© 2008 OSIsoft, Inc. | Company Confidential Smart Grid, Smart Metering and DSM OSIsoft and Cisco systems Arjen Zwaag- Cisco Martin Otterson- OSIsoft

3 © 2008 OSIsoft, Inc. | Company Confidential Introduction of Cisco and OSIsoft The partnership of Two infrastructures Converging IT and Operations How can this help in your world- we want to hear from you…..

4 © 2008 OSIsoft, Inc. | Company Confidential Smart Grid, Smart Metering and DSM September, 2008 NOT FOR DISTRIBUTION CISCO CONFIDENTIAL

5 © 2008 OSIsoft, Inc. | Company Confidential The traditional electricity infrastructure Transmission Substation Power Generation Network Control Center Primary Distribution Substations Customers Secondary Distribution Substations No real- time connection The Traditional Electricity Infrastructure

6 © 2008 OSIsoft, Inc. | Company Confidential Increasing Complexity by New Regulation New Opportunities Changing Demand Patterns Security Renewable Generation

7 © 2008 OSIsoft, Inc. | Company Confidential Transmission Substation Power Generation Primary Distribution Substations Customers Secondary Distribution Substations The Smart Grid Network Control Center Real-time connection The Smart Grid – Distributed IntelligenceDistributedInteligence

8 © 2008 OSIsoft, Inc. | Company Confidential Rising Demand, Not Enough Capacity Transmission Substations Power Generation Network Control Center Primary Distribution Substations Secondary Distribution Substations C&I customers Residential customers Pain points High generation costs Capacity shortfall Green mandates/ carbon tax Rising energy cost Increasing blackouts Capacity constraints Worsening system reliability Limited control and response capability High maintenance costs Theft & fraud It is cheaper and cleaner to automate than to build new power plants

9 © 2008 OSIsoft, Inc. | Company Confidential A smart home energy controller can combine all required elements for demand-side management Power Exchange Smart Meter Day-ahead Prices Smart Home Energy Controller Demand- Management Home Appliances Inhouse- Communication Options PLC (LAN Plugs, IP- protocol Radio (WLAN, ZigBee, UWB, WiMax, Insteon) EIB (UTP cable, separate protocol EIB: European Installation Bus, common standard in Europe an the US Electricity Market Demand- Response Utility Consum- ption data Control Optimization Management Technological Options Demand-Side-Management Definition consumption profile

10 © 2008 OSIsoft, Inc. | Company Confidential In addition, it enables customers to do private trading with distributed generation & storage Power Exchange Smart Meter Day-ahead Prices Smart Home Energy Controller Demand- Management Electricity Market Grid Supply data Control Optimization Management Technological Options Private Trading Definition consumption profile Distributed Generation & Storage Co-Gen Solar Fuel cells Etc. Plug-in hybrid Supply data Trading

11 © 2008 OSIsoft, Inc. | Company Confidential Magnetic Door Lock Security Camera New Concentrator Station IP Phone Access Point X Other Services Old Concentrator Station RTU of SCADA Utility Compliant Device IP Substation

12 © 2008 OSIsoft, Inc. | Company Confidential To remember … Strong need for Rt information Growing need for information from all end points IP as a standard for communications Utility compliant solutions Inclusion of legacy assets on standard equipment Inclusion of PI system on standard Cisco routers

13 © 2008 OSIsoft, Inc. | Company Confidential Questions?

14 © 2008 OSIsoft, Inc. | Company Confidential