP participated in SGMM for POU s in 2011 Four Compass Surveys Completed Survey Workshop Completed by AMP Team Aspirations Workshop by Certified Navigator 8 Smart grid process domains 175 Expected characteristics Provides a common framework to define key elements of smart grid transformation. Analysis and results provided to the PUB by SAIC. 13
14 SGMM Domains
Smart Grid Maturity Model (SGMM) Levels PIONEERING Breaking new ground; industry leading innovation OPTIMIZING INTEGRATING ENABLING INITIATING DEFAULT Optimizing smart grid to benefit entire organization; may reach beyond organization; increased automation Integrating smart grid deployments across the organization, realizing measurably improved performance Investing based on clear strategy, implementing first projects to enable smart grid (may be compartmentalized) Taking the first steps, exploring options, conducting experiments, developing smart grid vision Default level (status quo) 15
AMP s 2011 SGMM Profile 1 Alameda Today 0 0 0 0 0 0 0 16
AMP s SGMM Aspirations Alameda s Year 2020 Aspirations 3 3 3 3 3 3 3 3 1 Alameda Today 0 0 0 0 0 0 0 17
SGMM & AMP AMP has taken a follower strategy by tracking and gaining experience from others. Higher level not always better. Scoring system does not consider business goals and operating environment. 18
19 Findings
Preliminary Findings and Opportunities Major Categories of Findings: Technology Process People Based on: AMP s vision and needs. Industry Trends AMP s 2020 SGMM Aspirations PUB s adopted strategic goals and objectives 20
Preliminary Findings and Opportunities Technology Current State / Challenges 1. Good understanding but limited use 2. Limited system integration 3. Inconsistent acceptance and use of existing technologies Technology Opportunities 1. Performance Visualization 2. Knowledge Management 3. Work Management 4. Field Automation 5. Customer Enablement 21
Preliminary Findings and Opportunities Process Current State / Challenges 1. Effective Business Processes / Results 2. Inconsistent Adherence & Documentation 3. Dependence on Manual and Paper based Processes 4. Moderate Level of Task Handovers / Data Re entry Process Opportunities 1. Review & Re design 2. Inter divisional Process Coordination 3. Align with Technology Solution 4. Automate not just Mechanize 5. Documentation and Training 22
Preliminary Findings and Opportunities People Current State / Challenges 1. Perception Motivation / Reward 2. Limited staff and skill capacity People Opportunities 1. Change Management 2. Skill Inventory & Training 3. Outsource 23
Preliminary Findings and Opportunities 24
25 Recommendations
Preliminary Recommendations Smart Grid Technology Plan Recommendations 1. Planning 2. Organizational Change Management 3. Customer Engagement Platform 4. Electric Vehicle Plan and Policy 5. Targeted Metering Solution 6. Cloud-Based Solutions and Assess Application Insourcing 7. Geospatial Visualization (Netbas Migration) and Asset Management 8. KPI Dashboard 9. Expanded Use of Document Management 10. Grid Operations/ Distribution Automation 11. Customer Enhancements (Customer Outreach, Internal and External Communications, Tools) 12. Basic Work order Tracking 13. Outage Management 14. Mobile Technology 15. AMI Re-Evaluation 16. AMI Deployment and MDMS Implementation 17. Integration of Major Systems 18. Distribution Management System 19. Formal Plan Review and Refresh 26
Preliminary Recommendations 2014 Begin Work on Recommendations #1 7 1. Planning 2. Organizational Change Management 3. Customer Engagement Platform 4. Electric Vehicle Plan and Policy 5. Targeted Metering Solution 6. Cloud Based Solutions 7. Geospatial Visualization and Asset Management 27
Planning Initial planning is necessary to mitigate risk. Initiate Smart Grid implementation while planning for future technology. Develop solid foundation for AMP to approach further implementations. Identify, address, and resolve staffing gaps. SMR OS GO WAM TECH CUST VCI SE 28
Organizational Change Management Plan Facilitate initial project staging. Provide AMP with a platform to approach future project deployments. Organization level planning and identification of key change agents. Establishment of mission, vision, value, and culture statements. SMR OS GO WAM TECH CUST VCI SE 29
Customer Engagement Platform Empower and engage customers to manage their energy effectively. Increase customer knowledge of energy. OPower Customer Engagement Platform Web and Paper Home Energy Reports Analytics and reporting of energy use. Education and Advise Neighbor Comparison SMR OS GO WAM TECH CUST VCI SE 30
EV Plan and Policy Driven by developing EV market. Define EV plan and policy that addresses: EV Charging Stations (Public, Private, 3 rd Party) Time of Use (TOU) Rates AMP Fleet Needs Engineering and Permitting Standards Metering Pilot Programs SMR OS GO WAM TECH CUST VCI SE 31
Targeted Metering Solution Advanced meters for large commercial customers. (~300 Meters) Advanced meters for select residential customers such as backyard easements and customer reads. Collect interval data and sensor information. Pilot for AMI technology. Internal skill building and process determination. Investigate sensor capabilities through advanced meters. SMR OS GO WAM TEC H CUST VCI SE 32
Cloud Based Solutions Leverage cloud based technologies for high impact, and low resource cost. Examples: Cloud solution to collect, manage, and present data from Targeted Metering recommendation. Work Flow Visibility Electronic Time Keeping Collaboration Tools SMR OS GO WAM TECH CUST VCI SE 33
Geospatial Visualization and Asset Management Establish the foundational data hub referenced by geographic location. Enable future application integration. Used for planning, maintenance and outage support. Requires data extraction, consolidation, and validation of current data. SMR OS GO WAM TECH CUST VCI SE 34
Timeline # Recommendation 2014 2015 2016 1 Planning X X X 2 Organizational Change Management X X X 3 Customer Engagement Platform X X X 4 EV Plan and Policy Policy and Strategy Development X X Develop and Implement Pilot Programs X X 5 Targeted Metering Solution Develop and Issue RFP + Vendor Selection X Implementation X X 6 Cloud Based Solutions Electronic Timesheets X Evaluate and Implementation of Other Solutions X X X 7 Geospatial Visualization and Asset Management Data Cleanup, Consolidation and Validation X Develop and Issue RFP + Vendor Selection X X X Implementation X X 35
5 4 3 2 1 Recommendations SGMM SMR OS GO WAM TECH CUST VCI SE Strategy, Management & Regulatory A B A D Organization & Structure A A B G D Grid Operations Work & Asset Management A B G G B 0 F G Technology Customer Value Chain Integration A B C D E F G D E E G Societal & Environmental C D A D PLANNING OCM CEP EV POLICY TARGET METER CLOUD GIS 36
37 Recommendations 8 19
KPI Dashboard A computer interface providing data visualization of relevant Key Performance Indicators. Allow decision making at closest point of need. Increase availability and visibility or information. 38
Document Management Review and document processes and procedures, using a document management system with the goals of: Preserve institutional data and knowledge. Process cleanup and definition. Make documents and data searchable. 39
Grid Operations / Distribution Automation Automation and intelligent control of distribution level power grid functions. Real time 2 way communications and control of distribution systems. Improved control and visibility. Expanded data availability. Strategically place sensors in distribution system to enable visibility and data. Data Historian 40
Customer Enhancements Develop Customer Enhancement Plans to Address: External Communications and Customer Outreach Internal Communications Improved Customer Communication Tools (ex., Web Payments, Mobile Platform, Outage Communication, etc.) Interactive Voice Response System Enhancements True Customer Self Serve and Enablement 41
Basic Work Order Tracking A system used to track all stage of work; from initiation, schedule, execution, to close. Allows for organization wide visibility of work performed. Expansion of Service Order Tracking 42
Outage Management Evaluate and develop methods for AMP to manage outages. Possibilities include: Automatic outage detection at substation level. Automatic outage detection at the circuit level. Automatic outage detection at the premise/device level. Outage call sorting and visualization. 43
Mobile Technology Enable mobile access to systems or data that was previously only accessible within the office environment. Possibilities include: Field Service Work / Work Management GIS Maps Asset Management and Inspection System Visibility 44
AMI Re Evaluation Full scale AMI is not recommended as part of the early stages of this plan. A review of the AMI industry and conditions at AMP should be conducted periodically. Review lessons learned from pilot projects. Determine if proposed benefits from pilots has demonstrated anticipated benefits. Determine if this is the time to initiate business and implementation plan. 45
AMI & MDMS Assuming the AMI Re Evaluation has determined that the conditions are ideal for AMI at AMP, proceed with implementation of AMI and MDMS. Example Benefits may include: Enhanced Data Availability for Customers Enhanced Customer Convenience and Service Increase Reliability and Power Quality Support New Rate Options Data Analytics Improved System Visibility and Outage Response 46
Integration of Major Systems Once a utility has a multitude of major systems in place, and integration strategy must be considered. Evaluate the need for an Enterprise Service Bus (ESB) architecture to facilitate data between major systems. Reduce on going upgrade costs. Improve software quality in integration. Facilitate the availability of information. 47
Distribution Management System A collection of applications designed to monitor and control the entire distribution network. Acts as a decision support system for operations and field personnel. Provides improve resource utilization by analytics and recommendations. Reduces system losses and improves voltage profiles. 48
Formal Plan Review and Refresh A review and update of the technology plan is recommended periodically after each milestone. The plan is evaluated at its current status, successes, and areas for improvement. The results are then used to develop a move forward plan. 49
Preliminary Recommendations Smart Grid Technology Plan Recommendations 1. Planning 2. Organizational Change Management 3. Customer Engagement Platform 4. Electric Vehicle Plan and Policy 5. Targeted Metering Solution 6. Cloud-Based Solutions and Assess Application Insourcing 7. Geospatial Visualization (Netbas Migration) and Asset Management 8. KPI Dashboard 9. Expanded Use of Document Management 10. Grid Operations/ Distribution Automation 11. Customer Enhancements (Customer Outreach, Internal and External Communications, Tools) 12. Basic Work order Tracking 13. Outage Management 14. Mobile Technology 15. AMI Re-Evaluation 16. AMI Deployment and MDMS Implementation 17. Integration of Major Systems 18. Distribution Management System 19. Formal Plan Review and Refresh 50
Next Steps 2014 Begin Work on Recommendations #1 7, and stage for #8 19. Periodic Review and Refresh of Plan SGMM Re Assessment Seek Periodic Guidance from PUB 51
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