1. AMP’s Advanced Metering Program
October 15, 2015
George Bjelovuk, AMP Project Manager

2. Redefining AMP’s Strategy
AMP’s recognition of market drivers
Changing regulatory environment
IOU decrease in generation investment and increase in transmission investment
Expansion of renewable generation capacity
Growing customer interest in demand-side efficiency and management
Proliferation of distributed generation
Eight cross-functional teams working to redefine AMP’s Strategic Plan and Objectives
One of the teams is focused on helping AMP members with the deployment of technology in the operation of their business

3. Redefining AMP’s Strategy
What we know…
The utility industry business is increasing its use of technology - in the business, in field equipment, and by customers
Our member municipalities have an emerging need
Skill & talent not locally available
Our operations are becoming more vulnerable to attack
Cybersecurity engineering is of paramount importance
Members have recognized AMP’s ability to effectively manage bulk power purchases and power supply contracts
AMP’s Board has identified the need to support members in their adoption of technology in their operations

4. Redefining AMP’s Strategy
One of the eight teams is focused on technology enablement - “Hosted Solutions"
AMP members are evaluating many technologies in the distribution and customer operations parts of the business
Vendors, distributors, and independent providers have identified the need within small municipal utility operators
The term – “Hosted Solutions” – is reflective of what the marketplace refers to these services
Vendors providing these services to individual members
AMP assembled a group of member municipalities and staff to begin collaborations
Known as the “Smart Grid Advisory Committee”

5. Smart Grid Advisory Committee
AMP Smart Grid Advisory Committee
Formed about 18 months ago to facilitate exchange of information among Members interested in smart grid technologies
Common interest among members in advanced metering
Leidos Engineering Study, 2014
Modeled several scenarios for members
Each municipality deploying meters, networks, systems
Each municipality using a commercial hosting provider
Single hosting provider for all members
AMP-developed hosting services for all members
Identified the need for an “Owner’s Engineer & Project Manager”
Selected George Bjelovuk – utility operations and consulting experience

6. AMP’s Smart Grid Program
Project launched on January 6, 2015
Focus on simplifying AMI adoption for AMP members
Recognize variability among member’s requirements
Pilot member utilities’ benefits
Aggregating purchasing of equipment
Mitigating the risks associated with local deployment of major technology components like Meter Data Management Systems
Support business case & financial modeling
Assistance with presentations to leadership, where required
Provide collateral material for customer communications

7. Member Business Drivers
Address aging meter assets equipment
Handheld/drive-by equipment is aging
Water meter modules near end-of-life (batteries)
Stopped or under-registering meters
Improve customer service
Surrounding utilities providing internet access to interval data
Enhanced customer communication
Support for emerging needs – rates, distributed generation
Distributed generation (e.g. solar) metering requirements
Changes in rate design – TOU, demand metering, seasonal rates
Defer complexity of technology management
Technically-skilled employees may be difficult to attract & retain
Vendor relationships different from existing products & services
Distribution grid management – automation, Volt/VAR control
Seek ways to reduce acquisition cost

8. Current State - HHMR Manual meter reading process
Billing System
Manual meter reading process
Aging meters, handheld equipment
Support for new rates
“Smart grid” platform & customer expectations

9. Advanced Metering Evolution - AMR
Meters
Billing System
Meters replaced with “One-Way” RF System; Reading with “drive by” equipment
Improves efficiency (less estimates, lockouts)
Continued shortcomings on advanced rates, smart grid capabilities, & customer expectations

10. Advanced Metering Evolution - AMI
Field Infrastructure
AMI
Head-End
Communications Network, “Backhaul”
(fiber, wireless, cellular)
Smart
Meters
Billing System
Collectors )
Simplest form of Advanced Metering
Remote reading
Introduces two-way capabilities
Capable of remote connect & disconnect

11. Advanced Metering Evolution - AMI
Deployment & support of IT systems requires specialized resources that may be difficult to attract and retain for AMP member municipalities
Managing relationships with a new group of vendors
Utility equipment distributors help with this, but only with the vendors they represent
AMI projects require several key skill sets:
Effective presentations to leadership
Engagement of the community
Cost/benefit analysis
Project Management
Independent action loses opportunity to achieve economies of scale from collaborative action
Utility Owned –
Traditional “On-Premise”
Back Office Infrastructure
Field Infrastructure
Outage viewer
Customer
Portal
Utility
Portal
AMI
Head-End
MDM
Smart
Meters
Collectors
Back Haul
Billing System

12. Commercially Hosted Solutions
Expertise deferred to Hosted Solutions Provider
Reliance on vendors and distributors to interact with municipality’s leadership
Varying degrees of maturity among vendor and distributor’s project management skills
Many Individual municipality contracts with multiple providers
Infrastructure & Applications provided as a Service
Utility Systems
Outage viewer
Customer
Portal
Utility
Portal
MDM
AMI
Head-End
Field
Infrastructure
Smart
Meters
Back Haul
Collectors
Billing System

13. AMP AMI Project - Status
First phase of project was to complete “member outreach”
Identifying AMP members who had interest in moving forward collaboratively with their AMI project
Eleven Municipalities, 108,897 meters (goal = 85,000)
Bryan, OH
Berlin, MD
Dover, OH
Ephrata, PA
Newton Falls, OH
Painesville, OH
Piqua, OH
Tipp City, OH
Seaford, DE
Versailles, OH
Zelienople, PA

14. Software-as-a-Service
AMI Vendor Landscape is COMPLICATED!
Back Office Systems
Cooper
Electsolve
eMeter GE
Leidos
L+G
Meter Sense
Oracle
OSISoft
PrimeRead
Meters
Elster GE
Itron
Networks
Cooper
Elster
Itron
L+G
L+G
Sensus
Tantalus
Sensus
SilverSpring
Tantalus
Tropos
Software-as-a-Service
Leidos
UtiliSmart GE
System Integrators & Project Managers: Wipro, Leidos Engineering

15. Business Confidential - Do Not Distribute
RFI/RFP Process
RFI issued to 23 vendors on March 27, received 24 responses
Pilot Member Workshop on May 13
Short list of Vendors selected
RFP released on July 6; responses received on July 31
Comparative analysis prepared and reviewed with initial members
Finalizing the program and preparing a proposal for approval
Business Confidential - Do Not Distribute

16. AMP Advanced Metering Solution
AMP Managed Systems
Utility Systems
Back Office Infrastructure
Outage viewer
Customer
Portal
Utility
Portal
AMI
Head-End
MDM
Field
Infrastructure
Meters
Wireless Network
Billing System

17. AMP AMI Program – Value Proposition for Members
Bulk pricing on field components
Financing options
Support for AMI deployment - project management, customer outreach and presentations to municipality’s leadership
One number to call – AMP personnel you already know
AMP will manage vendor relationships
AMP staff will managing the functional components – readings not coming in, collectors down, etc.
Sharing of best practices
Sharing of IT labor & resources – attract/retain/compensate staff

18. AMI Program Subscription
Subscription will begin with the eleven initial members
Additional members will be accommodated and integrated into the overall project plan throughout 2016
AMP Financing options are available

19. AMI Program Summary Key Observations
Building a best of breed solution
Commitment of AMP staff & resources
Continued support for AMP member utility operations

20. Hosted Solutions – Future Options?
Like the AMI Program, others potential efforts will involve collaboration among members
Member outreach has identified other areas of member interest
Customer information & billing systems
After-hours customer support
Demand response systems and technologies
Distributed generation integration & operating support
AMP is committed to helping its members effectively deploy advanced technologies in their operations

21. Thank You!