Demand Side Management to lower the CO2 footprint in Cities

Bastian Fischer, Oracle Utilities Global Business Unit EMEA

Vice President and General Manager
Thursday, May 12th, EURELECTRIC Smart Cities, Brussels, Belgium

Safe Harbor

The following is intended to outline our general

product direction. It is intended for information
purposes only, and may not be incorporated into any
contract. It is not a commitment to deliver any
material, code, or functionality, and should not be
relied upon in making purchasing decisions.
The development, release, and timing of any
features or functionality described for Oracles
products remains at the sole discretion of Oracle.

Agenda

SMART CITIY : Definition and Objectives

Large Scale Municipal DSM applications
Customer Engagements and Benefits
Summary and Questions

Agenda

SMART CITIY : Definition and Objectives

Large Scale Municipal DSM applications
Customer Engagements and Benefits
Summary and Questions

Smart Cities Transforming the Energy Value Chain

Regulatory

Customer
Expectations

Must demonstrate customer value

Investment pay-back and customer / societal benefits
Environmental objectives

Information to engage customers and keep them engaged

Impact of Choice / Impact of new Energy Applications
Expectation of improved performance I have options now

Changing
Business

New entrants into consumer energy Google, Microsoft, etc.

Speed of decision making -Customers and Energy companies
Media focus / Post Fukushima Changed Energy Policies

Operational
Issues

Customer program management

Grid impacts / Utility Integration / Municipal Service Integration
Media Hype Higher bills, EMF, who do you trust?

2011 Oracle Corporation Proprietary and Confidential

OECD Cities and Green Growth

1. The urban-based green growth is the engine of
intelligent, sustainable and environmental aware
recovery.
2. Our cities consume between 60 and 80% of the worlds
total energy output, so it is not surprising that the most
innovative solutions are designed in our metropolis.

3. Moving towards a low-carbon, more sustainable society

will require significant up-front investments and require
new financial instruments to power investments in urban
green growth.
4. A policy that enables green growth requires to bridge the
gap between national and city strategies. National
governments have a key role to play in enhancing cities
capacity to act on green growth.

2011 Oracle Corporation Proprietary and Confidential

Adapted from the speech: Paris, 25 May 2010

Angel Gurra, OECD Secretary-General

Agenda

SMART CITIY : Definition and Objectives

Large Scale Municipal DSM applications
Customer Engagements and Benefits
Summary and Questions

2011 Oracle Corporation Proprietary and Confidential

Italys Acea Distribuzione to Power Automatic

Meter Management Project for 1.6 Million Meters
COMPANY OVERVIEW

CUSTOMER PERSPECTIVE

ACEA is the 2nd largest Italian Electricity Distributor. The are the
Distribution Concession for 1.5 Million meters in Rome with 8
Millions gas meters.
Industry, Utilities

With Oracle Utilities Meter Data

Management, we will be able to support
one of the largest AMM deployments in
European history. The Oracle solution
will help us to provide our customers
with advanced options including
consumption profiles as well as
consumption information online ultimately allowing the consumer to
make more informed decisions about
their energy use.
Delio Svaluto Moreolo, Metering
Department, Acea Distribuzione S.p.A

CHALLENGES/OPPORTUNITIES
Monthly readings mandated by Italian law
TOU
Real time customer access to their consumption data
Customer services improvements
Fraud reduction and Network Management Improvement
SOLUTIONS
Interfaces to Metering Systems: Dial up C&I meters, AMI meters

with interval data, Manually read meters with register reads

Validation Edition Estimation
Balance Perimeter Calculations
Calculation of Area Residual Load and Profile per Supplier
Data Publication to Suppliers
Interface with billing systems for consumption data and standing
data

2011 Oracle Corporation Proprietary and Confidential

RESULTS

Single Source of truth for metering

data with full auditability of data
versions and editions

Month 20##

PG&E Smart Meter

COMPANY OVERVIEW
California based company founded in 1905, it is one of the
largest combination of natural gas and electric utilities in the US

Industry: Utilities
Employees: 20,000

CHALLENGES/OPPORTUNITIES
Provide a multi-step billing solution that integrates with several

systems including head-end systems, meter data management

systems
Solution needs to provide critical peak pricing and dynamic
pricing- Real Time pricing
Solution needs to measure, bill, collect processes to support
meter reading, meter data management, rendering of bills,
customer records, credit and payment processes
Solution must provide Contact Center and Front Counter
Support to customer transactions such as start/stop and account
status
Solution must provide scheduling and dispatching of customer
field orders

CUSTOMER PERSPECTIVE
RESULTS

Once an hour relationship with 6

Million customers
3.6 Billion electric meter reads/month,
plus 150M electric status reports/month
150M gas meter reads/month, plus
150M gas status reports/month
Support 7 years of historical data (3
years on-line, 4 years archived)
300x increase in storage

SOLUTIONS
Oracle Utilities Customer Care and Billing

2011 Oracle Corporation Proprietary and Confidential

June 2010

Pacific Gas and Electric Company

Energy Services to about 15 M People:

5.1 M Electric Customer Accounts

4.3 M Natural Gas Customer Accounts

70,000 square miles with diverse

topography
~20,000 Employees
A regulated investor-owned utility

10

A smart grid
Overlay with an Intelligence Infrastructure
Pervasive sensing and measurement devices

Smart

Pervasive control devices

Advanced data communications

Computing and information management

Power
Plants

Transmission
Networks

Substations

Distribution
Networks

Consumers
11

Smart Grid = sense, communicate,

compute, control
Web Server
(Oracle Fusion)

Oracle Fusion Middleware - ESB

Meter Data
Management
System

ERP

Outage
Management

Public Wireless
Network
Customer DW
(Oracle)

Sensors
Distributed Computing
Control Devices

Collectors

Backhaul

Communication

Data Management
& Storage

Oracle
Customer
Care & Billing

PG&E
Systems

Central Computing

12

The largest AMI deployment

in the United States
Automated meter reading for all

customers
10 million meter upgrades by 2011
Frequent meter reads

daily for gas

hourly or 15 minute intervals for
electric

Enhanced customer energy

management
13

Data Demands
Old World

New World

Once a month relationship

with 6 Million Customers.

Once an hour relationship

with 6 Million Customers.

5 Million Electric Meter

Reads a Month

3.6 Billion Electric Meter

Reads Month, plus 150
Million Electric Status
Reports a Month

5 Million Gas Meters Reads

a Month

3.6 Billion Gas Meter Reads

Month, plus 150 Million Gas
Status Reports a Month

7 Years of Historical Data

7 Years of Historical Data (3

years online, 4 years
archived)

Represents a 300x increase in storage

14

Oracle Technologies
Customer Care and Billing (CC&B)

Supports meter to cash. Supports Contact Centers.

40 TB billing system.
350,000 bills a day, 6 days a week.
99.9% operations
2,300 concurrent users, 5,000 primary users.
Oracle RAC
8 Node Cluster, RMAN, Data Guard, Grid Control
multiple databases from 40TB (CC&B) to 300TB (Customer
DW)
Oracle Fusion Middleware ESB, SOA
Oracle WebLogic Portal Customer Web Presentment

15

Online energy use information

Secure customer access

through PGE.com
Displays energy use by

billing cycle, month, or week

Displays hourly electric use

by day
Customer service reps able

to view same graphs online

16

SmartRate: Empowering
Customers, Cutting Peak Loads
Recruitment
10,000 voluntary participants in

summer 2008
Experience
Across 9 called events, the average

residential customer achieved a

reduction of 16.6%
7 of 10 customers saw a reduction

in their cumulative summer bills

Retention
90% of customers intend to stay on

the plan in 2009

Rollout follows SmartMeter program deployment

17

Home Energy Management

Advanced
Enhanced

Basic

Fully automated intelligent

energy management system
More comprehensive inhome displays (usage,
cost, time)

Simple high-low
indicator

Programmable
Communicating
Thermostat (PCT)

Other automated/
programmable appliances

Electric vehicle charging /

storage
Distributed generation and
storage

18

Time-differentiated pricing

Price

Flat Pricing
Time-Of-Use
Pricing

Real-Time
Pricing
12:01

Noon

11:59

Encourage smarter energy use by exposing customers to

the real marginal cost of electricity
19

GWh

Electric Vehicle Smart Charging

Time-shifting
Electricity

Home Area Network

AMI/SmartGrid

20

Abu Dhabi Water & Electric

COMPANY OVERVIEW
Approximately 300k electric and water
customers
Headquarters located in Abu Dhabi
Leads De-regulation of the market with the
Government

CHALLENGES / OPPORTUNITIES
Replace and consolidate two outdated and

inflexible billing systems

Provide interface in both Arabic and English
Integrate billing and CRM
Provide full billing and credit and collections
capabilities before privatization
Establishing Multi Utility Smart Meter
Infrastructure
Combining Water and Electricity

SOLUTIONS
Oracle Utilities Customer Care & Billing
Oracle Utilities Meter Data Management
Oracle Utilities Business Advisor

2011 Oracle Corporation Proprietary and Confidential

RESULTS
Multiple language support
Flexible software to adapt to local regulations
Introduced standardized processes and
industry best practices
Smart Meter Integration
Enablement for DSM and Energy Analytics

Palm Utilities
COMPANY OVERVIEW
Headquarters Dubai, United Arab Emirates
Founded 2007
Utility Type Retail and Distribution
Market District Cooling

RESULTS
Centralized Customer Data Base, Centralized

CHALLENGES / OPPORTUNITIES
To setup an efficient and cost effective e-based

Billing, Collection and Customer Services

department
Real-time meter readings, meter error
diagnostics, customer database and revenue
recognition
Automated bills generation and delivery
Enhanced customer service experience
Ability to better control Palm Utilities (PU) cash
flows by controlling billing cycles

SOLUTIONS
Oracle Utilities Customer Care & Billing
Oracle Utilities Business Advisor

2011 Oracle Corporation Proprietary and Confidential

Meter Readings handing and processing,

Invoice generation and distribution, Cash, bank
transfer & credit card payments reconciliation
with accounting, deposit refund management
Business Intelligence & Management Reporting
Resolve 90% of customer issues at 1st contact
Centralized End User Agreement generation and
Management, Management of Meter Operations,
Initialization and Maintenance teams,
department efficiency monitoring and control
Risk management capabilities and real time
monitoring of contract covenants

Solution
SCOPE: Implement single configuration of Customer Care & Billing system for Palm Utilities and
its two subsidiaries namely Palm Water and Palm District Cooling in a centralized instance to
support the key services offered by the businesses. The project covers implementation,
training, documentation, integration, reports & printing solution, and cash points installation to
successfully deliver CRM & Billing project and assist Palm Utilities to achieve their business
objectives.

Functional Areas

Business Services

Customer
Information

Chilled Water

Premise/
Service Points

Field
Activities

Potable Water

Ev
en
t Ac
(CE tiva
T) tor

Sewerage
Ac
M co
on un
ito t
r (A De
DM bt
)

CC&B

Collection
Process

Collection Process
Monitor (CPM)

Treated Sewerage Effluent

Meter Management/Reading

Credit &
Collections

Polished Water
Payment/
Cashiering

Rates/
Billing

Ultrasonic Energy Meter

Ultrasonic Flow sensor
No mechanical moving parts
Battery life of 10 years
Historical Logging
Wireless enabled
Digital Readout

Agenda

SMART CITIY : Definition and Objectives

Large Scale Municipal DSM applications
Customer Engagements and Benefits
Summary and Questions

2011 Oracle Corporation Proprietary and Confidential

What Consumers Want

Oracle study indicates

95%

- detailed information
on energy use

76% -

renewable energy
technologies for home
only 14% of Americans
and 16% of utility
managers gave utility
supplier an A

2011 Oracle Corporation Proprietary and Confidential

Efficiency and Impact of Energy Awareness

with information:
13% average reduction
+17%

Savings

with smart thermostats:

23% average reduction

2011 Oracle Corporation Proprietary and Confidential

1. The Brattle Group. The Power of 5 Percent. May 2007.

Agenda

SMART CITIY : Definition and Objectives

Large Scale Municipal DSM applications
Customer Engagements and Benefits
Summary and Questions

2011 Oracle Corporation Proprietary and Confidential

Conclusion: Smart Utility Roadmap

Summary
Bills
Automated
Meter Reading
Demand
Response
Distribution
Automation

Time of Use
Pricing

Smart
Meters

10-years ago

2011 Oracle Corporation Proprietary and Confidential

MicroGrid
Balancing

Home Automation
Networks

Advanced
Metering
Infrastructure

Critical Peak
Pricing

Electricity
Storage

Advanced
Distribution
Management
Systems

Now

Real-Time
Pricing

Smart
Appliances
Distributed
Generation

Electric
Vehicles

10-years

29

Conclusion: Standards-based strategy

CIM enabled Application Platform for Utilities
Oracle Enterprise Information Management Strategy

Add Current Stds.

AIA Foundation
Pack Canonical
Model Library
Oracle EBOs
Utility EBOs
IEC CIM Objects
Open SG
MultiSpeak

End-to-End SmartGrid Security Strategy

Infrastructure Security

Database Security
Information

Identity Management

Infrastructure
Databases
Applications

2011 Oracle Corporation Proprietary and Confidential

Content

Information Rights Mgmt.

30

Utility Solution Paradigm

Open

StandardsBased
Architecture

More
Value, Less
Complexity

2011 Oracle Corporation Proprietary and Confidential

More
Choice,
Less Risk

More
Flexibility,
Less Cost

Q&A

BASTIAN FISCHER
Vice President and General Manager
Utilities Global Business Unit EMEA
Tel: +33 1 57 60 84 78
Cell: +33 6 37 23 33 94
bastian.fischer@oracle.com

Utilities Global Business Unit

Europe Middle East Africa

2011
2010 Oracle
Oracle Corporation
Corporation Proprietary
Proprietary and
and Confidential
Confidential

Portes de la Dfense,15 bd Charles de Gaulle

92715 Colombes Cedex, France

Apendix

Oracle in the Utility Industry

2010 Oracle Corporation Proprietary and Confidential

Oracle Corporation
Scale

$24.2B in TTM revenue for Oracle

#1 in 50 product or industry categories
370,000 customers in 145 countries
30,000 partners
$40B on 60+ acquisitions, since 2005
106,000 employees
10 million developers in Oracle online communities

Innovation and Investment

29,000 developers and engineers
15,500 customer support specialists, speaking 27
languages
20,000 implementation consultants
1 million students supported
870 independent Oracle user groups with 355,000
members
Revenue represents March 1, 2009 February 28, 2010

2010 Oracle Corporation Proprietary and Confidential

Oracle in the Utilities Industry

Did You Know?

Experience: 30 years of Technology, Innovation

and Growth
Customer Base: Best Solutions Running at
2,600+ Electric, Gas, Water Utilities Worldwide
Dedicated to the Industry: Oracle Utilities
Global Business Unit with 1,000+ Worldwide
20 of the Top 20 Utilities: Get Results with
Oracle Solutions

2010 Oracle Corporation Proprietary and Confidential

Oracle Utilities Global Business Unit

Dedicated Utilities Team
1,500+ employees focused solely on utilities
Define, develop, and offer mission-critical applications specifically for utilities
Global organization and reach
Industry Leading Utilities Capabilities
Smart grid software
Customer care and billing
Meter data management
Mobile workforce management
Network management and load analysis
Work and asset management
Self-service billing, payment, and support
Leveraging the Capabilities of the #1 Enterprise Software Vendor
ERP, CRM, HR and more
Most scalable, reliable, secure infrastructure
Most complete range of on-demand and on-premise deployment options

2010 Oracle Corporation Proprietary and Confidential

The Challenges Were Hearing

!

Ageing Infrastructure and Changing / Ageing Workforce:

How can we optimize capital and ensure the best use of our people
and our assets?
They have neglected their infrastructure for too long We are sick and tired of them
and they had better change. After downtown Chicago black outs.
Mayor Richard Dailey, Chicago

Managing a complex energy portfolio:

How do we turn the data deluge into information that used throughout
the business?
A Smart Grid is characterized by the ability to use real-time information to anticipate,
detect, and respond to system problems.
Michael R. Peevey, President California Public Utilities Commission

2010 Oracle Corporation Proprietary and Confidential

The Challenges Were Hearing

!

Maintaining Safe, Secure, Reliable Supply:

How do we incorporate renewables, comply with regulations and
standards, and meet greenhouse targets?
I strongly believe that the energy industry needs to help shape the future of carbon
regulation.
Jim Rogers, CEO Duke Energy

Meeting the Changing Customer Expectations:

How do we engage with the customers as they get fully involved with
distributed generation, electric vehicles and a need for information?
Electric Utilities are evolving to become energy advisors to their customers. Electricity
today does more than light homes and businesses. We see a future where success in
our industry will be measured by companies offering new, innovative approaches to
achieving these expectations.
Joe Rigby, CEO PEPCo.

2010 Oracle Corporation Proprietary and Confidential

The need for utilities to transform

Around the world, utilities are under pressure.

Citizens demand energy and water that
don't undermine environmental quality.
Regulators seek action on smart grid
and smart metering initiatives that add
intelligence to infrastructure.
Customers seek choice and convenience,
but without additional costs.

2010 Oracle Corporation Proprietary and Confidential

Oracle can help you on your journey

We offer utility experts, mission-critical

software applications, a rock-solid
operational software suite, and worldleading middleware and technology.
We understand the complexity around
smart grid initiatives, implementations,
and the unknown.
We provide flexible, innovative technology
and interoperable applications that
increase efficiency, improve stakeholder
satisfaction, future-proof your organization,
and turn information into power.

2010 Oracle Corporation Proprietary and Confidential

A Closer Look
!

Maintaining Safe, Secure, Reliable Supply

Protecting todays resources for the next generation

Moving to distributed generation and micro

grids while satisfying rising demand requires
new systems and process to ensure supply
is safe and secure

Incorporation of intermittent power sources

will need more accurate forecasting, more
robust sensing equipment and more real
time monitoring

Management of smart equipment requires

new processes to ensure accuracy and
reliability in the field with the need to move
towards distributed system management

2010 Oracle Corporation Proprietary and Confidential

A Closer Look
! Ageing Infrastructure and Changing / Ageing Workforce
Optimizing the risk and return of your assets

The balancing of costs and reliability require

new risk profiles to be managed for all assets in
the field to ensure minimal disruption to service

40-50% of the utility workforce is eligible for

retirement in the next 5 years so technology
must be used to automate previous manual
processes

Being able to schedule resources to the right

place at the right time with the right skills and
equipment will become key to managing the
new network

2010 Oracle Corporation Proprietary and Confidential

A Closer Look
!

Meeting the Changing Customer Expectations

Interacting with consumers in new ways

The engagement model for consumer is proactive

enabling them to make decisions about energy and
water usage through a variety of channels

The need for more product choice and bundling

capability, engaging the customer in the value
chain for programs such as green energy or
demand side management

The need to have efficient and cost effective

customer care processes while dealing with a
change to real time information and increased
options

2010 Oracle Corporation Proprietary and Confidential

A Closer Look
! Managing a complex application portfolio
The more you expose people to the data the more excited they get
How do you build applications and give
customers access for a future that is yet to
be defined?
How do you manage the 600x increase in
data, while minimizing the duplication across
the organization, ensure all functions have
the data they need in a timely manner?
How do you manage the new smart devices
to ensure security and timelines of updates,
with new applications and analytics
requirements?

2010 Oracle Corporation Proprietary and Confidential

Oracles Solution Strategy

Open

StandardsBased
Architecture

More
Value, Less
Complexity

More
Choice,
Less Risk

More
Flexibility,
Less Cost

Architecture for the Transformational Utility

Utility Customer Management Portals and Apps

Spatial and Utilities Analytics: Powered by OBIEE

Customer

Meter

Grid

Interoperable
applications on a
smart platform

Smart Grid Gateway

leveraging
open standards
technology for
integration

Utilities Integration Platform: Powered by Oracle

Fusion Middleware 11g

running on the
worlds best
hardware

2010 Oracle Corporation Proprietary and Confidential

Oracle Utilities Cyber

Security Platform

Enabling new
consumer models
with Self Service
and BI

Oracle Utilities Smart Grid Appliance:

Powered by Exadata

Open SmartGrid Platform

Enabling the EnergyCloud
Innovative Spatial visualization and mash-ups
Business Intelligence
Real-time Decisioning
CC&B

Common
Technology

MDM

Common Integration Platform

Powered by SOA & Industry Standards

Mobile

Architecture for the Transformational Utility

Utility Customer Management Portals and Apps:
Powered By Web Center

Enabling new
consumer models
with Self Service
and BI

Customer

Interoperable
applications on a
smart platform

MicroGrid

Metering

Supervisory Control
System

Energy Advisor

Network
Management

Advanced Energy
Management

Smart Grid Gateway

leveraging
open standards
technology for
integration
running on the
worlds best
hardware

Oracle Utilities Cyber

Security Platform

Spatial and Utilities Analytics: Powered by OBIEE

Utilities Integration Platform: Powered by Fusion

Middleware
Oracle Utilities Smart Grid Appliance:
Powered by Exadata
49

2010 Oracle Corporation Proprietary and Confidential

Oracle Member in Industry Standards Groups

AMI/HAN Research Group

TC 57
IEC TECHNICAL COMMITTEE

Deliver Foundation for Utilities Integration

OBJECTIVE Provide a leading
integration platform and fully integrated
Oracle Utilities Suite of applications on
top of that platform.

APPROACH Leverage and expand AIA

Utilities Foundation Pack to include CIM
and MultiSpeak compliant object
definitions and message structures.

Foundational Objects from CIM

BENEFIT - Oracle Utilities Foundation

Pack (Reference Process Models and
Common Objects) will deliver
integrations based on Oracles leading
Fusion Middleware and comprehensive
industry domain coverage.

Reference Process Models

Industry Standards
Message Structures from CIM
Oracle Corporation Internal Proprietary and Confidential

The Oracle Smart Grid Suite

Oracle Utilities
Network
Management

Oracle Utilities
Customer Care and Billing

Oracle Hyperion

Oracle Utilities
Load Analysis

Oracle AutoVue
Oracle Governance,
Compliance & Regulation

Oracle Utilities Work and

Asset Management

Communications
Systems

Oracle Utilities Mobile

Workforce Management

Communications
Systems
Consumer
Energy
Technologies

Oracle Utilities Meter Data

Management

Network
sensors
& controls

Smart
Meters

Oracle Utilities Meter Event

Management

Oracle AIA and Fusion Middleware / Smart Grid SOA

Oracle Primavera

Oracle Database

Oracle Spatial

Oracle Business
Intelligence

52

Oracle for Utilities Solution Footprint

CUSTOMERS
Customer Relations
BUSINESS INTELLIGENCE

Financial
Operational
Transactional

Billing

BUSINESS OPERATIONS
Metering

Field Service

Assets & Work

Projects

Networks

Supply

CORPORATE ADMINISTRATION
Financials

Procurement

Facilities

Human Resources

Supply Chain

More

INFRASTRUCTURE
Middleware

Integration, Business Process Design, Orchestration and Monitoring

Technology

Spatial, Database

53

Oracle Utilities Footprint

54

Process: Top to Bottom Support for Utilities

Support
& Training
Consulting

Leading Enterprise Software Vendor

#1 in CRM, HCM, EPM, Middleware, and more
Most scalable, reliable, secure infrastructure
Most complete range of on-demand and
on-premise deployment options

Applications

Middleware

Database
Operating
System & VM
Servers
& Storage

Built-In Utilities Capabilities

Interval based pricing (real time, TOI, CPP, event)
Industry Standard VEE
Integration with smart devices
Self Healing Grid
Field workforce optimization
Largest Software Assistance Team
64,500 development, support, and services professionals
145 countries

2010 Oracle Corporation Proprietary and Confidential

Oracle Utilities
A Global Business Unit of Oracle Corporation
Objective

Definition of Utilities Strategy

Global and Central point of INDUSTRY- Contact
Defines, develops, and offers utility Industry applications
Ensures entire Oracle stack meets utility needs
Engagement with Partners and SIs
Over 1800+ Utility experts globally

Richest Utility Application set

Best-in-Class Applications:
Complete Open - Integrated

Best in Class:
Best in Class: Customer
HRMS
Mgmt

Billing
Customer Info
Asset
Outage

Analytics,
Consumer
Insight

Smart Grid
Profile Mananagement
Complex Billing
Meter Data Mgmt
Quotation Mgmt

The preceding is intended to outline our general

product direction. It is intended for information
purposes only, and may not be incorporated into any
contract. It is not a commitment to deliver any
material, code, or functionality, and should not be
relied upon in making purchasing decisions.
The development, release, and timing of any
features or functionality described for Oracles
products remains at the sole discretion of Oracle.

2010 Oracle Corporation Proprietary and Confidential