G.E.T. Smart - Smart Grid: IBM Presentation

© Copyright IBM Corporation 2006© 2009 IBM Corporation

Energy and UtilitiesSolutions

WITA Smart Grid Session

April 6, 2010

IBM Global Energy and Utilities Industry

© Copyright IBM Corporation 20092

Energy and Utilities Solutions

Market Forces

Evolving Energy Value Chain

IBM’s approach to the E & U industry- IBM Solution Portfolio

- Solution Centers, Research & Thought Leadership

IBM Smart Grid Maturity Model

IBM & PNNL - Olympic Peninsula Project



Market forces are impacting the landscape of utilities around the world, requiring the transformation of industry business models.

Increased pressure on operational efficiency and workforce productivity

Climate change and environmental concerns

New entrants and disruptive technologies

Aging asset performance with increased expectations on reliability

Growth in renewable generation and distributed resources

Increasing desire by consumers for a role in energy management and conservation

Industry pressures



Market forces & convergence of more active customers has created the need to evolve the traditional energy value chain

Traditional Industry Value Chain



Towards an industry model with multidirectional flows of information



IBM’s Energy and Utility Solution Portfolio addresses a utility’s business and technology needs across the full energy value chain.

De

liv

ery

Op

tio

ns

Power Generation

Optimization (PGO)

Plant OperationsFleet OptimizationSupply Expansion

Transmission & Distribution Operations

Mobile Workforce MgmtAsset Lifecycle MgmtSupply Chain Mgmt

CorporateSupportServices

Human ResourcesAccounting

Payroll

Customer Operations Transformation (COT)

Customer CareCustomer Management

Customer Systems

Intelligent Utility Network (IUN)

InfrastructureServers, storage, communications networks and equipment and associated services

Solution Architecture for Energy& Utilities Framework (SAFE)

Physical and Cyber Security

IUN Communications NetworksIUN Security

Smart Meter & BeyondGrid Operations

Electric Vehicle/Distributed Energy Resources



IBM has worked with clients around the world to develop solutions which transform the energy value chain.

CenterPoint Energy

Consumers Energy

AEP

Ontario Energy Board

Enemalta

ASM Brescia

MVV/City of Mannheim

EnBW

EDISON

Red Electrica de Espana

Ecotricity

Country Energy

Energy Australia

DTE Energy

DONG Energy

OncorProgress Energy

Pacific Northwest National Laboratory

San Francisco Public Utilities Commission

Austin Energy

Guangdong Dapeng LNG



IBM E&U Solution Strategy Comprehensive Industry Knowledge and Analysis.

Solution-Driven Strategy- Smart grid enablement

Modeling, analytics and optimization

Renewable and EV integration, optimization

Demand response Interoperability frameworks

and messaging Cyber-physical system

security- Intelligent buildings and green data

centers- Battery storage for EV- Chip and server systems power

management

Solution Centers - Solution Experience Lab at IBM

Austin - E & U Solution Center at IBM La

Gaude - China Development Lab E & U

Solution Center

Joint research and pilots- Regional Demonstrations, National

Labs, Universities, Industry/Client partners.

Committees and standards- DOE GridWise Architecture Council- NIST SG Working Groups- ISO, IEC, IEEE, …



IBM Research is using its considerable capabilities to tackle important smart grid challenges.

High-Impedance Fault Detection and Characterization

Develop a real time analytics engine for electric power grid diagnostics and optimization based on event data flows to and from sensor, actuator and control systems in the power grid

Outage Root Cause Analysis

Enable electric utilities to more quickly repair outages by rapidly identifying and repairing damaged network components using general outage root cause analysis regardless of the type of fault

Integrated Distribution Outage Planning

An innovative software offering to help utilities create an optimized outage plan using analytics and optimization engines to plan the time frame and load transfer paths for outages.

Pacific Northwest Olympic Peninsula and Smart Grid Regional Demonstration Projects

Demonstrate demand response to optimize the management of distributed energy resources. Develop new smart grid technologies in systems of systems architecture and interoperability, demand response, renewable integration, market-based system design, and social computing.



Pacific Northwest National LaboratoryAiming to empower utility customers

Business challengeAs part of the U.S. Department of Energy’s GridWise® Program, the Pacific Northwest

National Laboratory (PNNL) wanted an innovative way to keep the electrical grid healthy

in times of stress by managing electrical demand through a combination of intelligent

technology and financial incentives.

SolutionPNNL set up two parallel studies.

1. Smart appliances study: Tested “smart” appliances that could sense & respond to stress on the grid by temporarily curtailing electricity use.

2. Virtual marketplace study: Created a virtual marketplace that allowed consumers to trade flexibility in usage for lower costs.



Pacific Northwest National LaboratoryAiming to empower utility customers

Olympic Peninsula Project: Using the free market to manage demand Teamed with IBM (IBM Waston Research Lab, running IBM

WebShere Application Server).

Consumers were able to trade flexibility in usage for lower costs.

Preferences were set by customers with the ability to override at any time.

Direct control over customers’ energy use on an individual basis

Modify thermostat & water heater settings remotely in response to market rates & customer preference.

Benefits 50 percent reduction in short-term peak electricity distribution loads,

helping to avoid power restrictions and cascading blackouts

15 percent decrease in overall peak loads in the course of one year

Consumers saved an average of 10 percent on their electricity bills

Projection: US$70 billion reduction in infrastructure spending over 20 years through better management of existing resources

Solution Components

IBM WebSphere®

Application Server Prototype Internet-scale control from the IBM Watson Research Labs

“We’re finding that people are actually curtailing their use and saving energy simply because they have greater control.”

– Don Hammerstrom, project manager, Pacific Northwest Gridwise Demonstration Projects

Education

G.E.T. Smart - Smart Grid: IBM Presentation