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YOUR POWER DELIVERY MEDIA SOURCE
12 Save Money With
Substation Maintenance
22 Grid-Tied Wind Energy Systems
28 Distributed Energy
Storage and Utilities,
Commercial Buildings
Intelligent Load
Management
Intelligent Load
Management
T H E O F F I C I A L P U B L I C A T I O N O F
1310pg_C1 1 10/8/13 5:16 PM
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DNA

From SELCost-Effective
Distribution Automation
In todays changing energy environment, there is a need for distribution automation (DA) solutions that
offer exible, intelligent control over your network functions and provide the best return on your invest-
ment. DNA (Distribution Network Automation) from SEL is a distribution automation solution designed
to easily and cost-effectively integrate with your existing equipment, improve system reliability, and
restore service fast. SEL DNA is the only customized DA solution that works on both wide-area and peer-
to-peer systems. DNA gives you wide-area control for maximum exibility and high-speed, peer-to-peer
communication that operates in less than 20 milliseconds.
DNA is just one more way SEL gives you more control over your system. To discover more about the
advantages of a DNA solution from SEL, visit www.selinc.com/DNA.
1310pg_1 1 10/8/13 5:12 PM
PowerGrid International: ISSN 1547-6723,
is published 12 times per year (January,
February, March, April, May, June, July, August,
September, October, November and December)
by PennWell Corp., 1421 S. Sheridan Rd., Tulsa
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2013 by PennWell Corp. (Registered in U.S.
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Authorization to photocopy items for internal
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2 | October 2013
www.power-grid.com
OCTOBER 2013 VOLUME 18.10
25
Intelligent Load
Management
The Future of Demand-
side Management
SAICs Steven H. Winstead investigates:
Can load control provide more economical
integration of wind rather than building
expensive supply-side options in the future?
20 Knowledge is Power
Using Data Analytics to Drive Growth
Ernst & Youngs Mark Hirschey details how analytics can strengthen
the three key, interconnected parts of a utilitys business that fuel top-line
growth: the asset base, the customer base and the regulatory process.
22 An Economical Addition
to Grid-tied Wind Energy Systems
Louis Lambruschi of Parker Energy Grid Tie Division shares
the benefits of using a power conditioning system/battery energy
storage system in wind farms.
28 Utilities, Commercial Building Owners
Win With Distributed Energy Storage
Doug Staker of Demand Energy Networks Inc. explains that as
more commercial users install local storage systems, the power
grid begins to look like a network of virtual power plants.
34 Products 35 Calendar/Ad Index
36 From the Pages of Electricity History
From the Editor 4
Notes 8
Save Money With 12
Proactive Substation
Maintenance
Curt Hickcox of Public Utilities
Maintenance Inc. writes that
corrosion in the U.S. electric
T&D segment is $700 million annually. Dealing
with corrosion can be expensive, and dealing
with it after the fact only increases the cost. But
these expenses pale compared with the costs of a
failure and resulting service outage.
16 Increasing Revenue
With Advanced Metering
Author John Peters of Engage Consulting
writes that for new revenue opportunities, one
must consider what advanced metering enables
in product and service diversification.
31 Expectations of a Utility
Outage Management Website
Authors Eric J. Charette of Intergraph Corp. and
Len Socha of Wisconsin Public Service Corp. write
that verbal communication and providing services
to customers on a timeline that doesnt always
match normal business hours is the trend, so
utilities are investing significantly in their
external-facing websites to keep up with demand.
1310pg_2 2 10/8/13 5:13 PM
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Its easy to get hung up on what technology is better, faster, or newer when making
smart grid decisions. A truer measure of success is whether the technology you select
works reliably and effectively.
Thats why utilities that want a flexible and powerful smart grid system need eTWACS.
Aclaras eTWACS collects over 99 percent of meter reads and handles a wealth of
additional data, including interval reads, load control, outage data, billing, and
on-demand reads. How? The eTWACS protocol increases capacity through parallelism
and concurrent communications. With eTWACS, data moves simultaneously through
substations and over distribution feeders and buses without missing a beat.
Want to know more? Contact Aclara and find out how eTWACS can turn your power
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Whats the secret to
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Whats the secret to
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1310pg_3 3 10/8/13 5:13 PM
EDITOR IN CHIEF
Teresa Hansen
918.831.9504 teresah@pennwell.com
SENIOR EDITOR
Kristen Wright
918.831.9177 kristenw@pennwell.com
ONLINE/ASSOCIATE EDITOR
Jeff Postelwait
918.831.9114 jeffp@pennwell.com
GRAPHIC DESIGNER
Deanna Taylor
918.832.9378 deannat@pennwell.com
BUSINESS ADMINISTRATOR
Angie ODea
918.831.9431 angieo@pennwell.com
CIRCULATION MANAGER
June Griffin
918.832.9254 juneg@pennwell.com
SUBSCRIBER SERVICE
P.O. Box 3264, Northbrook, IL 63264
phone 847.559.7501
fax 847.291.4816 pgi@omeda.com
SENIOR VICE PRESIDENT, NORTH AMERICAN
POWER GENERATION GROUP
Richard Baker
918.831.9187 richardb@pennwell.com
PENNWELL CORP. IN EUROPE
PennWell International Limited
The Water Tower, Gunpowder Mill
Waltham Abbey, Essex EN9 1BN, United Kingdom
phone +44.1992.656600
fax +44.1992.656700
pennwelluk@pennwell.com
CHAIRMAN
Frank Lauinger
PRESIDENT/CEO
Robert F. Biolchini
SENIOR VICE PRESIDENT, FINANCE
& ADMINISTRATION (CFO)
Mark C. Wilmoth
1421 S. Sheridan Road, Tulsa, OK 74112
PO Box 1260, Tulsa OK 74101
Phone 918.835.3161 Fax 918.831.9834
pgi@pennwell.com
http://pennwell.com
POWERGRID International is the
offcial publication of
4 | October 2013
www.power-grid.com
EDITOR IN CHIEF
TERESA HANSEN
FROM THE EDITOR
Grid Technologies, Operators
Ensuring Ample, Reliable Electricity
You probably dont work at electricity generating units, but you should
be aware of recent fossil generation regulations and initiatives that will reach
beyond generation into power delivery and customer engagement.
The Environmental Protection Agency (EPA) on Sept. 20 released pro-
posed pollution standards for new fossil-fired power plants, which, if
approved, will require new coal-fired generating units to emit far less carbon
dioxide (CO
2
) than existing plants. The proposed limits are so tight that new
plants could reach them only by implementing carbon capture and storage
technology, which is still unproven and expensive. In addition, the same
rule proposes limits for natural gas-fired plants CO
2
emissions that are some
20 percent higher than current average emissions. Its easy to conclude that
most new fossil plants will burn natural gas.
A few days after the EPA announcement, the Intergovernmental Panel on
Climate Change, a United Nations-sponsored group of the worlds top scien-
tists, completed a climate change report. The full report hasnt been released,
but a summary is available in which the panel endorses a carbon budget.
If adopted, it would restrict coal plant emissions even more.
The Clinton Global Initiative, a nonprofit founded by President Bill
Clinton to address world challenges including climate change, held its
annual meeting recently. One of the main agendas covered building resilient
cities and coastlines. Clinton, former Vice President Al Gore and New York
City Mayor Michael Bloomberg among others spoke about global warmings
contribution to extreme weather events and coastal flooding. They called for
greater restrictions on coal-fired plants and more renewable energy.
These rules and calls to action are the latest on a growing list that will
hinder coal-fired generation and affect electricity delivery.
In the article Intelligent Load ManagementThe Future of Demand-side
Management on Page 25, youll read how smart grids advanced technolo-
gies allow transmission operators to integrate wind into the grid and create
virtual power plants, helping stabilize the grid and meet capacity needs as
fewer fossil-fired plants are dispatched. In Utilities, Commercial Building
Owners Win With Distributed Energy Storage on Page 28, youll learn how
intelligent energy storage, smart grid and smart buildings can reduce energy
consumption and the need for new generation and turn solar installations
into virtual power plants. And in An Economical Addition to Grid-tied
Wind Energy Systems on Page 22, youll read that power conditioning and
energy storage systems can improve grid efficiency, reduce the need for more
generation and replace some spinning reserve generation.
The generation mix is changing fast. These articles show that grid tech-
nologies and operators are committed to ensuring ample, reliable electricity
is available in these tumultuous times.
1310pg_4 4 10/8/13 5:13 PM
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Industry experts share tips to achieve pro-
gram goals in challenging times.
Protecting public safety and maintaining
uninterrupted power flow remain top priori-
ties for land managers, despite a steady trend
in budget reductions. Combined with rising
labor, fuel and equipment costs, the challenge
is on for managers to find more efficient
weed- and brush-control strategies.
Jack Doolittle, co-owner of Mid Dakota
Vegetation Management and John Boyd,
extension weed science professor with the
University of Arkansas, share advice on
achieving program goals with increasingly
limited resources.
Replace Quick Fixes
With Lasting Solutions
While mechanical brush control may deliv-
er instant results, incorporating herbicide
applications into a vegetation management
program can pay dividends with effective,
long-term control.
Boyd, who has been working with
DuPont Streamline

and Viewpoint

her-
bicides for four years, says the true test is how
a site looks one year after treatment.
Using these herbicides, were seeing 90
percent or better control after one year. Thats
excellent, especially on sites where weve
treated brush thats a mixture of ages and
sizes.
These long-lasting results can double
or even triple the interval between control
measures. With hand cutting, you could
find yourself back at square one within a
year. With effective herbicide applications,
were seeing two to three years between
treatments, reports Boyd. That frees up
resources to complete other vital mainte-
nance projects.
Do It Right the First Time
Mid Dakota Vegetation Management
oversees noxious weed control for multiple
government agencies and public and pri-
vate utility companies in South Dakota and
Minnesota.
Doolittle and his partner Andrew Canham
have seen considerable reduction in weed
escapes and longer-lasting results since
switching to DuPont

Perspective

herbicide
for invasive weed control.
After two years using Perspective

, were
seeing 85 to 95 percent control of leafy
spurge, compared to the 65 percent control
we expected with our previous herbicide pro-
gram. And this year weve had zero returns
for weed escapes, Doolittle reports. That
performance helps us accomplish more with
each budget, and it takes the worry out of
our work.
Fine-tuning Operations
Perspective

, Streamline

and Viewpoint


feature low use rates, which adds to their
efficiency in aerial and remote applications.
Unlike other products that call for gallons
or pounds per acre, these herbicides from
DuPont are measured in ounces per acre,
says Boyd. Crews working out of helicop-
ters or in remote locations can carry a small
amount and cover many acres.
Doolittle adds that low use rates also
ease operations when working in the public
eye. The public is interested in your product
choices. When you can explain that youre
using just ounces per acre of environmentally
responsible products, it alleviates concerns
and helps a project run more smoothly.
Incorporate Flexibility
Another productivity aid is flexibility.
Having a wider application window helps
extend the season for us, which is a big
advantage when were under pressure to
get everything done at once, says Doolittle.
He adds that including a grass herbicide in
the tank with Perspective

provides effective
bareground control.
Three Productivity
Boosters From DuPont
Land Management
Three effective herbicides from DuPont
are helping land managers efficiently achieve
vegetation management goals, freeing up
resources to accomplish more.
Perspective

herbicide offers selective


weed control, maintaining desirable
grasses while tackling broadleaf and
invasive weeds, including ALS- and
glyphosate-resistant weeds.
Streamline

herbicide controls
noxious weeds, brush and broadleaf
weeds in industrial rights of way where
maintaining natural grasses is desired.
Viewpoint

herbicide provides broad-


spectrum brush control in utility and
industrial rights of way.
DuPont

Perspective

, Streamline

and
Viewpoint herbicides are not registered for sale or
use in all states. Contact your DuPont representative
for details and availability in your state. Always read
and follow all label directions and precautions for use.
DuPont

Perspective

herbicide is for use in non-


crop applications only and does not have a grazing
tolerance.
The DuPont Oval Logo, DuPont, The miracles of
science, Perspective

, Streamline

and Viewpoint


are trademarks or registered trademarks of DuPont
or its affiliates.
Copyright 2013 E. I. du Pont de Nemours and
Company. All rights reserved
Maximize a Shrinking Budget
A D V E R T O R I A L
Perspective

provides more options to


achieve long-lasting results. And that increas-
es efficiency in our selective weeding and
bareground weed-control programs.
For more information on maximizing
productivity in your vegetation manage-
ment programs, visit landmanagement.
dupont.com.
1310pg_6 6 10/8/13 5:13 PM
DuPont Streamline and Viewpoint are not available in all states.
See your DuPont sales representative for details and availability in your state.
Always read and follow all label directions and precautions for use.
Te DuPont Oval Logo, DuPont, Te miracles of science, Streamline and Viewpoint are trademarks or registered trademarks of DuPont or its af liates.
Copyright 2013 E.I. du Pont de Nemours and Company. All Rights Reserved. LANDM026893P514A
DuPont Viewpoint and Streamline herbicides can help keep the lights on by
limiting service interruptions caused by unchecked brush. Measured in ounces
instead of pounds, these products can increase worker productivity and control
hard-to-manage species. Viewpoint offers the broadest spectrum of brush control
in a single product. Streamline manages tough brush while promoting grass
understory. Contact your local DuPont representative for more information.
viewpoint.dupont.com
streamline.dupont.com
Count on DuPont to help keep
your customers out of the dark
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1310pg_7 7 10/8/13 5:13 PM
NOTES
8 | October 2013
www.power-grid.com
VALLEY ELECTRIC ASSOCIATION RESTORES COOPERATIVES
FIRST TRUCK, PRESERVES PIECE OF NEVADA HISTORY
the vehicle and restore it.
Restoring the truck while retaining 95
percent of its original components took
five weeks, including some 2,000 hours of
labor by mechanics and machinists at Top
Notch LLC. Butch Caple, VEA manager of
support services, oversaw the restoration.
A Pahrump, Nev.,-based electric coop-
erative recently restored its first truck.
The 1943 Chevrolet power pole dig-
gerthe first piece of mechanized equip-
ment used by the nearly 50-year-old Valley
Electric Association Inc. (VEA)will roll
down city streets for parades, car shows
and other events in the cooperatives ser-
vice area.
VEA initially formed as the Amargosa
Valley Cooperative in 1963.
Amargosa soon consolidated with the
White Mountain Electric Cooperative,
and the organizations incorporated as
VEA in 1965.
VEA used the truck throughout its
service area until 1969. More recently,
the military-designed truck had been
deteriorating for years on display in a
field at the Pahrump Valley Museum
until VEA CEO Tom Husted arranged
for the company to take possession of
in nearly 1,000 homes, apartments, busi-
nesses and public schools throughout
Texas and Colorado. Its work began in
the Mueller neighborhood in Austin, built
on the land of a former airport and rede-
veloped into a groundbreaking, mixed-
use, sustainable, urban neighborhood. A
decade later, the 711-acre Mueller com-
munity is a bustling mini-city and among
the worlds largest LEED-ND certified com-
munities.
Pecan Street researchers are particularly
excited about the advanced energy tech-
nologies that SDG&E and Sudberry have
built into the Civita community.
If there is any place in the United
States poised to define the energy system
of the future, its Civita, said Brewster
McCracken, Pecan Street president and
CEO. By participating in testing this new
consumer energy service, San Diegans who
live in Civita will have unprecedented real-
time access to information on their home
and appliance electricity use. They will also
be playing a personal role in advancing
public interest research on how to integrate
cutting-edge consumer energy services
into a technologically advanced, highly
efficient, low-carbon energy system.
Ever wonder how much energy a micro-
wave or big-screen TV uses, whether you
left your refrigerator door open or how
much money can be saved by turning off
a home computer while at work? Answers
to those questions may not be far off.
A new San Diego Gas & Electric
(SDG&E) research study plans to test tech-
nology that can measure in-home electric-
ity consumption down to the individual
circuit and appliance. The research will be
supported by the Pecan Street Research
Institute, a consumer energy research orga-
nization headquartered at the University of
Texas at Austin.
About 30-50 SDG&E customers living
in the Civita master-planned development
in Mission Valley will be selected to par-
ticipate in the study. Civita, a Sudberry
Properties development, is an SDG&E
Smart Community project where smart
grid technology is being integrated includ-
ing solar panels, electric vehicle charging
stations, fuel cell generation, battery stor-
age and enhanced energy management
tools for residents.
This research will take smart grid tech-
nology to a new level by providing among
the most detailed energy usage data to
customers through technology that is not
even on the market yet, said John Sowers,
SDG&E vice president for generation and
resource planning. Through the research
study, SDG&E will learn how this in-depth
data can help customers to make smarter
energy decisions and save money.
By understanding how customers use
electricity at the circuit level, SDG&E
hopes to identify ways to help tailor future
utility programs related to home-area
networks, energy efficiency and demand
response. Demand response programs sig-
nal customers when to reduce usage to
meet resource demand when the grid is
reaching capacity. This new knowledge
also could allow SDG&E to recommend
specific measures customers can take to
reduce usage and cost.
Pecan Street will provide volunteer par-
ticipants with a free website and mobile
application that provides real-time infor-
mation on the customers electricity use
down to the appliance and circuit level as
well as information on appliance, rooftop
solar panel and home energy performance.
The service is powered by an energy data
router installed at each customers cir-
cuit panel. The router is manufactured in
California.
Pecan Street operates this technology
SDG&E STUDY TO DIG DOWN TO CIRCUIT-LEVEL USAGE
1310pg_8 8 10/8/13 5:13 PM
POWER-HUNGRY DEVICES USE $70 BILLION OF ENERGY ANNUALLY
Energy Star. Many more products in the
MEL category, however, continue to waste
energy.
But interest in improving standards is
high. President Barack Obama identified
establishing new goals for energy efficiency
standards as a top priority to tackle cli-
mate change. Equipment such as elevators
and escalators and medical devices such
as MRIs and CT scanners present huge
energy-saving opportunities.
Besides establishing standards, the
report recommends encouraging manu-
facturers to upgrade their products so the
best-performing ones become common.
Utilities and other program administrators
also can include MELs in their energy effi-
ciency portfolios, and behavioral initiatives
can be developed to raise awareness and
modify consumption habits.
Analysis of more than 2 billion devices
and equipment commonly found in U.S.
homes and businesses concludes the prod-
ucts consume more energy annually than
many large countries.
Household devices such as TVs, com-
puters and ceiling fans and commercial
equipment such as elevators, ice makers
and MRI machines use 7.8 quadrillion
British thermal units each yearmore
than the primary energy use of Mexico,
Australia, New Zealand or 200 other coun-
tries and more than the amount of oil the
U.S. imports from the Persian Gulf and
Venezuela each year. The findings come
from a new report, Miscellaneous Energy
Loads in Buildings, by the American
Council for an Energy-Efficient Economy
(ACEEE).
These devices could use 40 to 50
percent less energy using existing tech-
nology, according to report lead author
Sameer Kwatra.
If consumers upgraded to the most
efficient products on the market today, we
could save as much energy as Argentina
uses in an entire year, Kwatra said.
Together, these devices are referred to as
miscellaneous energy loads (MEL) because
they do not fit into traditional energy-use
categories such as refrigeration, HVAC
or lighting. This diversity also has meant
that attempts to increase MELs energy
efficiency have varied, with some products
having little if any efficiency measures.
Devices such as ceiling fans and ice
makers are covered by federal energy effi-
ciency standards. Others such as TVs and
computer monitors are covered under
voluntary efficiency specifications such as
FIELD
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1310pg_9 9 10/8/13 5:13 PM
NOTES
10 | October 2013
www.power-grid.com
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Sensing Solutions
Pole Mount Transformer Monitoring
Overhead/Underground Fault Monitoring
Remote Terminal Unit of Distributed system
SCADA System for Power & Sub-station
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ESS(Energy Storage System)
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PG&E, EVI TO UNVEIL UTILITY INDUSTRYS
FIRST ELECTRIC HYBRID BUCKET TRUCKS
California Air Resources Board,
EVI has partnered with the San
Joaquin Valley Air Pollution
Control District to reduce the
costs of clean vehicles even
further based on the districts
pledge to match other govern-
ment incentives.
PG&E plans to replace 942 of its con-
ventional fuel Class 5 vehicles, including
bucket trucks, flatbeds and other service
trucks, with plug-in electric hybrid mod-
els, which would save the utility nearly
$3.5 million in fuel costs and reduce
greenhouse gas emissions by more than
9,000 metric tons annually. In addition to
the fuel savings and environmental ben-
efits that PG&E anticipates as it deploys
these trucks in increasing numbers, the
trucks also offer up to 75 kW of export-
able power that could be used to power
the grid during planned or unplanned
outages. The utility is working closely
with EVI to move that number even
higher.
Dave Meisel, senior director of trans-
portation and aviation services for PG&E,
said exportable power capacity is a game
changer.
Imagine having a fleet of these to
deploy in response to a natural disaster or
unplanned outage, Meisel said.
Electric Vehicles International (EVI),
joined by Pacific Gas and Electric Co.
(PG&E), unveiled the utility industrys
first electric hybrid drivetrain Class 5
trucks.
The Range Extended Electric Vehicle
(REEV) utility trucks, developed by EVI
with PG&E and the California Energy
Commission (CEC), were designed, built
and tested at EVIs manufacturing plant
in Stockton, Calif. The REEV features
an all-electric range of 45 miles and
fuel savings of up to 30 percent when
the units are operating in hybrid mode.
PG&E accepted delivery of the first two
REEV units this summer and purchased
two more units after a successful initial
demonstration of the vehicles.
Californias Alternative and
Renewable Fuels and Vehicle
Technology pro-
gram is putting
more of the cleanest
vehicles into service
today, said Janae
Scott, member of the
California Energy
Commission. The
investments that the
Energy Commission
is making covers
initial costs of these
trucks, gets innova-
tive technologies to
market sooner, and
furthers Californias
lead on clean trans-
portation.
Beyond state-
wide incentives
such as the Hybrid
and Zero-Emission
Truck and Bus
Voucher Incentive
Project (HVIP)
offered by the
EVI CEO Ricky Hanna, at left, talks
to PG&E senior director of fleet and
aviation services about the EVI PHEV
Class 5 truck.
EVI CEO Ricky Hanna with the EVI REEV Class
5 PHEV truck in flatbed configuration.
1310pg_10 10 10/8/13 5:13 PM
October 2013 | 11
www.power-grid.com
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MOODYS PUTS ENERGY FUTURE HOLDINGS ON BANKRUPTCY WATCH
BY JEFF POSTELWAIT, ONLINE EDITOR
inexpensive and high-profit.
Energy Future Holdings has been carry-
ing a large debt for some time, leading ana-
lysts to speculate about its future. Moodys
downgraded the companys credit rating
from Caa1 to B3 in August.
From an end users perspective, should
the worst happen for EFH, the power will
continue to flow because of a survival blue-
print plotted out in April.
One potential bankruptcy restructuring
plan would forgive billions in debt owned
by Luminant in exchange for a large share
of the company.
The investors, in this scenario, would
get the short end of the stickan estimat-
ed return of 50 percent or less. Subsidiaries
like Oncor and Luminant, however, could
be preserved.
Moodys Investors Service, one of the
Big Three credit rating agencies, has given
Energy Futures Holdings Corp. until the
end of the year before the energy com-
pany declares bankruptcy protection and
restructures itself.
In an analysis of its own call, Moodys
says this would be one of the top 10 larg-
est nonfinancial corporate bankruptcies
in the U.S. since the 1980s. In terms of
debt, it could be one of the biggest of all
time, ranking with Enron, WorldCom,
General Motors and Chrysler. The holding
company reportedly has more than $41
billion in debt.
The electric utility companys assets
include a power generation portfolio that
consists mostly of nuclear energy and coal-
fired power (through Luminant), a power
transmission business (through Oncor
Electric Delivery) and a retail power pro-
vider (through TXU Energy).
The company was bought out in 2007 in
what was at the time one of the largest lev-
eraged buyouts in history when a group of
Wall Streeters (including Goldman Sachs,
KKR and TPG Capital) paid $45 billion
for what was then known as TXU Energy.
The idea was that although the private
equity firms that bought up TXU would
be taking on significant debt, the unstable
price of natural gas surely would peak
soon, helping the financiers turn a profit.
As it happened, this hoped-for spike
did not occur, and instead there were
sustained record-low prices for natural gas.
The gamble also anticipated that
coal-fired electricity would remain
1310pg_11 11 10/8/13 5:13 PM
12 | October 2013
www.power-grid.com
T
he electricity delivery system operat-
ing in the U.S. and the rest of the
world is one of the greatest engineering
feats in history. Its design, construction and
reliable operation is one of the most critical
assets to our daily lives.
This system, the electric grid, comprises
high-voltage transmission circuits mainly
supported by steel structures that transport
electricity from the generation plants to
substations where transformers, breakers
and other equipment adjust the electric-
itys voltages before it is sent to distribution
lines and structures that deliver the elec-
tricity to homes and businesses. This sys-
tem is the backbone of the power delivery
system that connects and interconnects
each utility company with its customers.
In the U.S. alone, there are more than
200,000 miles of high-voltage transmission
lines, 10,300 transmission substations and
2,200 distribution substations. Substation
equipment includes some 12,200 auto-
transformers, 195,000 oil circuit breakers,
64,000 transformers, 26,000 voltage regu-
lators, plus the associated structural steel,
bus-work, switchgear and foundations.
Virtually all the equipment is made of
painted steel that is susceptible to cor-
rosive attack from atmospheric exposure.
Even the structures, often constructed of
galvanized steel, are subject to corrosive
deterioration. Because corrosion causes
equipment failures that result in service
disruption, electric utilities must minimize
corrosion through practices that include
BY CURT HICKCOX,
PUBLIC UTILITIES MAINTENANCE INC. engineering design during construction
and installation, as well as established
maintenance programs throughout the ser-
vice life.
The direct cost of corrosion in the U.S.
electric transmission and distribution seg-
ment is some $700 million annually. Many
U.S. electric utilities maintain their substa-
tion and distribution assets by preventing
and controlling corrosion. They under-
stand the criticality of substations to their
system reliability and how corrosion can
damage these components. But often and
for various reasons, utilities are reactive
rather than proactive when dealing with
corrosion. Dealing with corrosion can be
Curt Hickcox is vice president of Public Utilities Maintenance Inc., an SSPC-certified and ISO-
registered corrosion control contractor specializing in the global electric transmission and distribution
industry.He is a member of IEEE,NACE and SSPC and is chairman or vice chairman of three joint task
groups responsible for transmission and distribution coatings-related standards.For more information,
visit www.puminc.com. Reach Hickcox at curthickcox@puminc.com.
1310pg_12 12 10/8/13 5:13 PM
October 2013 | 13
www.power-grid.com
number of minutes the average customer
is without power (although the number of
outages slightly decreased), but spending
per customer on local distribution equip-
ment and maintenance rose at twice the
rate of inflation. This seems to indicate that
because of the distribution systems age, it
is getting more expensive to maintain the
systems high level of reliability.
Although the U.S. electric distribution
system has serious corrosion issues, it
is not all gloom and doom. Many utili-
ties have implemented programs to deal
with corrosion in their substations and
have eliminated corrosion-
related service disruptions.
Industry organizations
such as the International
Electronic and Electrical
Engineers Association
(IEEE), the Electric
Power Research Institute
(EPRI) and the National
Association of Corrosion
Engineers (NACE) have established task
groups and are researching and publishing
standards relating to substation corrosion.
The federal and state regulatory agen-
cies also have started taking note of the
age of these transmission lines and their
large numbers will increase the amount
of maintenance work required to keep the
system safe and reliable. Because there are
so many substations of the same general
vintage, many will require corrosion repair
during the same time, which will stretch
resources and budgets. A utility can con-
trol its spending at a more consistent rate
by being proactive with its maintenance
program, which will allow for better plan-
ning and cost-effectiveness that will result
in higher reliability and profitability.
A recent Associated Press study found
electric customers are spending 43 per-
cent more than they did in
2002 to build and main-
tain the electric infrastruc-
ture. Since then, the num-
ber of power outages has
remained infrequent, but it
takes longer to restore ser-
vice. One conclusion is the
system is not being main-
tained and upgraded in a
way that improves its reliability. Its another
indication of a reactive approach: spending
money to fix a problem rather than spend-
ing it to prevent one. Since 2002, there has
been a 15 percent increase in the annual
expensive, and dealing with it after the
fact only increases the cost. But these
expenses pale compared with the costs
of a failure and resulting service outage.
Properly planned and executed prevention
programs control and minimize upfront
expenditures while maintaining system
reliability.
Corrosion is controlled primarily
through painting and generally is consid-
ered a maintenance, operational or rev-
enue expense. Unfortunately, most utilities
fund these types of expenses only mini-
mally because they usually are considered
a charge against profit rather than a profit
generator as a capital expenditure would
be. Available funds are funneled toward
expenditures that help the bottom line,
but the bottom line suffers more as the
result of a corrosion-related failure than by
spending money upfront on prevention
and maintenance.
Construction of the U.S. high-voltage
transmission system and its corresponding
distribution system peaked in the 1970s
(see figure).
Most transmission lines were built from
the 1960s through the 1990s. Nearly 75
percent of the North American electric
grid was built during these 40 years. The
Service
interruptions
can be
prevented
with correct
inspections
and proper
maintenance.
1310pg_13 13 10/8/13 5:13 PM
14 | October 2013
www.power-grid.com
safety and damage issues. The
Society for Protective Coatings (SSPC) has
published surface-preparation standards
widely specified throughout the industrial
coatings industry, and certain standards
ranging from solvent cleaning to hand and
power tool cleaning to chemical stripping
are applicable in substations, as well. The
idea is to have a clean, dry, sound substrate
free of contamination, peeling and flaking
coatings and loose rust before application
of the new coating system. The unique
configuration and sensitive nature of many
types of electric distribution equipment,
especially transformers and their cooling
radiators, can make it difficult to properly
prepare before coating, but many methods
are available to prepare the surfaces. Again,
a contractor with specific experience in
the end of 2013.
Once the assessment is complete, a
defined program can be developed using
a specific time frame and other criteria
that conform to the utilitys long-range
plans. Upon funding, a project scope can
be assembled easily using the assessment
as its basis, followed by job award to
a qualified contractor. It is critical that
only contractors and workers with
specific substation training and experi-
ence be allowed to bid on this work.
Aside from demonstrated capabilities in
preparing and coating complex electric
distribution equipment, the contractors
must have excellent safety records with
health and safety programs specific to
substation structures and equipment. The
project specification must be tailored to the
scope and not generic. A coating schedule
that details surface preparation and coat-
ing system requirements is integral to the
specification, as is a listing of all applicable
safety rules and regulations.
Various surface-preparation methods
for steel surfaces may be employed in
a substation. Power washing and abra-
sive blasting should not be used in an
operating substation because of potential
condition of the electric grid, and, in some
cases, have begun to mandate remediation
and improvements. Proven methods of
controlling corrosion exist, and with a little
effort and dedicated funding, corrosion-
related electric service disruptions can be
eliminated.
The first step is to assess the distribu-
tion system. A utility must understand the
condition of its system before it
can determine what needs to be done and
the cost. The assessment should include
a visual inspection of the system com-
ponents, a condition rating per industry
guidelines, prioritization based on the util-
itys requirements (i.e., component critical-
ity, condition, logistics and outage limita-
tions), surface preparation and coating
system requirements and cost estimates.
Simple testing, such as for lead in the exist-
ing coatings and coating film thickness and
adhesion, should be performed as part of
the assessment. NACE and IEEE joint task
groups are writing standards that reference
corrosion control in the transmission and
distribution industry that include details
on performing coating assessments on
transmission and distribution structures.
These standards should be published by
1310pg_14 14 10/8/13 5:13 PM
are a fact, but they can be prevented
by a proactive approach that includes
correct inspections and proper mainte-
nance. Proven methods of ensuring the
long-term, cost-effective protection of the
system exist. Experience has proven the
viability and benefits of formal mainte-
nance coatings programs for steel substa-
tion structures and equipment.

transformer painting is crucial to the proj-
ects success.
The application of protective coatings
also presents challenges because of equip-
ment configuration, as well as procedural
and safety constraints associated with
working near energized electrical equip-
ment. Spray application usually is not
allowed, and the standard hand methods
of coating application such as brush and
roller, although acceptable on breakers,
tanks, etc., are not conducive to proper
coating coverage on radiator banks. Flow
coating, a specialized paint application
technique, is a process similar to dipping
radiator tubes. A recirculating system com-
prising a low-pressure pump, hoses, spe-
cially designed nozzle and collection setup
allows the coating to reach and covers
nooks, crannies and crevices on the radia-
tor tube surfaces. Proper and consistent
paint viscosity is required. Although the
process is complicated, it is the only appli-
cation method available for field use that
ensures complete coverage of a radiators
surface area. The thickness of the paint
film is important because a too-thin film
does not provide adequate corrosion resis-
tance, and a too-thick film can interfere
with radiator cooling efficiency. No other
method of field application can access and
coat these areas, and only a contractor
experienced in this application method
should perform flow coating. Flow coating
also is used for surface preparation on the
radiators because often chemical stripping
is the only way to remove suspect coatings
from surfaces inside the fin banks where
hand-cleaning methods cannot access.
The U.S. has an electric transmission
and distribution system made of aging
structures and equipment. Service inter-
ruptions because of failures from corrosion
1310pg_15 15 10/8/13 5:13 PM
16 | October 2013
www.power-grid.com
BY JOHN PETERS, ENGAGE CONSULTING
meter-reading data with their suppliers
or third parties for energy efficiency or
marketing uses. It is in the suppliers
best interests to ensure customers see
the new meters positively and under-
stand the features and benefits of meters
and IHDs. This data is so valuable that
suppliers might find it advantageous to
offer customers an incentive for shar-
ing the data with them. This incentive
could take the form of a loyalty scheme,
a small discount or a commensurate
W
here theres change there is oppor-
tunity, and in the utilities industry,
the introduction of smart meters is one of
the most far-reaching changes of recent
times. The opportunities for new revenue
for energy suppliersand some of the
risksbegin with the rollout programs
and range from new tariffs to more accu-
rate settlement and smarter homes.
Underpinning the creation of new
products and services is the communica-
tions infrastructure that advanced meters
and smart grids provide. The availabil-
ity of high-resolution, timely data about
customers energy usage offers suppliers
the opportunity to realize new revenue
streams and better protect themselves from
competitors. Further, advanced meters can
be configured remotely, thus eliminating
the burden of changing meters when tariffs
and services change.
It is unlikely, however, that advanced
metering will lead to increased revenue
for energy suppliers through traditional
means. In territories where in-home dis-
plays (IHDs) will be common, advanced
metering will lead to reduced domestic
energy consumption and revenue. Despite
the expected reduction, opportunity exists
for suppliers to engage with customers. If
a customer looks upon a supplier favor-
ably for services or advice that might
reduce consumption, that customer might
stay with the supplier longer, increasing
customer lifetime value, according to writ-
ings on loyalty by economists Frederick
F. Reichheld and W. Earl Sasser. For new
revenue opportunities, one must consider
what advanced metering enables in prod-
uct and service diversification.
AN ENGAGEMENT TOUCH POINT
WITH EVERY CUSTOMER
Installation offers an early engage-
ment touch point with domestic cus-
tomers. Access to data is key to enabling
new smart-enabled services, and for this
to happen in the U.K., at least, custom-
ers can opt in to sharing fine-grained
John Peters is the managing director of Engage Consulting. He has 30 years experience in the
energy industry and an in-depth knowledge and understanding of regulatory structures, commercial
frameworks, government policy and global smart developments. Peters was a significant contributor in
setting up and operating the U.K.s metering, settlements and trading arrangements.
1310pg_16 16 10/8/13 5:14 PM
October 2013 | 17
www.power-grid.com
energy efficiency advice that could lead
to improved customer retention. Further,
that same data could be used to encourage
behavior change, for example, by show-
ing a customer how his or her energy
consumption compares to that of similar
homes in the neighborhood.
SMARTER HOMES
Customer opt in is also the key to
smart home services. Advanced meters
are a direct line into homes. This remains
some way from realizing a fully integrated
and automated smart home for the mass
market. Opportunities exist, however, for
suppliers that can combine home moni-
toring with home control. British Gas
paints a compelling picture of a future
home where metering, demand manage-
ment and remote control has been fully
integrated to provide remote control of
heating, appliances, home security and
electric vehicle charging. By developing a
model of typical consumption in a home,
suppliers also will be able to identify
anomalies in energy consumption and use
this to offer alert services. For example, is
an appliance regularly using more energy,
suggesting an imminent breakdown, or
has a vulnerable person not turned on the
heating on a cold day?
Linking advanced metering with
demand management will support the
introduction of new and innovative charg-
ing models. For example, suppliers could
offer new lifestyle energy pricing wherein
a customer could say, Maintain my home
at 17 degrees C in the evenings. The sup-
plier then would manage heating within
the home to achieve the target temperature
and bill the customer accordingly.
There are, however, policy issues that
could restrict the use of advanced metering
infrastructure to provide value-added ser-
vices. There is a risk that regulators in the
SMARTER MARKETING, RETENTION
As customers opt into sharing their data
and gain improved visibility of usage pat-
terns, suppliers will be able to segment
the customer base accurately, enabling
more targeted marketing. A program of
offering customers tariffs that will save
them money based on their consumption
patterns likely will be well-received and
will improve retention. A similar strategy
is employed by service providers in the
fiercely competitive U.K. mobile phone
market and serves to protect revenue from
competitors while assuring new customers
they always will be on the best tariff for
their usage. The availability of more data
also unlocks the opportunity for tailored
charitable donation.
Recognizing that the success of smart
metering relies largely on consumer
perception of the meters, the U.K.
Government Prospectus Response of
March 2011 concluded that energy
suppliers should develop and fol-
low a licence-backed code of prac-
tice governing the installation of smart
meters. This was submitted to Ofgem in
December. The main objectives of the
code are to ensure customers receive
a high standard of service throughout
the installation process and know how
to use and benefit from smart metering
equipment to improve their homes
energy efficiency.
CAN STOCK PHOTO INC. / MELPOMENE
1310pg_17 17 10/8/13 5:14 PM
18 | October 2013
www.power-grid.com
THREATS TO SUPPLIER REVENUE
If suppliers fail to capitalize on data
from advanced metering, other more agile
competitors will use that data to take
customers and revenue from them. With
access to metering data, switching pro-
viders and energy managers will find it
easier to move their customers to alterna-
tive tariffs, and any move to streamline
the switching processbecause advanced
meters improve data qualityonly would
strengthen switching providers offers.
Further, as demand-side management
becomes more common, aggregators could
take supplier-provided granular metering
data to better balance demand against
wholesale purchasing, allowing them to
offer customers new and cheaper tariffs
than alternative suppliers.
DATA-DRIVEN OPPORTUNITY
The technologies for remotely managing
and monitoring energy use and appliances
in homes have been available many years,
but with advanced metering, the critical
difference is scale. The mass rollout of
smart meters will give suppliers access to
usage data in millions of homes and busi-
nesses.
Data within homes will be available on
a smart metering home-area network and
available to devices and services provided
by third parties such as their tablets and
smart phones. The prospect of linking
accurate metering data within and outside
homes to new services and load manage-
ment offers some of the most exciting
opportunities in this space.
Smart grid and advanced metering-
enabled services represent a huge opportu-
nity for suppliers, and they must be ready
to capitalize on the new streams of data
and access to customer homes. If they fail
to grasp the opportunity, more innovative
competitors and new market entrants will
make use of that data and take customers
and revenue from incumbents.

SMARTER SETTLEMENT
Smart metering data also could enable
changes that make the settlement process
more accurate, giving suppliers more of an
incentive to encourage off-peak energy use
by customers.
In the U.K., settlement
is based on half-hourly
time units. Actual meter
readings might be taken
only monthly or quarterly.
Settlement calculations,
therefore, are based upon
profile classes, which rep-
resent average custom-
ers and allocate monthly
consumption against half-
hourly time slots in a standard profile.
If a suppliers customers begin to move
demand away from peak periods, for
example, through time-of-use tariffs, the
supplier will not
fully realize the ben-
efits of that behav-
ior change because
customers are being
settled according to
the standardized pro-
file classes. As more
fine-grained meter-
ing data becomes
available, the settle-
ment process could
reduce or eliminate
the need for profile
classes and accurate-
ly reflect customers
actual usage. Thus,
suppliers that can
discourage the use
of peak-price energy
likely would pay less
for their energy on
the wholesale market
and would be able
to pass on savings to
customers.
U.K., at least, will not look favorably upon
moves by suppliers to provide extra servic-
es to consumers across what is a monopo-
ly-owned infrastructure despite provisions
for third-party access to the infrastructure.
Despite the challenges in
the U.K. market, verti-
cally integrated suppliers
in the U.S. and elsewhere
are experiencing some suc-
cess in using smart grid
infrastructure to deliver
value-added services such
as home security or tele-
medicine. It is unclear,
however, how well the
metering infrastructure
will compete in the longer term against
alternative communications infrastructure,
not least of which is consumers own
home broadband service.
In the U.K.,
settlement is
based on half-
hourly time
units. Actual
meter readings
might be taken
only monthly
or quarterly.
Cost Effective Easy to Install
For more information, call 1-877-848-9682
1800 Shames Drive, Westbury, NY 11590 electroind.com
Automation begins
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1310pg_18 18 10/8/13 5:14 PM

JAN. 28-30, 2014


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1310pg_19 19 10/8/13 5:14 PM
20 | October 2013
www.power-grid.com
In years past, growth was a given for
electric utilities: Spend capital, build the
asset base and grow the top line.
But this formula does not apply today
when electricity demand is down, costs are
rising, rate cases are risky and regulators
are cautious. In 2012, for example, utilities
were awarded about half the recovery they
sought through rate cases, and the average
return on equity dipped below 10 per-
cent. With major investment requirements
looming as critical assets age and new
environmental regulations come online,
utilities must find innovative ways to grow
the top line.
A growing number of utilities are turn-
ing to data analytics as a means to improve
financial performance. Thanks to advances
in technology, such as the smart grid,
utilities are collecting an unprecedented
amount of data about their operations.
Through analytics, utilities can dig deep
into this flood of information and devel-
op fact-based, objective insights that help
drive growth and mitigate risk.
How might the use of analytics work in
practice? Consider a utility that goes before
regulators to make a case for the need-
to-invest-in new infrastructure or to win
cost recovery for critical assets and system
components. Analytics can help a utility
bolster its argument, potentially leading to
more favorable outcomes.
Moving the needle even slightly produc-
es meaningful results. A 1 percent increase
in authorized rate base, for instance,
equates to $10 million in earnings for the
typical U.S. investor-owned utility.
Utilities that fail to adopt a strategy that
makes the most of this explosion of data
will be challenged to take advantage
of broader growth opportunities that
analytics can help identify and validate.
Utilities must build the capability to turn
data into actionable information, reduc-
ing the time from ask to answer while
fostering a culture of knowledge among
the employee base.
Specifically, analytics can strengthen
the three key, interconnected parts of
a utilitys business that fuel top-line
growth: the asset base, the customer base
and the regulatory process.
ASSET BASE
Utilities are using analytics in creative
ways to improve the performance of
their assets.
Some utilities have developed predictive
analytical models to proactively monitor
asset health and optimize work and asset
management. Others are using advanced
metering infrastructure data to predict and
proactively replace transformers that have
a higher probability of failure.
Analytics can help improve the speed,
efficiency and overall success of a capi-
tal project.
And as utilities expand into new tech-
nologies and implement new service deliv-
ery models, they can use analytics to target
investments more accurately.
Utilities are mining data to develop low-
er-cost delivery models through predictive
models to improve asset maintenance.
Similar analytic models can be used to
optimize field operations and work man-
agement.
Money saved in operations and mainte-
nance can be reinvested in assets.
Knowledge is Power
Using Data Analytics to Drive Growth
MARK HIRSCHEY, ERNST & YOUNG LLP
CUSTOMER BASE
Technological advancements have
enabled utilities to develop a range of new
products for customers, including energy
efficiency programs, demand-side manage-
ment services and electric vehicle offerings.
Acquiring customers for these new,
optional services requires a completely
different approach from the traditional
utility model. Utilities are grappling with
questions theyve never had to address:
What types of customers are most likely to
sample these new products and services?
Whats the best way to reach them?
Analytics can provide critical insights
that help utilities evaluate their customers
and develop robust marketing strategies.
For example, long-tenured utility cus-
tomers that participate in auto-payment
programs have different adoption profiles
from those that do not.
Utilities also are using analytical tools,
such as journey mapping and regression
techniques, to better understand and har-
ness the drivers of customer satisfaction.
Such understanding is critical because sat-
isfied customers are more apt to buy new
service offerings.
REGULATORY PROCESS
In todays regulatory environment, utili-
ties must present as clear and compelling
a case as possible when seeking cost
recovery of capital investments, as well as
approval for operations and maintenance
Mark Hirschey is a principal in the
Advisory Services Power & Utilities practice
of Ernst & Young LLP.
1310pg_20 20 10/8/13 5:14 PM
October 2013 | 21
www.power-grid.com
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circumstances that will shape how it uses
analytics. But utilities should take some
steps to maximize the power of analytics:
Define an analytics strategy
to focus efforts. A well-planned
approach to building analytic
solutions will increase return on
investment and reduce risk. Utilities
should start with the business issues
and opportunities that drive growth,
not the technology.
Execute analytics in a portfolio
of pilots or projects. Utilities
need to identify their functions and
processes that can benefit most from
investment in analytics.
Integrate analytics into
business processes. The
success of an analytics program is
determined by the integration of
expenses. Analytics can provide the data
needed to garner the factual support nec-
essary to reduce ambiguity and make a
strong argument.
For example, electric utilities can
prioritize asset investments based on
a risk-informed evaluation, an analysis
mechanism that drives better decisions
around asset planning and regulatory
recovery.
Utilities also use analytics to model
enterprise information, industry eco-
nomics and business intelligence to
provide fact-based support for regula-
tory filings.
THE WAY FORWARD
Utilities must find innovative ways to
use analytics to drive business growth.
Each utility has different needs and
the analytic solution into business
processes and adoption by business
users.
Build internal capabilities.
The goal is an automated, self-
service model.
In a challenging economic and
regulatory environment, utilities need to
develop a comprehensive strategy for
sustainable top-line growth.
Through focused analytics, utilities can
leverage the rapidly growing amount of
data at their disposal to develop responses
across the asset, customer and regulatory
pillars of growth.
Utilities that focus on analytics to
drive business insights prepare for future
opportunities and help bolster their top
lines today.
1310pg_21 21 10/8/13 5:14 PM
22 | October 2013
www.power-grid.com
P
ower grids are suffering from high
peak demands, instability and unpre-
dictable renewables, so utilities are turning
to energy storage systems (ESS).
ENERGY STORAGE SYSTEMS
Many ESS have significant drawbacks:
cost, size, efficiency, capacity and scalabili-
ty. Some are useful for short-term discharge
(a minute or so) to maintain grid stability
and power quality. Others can supply a
rapid response discharge for an hour or
more to help regulate frequency during
random and rapid demand variations.
BATTERY ESS
These systems consist of advanced bat-
tery chemistries, along with high-power
solid-state inverter technology in a power
conditioning system (PCS). This combina-
tion allows a BESS to supply multimega-
watt capacity in a small space. Lithium-ion
(Li-ion) batteries have a favorable energy
density, size, weight and fast response time,
so demand for these systems continues to
grow. Benefits of using PCS/BESS in wind
farms include:
Frequency regulation during
high demand. Because utilities
must maintain their output within a
narrow frequency range, this is a com-
mon application for PCS/BESS. High
demand can cause a slight droop in
frequency, especially on systems of
lower capacity. A BESS can compen-
sate for peak loading with a high-
energy discharge through the PCS if it
has subcycle response time.
Ramp rate control/capacity
firming. This is especially important
with wind turbines. In these wind
farm apps, the storage element can
fill the gaps that occur when output
dips because of a major reduction in
wind energy.
VAR support. Reactive loading
reduces the efficiency of T&D lines,
but an appropriately designed PCS/
BESS system can compensate by sup-
plying an adjustable range of real
or reactive power. This allows more
efficient use of power lines and distri-
bution equipment.
Minimizing spinning reserve.
Reserve capacity helps maintain
output during generator failure or
unexpected transmission loss, which
could require power reductions to
customers. Keeping generator capac-
ity online but unloaded wastes fuel
and causes unwanted air emissions. A
PCS/BESS can take the place of con-
ventional spinning reserve generation
and improve efficiency.
Black start. This capability allows
An Economical Addition
to Grid-tied Wind Energy Systems
LOUIS LAMBRUSCHI, PARKER ENERGY GRID TIE DIVISION
a power plant to bootstrap itself after
a blackout, grid connection loss and/
or loss of generation capacity. A PCS/
BESS can provide the balance of plant
power needed for a restart.
Arbitrage/time shifting. This is
the storage of low-cost power for
later sale at higher prices. Generally
this occurs during hours of lower
demand if the utility has an ESS.
T&D upgrade deferral. Being
able to defer additions to T&D infra-
structure is attractive to utilities that
are experiencing significant, albeit
uneven, growth in power usage.
Generally, demand is characterized
Lou Lambruschi is the marketing com-
munications and e-business manager for
Parker Hannifins SSD Drives and Energy
Grid Tie Division in Charlotte, N.C. He has
33 years of engineering and application
experience in electrical power conversion.
Reach him at louis.lambruschi@parker.
com or 704-583-8101.
1 WIND ENERGY PCS/BESS GRID-TIE SYSTEM
Power Conditioning System
Battery Energy
Storage System
Grid Tie Inverter
Source: Parker Hannin EGT Div.
1310pg_22 22 10/8/13 5:14 PM
October 2013 | 23
www.power-grid.com
Source: Parker Hannin EGT Div.
Power Flow
CL Filter 13.8kV 480V
Power
Grid
Energy
Management
System
PLC
SCADA RTU
Interface
Control
CanBus
BMS
Battery Module
Power Conversion
System
Batteries charge
through inverter when
demand is low.
Batteries discharge
to grid when demand
is high.

Active Bridge
Inverter
ENERGY FLOW FOR THE GRID
CONNECTED PCS/BESS CONCEPT
2
3 TYPICAL PCS/BESS SYSTEM MODULE ARRANGEMENT
Advanced two-phase liquid-to-vapor
cooling system cools without compression
(system patent pending).
Vapor-to-air
Exchangers
(roof-mount)
DC Cabinet &
Control/PLC
Main Inverter
Cabinet
Air-to-refrigerant
Heat Absorber
AC Cabinet With
Advanced-cooled
Toroid Filter
Source: Parker Hannin EGT Div.
HMI
2 contains high-power insulated gate bipo-
lar transistors (IGBTs) capable of high-
speed switching, full-power delivery in
either direction within 10 milliseconds.
For DC to AC inversion, this pulse-width-
modulated (PWM) switching technology
includes automatic
s ynchroni zat i on
with the AC power
grids frequency and
zero crossings. The
PCS appears to the
grid as a stable syn-
chronous generator.
Integral harmonic
filters deliver pure
sine wave power
well within IEEE519
guidelines for total
harmonic distor-
tion. The system can
provide automated
sequenced shutdown
and disconnection
under power loss
in compliance with
IEEE 1547 guidelines
or can be configured
to function in island
mode, providing
by ever higher peak loads that occur
with increasing frequency. Eventually,
existing T&D infrastructure becomes
the weak link between a power plant
and customers. A utility-scale PCS/
BESS system can be deployed quickly
near the load to level out power flow
and delay a costly upgrade.
PCS/BESS DESIGN FOR WIND
Typically, these highly scalable and mod-
ular systems consist of portable containers
with rack-mounted batteries tied to the
grid through the bidirectional PCS (see
Figure 2). The PCS can be configured for
various system designs. It converts grid
power to DC for battery charging and
inverts battery power to AC to feed the
grid. BESS design includes cooling for the
batteries and the PCS, management and
control firmware, data communications
links and safety features. Such designs
minimize maintenance chores, particularly
for PCS inverter modules, which can be
swapped out in minutes.
The bidirectional PCS inverter in Figure
1310pg_23 23 10/8/13 5:14 PM
24 | October 2013
www.power-grid.com
and provide shelter. Comprehensive cli-
mate control in the containers maintains
optimum operating conditions.
For a safe, secure interface with the
grid and BESS, the PCS usually includes
switchgear and circuit protection that can
take the form of AC or DC contactors,
circuit breakers, fused disconnects or a
combination (see PCS block in Figure 2).
CURRENT INSTALLATIONS
Installations using grid-connected BESS
with batteries and bidirectional PCS invert-
ers include:
AES Laurel Mountain Energy Storage,
Elkins, W.Va.: wind farm;
Huntington Beach, Calif.: renewable
energy system;
AES Johnson City, N.Y.: BESS instal-
lation;
Pasadena, Texas: ERCOT-approved;
AES Corp., Atacama, Chile: Los Andes
Copiapo Facility.

backup power for an isolated microgrid.
Good thermal management is integral
to the design to protect inverters, bat-
teries and ancillary components. Other
elements include devices that monitor
operating conditions, detect power quality
and provide protection in case of thermal
or electrical overload conditions.
Cooling system design in grid-tie
inverters tradition-
ally has relied on
air or liquid water-
glycol cooling. Air
cooling has low heat
exchange efficiency.
Chilled water-glycol
requires a substan-
tial volume through
the system, which
consumes significant
space and power,
and raises concerns
about corrosion and
other maintenance
issues. To address
them, the modu-
lar PCS system in
Figure 3 has a pat-
ented low-pressure
R134a (dielectric
and noncorrosive)
refrigerant that cools
the IGBTs. This system removes 930
British thermal units per pound of R134a
at a pump rate of 0.3 GPM.
BENEFITS OF MODULAR DESIGN
The cooling system is self-contained
for all installed modules. Power connec-
tors and no-leak refrigerant connectors
are in the rear of the rack. Connections
are made when a module is slid into the
rack. Modules can be removed or installed
through the front cabinet door without
manipulating power wiring. One compact
rack can handle more than 1 MW of con-
tinuous power transfer.
Modular BESS designs (see Figure 3)
can be implemented in configurations (see
Figure 4) to meet utility needs. Modular
designs facilitate scalability, portabil-
ity and maintenance, which allow turn-
key customization. Modularization starts
at the component level and extends to
containerized system units. Depending
on design capacity, battery modules may
be in the same container with the PCS or
external to it (see Figure 2).
Each phase self-contained module (one
per phase) is identical to any other phase
module in the system. At 40 pounds, they
are replaced easily by one person with-
out ramps or rigging. To further assure
long-term reliability, the system can with-
stand harsh operating environments. PCS
and battery containers facilitate personnel
access for easier maintenance or service
4 PHASE MODULES
IP 64 Inverter Enclosures
Interior View- 20-foot
Inverter Container
Battery Container
External View
Battery Container
Rack Inspection
Battery Container
Internal View
Battery Container
HVAC Review
Field IGBT Phase Modules
Easy Plug-in
Replacement
53-foot-long Battery Container Units
Source: Parker Hannin EGT Div.
1310pg_24 24 10/8/13 5:14 PM
October 2013 | 25
www.power-grid.com


C
A
N

S
T
O
C
K

P
H
O
T
O

IN
C
.
/
V
E
N
C
A
V
O
L
R
A
B
C
an load control provide for more
economical integration of wind rath-
er than building expensive supply-side
options in the future?
A four-year research project in Canadas
Maritime Provinces, PowerShift Atlantic,
is striving to answer that.
The focus is to find effective ways to
integrate wind energy into the electric
power system without asking customers
to change consumption or behaviors.
At the center of the research is intel-
ligent load management (ILM), which
was developed to monitor, measure and
control various load classes to reduce
the impact of wind generation variabil-
ity on the grid.
ILM uses commercial off-the-shelf
(COTS) technologies to measure, aggregate
and dispatch industrial, commercial and
residential loads that are controllable by
the system operator.
This type of aggregated load then can
be managed in a similar manner to an
electrical power generating plant using
forecasting, dispatch instructions and
related telemetry.
INTELLIGENT LOAD MANAGEMENT
USING A VIRTUAL POWER PLANT
Wind generation has the benefit of pro-
viding electricity from a source that uses
free fuelthe windand is renewable in
the sense that generation that takes place
from wind today does not deplete the
wind that can be used to generate electric-
ity tomorrow.
The application of technology coupled
INTELLIGENT LOAD MANAGEMENT
The
Future of Demand-side Management
BY STEVEN H. WINSTEAD, SAIC
with the correct architecture and active
participation of end-use customers will
provide a new class of power system
resources, enabling the use of a higher
degree of wind-generated power capacity
that is sustainable long term.
Wind generation, however, has some
disadvantages.
Unlike traditional generation resources,
it isnt controllable, and predictability of
Steven H. Winstead is a managing
consultant in SAICs smart grid practice. He
has more than 32 years of experience in
systems engineering, systems integration,
program management, requirements
definition, systems testing and commissioning.
He is the systems architect for PowerShift
Atlantic, a research program that uses ILM to
enable wind generation integration.
1310pg_25 25 10/8/13 5:15 PM
26 | October 2013
www.power-grid.com
power generation is based on forecast
models.
PowerShift Atlantic is developing a tool
called the Virtual Power Plant (VPP) that
will allow the shifting of energy consumed
by controllable customer loads through
the application of technology to soften
the effects of variable, undispatchable and
unpredictable renewable generation.
The technology is being developed
to provide an alternative means of sup-
plying energy capacity
or ancillary services by
actively managing com-
mercial and residential
aggregated loads.
In load control, the
transmission system
operators primary func-
tion is to keep the elec-
trical system reliable and
stable by matching gen-
eration to load on the sys-
tem on a continuous basis.
Through the use of current technolo-
gies, customer loads will be controlled
by the system operators in an aggre-
gated manner that minimizes the effect
on individual customers.
This capability is permitted by the
existing and emerging communication
and advanced control technologies of
smart grid.
The project will develop business prac-
tices, which will encourage customer par-
ticipation in load control programs for the
benefits of wind integration, greenhouse
gas reduction, cost savings and an overall
increase in power system efficiency.
LOAD SHAPE MANAGEMENT
The load shape management function
of VPP is designed to simplify the system
operators job of balancing the grid.
It does this by using conventional
resources to create generation equal
to the amount of load remaining to
be powered once the forecasted wind
power generation contribution has been
taken into account.
To accomplish this, the VPP receives
two key sets of input data on an hourly
basis:
Shape forecast from the system oper-
ator that indicates the amount of load
that will not be powered by wind
power generation and
must be handled with
conventional generation.
Forecast load capabil-
ity (FLC) data from each
aggregator for each of
the load classes that the
aggregator controls. The
FLC forecasts what the
load level would be if the
aggregator didnt receive
dispatches from the VPP,
referred to as the unmanaged load,
and how much the load can be
increased or decreased to in each
interval. Because the load manage-
ment affects what can be done during
later time intervals, the FLC also con-
tains impact factor data used to infer
the effects of management of load
during later time intervals.
The VPP uses that data to determine the
optimal feasible load curve for the aggre-
gate loads under its control over a 24-hour
planning horizon.
The input data is received hourly, and
every 15 minutes the VPP conducts an
optimization run and issues gross dispatch
instructions (GDIs) to the aggregators for
each of their load classes.
The VPP is optimizing over a 24-hour
period and incorporates the impact factor
data to take into consideration the effects
Even in a less
dramatic
situation, the
VPP might
negate the
valuable
generation
contribution
from wind.
1310pg_26 26 10/8/13 5:15 PM
October 2013 | 27
www.power-grid.com
of managing load on its ability to control
load later in the planning horizon.
By doing so, it avoids some of the
pitfalls reported in demand response
programs.
For example, when a demand response
event takes place, load would be reduced
immediately without accounting for sus-
tainability of the reduction or the need for
the load to resume at a later time, which
would result in peak shifting.
Early in the PowerShift Atlantic project,
it was discovered that load shaping directly
to the wind generation forecast wasnt
desirable; however, through discussions
with the system operators, it became clear
that adverse effects on grid balancing for
the system operator could result.
Consider a day when load would peak
at levels close to the capacity of the grid.
If the VPP were to load shape, for
example, to the wind generation forecast,
its optimization would be shifting load
into the peak hours.
With sufficient load under its control,
this scenario could result in the VPPs
increasing the load beyond the capacity
of the grid.
Even in a less dramatic situation, the
VPP might negate the valuable generation
contribution from wind.
Once this was understood, it was
decided to change the focus to manage
load net wind generation.
From a VPP perspective, the source
of the shape curve is irrelevant; the VPP
determines the optimal load trajectory to
best smooth the shape forecast provided
by the system operator.
Other curves potentially can be investi-
gated by having the system operator send
the corresponding shape curve to the VPP.
REAL-TIME GENERATION DISPATCH
As described under the system operator
Web portal tool, the initial deployment of
the real-time generation dispatch (RTGD)
functionality would be through a portal
tool that is available to personnel at the
system operator.
Implementing the RTGD capability
through the portal tool provides a low-
cost way of experimenting and demon-
strating the required capability.
It is envisioned that individuals at the
Nova Scotia and New Brunswick system
operators will use the RTGD capability in
this manner until it has been demonstrat-
ed successfully and a decision has been
made that integration with the system
operators operational systems is merited.
Regardless how the RTGD is issued,
through the portal or SCADA system, the
response of the VPP is the same; it issues
a sequence of GDIs to each aggregator
for each of their load classes that specify
the load levels that are to be achieved
throughout the duration of the RTGD.
At the VPP level, the load level is
determined by adjusting the load curve
with the corresponding megawatt
value, specified in the RTGD, from
planned values as specified in the most
recent load control plan.
Optimizations that occur during the
time frame of the RTGD associated with
the load-shaping function do not adjust
the VPP or aggregator load class load
values during the RTGD time frame.
They only affect the load control plan
in the time frame after the expiration of
the RTGD.
After three years into the four-year
effort, ILM is a reality.
Although the research project is not
yet complete, this program already has
resulted in all initially engaged custom-
ers remaining engaged.
In addition, the VPP is performing as
expected.

1310pg_27 27 10/8/13 5:15 PM
28 | October 2013
www.power-grid.com
T
he idea behind smart grids is to
use information to improve the
efficiencies and effectiveness of electrical
power generation, transmission and
distribution resources.
Its easy to see why this makes sense
for utilities.
By reducing electrical demand during
times when resources are heavily taxed,
the existing grid infrastructure can be
used more efficiently, controlling costs
for all while maximizing usable power
for energy consumers.
Accomplishing this and getting the
greatest return from smart grid invest-
ments require active involvement from
energy users and suppliers. Conservation
is important, but fulfilling the promise of
the smart grid is not just about reduc-
ing the energy consumption by power
customers.
Building owners can partner effective-
ly with utilities to control and schedule
their power demands to serve their
operational needs while helping utilities
achieve their goals.
Installing intelligent distributed energy
storage systems at the load center on the
customer side of the meter that interact
with utility controls and local building
controls and other systems such as EV
charging stations and distributed renew-
able sources unifies distributed resources
with the rest of grid operations.
Smart buildings that incorporate intel-
ligent energy storage enable smarter
grids. With local storage capability, a
building can become part of the gen-
eration resource that helps support grid
demands.
An intelligent energy storage control
system monitors building loads and mar-
ket pricing in real time and intelligently
decides how to operate. If energy is inex-
pensive during off-peak periods based
on the hourly market price, it will draw
Utilities, Commercial Building Owners
Win With Distributed Energy Storage
BY DOUG STAKER, DEMAND ENERGY NETWORKS INC.
power from the grid and store the energy
for when the hourly price is high, which
is typically in the afternoon.
If the storage system is connected
with on-site solar panels, it can store the
solar energy based on the same rules and
release the energy when it has the highest
economic value.
With the ability to draw on local stor-
age, the demand charges that utilities
impose on large consumers at peak times
can be reduced (see Figure 1).
As more commercial users install local
storage systems, the power grid begins
to look like a network of virtual power
plants. With local power generation such
as solar arrays or on-site natural gas gen-
eration added to the mix, each customer-
owned energy system can function as a
microgrid and disconnect from the utility
during high use (see Figure 2).
Utilities must consider these distrib-
uted microgrids as part of the overall
power infrastructure and be able to rely
on their operation as part of the utilities
overall power supply strategies.
There are big benefits in this for utili-
ties. Working with building owners, utili-
ties can deploy and manage distributed
storage to solve crowded feeders and
Doug Staker is vice president of
International Sales and Business
Development at Demand Energy Networks
Inc. Involved in the energy business world-
wide for 30 years, Staker joined Demand
Energy in early 2009.Prior to joining Demand
Energy,he was a vice president of Itron.Staker
has a Bachelor of Science in Mechanical
Engineering from the University of Idaho.
Use of locally stored energy can enable a smart building to reduce its demand on grid power during peak periods. The green
line indicates a 30-minute rolling average of electricity demand. The light blue area shows the storage of energy from the grid
during evening hours for use in reducing demand charges (the light green areas) that otherwise would be incurred during the
day. The blue line indicates the new 30-minute rolling average demand on the power grid as reduced by the storage system. The
reduction of these demand spikes saves the building owner significant money.
DEMAND PROFILE 1
Demand Adjusted Demand
Last Day Last 3 Days
Reset Zoom
425
400
375
350
325
300
k
W
1310pg_28 28 10/8/13 5:15 PM
October 2013 | 29
www.power-grid.com
DNA (where DNA stands for Distributed
Network Architecture) that applies
advanced algorithms with dynamic learn-
ing capabilities to automate and optimize
decisions about energy use.
The system integrates a massive data
store with device control, back-office
support software, business logic and
security services using a distributed mes-
saging system. The software tracks and
systems as master or slave to provide total
control over buildings energy flow. The
system operates in real time to centralize
and tightly integrate all of the functions
needed to aggregate and manage distrib-
uted energy storage resources indepen-
dently of their locations, capacities or
ownership.
The control platform incorporates a
cloud-based control system called Grid.
lower the peak power demand. In addi-
tion, distributed architectures composed
of consumer microgrids are more reliable
than centralized supply networks, with
no single point of failure and compo-
nents and communication paths that are
replicated throughout the system. They
are easily scalable by bringing additional
local power sources online or instituting
load reduction programs as required to
maintain a high-performance system.
But there are technical problems that
need to be solved. The barriers of tra-
ditional meter demarcation that isolate
consumers from their utilities must be
broken down.
Traditional building energy manage-
ment systems focus on managing build-
ing loads, but they dont have the capa-
bility to reach out and interact with
utilities to monitor and react to real-time
power market factors such as changing
demand charges. And typically they dont
provide for the integration with local
renewable energy sources, electric vehicle
(EV) charging, energy storage and other
load or generation assets.
Further, the software architecture that
supports the decision-making and data
management and storage functions that
are required to implement the microgrid
infrastructure must be extensible, reliable
and secure.
Integrating a smart building into a
smarter grid requires a next-generation
control platform.
Demand Energy of Liberty Lake,
Wash., offers this next-generation soft-
ware platform.
The companys Joule.System is built
around an open interface and control
architecture that allows utilities and
building owners to participate together
in the operation of a system that can inte-
grate with existing building management
With local energy storage, smart buildings can function as local microgrids with their own virtual power plants.
Using the Joule.System browser interface, building owners can configure the system and monitor its operation from anywhere
that Internet access is provided. They also can aggregate the information from multiple properties.
BROWSER-BASED INTERFACE 3
FUTURE MICROGRID 2
1310pg_29 29 10/8/13 5:15 PM
30 | October 2013
www.power-grid.com
associated with the implementation of
the smart grid and the issues associated
with meeting peak demands. As more
intelligence is installed at the edge of the
grid, so grows the ability for utilities to
interact with power consumers to better
serve everyones needs.
Just as the telecommunications indus-
try evolved to leverage technology to
serve consumers needs for enhanced
features and options at an economical
cost, intelligent energy storage will help
provide consumers with access to the
energy that they need when they need it
with a degree of independence from their
power utilities.
The future of the utility industry will
be influenced by smart buildings that
incorporate customer-owned energy
management and production systems
(micro-utilities with real or virtual power
plants).
The enablers of demand response
programs for the utility industry will
be distributed energy storage solutions
installed at the local facility level.

forecasting data into the systems self-
adaptive algorithms.
In addition, the system will be able to
shop for best rates from various energy
service companies and wholesalers on
a real-time basis. Buildings that have
excess energy can sell their capacity into
the wholesale energy market or put the
power onto the grid and have another
building load absorb the excess energy
and pay a transfer tariff known as a
wheeling fee into the market for further
energy distribution.
Building owners can aggregate their
loads and generation into market metrics
that allow them to become real-time
participants in the deregulated energy
markets.
Capabilities such as these give new
meaning to smart buildings because the
intelligence of the energy storage system
will be a major part of the overall intel-
ligence of the building.
But energy storage advances also
represent a net benefit for utilities as
they drive to resolve technical issues
predicts the price of power to identify
savings opportunities and measures of
real-time energy demand at the building
level. Controls ensure stored energy can
be deployed immediately to respond to
demand, either from increased needs
locally or driven by utilities demand
response programs, with no impact to
the buildings operation or living con-
ditions for those working inside them.
The systems big data analytics leverages
cloud-based data storage that is scalable
and highly reliable. Data is replicated
throughout the system and secured via
encryption.
The browser-based, graphical user
interface (see Figure 3) also is a cloud-
resident application that provides an
intuitive, convenient way for facility
managers to configure the system and
monitor its operation. Operating strate-
gies supported include demand-capping,
where stored energy is used to reduce
or eliminate power usage that would
subject the facility to special charges for
demand above a certain level, and arbi-
trage mode, where energy storage is used
to capture and store lowest-cost energy
from one of a set of possible sources for
use when rates are highest.
At the core of the hardware architec-
ture (see Figure 4) is the Grid.Balancer
hardware platform, including a power
conversion and energy storage system
that accepts and conditions power from
multiple DC and AC input sources and
manages the energy storage battery array.
The system is battery technology
agnostic and can adapt to future advanc-
es in battery chemistries and power con-
version technologies.
Future enhancements to the system
include predictive analysis of day-ahead
usage and energy pricing based on pre-
vious data and integration of weather
Demand Energys Joule.System architecture optimizes the capture, storage and generation of energy while
shaping and time-shifting renewable energy such as solar power to minimize the electric utility bill.
HARDWARE ARCHITECTURE 4
1310pg_30 30 10/8/13 5:15 PM
October 2013 | 31
www.power-grid.com
Expectations
of a
Utility
Outage Management Website
BY ERIC J. CHARETTE, INTERGRAPH CORP.,
AND LEN SOCHA, WISCONSIN PUBLIC SERVICE CORP.
times and geospatial displays of outage
locations.
Others have been more progressive
by allowing customers to report outag-
es, check the status of their service and
receive updates through social media.
By publishing information to out-
age websites and providing self-service
applications, utilities help customers
stay informed before, during and after
storms.
T
he insistence for on-demand infor-
mation is part of everyday culture.
Self-service websites that provide
access to account and service offerings
online also are on the rise.
Expectations have grown extensively,
especially because smart phones and
tablets are in the hands of nearly every
consumer.
Ratepayers expect real-time updates
and dont want to wait to speak with
customer service representatives.
Less verbal communication and pro-
viding services to customers on a time-
line that doesnt always match normal
business hours is the trend, so utili-
ties are investing significantly in their
external-facing websites to keep up
with demand.
Utilities have responded to this trend
by leveraging technology to enhance the
outage management customer experience.
Most utility websites feature some
standard static information on how to
report an outage and also feature con-
tent on the utility restoration practices
and safety information.
Some utilities have taken this one step
further by providing real-time informa-
tion about current outages, restoration
Eric J. Charette joined Intergraph in 2006. He has a Bachelor of Science in Electrical
Engineering from Michigan Technological University and is a registered professional engineer
in Wisconsin and Alabama.
Len Socha is director of technical services in electric distribution engineering at Wisconsin
Public Service Corp., a subsidiary of Integrys Energy Group, where he is the client lead of the
InService Outage Management System and the ARCOS Callout System. He has a a Bachelor
of Science in Electrical Engineering from the University of Wisconsin.
1310pg_31 31 10/8/13 5:15 PM
32 | October 2013
www.power-grid.com
updates for outages in the service territory.
Research shows customers are more tol-
erant of frequent outages as long as theyre
informed while the power is out.
Integration from an OMS to the util-
ity website can provide information about
outages with tabular lists or a display on a
geospatial map.
Utilities can use social media to post
information about storm restoration efforts
at the corporate level.
In the past, this information was avail-
able only through utility media relations.
Now its available in real time to anyone
with Internet access.
Utilities also can push updates to indi-
vidual customers through automated
phone calls, text messages and emails.
Conversely, utilities may adopt a second-
ary approach in which customers request
and receive outage updates on demand
through secure accounts on the utilities
websites, which give them real-time infor-
mation on restoration progress.
AFTER THE STORM
Most people quickly forget the details
about an outage once its restored, but oth-
ers want to know what happened.
BEFORE THE STORM
Informing customers before outages
can help smooth the process after the
lights go out.
An informative website is a good
startone that contains outage infor-
mation and is easy to locate via any
Internet search engine.
Having a mobile version of the website
for smart phones and tablets is fundamen-
tal because customers access the Internet
from multiple channels.
Other assets to the site are diagrams and
videos that explain the flow of electricity
from generation through transmission to
distribution, as well as individual meters.
Knowing the basics makes it easier for
customers to understand the strategies and
processes utilities use to restore power.
Providing information about com-
mon outage causes, why they occur and
answers to frequently asked questions will
lead to more knowledgeable consumers.
Safety tips also are important so custom-
ers know how to prepare for storms.
Simple instructions to avoid downed
power lines and what to do once the
power goes out can save lives.
DURING THE STORM
Once the lights go out, customers
should know how to reach their utilities to
report outages.
Many utilities use seasonal bill-
ing inserts, radio and television ads,
billboards in the service territory or
social media to provide contact infor-
mation to report outages.
Although smart meters can pro-
vide information to outage management
systems (OMS), power companies still
rely on consumer input to locate outages
accurately.
Having multiple methods for customers
to report power outages is important.
The days of speaking to a customer
service representative or reporting an out-
age through an interactive voice response
(IVR) system are gone. Some utilities allow
customers to report home and business
outages directly through the utilities web-
sites via secure account login.
Soon, public safety affiliates will be
able to key in an address or intersection
or select a point on an interactive map
that features an aerial photograph of
utility facilities.
Using social media, some utilities allow
customers to tweet outage information and
include photographs of damage or even
report an outage through Facebook.
It has become mainstream for utilities
to offer applications so customers can log
outages from their smart phones.
Once a customer reports
an outage, it is critical for
a utilitys customer service
center to provide accurate
1310pg_32 32 10/8/13 5:15 PM
October 2013 | 33
www.power-grid.com
more widely accepted by its customers.
Also in 2010, WPS began to offer cus-
tomers the ability to report outages online
and view the status of their particular
outages after logging into their accounts.
This has expanded customers options
to communicate power outages with WPS
and has reduced the number of customer
service calls taken by representatives and
processed by IVR.
The latest project from the WPS
team includes a complete rebuild of the
website.
The new look has a responsive
design that enables webpages to
resize automatically to fit the brows-
er size of smart phones and tablets,
which make it easier to use on
mobile devices.
WPS is building a smart phone
application that will let customers
report their power outages and check
the status of existing outages.
This will be expanded to send
outage alerts to customers and provide
updated information on power restora-
tion, outage causes and information about
the crews assigned to the repairs.
WPS will leverage the smart phone
application across other business units
and plans to expand the application capa-
bility to include bill payments, bill alerts
and abnormal electricity usage.
WPS has received high scores on cus-
tomer satisfaction surveys providing accu-
rate, timely outage information through
channels that will propagate additional
investment in this area.
Smart meters can report power out-
ages and crews can respond faster to
reduce outage durations, but custom-
ers in Wisconsin and other parts of the
country can stay better informed during
storms by accessing their utilities online
storm portals.
Providing storm aftermath figures can
promote a utilitys efficiency in restoring
power after disasters.
Utilities can be proactive in addressing
customer inquiries about outage history by
allowing them to search for outage details.
The OMS stores restoration informa-
tion within its archives, so utilities eas-
ily can create a front end for customers
to request information based on their
account information.
Giving customers access to this infor-
mation through a self-service application
will reduce phone calls and improve
overall customer service.
REAL-WORLD APPLICATION
Wisconsin Public Service Corp.
(WPS) has been an industry leader in
outage management since 1981 when
it developed a trouble order system
for its after-hours center to replace a
manual paper process.
From there, WPS built its service
restoration system based on IFM data,
which went live in the late 90s, and began
providing estimated restoration times to
customers.
In 2006, WPS deployed a commer-
cial off-the-shelf OMS solution from
Intergraph, which included an interface
to automated meter reading, enabling its
dispatchers to ping meters for power res-
toration verification.
With more than 125 years of experi-
ence in responding to outages, WPS has
remained proactive in providing the high-
est level of customer satisfaction every day,
especially during storm restoration.
When WPS went live with its current
OMS, it also enhanced its external website
by adding static content to provide educa-
tion on safety tips, the power restoration
process, common causes of power outages
and why the lights go out.
In addition, WPS began to publish real-
time outage numbers and summaries of
customers affected by district.
This was the first time customers and
the media could obtain this information
readily on demand without having to
speak with customer service representa-
tives or obtain an update on storm restora-
tion progress from news releases or radio
and television broadcasts.
This tabular information was the first
step toward providing the highest level of
customer experience during outages.
Within two years, WPS began pub-
lishing maps to its external website that
display the service territory with coloriza-
tion for outage magnitudes by city or zip
code with an automatic refresh every 15
minutes.
On Oct. 27, 2010, WPS expanded its
offering for outage updates by posting its
first tweet:
@WPSstorm: signing on to
provide updates on current
outages. Info also online at www.
wisconsinpublicservice.com.
The use of Twitter has expanded since
then to include crew updates, notes on
how to report power outages, current call
volume and wait times as well as updated
restoration times.
Since then, WPS has increased its fre-
quency of tweets on outage information
dramatically as social media becomes
1310pg_33 33 10/8/13 5:15 PM
PRODUCTS
34 | October 2013
www.power-grid.com
Industrial Internet Solution
to Public Wireless Networks
General Electric has released the industrial Internet
solution, the MDSTM Orbit MCR-4G, designed to help
owners of private communication networks such as
utilities, oil and gas companies and energy-intensive
industries leverage public cellular networks to securely
communicate with field crews and industrial equip-
ment and reduce the cost and time associated with
maintaining their infrastructure. Built on the MDS Orbit
platform, the MCR-4G addresses the need for a highly
secure, industrial-grade wireless communications solu-
tion for broad-based applications such as substation or
oil/gas production, pad device monitoring and video
surveillance. It features Ethernet and serial interfaces
to provide connectivity to current and previous genera-
tions of technology, along with a Wi-Fi radio using the
802.11 b/g/n standard, combined with a Verizon 4G LTE
modem. The MCR-4G is equipped with robust security
features, such as AES 128 encryption, supports RADIUS
and AAA servers and complies with current NERC CIP
and FIPS 140-2 requirements.
General Electric
GO TO WWW.PGI.HOTIMS.COM FOR MORE INFORMATION
Proximity Voltage Detectors
HDEs PRX Proximity
Voltage Detectors are non-
contact detectors with
voltage ranges from 120V
to 500kV. When voltage is
detected, the PRX gives an
audible and visual indication
with a typical detection dis-
tance of 10 inches. The PRX has the ability to detect
voltage on most elbow test points at the 120V setting.
With a rechargeable internal battery, the PRX can be
charged quickly from 12VDC automotive outlets or from
115-240VAC.
HD Electric Co.
GO TO WWW.PGI.HOTIMS.COM FOR MORE INFORMATION
Smart Grid-Ready Control
Increases Automation and
Efficiency
Cooper Power Systems Smart Grid-
ready, CBC-8000 capacitor bank control
now offers an Ethernet communication module. The mod-
ule provides seamless integration into new or existing CBC-
8000 controls for intelligent communications capabilities.
Specifically designed for remote operation and retrieval of
field measurement data for analysis by integrated Volt/VAR
applications, the CBC 8000 control is highly flexible and pro-
grammable, delivering three-phase site measurements and
neutral current sensing. Each CBC-8000 supports indepen-
dent Conservation Voltage Reduction (CVR) thresholds and
provides seamless integration with various communication
technologies or radios along with interfacing to back-end
applications, including SCADA or DMS.
Cooper Power Systems
GO TO WWW.PGI.HOTIMS.COM FOR MORE INFORMATION
End-to-End Network Certification Program
Belden Inc. has rolled out an end-to-end certification pro-
gram to help ensure customers industrial networks are reli-
able, adaptable and support growing control and informa-
tion needs. Beldens Certified Industrial Network Program
provides several key benefits such as dual expertise and
counsel. Belden partners with top system integrators in the
industry, training them on best practices in network design,
installation and testing and flexibility for the future. Belden
designs with room for growth in mind, including expansion
guidelines for customers to make changes on their own
while retaining Belden Certified status. Belden provides
cable, connectivity, and networking and security prod-
ucts from Hirschmann, GarrettCom, Lumberg and Tofino
Security, certifying and guaranteeing an entire network of
products and personalized customer service. For those with
Belden Certified networks, a dedicated team is on call to
offer advice and assistance, backed up with infrastructure
design and test results.
Belden Inc.
GO TO WWW.PGI.HOTIMS.COM FOR MORE INFORMATION
1310pg_34 34 10/8/13 5:15 PM
CALENDAR
October 2013 | 35
www.power-grid.com
J
A
N
U
A
R
Y
DistribuTECH 2014: The industrys most comprehensive
conference on automation, smart grid and T&D
engineering. Jan. 28-30, 2014, San Antonio. Phone
918.832.9265 www.distributech.com
1421 S. Sheridan Road, Tulsa, OK 74112
P.O. Box 1260 : Tulsa, OK 74101
918.835.3161, fax 918.831.9834
http://pennwell.com
SENIOR VICE PRESIDENT, NORTH AMERICAN
POWER GENERATION GROUP
Richard Baker
918.831.9187 richardb@pennwell.com
PRODUCTION MANAGER
Daniel Greene
918.831.9401 danielg@pennwell.com
ADVERTISING TRAFFIC MANAGER
Dillon Waters
918-831-9454 dillonw@pennwell.com
SALES DIRECTOR, WESTERN,
INTERNATIONAL SALES MANAGER
Candice Doctor
918.831.9884 fax 918.831.9834
candiced@pennwell.com
EASTERN REGIONAL
SALES MANAGER
Tom Leibrandt
918.831.9184 fax 918.831.9834 toml@pennwell.com
CHINA & HONG KONG SALES MANAGER
Adonis Mak
ACT International
Unit B, 13/F, Por Yen Building
478 Castle Peak Road, Cheung Sha Wan
Kowloon, Hong Kong
+86.138.252.678.23 fax +852.2.838.2766
adonism@actintl.com.hk
ISRAEL SALES MANAGER
Daniel Aronovic
Margola Ltd.
1/1 Rashi Street, Raanana 43214 Israel
phone/fax +972.9.899 5813
aronovic@actcom.co.il
SENIOR DISTRIBUTECH EXHIBIT
& SPONSORSHIP SALES MANAGER
Sandy Norris
918.831.9115 fax 918.831.9834
sandyn@pennwell.com
DISTRIBUTECH EXHIBIT &
SPONSORSHIP SALES MANAGER
Melissa Ward
918.831.9116 fax 918.831.9834
mward@pennwell.com
REPRINTS
Rhonda Brown
219.878.6094 fax 219.561.2023
rhondab@fosterprinting.com
ADVERTISER. ............................ PG#
ACLARA ..................................... 3
DISTRIBUTECH 2014 .............. 19
DUPONT DE NEMOURS ...... 6-7
ELECTRO INDUSTRIES .......... 18
ELSTER ....................................C4
ENOSERV .................................. 9
FLIR ........................................... 5
HUBBEL POWER
SYSTEMS INC ......................C3
INDIAN ELECTRICAL
AND ELECTRONICS
MANUFACTURERS ASSOC ..C2
OFS SPECIALTY
PHOTONICS DIVISION ....... 11
POWERGRID INTERNATIONAL
WEBCASTS .......................... 21
SCHWEITZER ENGINEERING
LABORATORIES ..................... 1
TAEHWATRANS ...................... 10
WINSTED CORP ..................... 15
O
C
T
O
B
E
R
N
O
V
E
M
B
E
R
21 24
Solar Power International
www.solarpowerinternational.com
Chicago
5 7
Electrical Substation Equipment Aging
www4.uwm.edu/sce/course.cfm?id=25444
Milwaukee
5 8
Urban Land Institute Fall Meeting
www.ulifall.org
Chicago
12 14
POWER-GEN International/Renewable
Energy World North America
www.power-gen.com
Orlando, Fla.
20 22
Greenbuild International
Conference and Expo
www.greenbuildexpo.org
Philadelphia
27 28
Electric Light & Power Executive Conference
www.elpconference.com
San Antonio
28 30
DistribuTECH Conference & Exhibition
www.distributech.com
San Antonio
28 30
Utility Products Conference & Exposition
www.utilityproductsexpo.com
San Antonio
1310pg_35 35 10/8/13 5:15 PM
36 | October 2013
www.power-grid.com
Source: A Study From Electric Light & Power Magazine Researches Watt-Hour Meter
Retirement Policies For 71 Privately Owned And 14 Publicly Owned Systems.
Ages of Years Meters in Service
10 20 30
P
e
r
c
e
n
t

o
f

M
e
t
e
r
s
50
40
30
20
10
0
31%
25% 31%
13%
Less Than
More Than
OF EL ECTRI CI TY HI S TORY

OCTOBER
1936
Methods of Obtaining Additional Capacity
1929 set a record year for generating capacity; however, the subsequent years saw a
dramatic decrease in energy demand. As industrial work rapidly grows again in 1933,
electricity suppliers need to increase capacity by completing new plants, adding capacity
as extensions to present plants or rehabilitate existing old plants, creating a boom in the
electric industry.
1940
Wartime Safety
An air raid shelter in southern England provides
3,000 employees safety from aerial threats. The shelter is
sectioned into 28 galleries, each with first aid equipment,
a telephone and a radio. A 3-kW engine furnishes
emergency power for lighting the shelter, and flashlights
are installed at close intervals around the galleries
in case of emergency.
1949
Watt-hour Meter Retirement Policies
1987
AM/FM Computer Systems
Electric utilities across the U.S. are switching to automated mapping/facilities
management (AM/FM) computer systems. The technology has matured, reduces hardware
and software costs, and user appreciation of system capabilities is increasing. AM/FM
systems eliminate the need for manual sorting of maps and files to obtain information.
1310pg_36 36 10/8/13 5:16 PM
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Go to http://pgi.hotims.com for more information.
1310pg_C3 3 10/8/13 5:16 PM
In todays world,
whats more
important than
being connected?
Your business today is about much more than
delivering reliable electricity. Its about forging strong
connections with your customers, your community
and your government leaders. Its about connecting
your smart grid data with the people and business
processes that need it. And its about linking todays
business and technology needs with those of tomorrow.
Elster provides the vital connections you need to achieve
these objectives. With essential solutions like smart
meters, advanced metering infrastructure, meter data
management, network communications, data analytics
and pre-integrated grid management applications
that adapt to your business processes, Elster is helping
utilities everywhere unlock the value of their meter data.
How can we help you?
Elster vital connections for a brighter energy future.
Elster 2013
Elster Solutions | elster.com/en/elster-solutions | 800-786-2215 | 208 S. Rogers Lane | Raleigh, NC 27603
Go to http://pgi.hotims.com for more information.
1310pg_C4 4 10/8/13 5:17 PM