What does smart grid mean for businesses?
British American Business Council
Boston, MA | December 10th 2014
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Smart Energy SolutionsWorcester, MA
Smart Energy Solutions Video
Highlights:
� $45M pilot program in Worcester, MA
� 15k smart meters have been deployed
� More than 1,400 customers have requested technology packages
� 3,600+ customers have visited the hub
� TOU rates will go live January 2015 (2 options)
� Grid devices ready to go live January 2015:
� Customers are actively engaged with the web platform
This is a microcosm of Grid Modernization
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Grid Modernization
• Energy Efficiency
• Demand Response
• Distributed Generation
• Electric Vehicles
• Information
• Combined Heat & Power
• Energy Storage
• Resiliency and Reliability
• Cost Efficiency
• Efficient Consumption
• Greenhouse Gas Emissions
• CAFE standards –Alt Fuels
• Oil to Gas Conversions
Customer & Market Drivers• Resilient Backbone –
prevents and reduces impact of
outages while integrating clean,
central and distributed
resources
• Market Enabler - facilitates
and sends the right price
signals to customers and 3rd
parties
• Customized Solutions –
provides utility-customized
solutions that can stimulate the
market
Policy Drivers
Connect 21 - the heart of a clean energy future
�Optimizes value for all customers
�Meets policy objectives and Enables policy drivers to facilitate market solutions
�Centralizes information to prioritize & optimize solutions�Creates accountability to deliver policy drivers�Accelerates market expansion to meet policy objectives
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Grid Modernization
Today Tomorrow
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What does a smarter gridmean for business owners?
Fewer and shorted outages
Efficient integration of distributed energy
resources
More pricing options
Visibility and insights into energy
usage
Customized solutions for customers
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What are some of the business opportunities?
Global Solar panel market 3X
FORECAST FOR THE NEXT 5-10 YEARS
Global smart meter market 8.1%
EV market 2.3X
Global smart t-stat market
23X
Home energy management market expected to reach $1.9 billion by 2019
Smart Appliances Market 92%
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What are some of the business opportunities?
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What are some of the business opportunities?
DATA
� From 1M reads a month to 96M reads per day (per 1M meters)
� Smart devices such as t-stats will generate the same amount of data or more
� Processing, storing and analyzing the data is one of the biggest challenges/opportunities
� Integrating the data with other systems is critical
SERVICES
� 14% of customers participate in DR programs today, but 87% would do so with the right incentives.
� Targeting and segmentation
� Marketing of smart products – including cost/benefit analysis
� Enhanced customer experience
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What it will take to win
� Consider all players
� Finding attractive opportunities (who plays, who pays, regulation, margins)
� Deep understanding of full value at stake
� Consultative solution-selling
� Compatibility and interoperability
� Willingness to take risk on a forward looking market