1. AMR/MMR And Tamper Detection Alan Chapman SCRPA/SURPA/IURPA Conference Atlanta, GA June 18 – 21, 2002

2. OBJECTIVE Current State Current State Define AMR/MMR Define AMR/MMR Impacts of AMR/MMR Impacts of AMR/MMR Benefits Benefits Disadvantages Disadvantages How Tamper Detect Works How Tamper Detect Works Planning to Ensure Success Planning to Ensure Success Energy Protection Energy Protection

3. Current State 20 million electric, gas, and water meters read AMR/MMR. (supplied by ITRON) 20 million electric, gas, and water meters read AMR/MMR. (supplied by ITRON) Projected to add 10 million more in the next 5 years. Projected to add 10 million more in the next 5 years.

4. Duke Power 500,000 MMR read by end of 2002 500,000 MMR read by end of 2002 1.3 Million MMR read by end of 2005 1.3 Million MMR read by end of 2005

5. AMR Automated Meter Reading Advantages: Advantages: Two way communication Two way communication Bundled services to customers Bundled services to customers Load research Load research Obtain data at any time Obtain data at any time

6. AMR Automated Meter Reading Disadvantages: Disadvantages: Higher cost Higher cost Infrastructure needs Infrastructure needs

7. MMR (Mobil Meter Reading) Advantages Advantages Lower cost Lower cost On-site exception work On-site exception work

8. MMR (Mobil Meter Reading) Disadvantages Disadvantages No two way communication No two way communication No customer service market No customer service market No load research No load research No on demand data No on demand data

9. IMPACTS of AMR/MMR Routine Work Routine Work Business Expansion Business Expansion Billing Billing Collect Collect

10. Benefits Lower Cost Lower Cost Contractor labor $.56 per record Contractor labor $.56 per record MMR labor $.13 per record MMR labor $.13 per record Reduce Back Office Work Reduce Back Office Work Tamper Detection Tamper Detection Employee Safety Employee Safety Customer Satisfaction Customer Satisfaction

11. Benefits Tamper Detect Features Tilt Detect Tilt Detect Reverse Rotation Reverse Rotation Power Outage Power Outage

12. Disadvantages Tamper Detection Tamper Detection Some types of theft will increase Some types of theft will increase Lose your eyes!! Lose your eyes!! More reliance on usage variances More reliance on usage variances Customer Safety Customer Safety Demand Meters Demand Meters Disconnect Notification Disconnect Notification

13. How Tamper Detect Works ERT Module ERT Module Stores revolutions, and tamper detect indicator. Stores revolutions, and tamper detect indicator. Sends tamper information to CIS when read Sends tamper information to CIS when read CIS matches with current tamper counter CIS matches with current tamper counter = Current number no theft = Current number no theft > Current number reports as tamper > Current number reports as tamper CIS stores counter CIS stores counter

14. How Tamper Detect Works CIS Needs CIS Needs Tamper detect counter (vendor will not store this number) Tamper detect counter (vendor will not store this number) Filter for routine work Filter for routine work

15. Planning for Success DO NOT ASSUME. DO NOT ASSUME. Ensure EP is involved with business case. Ensure EP is involved with business case. Properly calculate projected losses. Properly calculate projected losses. Work with vendor EARLY. Work with vendor EARLY. Design IM systems before implementation. Design IM systems before implementation. Develop training for effected parties. Develop training for effected parties. Theft reporting strategy for implementation. Theft reporting strategy for implementation.

16. Energy Protection Without CIS enhancements tamper report is useless!! Without CIS enhancements tamper report is useless!! Initially theft investigations will increase. Initially theft investigations will increase. Detection will be more difficult. Detection will be more difficult. Usage variation models will be critical. Usage variation models will be critical. Training essential. Training essential. Obtaining off cycle readings. Obtaining off cycle readings.