California Investor Owned Utilities (IOU) HAN Guiding Principles Functional Characteristics and System Criteria 2 July 2007 June 2007

Presentation Purpose: Introduction Presentation Purpose: Information sharing Validate approach Drive technology implementations Establish participation and responsibility Outline: Framework introduction Documentation Purpose Documentation process Guiding principles Functional Characteristics Next Steps June 2007

Utility HAN Framework Based on Strategic Planning and System Engineering Each level provides direction and context for lower level Delineates participation and accountability Can be mapped to GridWise Architecture Framework (Loosely coupled - Decomposition framework vs. organizational interoperability view) Stakeholder considerations at every level: regulators, consumers, utilities, vendors June 2007

Describes utility’s view of HAN Document Purpose Describes utility’s view of HAN Establishes participation scope and scale Intended audience: Regulators – establish position, clarify roles and responsibility OpenHAN – creates input for further system refinement (e.g., platform independent requirements, use cases) Vendors – shows approach, motivation Establishes a baseline Time management: cuts down on clarification meetings and phone calls June 2007

Documentation Process June 2007

HAN Guiding Principles Value Proposition Guiding Principles Functional Characteristics & Criteria Platform Independent Requirements Platform Requirements (Technology Specific) June 2007

HAN Guiding Principles Capabilities Supports secure two way communication between the AMI Network and HAN Supports load control integration (e.g. Distributed Resource dispatch / control / relaying) Provides direct access to usage and other meter data (e.g. kWHr, kW, Voltage, etc.) Provides a platform for future customer owned products which leverage meter data and utility/grid information Supports three types of communications: public price signaling, consumer specific signaling and control signaling Supports communications to other HAN Devices with metering capability (e.g. other entity gas and/or water meters, EV sub-metering, PV sub-metering, etc.) Assumptions Consumer owns the HAN (i.e. consumer may grant permission to use/manage/integrate the HAN Devices to enable programs / rates) AMI Network to HAN Interface is based on open standards Implementation is appropriate given the high value and relative low cost Potential technology obsolescence is low due to multiple bridging options June 2007

HAN Functional Characteristics Value Proposition Guiding Principles Functional Characteristics & Criteria Platform Independent Requirements Platform Requirements (Technology Specific) June 2007

HAN Functional Characteristics and System Criteria June 2007

HAN Application Characteristics Control - Applications that respond to control commands Direct - Turns load On or Off Cycling - Turns load On or Off at configurable time intervals Limiting - Turns load On or Off based on configurable thresholds Measurement & Monitoring - Applications that provide internal data & status Distributed generation (DG) - Local energy input/output (kWh, kW, other energy values) Sub-metering - Device specific, end-use energy consumption or production (e.g. Consumer PHEV) Environmental State - Current local conditions (e.g., temperature, humidity, time, airflow, ambient light level, motion) Device State - The current or historical state of the device (e.g., lights/fans/compressor/motor/heater are on/off) Processing - Applications that consume, process and act on external and internal data. These applications accept data from external systems and HAN measurement & monitoring applications. In general, these applications that have a higher level of complexity and cost. Energy Cost - Calculates current and overall energy cost Energy Consumption - Calculates current and overall energy consumption Energy Production - Calculates current and overall energy Production Energy Optimization - Utilizes external and HAN data to determine desired response based on a consumer configurable profile Energy Demand Reduction - Uses external and HAN data to reduce load based on a consumer configurable profile Environmental Impact - Calculates environmental impact of current energy consumption (e.g. Power Generation Plant CO2 emissions related to consumer specific load) Human Machine Interface (HMI) - Applications that provide local user input and/or output. These applications are based constrained and based on the data type User Input - Provides consumers with a means to input data into an Application (e.g., Touch screen, Keypad) User Output - Provides an Application with a means to output data to the consumer (e.g., In-Home Display, text message) June 2007

HAN Communications Discovery - The identification of new nodes within the HAN Announcement – both active and passive device notification methods Response - Includes both endpoints (e.g., announcing entity and recipient entity) Initial Identification - Device-type and address identification Commissioning - The network process of adding or removing a node on the HAN with the expectation that the system is self-organizing (i.e., initial communication path configuration). This process is decoupled from utility registration. Identification - Uniquely identifying the device Authentication - Validation of the device (e.g., the network key) Configuration - Establishing device parameters (e.g., network ID, initial path, bindings) Control  Autonomous functions enabled by the platform specific technology Organization - Communication paths (e.g., route) Optimization - Path selection Prioritization - Communication based on importance (e.g., queuing, scheduling, traffic shaping) Mitigation - Ability to adapt in response to interference or range constraints through detection and analysis of environmental conditions June 2007

HAN Security Access Controls and Confidentiality – protection methods associated with both data-at-rest and data-in-transit based on data type Public Controls (low robustness) - protection methods for publicly available information (e.g., energy price) Private Controls (medium robustness) - protection methods for confidential or sensitive data (e.g., consumer usage) Utility Controls (high robustness) - protection methods for utility accountable data (e.g., load control, sub-metering data) Registration and Authentication – Verifying and validated HAN participation Initialization – establishes the application/device as a validated node (i.e., logical join to the utility’s network) Validation – validates the application’s data (i.e., request or response) Correlation – correlating an account (e.g., consumer) with a device, application or program (e.g., DR programs, peak time rebate, etc.) Authorization – rights granted to the applications Revocation – removing an established node, correlation or authorization Integrity – Preserves the HAN operating environment Resistance – methods which prevent changes to the application or application’s data (e.g., tamper and compromise resistance) Recovery – restores an application or the application’s data to a previous or desired state (e.g., reloading an application, resending corrupted communications) Accountability – monitoring malicious activities Audit – application log detected compromise attempts Non-repudiation – applications and application operators are responsible for actions (e.g., can not deny receipt or response) June 2007

Availability - The applications are consistently reachable HAN Performance Availability - The applications are consistently reachable Reliability - The applications are designed and manufactured to be durable and resilient Maintainability - The applications are designed to be easily diagnosed and managed Scalability - The system supports a reasonable amount of growth in applications and devices Upgradeability - The applications have a reasonable amount of remote upgradeability (e.g., patches, updates, enhancements) Quality - The applications will perform as advertised June 2007

HAN Operations, Maintenance and Logistics Manufacturing and Distribution - Vendor’s pre-installation activities Pre-commissioning - Depot level configuration setting Registration configuration - Any required utility specific configurations Labeling - Utility compliance and standards labeling Purchasing - Supports multiple distribution channels (e.g., retail, wholesale, utility) Installation - physical placement of the device Documentation - Installation materials and manuals Support Systems - Installation support systems including web support, help line, other third party systems Management and Diagnostics Alarming and logging - Event driven consumer and utility notifications Testing - System and device testing Device reset - Resets the device to the installation state June 2007

Next Steps Publish CA IOU Vision statement (Guiding Principles, Functional Characteristics) Develop OpenHAN comprehensive HAN use cases Develop OpenHAN platform independent requirements Develop UtilityAMI platform independent architectural views for AMI and HAN Continue to share information with technology communities (i.e., vendors, alliances) June 2007