home energy monitoring

giving people power over energy

in conjunction with

Home Energy ManagementWhat you need to know…

Presented byKC Jacobson

VP Business Development

Knowledge is Power

How can consumers

benefit?

What is the Smart Grid?

Inspired by• increasing demand, especially at peak• rising rates• need to accommodate renewable input• improve reliability & security• need for more flexibility

Moving from 1-way centralized networkTowards dynamic decentralized networks with bidirectional flow of energy AND DATA

Interconnected by Communications that Reach Every Device

Smart Grid:It’s All About Communication

Advanced Sensors and Computing

Electrical Power System From Generation to End Use

Today’s Reality for Consumers

Energy Prices Rising• Cost of electricity

increases every year

• New Smart Meters are coming

Increased “Green” Sensibility• Dependence on

foreign energy sources

• Reducing carbon footprint

Retail Price of Electricity in California

5.000

8.500

12.000

15.500

19.000

1980 1985 1990 1995 2000 2005 2010

Cen

ts/

kw

h

1U.S. Energy Information Administration Report

Deregulation Experiment

Consumers are motivated to make changes.

Presenter

Presentation Notes

Everyone knows that energy prices are rising. All they have to do is look at their electric bills. People are finding it increasingly difficult to meet their monthly financial demands and their utility bills just keep going up. The media is full of warnings and forecasts of future doom and gloom. We are being constantly bombarded with the need to do something to conserve energy and help the environment. All of these factors have created a sense of tension in the minds of consumers.

400

500

600

700

800

900

0 5000 10000 15000 20000 25000 30000 35000 40000 45000

(MW)

$/M

WH

1California Energy Commission, “An Action Plan to Develop More Demand Response in California’s Electricity Markets”

Electric Company Motivation

Peak Demand is the Enemy• Higher cost of generation

= Lower margins• Operating costs are increasing• Permits for new

power plants and distribution lines increasingly difficult to obtain

Total C os t of P roduc tion(inc luding debt s ervic e and

operating c os ts )

R etail P rice

Cost of Electricity Generation in California

Presenter

Presentation Notes

At the same time that the consumer is struggling with rising energy prices, the utility companies are dealing with their own problems. The cost of providing energy during peak demand periods is prohibitive. On-going operating costs to keep peak demand plants running at all times cuts into the bottom line. Consumer behavior modification is the only answer.

Traditional Tools are are Limited

Information on the Electric Bill

• Utility bills hard to understand

• Tiered rates are confusing

• Consumers don’t know what individual appliances, etc. cost to use

Electric Company Energy Audits

• Based on standard profiles & forms

• No actual data on personal energy use

• Recommendations can be expensive, inconvenient

Presenter

Presentation Notes

So I want to reduce my energy bills. What can I do? He utility bill is no help. Multiple pricing tiers, generation costs, distribution costs, tariffs, fees and taxes. Utility companies provide some services to help. Energy audits can be informative, but they are based on standard profiles and expensive and inconvenient solutions. A typical audit is nothing more than a questionnaire followed by a list of things the consumer should buy to reduce their consumption. New refrigerator, new windows, new light bulbs, more insulation, etc.

Smart Meters Alone Won’t Change This

Default communication is utility Smart Meter

Rate structures will become more sophisticated

• Time of Use (TOU) Metering

• Rates can change every 15 minutes to reflect utility costs

• Utility may offer rebates & discounts to encourage energy efficiency

To Benefit…Consumers MUST be Proactive!

What does this mean for me?

Need real-time data…

• Big picture:Effectively reduce peak demand

• Closer to home:Reduce utility bills

Can’t change behavior without feedback

Access to usable data will save you $$$

Don’t forget Privacy considerations

Home Energy Management Systems (HEMS) are the Solution

Variety of Systems Available• Meet needs of all types of consumers• Many price points• Levels of detail & control

Types of monitoring & management• Monitor & control devices

(programmable thermostats)• Monitor whole home – HW and/or SW• Monitor circuit-by-circuit

or room-by-room

HEMS Communications to Suit Every Need

Internet - Google, MicrosoftDevice display –TED, KillAWatt, Thermostats WiFi – Tendril, Control 4ZigBee – Control4, EcoDog, smart appliancesPowerLine Carrier (PLC) – EcoDog

Control Philosophies

Set it & forget it – e.g. thermostatsUtility control – usually in exchange for rate discountInteractive consumer control• Software• HardwareHybrid models

Benefits of HEMS

“Prius” Effect: Awareness half the battleTypical savings 10-25%Added savings by identifying “Energy Hogs”• Faulty appliances• Older devicesMore savings from:• Control capabilities • Usage analysis

Impact on Alternative Energy

Home Energy Management can enable consumer to optimize alternative energy installationsSome systems include detailed monitoring of energy input as well as demandCan enhance efficiency and help calculate return on investment

Changing Consumer Behavior

‘Prius Effect’Solutions as individual as consumers• Utility bill vs affordability• Choices for those who want more control• Alternatives for those who want utility to

control• Some will chose to do nothing

Utility Incentives will be key• Rate structures• Rebates & incentives• How incentives delivered to consumers

The Results

Savings for consumers can be significantPotentially the most effective means to:• Reduce costs• Reduce energy consumption• Reduce carbon emissions• Reduce need for new power plants

home energy monitoring

Education