James BarnesUtility Customer Service AdministratorCity of Tallahassee Utilities

Smart Meters The Impact on Customer

Service Operations

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Overview•Approximately 195,000 Elster electric, water and gas meters and modules have

been changed out and 315 backhaul Gatekeepers have been installed throughout the City’s service territory. We will eventually install 213,000 smart meters and modules.

•The CoT service territory is spread between 3 counties. Most customers receive all 3 metered services, but some have only one or only two of the metered services.

•The Gatekeepers have been integrated with cable fiber (270), city fiber (13) and wireless(32) back haul systems.

•The 3 backhaul systems are integrated with the AMI “head end” system.•The head end has been integrated with an Aclara Meter Data Management (MDM)

database.•The MDM is integrated to the CoT web portal (e+ Online, Aclara)•From e+ Online, customers can view their current as well as historical bills and

usage for all 3 metered services plus sewer, solid waste, fire and stormwater services.

City of Tallahassee Utilities Smart Grid

•Also from e+ Online customers can pay their bill, utilize a rate comparison tool to choose the best rate for their lifestyle and look at weather data and consumption in the same graph.

•CoT has used this infrastructure to launch a residential TOU rate plan and a bill-to-date program.

•Electric meters provide 30 minute interval data. Gas and water provide interval data each hour.

•CoT has done both smart thermostat and in-home display pilots that were integrated with the meter and utilized interval data.

•Within the next 12 months there are plans for at least one more TOU plan (probably commercial), a Pre-pay plan, water leak detection and advanced meter theft detection analytics.

•MDM data has already been used by the city as well as a few larger commercial customers to look at historical usage data to determine if their energy savings programs were effective.

City of Tallahassee Utilities Smart Grid

Installation of advanced meters and network infrastructure capable of process communication and automation that serves as the enabling infrastructure to improve meter to cash process efficiency and to provide customers improved visibility to when and how they use energy.

• AMI • Dynamic Pricing and Billing• SmartNet Metering • Customer Portal

Initiatives are being classified differently

• Fault Detection, Isolation and Response (FDIR)• Substation and Feeder Monitoring• Volt Var Control• Phasor Measurement Units

Incorporation of advanced communications and real-time data into the operation and maintenance of the transmission and distribution power system to improve coordination between energy supply and demand and enable a more efficient, secure and reliable system.

Initiatives are being classified differently

Strategic integration of the consumer, the utility and third party providers through advanced devices such as Home Area Networks, smart appliances and micro generation to enable and empower customers with more choices in how they fulfill their energy needs.

• On-Premise Devices• Micro Generation• Value Generation

Beyond the Meter

Initiatives are being classified differently

Utility Impact Summary

Utility Stakeholder Group

Customer Service

Marketing and Product Development

Distribution

Transmission

Generation

Energy Trading / Energy Procurement

Information Technology

Regulatory / Corporate Communications

HR / Finance

Supply Chain

Context, Organizational, Process, Technology / System, Physical, and Cultural Changes

Tailoring Impacts for Call Center

Workforce Strategy Change in nature of job?

Work Volume?

New Skills?

New BehaviorsRequired?

Illustrative Detailed Impacts Overall Impact

Customer Service Support (e.g., Call Center Rep)

Smart Meter

• Direct ties to customer experience changes: service to energy efficiency advocacy and sales including a broad understanding of what customers have access to and what information is being shared with them by utility or other groups (i.e., Google, Portals, etc.); Call volume shifts and AHT increases

• Due to new billing process and structure, having additional customer information, supporting different customer inquiries (i.e. from billing disputes to energy usage) will require more robust communication, situation handling and data interpretation skills. For example, customer service may need to read and interpret the new hourly online consumption data from automated meter data reads to assist in customer queries.

• Increased accountability and control; now responsible for physical customer requests (connect / disconnect / meter read) that previously required a service order or truck roll; new procedures and policies

• Staging implications as meters deployed may suggest organizational restructuring to support

Smart Grid

• Understand broader Grid strategy and deployment approach to respond to customer inquiries using an advocacy approach

Beyond the Meter

• Potentially implies a dramatic shift in customer experience and engagement levels; If the utility business model moves beyond the meter, customer service call centers will likely be the first level of escalation associated with technology and device support

• Customer support complexity increases with additional devices, programs, ; increased troubleshooting and problem solving using available data and customer information

• Potentially new organizational model, roles, accountability, policies and procedures

• In home devices will allow customers to be more informed on their energy usage, the customer service representatives may need to be more educated in energy usage best practices in order to support inquiries.

Tailoring Impacts to Distribution Field Operations

Workforce Area Change in nature of job?

Work Volume?

New Skills / Knowledge?

New Behaviours Required?

Detailed Impact Overall Impact

Distribution Field Operations (e.g., Linemen / Field Crews, Designers, Estimators)

Smart Meter

• Emergency response teams will be able to confirm restoration and identify nested outages utilizing Smart Meter data.

• Transition of accountability for restoration and disconnects; service order shifts

Smart Grid

• Technology that sits in the field will require change in technical skill sets for installation and maintenance. Depending on the level of automation and level of capabilities of the technical devices being installed, field technicians may require a to troubleshoot more complex tasks and issues in the field.

• Device installation and investment in expanded / upgraded grid infrastructure will spur initial demand for field resources.

• With better asset data and planning, there may be an increase in preventive maintenance as information is available to predict failure before it occurs. Field deployment may change as a result from outage restoration to outage prevention; Increased linkages between forecasting, planning, scheduling and work execution.

Beyond the Meter

• May shift role of field crews in maintaining and working with “in home” activities and distributed generation

Key Considerations

• Business areas that will need to change.• Short-term and long-term organizational, process and

governance structures that will need to change.• New skills and behaviors.• Who is impacted by these changes and who will influence

success.• The perceptions, motivations and expectations of

impacted individuals and groups.

Identify:

Organizational Changes

Field Service• Changing workloads• Changing staffingneeds• New skills

• Technical skills• Telecom skills

Contact OperationsContact Center• Changing workloads• Greater work complexity• New skills (tools, diverseutility programs)

Meter to Cash• Meter data managementsystem (MDMS)• Data mining (revenue assurance, billing quality)

Technical SystemsOnline Communications• Greater workload

• Customer tools• Automated processes• Exception management

Network Operations• IP network management

• Be cautious about the term “real time.” Most data is actually sent in a batch fashion and most is “current” as of 12 am. It is not up to the minute/second.

• Be cautious about 100% reliance on the technology, sometimes previous business practices will become important if you have part of your system down for any length of time.

• Utilize water data for leak detection as soon as you can, customers will expect this as will the utility staff.

• If the reconnect does not work, troubleshooting the network can take time. You will need a manual backup plan.

Technical Challenges

• The technology is only as good as your business practices around it.• You will need a platform (web-based for example) to provide them with their usage

data very quickly after deployment. They know you have the data and will expect you to share it.

• The sharing of residential data is pretty straightforward. Non-residential and demand based will be more complex.

• Usage data still needs to be seen and available at the meter.

Technical Challenges

Components Seven distinct but inter-related components are key to successfully moving the organization through the change.

1. Leadership

2. Culture

3. Stakeholder Management

4. Communications

5. Organization Design and Alignment

6. Talent Management

7. Training and Transition to Operations

Develop Change Management Plans and Strategies

Develop Change Management Plans and Strategies

Areas of Focus

Ongoing

What leadership capabilities are needed to enable and support the deployment and lead the organization in the future?

• Clearly articulate the vision for the change• Create enthusiasm for the change• Reinforce direction and rationale• Own the successes and roadblocks of the

program• Allocate resources as required• Make timely, informed decisions• Clarify priorities to enable excellent

execution• Deliver benefits realization

Successful Leaders

Leadership

Have talent requirements been assessed and identified? Are there talent gaps in the existing organization and is there a plan to attract and retain?

1. Leading and Managing Change at Speed

2. Stakeholder Relationship Management

3. Data Management and Analytics

4. Root Cause Analysis and Problem Solving

5. Disciplined and Rigorous Program Management

Core Competencies

Specialized Skills and Knowledge

Five Core Competencies are emerging as key to success:

Copyright © 2010 Accenture. All Rights Reserved.

Focus and Complexity

Observations• Technical upgradeability is imperative given still-evolving standards and robust

innovation in the energy industry• Consumers need to be informed and assured of the very high level of accuracy and

security built into smart metering technology• Smart metering drives deep change in the utility’s relationship with customers

– Smart metering lays the technical foundation for customer awareness of, and active engagement in, their energy use

– The utility must actively educate its customers on this change starting from a starting point of low energy awareness

• Smart metering initiates a process of deep change in the utility itself– New sources of customer value– New activities, organization, and skills

• Change is evolutionary (“marathon not a sprint”); Change Management must be continual

Choices & Services

Questions?

New Rate Plans• Optional rate plans to

meet customer lifestyles, like Nights & Weekends Pricing

Nights & Weekends Pricing Plan

New Fuel for Our Economy

• Electric Vehicles can change the way we plan and operate utility systems

• New rate plans and Smart Grid interval data will be necessary to promote charging at off peak times and improve the efficiency of existing plant

Infrastructure Components

Web-Based Tool• On-line account

management with Up-to-Date cost and usage information

• Information for ALL services at your finger tips

• View Usage by month, day or hour

• Self-Energy Audit

e+ Online

e+ Online

e+ Online

e+ Online

e+ Online

e+ Online

e+ Online

e+ Online

Distribution Automation

Faster Outage Restoration• Distribution related outages

represent the majority of outages each year

• Distribution automation incorporates intelligent switching to better isolate faults

• The scope and duration of outages will be reduced

Energy Fitness• Smart Grid data and

analytics help energy auditors recommend the best ways to improve the energy fitness of homes and businesses

Free Home Energy Audits

Pay what you want, when you want

• Pre-pay for your utility services and receive daily updates via, e-mail and the web.

• Customized low balance alerts can be sent by text, e-mail, and phone.

Pay As You Go Pricing Plan

SmartBill• Paperless billing plan• Free electronic payment

option • Environmental and cost

savings• 30% residential

participation

Electronic Payments

Smart Grid Enabled Devices Can Benefit the Customer and the Utility

• Programmable Controllable Thermostats can maximize energy savings and work with Time of Use rate plans

• These and other similar devices can facilitate both price response and demand response programs designed to reduce peak demand

SMART Devices

Education• Useful information can

be shared with students about energy usage and production

Schools on Solar

Information for Decisions

• Using interval data along with other customer information, helpful recommendations can be provided to reduce energy consumption and save money

Solar Water Heater Rebates

Neighborhood REACH

New Forms of Energy• The Smart Grid will

enable customers and utilities to incorporate new supply side and demand side renewable resources into the future energy portfolio

Renewable Energy