1. June 20071 California Investor Owned Utilities (IOU) HAN Guiding Principles Functional Characteristics and System Criteria 2 July 2007

2. June 20072 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

3. June 20073 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

4. June 20074 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

5. June 20075 Documentation Process

6. June 20076 HAN Guiding Principles Value Proposition Guiding Principles Functional Characteristics & Criteria Platform Independent Requirements Platform Requirements (Technology Specific)

7. June 20077 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

8. June 20078 HAN Functional Characteristics Value Proposition Guiding Principles Functional Characteristics & Criteria Platform Independent Requirements Platform Requirements (Technology Specific)

9. June 20079 HAN Functional Characteristics and System Criteria

10. June 200710 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)

11. June 200711 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

12. June 200712 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)

13. June 200713 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

14. June 200714 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

15. June 200715 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)