David Phelan - 29th September, 2017 “Digitisation of the electricity system and Customer participation” Power Off & Save SNET Smart Networks for Energy Transition ETIP European Technology & Innovation Platform Power Off & Save is a new pilot programme on residential demand response currently in early stages of development that will reward customers who agree to reduce their energy use when electricity demand is high. Launched in June 2016, this is a collaboration project between Electric Ireland (who are an energy supplier) and EirGrid (the TSO). Approx. 1,500 customers are being recruited to take part. The programme started in March 2015 and is due to be completed by March 2018. Participants who sign up are asked to turn off unnecessary appliances for 30 minutes in their home on ten occasions over the duration of the programme. Participants may be rewarded with up to €100 over the course of the programme, based on the level of their participation. With some customer cohorts, Electric Ireland are providing various smart technologies to control and monitor heavy load appliances in the home. This is a potential way to help the environment, facilitate grid stability as well as reducing the energy account holders bill. David Phelan - 29th September, 2017

Potential Project Benefits, Learnings & Outcomes Benefits - Policy Perspective European and National energy efficiency policy and targets Benefits - Power System Perspective First of its kind in Ireland from TSO Potential for greater accommodation of intermittent renewables, enhanced generation adequacy potential, reduced system/consumption costs and potential for avoided / deferred network investment Benefits – Residential Consumer Perspective Reduced bills Greater control and awareness of electricity consumption Key Learnings & Outcomes Is there a residential consumer demand response market? Understanding of Residential consumer behaviour and insights: Customers ability to respond and level of electricity reduction Testing customer attitude to take up and level of engagement Capabilities of technologies proposed, usefulness, incentive mechanism Customer journey

Electric Ireland at a Glance 1.1 Million Customers Leader Partnership Experience Proven Track Record Strong Capabilities Electric Ireland is the retail arm of ESB, supplying electricity, gas and energy services to the business and residential markets in the Republic of Ireland and Northern Ireland. We are the largest Energy Supplier with knowledge and experience of the electricity market. Electric Ireland are a trusted brand and this very important in terms of gaining customers confidence to take part in an innovative demand response programme Electric Ireland have significant experience of working with partners within innovation and the connected home space.

Power Off & Save Solution Overview

Smarter Home System - Real time usage information and appliance control from a smart phone Gateway Meter Control and Monitor Installation The installation of the SEC involves an Actavo Contractor calling to a customers home at a time that suits the customer. The customer is provided with a Gateway, sub-meters, smart plugs and an app. Installation takes approximately 1 hour. Ease of use for the customer The technology is very easy to use for all types of customers. IPSOS carried out research in August 2016 with over 400 customers on the use of the SEC. Benefits of the technology This technology allows Participants to monitor and control loads in the home. It also allows Participants to have an automatic switch off of appliances that are plugged into the smart plug when an event is happening. The SEC reports data every 5 minutes currently which is the shortest time intervals of all technologies being used. Electric Ireland are exploring 5 second data capabilities also for future events. 5

Sample screenshots of the App How do Customers behave? Customers tend to find this technology useful to monitor their energy consumption and control appliances in the home. Only 1 in 3 use the timer function Strong preference to view energy usage on App instead of website Stronger preference to review energy usage in euro/cents instead of Watts or Kilo-Watts

Retrofit to existing Hot Water Cylinder Retrofit Smart Hot Water Controller Retrofit to existing Hot Water Cylinder Hub Time –10 Seconds -Potential System Services : Secondary Operating Reserve - Tertiary operating reserve 1 & 2, Replacement Reserve – De-Synchronised 7 Electric Ireland - Energy Services innovation

Smart Hot Water Customer Recruitment Recruitment Email Introductory high level email about the project and technologies. If interested, customer fills out 20 question online survey Online Survey - Requirements: Broadband, No Solar Thermal, No Back Boiler, Use Electricity to heat hot water Hot press Survey (Carried out by Actavo) Unable to contact customer to schedule survey date Customer cancels the survey and didn’t want to reschedule Failed for technical reason, main reasons were Existing cylinder was too large to be replaced by 135L Not enough space in hot press Earth bonding not adequate

Smarter Home Data - Reaction Times of first reduction Around 30 - 45 % do not react at all Smarter Home Data - Reaction Times of first reduction Percentage of Participants per Event Almost 30 - 40% react within first 5 minutes

Power Off & Save Animation https://www.youtube.com/watch?v=oX688idKlbU

Key Positive Learnings More than 50% of participants reduced their electricity usage for the 30 minutes of the event when compared to the half hour before each event. Positive reaction to the concept of residential demand response Technologies receiving high satisfaction scores Key Issues Customers switching off broadband / Gateway device and therefore communications are lost Suitability of customer homes for various technologies Requirement to scale up significantly & integrate a frequency meter Customer Participation Educating the customer (with technology, events, payment mechanisms) Reaction times of customers / technology Main reasons why people are interested Helping The Environment Increasing Energy Efficiency Academic Interest Saving Money

Remaining 6 months of Project – Next Steps Project is a mid-point stage. Introduction of more hot water control technologies to provide a larger potential for demand reduction. Interpretations of technology capabilities to meet certain service timescale requirements. Title of presentation and date

Thank You david.phelan@electricireland.ie https://www.electricireland.ie/residential/products/smarter-living/power-off-and-save