Discover Telefónica Smart Metering Value Proposition

1. SMART METERING
SMIP project_

2. SMIP basics!
20/20/20 EU Directive:
Nationwide Smart Metering
Implementation Plan: SMIP
o 80% roll-out in 2020 (Electricity)
o 20% reduction of primary energy
consumption
o 20% reduction of greenhouse
gas (GHG) emissions*
o 20% of energy to come from
renewables
34 M homes and SME
61 M meters
(34M electricity – 27M gas)
UK Government Directive:
o 100% roll-out in 2020 (Electricity &
Gas)
o 80% GHG reduction target by 2050*
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*Compared to 1990 Values
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3. SMIP basics!
Part of
sustainability
agenda
Reduce energy
consumption
through realtime data
End estimated
billing and
manual meter
reading
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Drive
innovation as
‘gateway’ to
Connected
Homes

4. SMIP Benefits!
Utilities:
Consumers:
o Energy Suppliers savings 9
o UK Energy Savings 6
Billion £
Billion £
o Network Operator savings 1
Billion £
o Generation & Distribution
savings 800 million £
National Economy:
o Carbon use savings 1.5
Billion £
Source: DECC” Smart meter roll-out for the domestic and small and medium non-domestic sectors (GB)”
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5. SMIP Ecosystem!
Customer
• Uses data from meters to
reduce energy costs
Energy Suppliers
• Own customer relationship &
install meters & hubs
• Regulated by Smart Energy
Code
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DCC
CSP
DSP
• Subcontracts to DSP & CSP
• Provides comms hub to Energy
Suppliers & provides connectivity
services
• Potential for follow-on value
added services sales
• Divided in three lots: North,
Central and South.
• Provide data services to DCC
• Regulated by Ofgem
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including systems
integration, IT hosting and
application management

6. Communication Service Provider Award
o Areas: Central & Southern
19 million
SMIP Award!
North
o Contract Value: 1.5 Billion £*
o Years: 15
o # Communication Hubs: 23.5 M
o Meters: 42.3 M
Southern
* NOTE: Total quotable contract value is £1.5B - There is an extra £112m due to TEF including 100% of the finance charges
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7. SMIP Telefónica’s Solution!
Communications Hubs
Architecture
Customer Premises
CSP
Cellular Only:
2/3G
Cellular + RF
MESH
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DSP / DCC

8. SMIP Architecture!
Elements
Communications
Hub attached to the
electric meter:
element that
provides the
communication
capacities to the
HAN & WAN
Network
In-Home Display (IHD):
A display installed in
the customers home or
business, that provides
near real-time
information on their
energy use and cost
Smart Gas meter
replacing traditional
meter
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Smart Electricity
meter replacing
traditional meter
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9. SMIP Architecture!
Technologies
Ø Protocols:
o DLMS/COSEM GBCS (Great Britain Companion
Specification) compliant
o Zigbee SEP 1.x (Smart Energy Profile)
Ø Wide area network (WAN): Cellular network to provide
secure communication between meters and the Data
Service Provider à 2G GPRS at GSM900 / 3G HSPA at U900
Ø Neighborhood Area network (NAN): RF mesh network to
connect Communication Hubs as infill access technology à
802.15.4g @ 868MHz unlicensed spectrum
Ø Home area network (HAN): Network to achieve
communication between the smart meter system
components within the home à Zigbee SEP 1.x @ 2.4GHz
unlicensed spectrum
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10. SMIP Key Success Points!
RF Mesh infill for
uncovered areas
99.25% Connectivity
Network Coverage
Full Security (cellular
network technology +
virtual network ) compliant
with CNI classification
M2M dedicated elements:
• Network (GGSN, HLR)
• Managed Connectivity
Platform
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Fast Implementation
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11. Telefónica Smart Metering Value Proposition!
Telefónica Value
Proposition
“We manage
your
connectivity”
When does it
apply!
Capabilities / Assets!
Bid process focus on
metering
Basic connectivity (2-3G)
infrastructure.
Smart M2M
Communications
not a priority
“We manage
Basic connectivity (2-3G)
Bid process focus on
your
Smart M2M
the communication
HW (comms hub)
communication
network
Service management
network”
“We operate
your metering
network”
Bid process led by
operation
department
Basic connectivity (2-3G)
Smart M2M
NOC capabilities
“We provide an
e2e metering
solution”
Bid process
oriented to turnkey solutions
Basic connectivity (2-3G)
Smart M2M
NOC capabilities
Data Collection
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12. Telefónica Smart Metering Value Proposition!
In-house capabilities & assets
4
Metering capabilities
4
3
DEVICE MANAGEMENT
CONSUMPTION DISPLAY
TICKETING
2
ALARMS
DATA COLLECTION & ANALYSIS
DEVICE MANAGEMENT
2
3
1
INVENTORY
SMART M2M
2
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MIDDLEWARE / PROTOCOL
MANAGEMENT
HARDWARE (Comms Hub)
1. “We manage your
connectivity”
On & off
footprint
• Scope: Managed connectivity
• Assets: SM2M
2. “We manage your
communication network”
On
footprint
• Scope: Communication Service Provider
• Assets: SM2M, Device Management,
Hardware (Comms Hub)
3. “We operate your
metering network”
On
footprint
• Scope: Metering NOC
• Assets: SM2M, Connected Metering Platform
4. “We provide an e2e
metering solution”
• Scope: e2e metering solution
• Assets: SM2M, Device Management, DCA,
Connected Metering Platform
On
footprint