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Future of Connected Energy

UC Santa Barbara Energy Efficiency Summit

Paul De Martini
VP/CTO, Connected Energy Group

26 April 2011
Four Megatrends That Will Shape Energy

Aging Population & Internet of Things.. Growth


Urbanization of people connected
(human network)

Infrastructure is aging Clean Energy /


and needs replacement Sustainability

Need to fully consider the 21st century energy


strategy, economics, and regulatory policies
Everything Becomes Connected

50 Billion

300 Million
Devices

2000 2005 2010 2020


A Future History of the Grid
“The future is already here, it’s just not evenly distributed.”
William Gibson

WAVE 1 WAVE 2 WAVE 3 WAVE 4


Sensing and Clean Internet Perfect
Response Generation of Things Power

 Smart Monitoring:  Solar / Wind: clean  Electric Vehicles:  Virtual Power


sensor networks generation rapid growth in PEV Plants: integrated
 Demand integration and via smart distribution distributed
Management: bldg transmission solutions and smart generation and
control systems,  Distributed endpoints smart endpoints for
HEMA, AMI, Generation: local  N-Way Smart Grids: increased reliability
variable pricing self-sufficiency for any-to-any smart grid  Distributed
commercial and enabling automated, Storage: grid-scale
residential property optimized power storage using
owners flows and resiliency distributed solutions
2010-2019 to manage grid
stability

2012-2025

2017-2029
Transformation of the Grid

Economics

Policy Technology
Value: Allocation Matters
~ $35B Total Net Value Potential in GA, CA, TX

Value potential – GA, CA, TX Allocation of value – GA, CA, TX

62.5 27.5 44
35
17.5
14.3

Value- Costs Net -1.5


at- societal
stake value
creation -32.5
Customer Uncaptured
value gain Retail T&D Gen. value
value gain/ value value
loss gain loss

Source: Cisco
Figures are in $Billion and represent the average for GA, CA, TX based on 15-year PV from 2010-2025
Smart Grid Security Lifecycle
Increased Regulatory Compliance Requires Holistic Approach

Information & Communication


Technology & Energy Technology
Security Security Architecture & Business
Architecture Process Designs
& Design

NERC-CIP & NIST Cisco Products’


Guideline driven Security Standards
Risk Based Product
Operational Risk Compliance & System
Threat & System
Based Threat Level Penetration
Assessment Security Testing
Assessment

Real-time Threat Operational Governance,


Management, Incident & Training, Controls,
“Cyber Ops” Operational
Vulnerability Assessments & Documentation, Reporting &
Threat & Project
Mitigation, Coordination w/ Audits
National Cyber Clearinghouse Management Compliance
Smart Grid

Utility
Operations
the
energy network
platform

Smart
Connected
Smart Homes Buildings