Thoughts for planning a smart meters roll-out and a AMI implementation

by Thierry Noiret (Noiret TRG consulting)

 

 

For more information or help for your roll-out, please contact me at NOIRET.TRG@gmail.com

 

This note is inspired by two articles and some personal experiences from Smart Meters roll-outs and AMI implementations. 

· First article is Making dumb European rollouts smart, by Tim Probert published in 3 parts in the March 2013 issues of Intelligent Utility.

· Second article is the-opt-out-challenge, by Jeff Evans from Black and Veatch in the March/April 2012 issue of Electric Light & Power

All the current European and American smart meters initiatives demonstrated that roll-outs cannot be successful without consumer trust.

 

Why would people resist against smart meters?

¨ Safety concerns: can waves be harmful to health?

¨ Privacy concerns: illegal access to personal information for fraud or commercial use;

¨ Resistance to unilaterally imposed changes;

¨ No personal benefit identified;

¨ Risk of higher rates;

¨ People not adhering to the Utility or regional business case.

 

What are the recommended solutions?

Plan customers’ education and engagement long time before starting meters’ roll-out:

¨ Do not believe people will accept AMI anyway;

¨ Instead of imposing smart meters, plan communication and customer engagement 1 year before smart meter roll-out.

¨ Build your communication on positive aspects for individuals and the community.

Plan opt-out costs:

¨ Do not naively believe opt-out can be avoided.

¨ Evaluate several opt-out technologies and their future:

¨ analog meter,

¨ non-AMI digital meter,

¨ AMI meter with no communication,

¨ reduced communications AMI meter.

¨ Evaluate several opt-out fees options for customer

¨ special opt-out rate,

¨ upfront imposition,

¨ monthly services fees.

¨ Propose opt-out solutions before deployment start-up to avoid useless costs.

¨ Consider all opt-outs costs and negative aspects:

¨ meters and handhelds maintenance costs,

¨ crews reorganisation,

¨ holes in network reliability or outage analysis,

¨ costs increase or decrease depending on the amount and density of opt-outs.

¨ Give time to customers to understand smart-meters:

¨ postponement is better than opt-out.

Set up center of excellence – communication platform with customers:

¨ operational from day one of roll-out.

¨ Web, phone, Smartphones applications etc.

Share available documentation with customers:

¨ Available studies all around the world on waves, AMI benefits etc.;

¨ Governmental rules;

¨ Applied policies on security, privacy...

Tell consumers the when and how about the installation process.

Share all potential benefits of smart meter with customers:

¨ Inform consumers of the new capabilities of the meters and AMI;

¨ Even without TOU rates, consumers can benefit from smart meters;

¨ Set-up energy consumption data communication platform, reports etc.;

¨ Educate on how to use the data from consumption reports in order to increase customers’ energy efficiency.

Prepare with customers new rates (time of use, Demand-Response):

¨ Consider all scenarios and possible negative consequences of TOU  pricing or DR initiatives;

¨ Educate customers on TOU, DR, etc.

¨ Realistic estimates on potential benefits

¨ Potential consequences

¨ Transparency to avoid disillusion

¨ Share with customers on community and individuals advantages.

Diversify your benefits:

¨ Meter reading fees savings are depending on opt-outs volume and density;

¨ Invest on the new quality and accuracy of available data;

¨ Invest on exchange platforms with customers;

¨ Prioritize and plan initiatives on a long term.

Do not only focus your development effort on bills accuracy:

¨ Bills are transparent for customers;

¨ Build business intelligence platform directly from the MDM;

¨ Build exchange platforms with customers:

¨ data availability;

¨ graphs and visual presentations;

¨ potential benefits calculators;

¨ on line channel of communication.

¨ Develop the MDM as a services provider;

¨ Define long term security and privacy strategy and rules and not as you go.

Customers are one of the most important and valuable pillar of a smart meters roll-out, it is essential
to plan and build with a customer oriented mind.

 

For more information or help in your roll-out, please contact me at NOIRET.TRG@gmail.com