Innovating relationships behind the meter

1. Utility Digitization Leading With Customer Centricity
Track 2: Customer Centricity - Innovating Relationships Behind the
Meter Overview
Grid Edge Innovation Summit: June 20, 2018
Elta Kolo, Ph.D
Research Manager, Grid Edge
kolo@gtmresearch.com

2. 1Grid Edge Innovation Summit: June 20, 2018
Utilities are embarking on a digital data-driven transformation
Distributed Energy Resources (DERS)
Flexible
Loads Combined
Heat &
Power
Generator
Sets
Solar PV Fuel Cells Wind Energy
Storage
Electric Vehicles
Volt/VAR
Equipment Microgrids
72
Home Energy Management
Technologies
72
Smart Thermostat
DATA
Customer
Operations

3. 2Grid Edge Innovation Summit: June 20, 2018
The ideal digital ecosystem
Source: GTM Research
Grid Edge Customer Analytics
• Revenue Assurance
Grid Edge Network Operations
• SCADA
• OMS
• DMS
• DERMS
Grid Edge Network Analytics
• VVC
• Switching
Utility Back Office
• CIS
• Data Management
Feeds and receives data
Customer Portal
• Rate and Pricing Optimization
• Energy Efficiency Engagement
• DER Marketplace
• Outage Communications
Key Data Sources
• Smart Metering
• Remote Terminal Units
• Weather
• Demographic
• On-site audits
Provides Outage and DER
Opportunity Data
DER registration and
customer preferences
Support omni-channel
communications with
customers
Feeds and receives data
Provides customer-level DER
resource data
Interconnection study results,
set-point and dispatch orders

4. 3Grid Edge Innovation Summit: June 20, 2018
The ideal digital ecosystem
Source: GTM Research
Grid Edge Customer Analytics
• Revenue Assurance
Grid Edge Network Operations
• SCADA
• OMS
• DMS
• DERMS
Grid Edge Network Analytics
• VVC
• Switching
Utility Back Office
• CIS
• Data Management
Feeds and receives data
Customer Portal
• Rate and Pricing Optimization
• Energy Efficiency Engagement
• DER Marketplace
• Outage Communications
Key Data Sources
• Smart Metering
• Remote Terminal Units
• Weather
• Demographic
• On-site audits
Provides Outage and DER
Opportunity Data
DER registration and
customer preferences
Support omni-channel
communications with
customers
Feeds and receives data
Provides customer-level DER
resource data
Interconnection study results,
set-point and dispatch orders

5. 4Grid Edge Innovation Summit: June 20, 2018
The ideal digital ecosystem
Source: GTM Research
Grid Edge Customer Analytics
• Revenue Assurance
Grid Edge Network Operations
• SCADA
• OMS
• DMS
• DERMS
Grid Edge Network Analytics
• VVC
• Switching
Utility Back Office
• CIS
• Data Management
Feeds and receives data
Customer Portal
• Rate and Pricing Optimization
• Energy Efficiency Engagement
• DER Marketplace
• Outage Communications
Key Data Sources
• Smart Metering
• Remote Terminal Units
• Weather
• Demographic
• On-site audits
Provides Outage and DER
Opportunity Data
DER registration and
customer preferences
Support omni-channel
communications with
customers
Feeds and receives data
Provides customer-level DER
resource data
Interconnection study results,
set-point and dispatch orders
Utilities are digging farther into data analytics in order to:
1.Get a better understanding of what data they have where
2. Better approach reducing the number of platforms
3.Utilize data science to improve internal capabilities

6. 5Grid Edge Innovation Summit: June 20, 2018
Building blocks of digitization: the data
Data lakes
Formal channels
• smart meters
• submetering technologies
• billing and workforce management,
• operations and maintenance
• behind-the meter connected devices
• Etc.
Informal channels
• call centers
• site visits
• program enrollment
• online website traffic
• etc.
The deluge of data: the digitization foundation
When considering customer meter data,
utilities have gone from 12 meter readings
per year to daily readings of data in 15
minute intervals with the deployment of
AMI.

7. 6Grid Edge Innovation Summit: June 20, 2018
Sample taxonomy of enterprise analytics vendors
part of the utility back office operations connecting
to a variety of data sources
• Breaking down the data silos
• Improving organizational efficiency
• Increasing productivity
Building blocks of digitization: data sharing and management
Data sharing and management—the big strategic and necessary spend
The utility back office
• Customer information system
• Enterprise asset management
• Geographic Information System
• Enterprise analytics platforms
• Databases
Data sharing and management
Additional considerations in deploying enterprise analytics
• Consulting services
• System integrators
• Deployment in the cloud

8. 7Grid Edge Innovation Summit: June 20, 2018
Building blocks of digitization: data driven business decision making
Utility analytics roadmaps and data driven business decision making
Utility analytics roadmaps and data driven
business decision making
The C-suite
• Achieving policy and regulatory goals
• Capital management
• Etc.
Emerging sense of urgency to make
investments in enterprise analytics
• Investments to date have been
primarily directed by state utility
commissions initiatives seeking to meet
aggressive state-wide goals on a strict
timeline.
• More recently, customer driven behind
the meter DER adoption.

9. 8Grid Edge Innovation Summit: June 20, 2018
Digitization building blocks in practice—the New York Energy Manager
Data lakes
Utility analytics roadmaps and data driven
business decision making
Data sharing and
management
Born to accelerate BuildSmartNY initiative—
collectively reduce average energy use
intensity 20% by 2020 state-owned and
state-managed buildings.
Software deployed at a network operations
center in Albany, and integrate meter data
with building operational data, weather
data, and energy market data to enable
identification of energy-saving actions.
Energy performance data from 11,000
buildings across NY State, this includes
meter data at 15 min intervals
• Monetizing data for the
utility and customer
• Enabling new utility
business models
• Moving toward a
distributed system platform
• Customer choice

10. 9Grid Edge Innovation Summit: June 20, 2018
The customer as a catalyst for a digital business transformation 1/2
ConsumersCustomersRatepayers
Passive InteractiveActive
Residential Customer Evolution
• Price
• Experience
• Quality
• Choice
• etc.
Thinking outside the box for core innovation
 GTM Research estimates 55 million smart thermostats would be installed
in 28 percent of U.S. residential households by 2023.
 Since 2015, there has been a surge in the number of utility-branded DER
marketplaces—95% of customers on a marketplace are residential.
Opportunity:
• Engage with customers
• Influence adoption

11. 10Grid Edge Innovation Summit: June 20, 2018
The customer as a catalyst for a digital business transformation 2/2
Example Operational Efficiency Measures
Capital Projects for Energy Efficiency
Source: GTM Research, Duke Energy
Analysis &
recommendations
Representative Architecture of Energy Efficiency Engagement Solutions
*selectively included
Software applications
Data
processing,
storage &
analytics
Utility bill/meter data Weather data* Parcel data* Customer-reported data* Building load
disaggregation
Scenario modeling
and rate optimization
Remote auditing
Lead generation
Planning
Operation
Capabilities for Customer Engagement Platforms
Increasing Complexity
• Equipment runtime
• Optimize temperature
• Eliminate unnecessary lighting hours
• Optimize building or room occupancy schedules
• Optimize economizer operation
• Etc.
Over the past decade, there’s been a surge in
utilities offering C&I customers universal access
to customer engagement software platforms.

12. 11Grid Edge Innovation Summit: June 20, 2018
•54% EE engagement solutions
•31% DER marketplaces
Engaging the customer: grid edge customer analytics
US deployments in grid edge customer analytics 2014 to 2017
Energy Efficiency Engagement
259 deployments
Outage Communications
14 deployments
Rate and Pricing Optimization
16 deployments
Source: GTM Research Data Hub
DER Marketplace
147 deployments
Revenue Assurance
13 deployments
Customer O&M
13 deployments

13. 12Grid Edge Innovation Summit: June 20, 2018
Grid edge customer analytics integration and consolidation
Customer Portal
• Rate and Pricing Optimization
• Energy Efficiency Engagement
• DER Marketplace
• Outage Communications
Submarket Most Commonly Occurring Integration
Also Occurring
Integration
EE Engagement
• CIS
• MDM
• DRMS
• DERMS
• HEMS
• MDM
• DR Aggregation
• DER Services
• Data Management
Revenue Assurance
• MDM
• Data Management
• CIS
• Utility Network Operations
• Utility Back Office
Outage
Communications
• OMS
• Predictive Outage and Reliability
• GIS
• CIS
• Utility Back Office
Source: GTM Research
Integration Examples
Single sign on?
Solutions spanning across Grid Edge Customer
Analytics interact with various utility lines of
business, their systems, and solutions. Hence,
vendors push for tight integration.

14. 13Grid Edge Innovation Summit: June 20, 2018
1.Customers have embraced a digital ecosystem
2.Big data analytics will drive success in customer acquisition and retention
3.Technology investments need to be nimble, scalable and open
4.It is not enough to offer customers access to a tool
5.Each utility’s adopted set of solutions will be unique
6.DER marketplaces as the channel to the home offer opportunities
The road ahead to digitization: key takeaway as utilities lead digitization efforts customer engagement

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Thank you!
Grid Edge Innovation Summit: June 20, 2018