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Using Data to Improve Planning, Analytics and Operations A Utility Perspective

Presented by: Karen Lefkowitz Vice President, Business Transformation July 29, 2014 Pepco Holdings, Inc. Quick Facts • Incorporated in 2002 • Service territory: 8,340 square miles • Customers served – Atlantic City Electric: • 545,000 – electric – Delmarva Power: • 503,000 – electric • 125,000 – – Pepco: • 793,000 – electric • Total population served: 5.6 million Smart Grid Devices and Technologies

Customer Meter Collector Substation Central Operations PJM

Home Intelligence Feeder Automation Substation Automation Transmission Automation

Advanced Metering • Smart Meter Infrastructure

• Automatic Sectionalizing & • Automatic Circuit (ACRs) Restoration (ASR) scheme • Automatic Sectionalizing and Tie • Substation Local Area Network Switches • Microprocessor, or ‘Smart’ Relays Distribution • Advanced Voltage Control • Application Servers Automation • VAR Control / Capacitors • Smart Monitoring & Controls • Network Protector Monitoring & Control • Distributed Smart Remote Terminal • Network Cable / Vault Monitoring Units (RTUs) • Smart Remote Terminal Units (RTUs) • Voltage Control, Substation-Level by • Fault Detectors Smart Relays or EMS

• Synchrophasor • Motor Operated Disconnect (MOD) Transmission • Dynamic Ratings Automation • State Estimation • High Voltage Direct Current (HVDC) • Static VAR Compensator (SVC)

Demand Response • Smart Thermostat (DLC & Dynamic • In-Home Display Rates) • Plug-In Hybrids

Distributed • Micro-generation (solar, wind) • Upgrades to monitor DG • Upgrades to monitor DG Generation • Electric Vehicles/Vehicle-to-Grid

• Smart Appliances Energy Efficiency • Weatherization 4 Analytics in Progress/Planned

• Grid Analytics  Conservation Voltage Reduction  Remote Disconnect/Reconnect  Outage Detection/Restoration Verification  Enhanced Revenue Protection  Volt/Var Management and Control  High Temperature Detection  EV Charging Evaluation/Detection

• Reliability Analytics  Dynamic SAIDI and SAIFI  Improved Integration

Focus is shifting from installing the infrastructure to implementing new uses for the customer and improving operational efficiency

Analytics: AMI Data to Information – Successful Results Achieved During Derecho Event . AMI meters sent “last gasp” messages, which were processed by the OMS similar to a customer call . “Last gasp” messages help predict the location and extent of outages . Company personnel can determine if there is line side power at the customer’s meter by “pinging” the meter . 3300 events were closed through the use of pinging . Assists in optimizing crew dispatch

AMI outage detection continues to meet our expectations; further integration into the restoration process planned. 6 Analytics In Progress/Planned

• Asset Management Analytics o Increase Asset Monitoring (sensors) o Loading o Enhanced Maintenance/Replacement Practices

• Customer Analytics o Critical Peak Rebates - Peak Energy Savings Credit (PESC) o Enhanced

• Load Analytics o Load Forecasting o Load Profiling o Load Settlement

Peak Energy Savings Credit Program Introduces a new rate structure with a credit option designed to incent customers to reduce consumption during Peak Energy Periods 1 Peak Energy Savings Credit Enrollment 2 Initiate Peak Energy Period / Notify Customers

Active Notifications

. PHI defaults a customer to Text

PESC rate E-mail

. Voice Customer sets notification . PHI Power Procurement initiates a preferences or opts-out of the Customers have three options – Peak Energy Period for the next phone, text or email – but they may Dynamic Pricing rate (through business day only choose 2 out of the 3 My Account or a CSR) . Customer receives notifications based on his preferences

3 Customer Views Peak Energy Period Results 4 Customer Receives Dynamic Pricing Bill

Load Analysis Module (LAM) . A Dynamic Pricing customer will see interval information in the meter section, a Peak Energy Credit table with event information and Peak Energy Credit savings . Event results are information visible to the customer on the Aclara modules, accessed through My Account 2013 PESC Program Performance Delmarva Power Delaware Event 1 Event 2

Total DSM Reduction (KWh) 684,857 572,285 Average Per Hour Reduction (KWh) 171,214 143,071 Average Rebate $5.38 $5.42 % of Customers Participating 65% 56%

Pepco Maryland Event 1 Event 2

Total DSM Reduction (KWh) 1,588,513 718,924 Average Per Hour Reduction (KWh) 397,128 179,731 Average Rebate $5.96 $4.99 % of Customers Participating 81% 59%

Customers saved 3.5 million kWh and $4.5 million in bill credits; 76% said they would participate in the future Preliminary Analytics on Distribution Local Distribution System Impact

Transformer Overload Conditions Identified • Potential overload condition identified. • Drill down data analytics may identify potential source of overload. • Field assessment required to assess transformer loading conditions.

Transformer Loading Approaching 90% of

Max Capacity • Possible overload condition identified. • Continuous monitoring required to assess probability of future overloads.

No Overload Conditions Identified • No signs of transformer overloading identified. • Continuous monitoring but no immediate need for preventative assessment. Unmanaged EV charging can create reliability problems for utilities….. Local Distribution System Impact

2 EV = 1 • EV load is equivalent to ½ of full home load, so adding EVs house’s load may overload local transformers • Older, more established neighborhoods with higher Residential concentrations of EVs will be particularly at risk) Washington, DC1 Local Peak Load Increase

297 Vehicles • Most drivers will return home and plug in between 4-8 PM, resulting in an increase to the normal afternoon peak • Uncontrolled charging will create the need for additional Infrastructure and result in longer and higher • Potential for Impact to Distribution System reliability

Residential Operational Needs San Diego, CA1 725 Vehicles • Metering EVSE as separate load for Innovative Rates • Back-office integration of EVSE for control, billing • Remote diagnostics for lower maintenance costs • Ability to manage charging in pockets to prevent stress on the Distribution System • Need to validate the accuracy of on-board metering in EVSE in order to eliminate the need for a second AMI meter

The EV Project Report, Q1 2013, US DOE1 11

Near-Term Opportunities & Some Possibilities

• Customer to Transformer Validation • Phase Balancing • Customer Phase Connectivity Validation • Distributed Cap Bank Management • Circuit Configuration/Load Balancing • Geo-location Corrections • Smart Appliance Interface & Monitoring • Customized pricing programs

12 Approaching the New Analytics

• Develop a Clear Vision – Increase the Role of Real time Data into the Planning, Construction and Operation of the Grid

• Develop an Analytics Roadmap – Use Case Development

• Transformation of the ‘Department’ based View to an ‘Enterprise’ View – Stakeholder Enrollment with Effective Change Management

Traditional Thinking Must Change . Old ownership model needs to change . Data must become information . Integration of information becomes the new normal

Skill sets are changing . Transactional must become transformational . Data Scientists will be increasingly important . Integration of utility data with outside data will become the norm