Challenges of Advanced Metering Infrastructure

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Challenges of Advanced Metering InfrastructureImplementation in Colombia

Rubn H. Lpez Rodrguez Renato H. Cspedes G.

National University of Colombia Bogot

[email protected], [email protected]

Abstract

This paper presents the results of the analysis of

Advanced Metering Infrastructure (AMI), one of the most

widespread Smart Grid technologies as an alternative to

conventional metering for the Colombian electrical grids.

AMI is approached as a key element of the system bywhich enterprise and customer information converge,

allowing the end user to access the functionality of a new

metering infrastructure. The analysis considers the

benefits of smart metering, compares experiences in other

countries, the characteristics of the metering function,

and regulatory and legal aspects particular to the

Colombia case.Keywords:Smart Grids, Energy Metering, AMI, Metering Standards.

1. IntroductionThis paper presents the analysis of Advanced Metering

Infrastructure (AMI), relatively new topic in electrical

engineering that has been gaining worldwide boom and isclosely related to the implementation of informationtechnologies (ITs) for modern distribution powernetworks.

The measurement systems of electricity are a keycomponent of any energy system that comprisesgeneration, transmission, distribution and market. InColombia, the consumption of the energy delivered byelectricity distribution networks is measured mostly usingconventional methods, which do not allow consumers toanalyze their energy usage.

___________________________R. Cespedes is partner of RConsulting Group SAS and associateprofessor of Universidad Nacional, Bogota, [email protected] H. Lopez is an electrical engineer, graduated from theUniversidad Nacional in 2011, working presently for Cointelco [email protected].

978-1-4577-1801-4/11/$26.00 2011 IEEE

For these reasons, energy trading companies, do nothave enough data about distribution systems and loads,which translates into the lack of effective tools to addresschallenges such as power failures and non-technicallosses, leading to considerable loss of income and

potential fines to utilities. With AMI consumers can

access dynamic information about the quantities andcharacteristics of its energy consumption, to makeinformed decisions on the basis of this information for amore efficient and rational usage, taking into account

pricing signals that encourage changes in theirconsumption patterns.

Regarding Demand Side Management1, AMI allows tomonitor, measure, and take actions on buildings andhouses, enabling the consumer or the network operator(dealer) to control heating, ventilation, air conditioning,lighting and other systems [1]. In situations of constrainton the supply of energy it is possible to reduce demand bythe disconnection of concerted loads.

2. Smart metering and smart grid2.1. AMI and smart meters

A smart (or advanced) meter is an electricity, gas,water or heat meter, which measures, registers andanalyses usage of one or more services (measurement ofmultiple services), enabling two-way communication totransmit the information back to the utility for monitoringand billing purposes.

In addition to allowing remote reading, to be doneperiodically (e.g. at the end of each day), these metersoften have features to send reports of events such as

power failures and other events related to the quality of

service, which allows companies to respond more quicklyand according to the reported situation. A network ofsmart energy meters allows for an energy balance at locallevels and the identification and location of losses.

Figure 1 shows a drawing of the AMI system. The reddotted lines represent two-way communications betweenthe smart meter and the Meter Data Management (MDM)

1DSM: Process of managing the consumption of energy, for the mutualbenefit of the utility and the end users.


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System and between the meter and the sensors placednear the users. The use of measurement transformersdepends on the type of user (CT / PT in Figure 1).

Figure 1.AMI viewedfrom the electricity smart meterstandpoint

The allocation of intermediate data managementequipment between the meter and a data center is

possible. This sort of equipment is known as a hub, adevice that in centralized systems is called secondaryconcentrator (the primary one is the data center of theutility).

2.2. Smart metering in the worldIn Italy, ENEL introduced the use of smart meters in

2001 in the "Telegestore project" [2] [3]. The selection ofthe communications infrastructure and the type of meterwas made with complete freedom given the absence of

regulation in this respect. Communications are based onPLC2 between the meter and the nearest electricalsubstation and finally a control center imports the datathrough a GSM network. By the end of 2005, ENEL had27 million meters installed, of which 24 million aremanaged remotely.

2Power Line Carrier: system for carrying data on electrical conductorsused for electric energy distribution.

In Sweden, the first studies of smart metering werecarried out in 2001 [4]. By then, some companies alreadyhad pilot projects and the government set it as mandatoryin 2009 justifying this decision in energy-saving programsamong other benefits.

In July 2006, California energy regulators approvedthe upgrade to electronic communications program of 9million conventional meters for residential customers with

both gas and electric services of PG&E (Pacific Gas andElectric). These meters report electricity consumption onan hourly basis. This enables PG&E to set pricing thatvaries by season and time of the day, rewarding customerswho shift energy use to off-peak periods. The peak

pricing program began on a voluntary basis, and it isexpected that after a period of five years mass

participation will be achieved [5].In England, the Department of Energy and Climate

Change aims to have smart meters in all homes by 2020,costing approximately USD $ 13 billion [6]. The averagesavings projected per family would be around $ 45 per

year.Colombia is currently implementing pioneering smart

metering projects. One of these is the Empresas deEnergia del Archipilago de San AndresS.A. E.S.P. TheAMI project which is in operation since 2009, includesthe islands of San Andres and Providencia. Usingtechnology provided by Aclara, the system allows the

bidirectional flow of data on the existing power lines [7].The main objective of this project which spans 16,300

meters, is to reduce energy losses from 34% to 12%, andfurther eliminate the use of estimated billing.

In Cali, the utility EMCALI is implementing a projectwhich comprises 14,000 Aclara/Nansen smart meters,

whose installation began in 2009. The main purpose is thereduction of non-technical losses indicators. The systemfeatures remote disconnection, tamper and diagnosticalerts, prepayment support and load limiting/load control.

3. Advanced Metering Infrastructure3.1 Parallel of a cable TV decoder and AMI

Several reasons justify an analogy between the decoderused by cable TV providers and an advanced AMI meter.

Both are used for the provision of public services andfulfill the role of providing an interface that makes thecustomer-company relationship easier. The incorporationof digital technology in service is also a common element

that implies the access to additional options incomparision with the conventional approach.

Regarding storage, there are decoders with enoughmemory to store some hours of video. Meanwhile, theAMI meter can store consumption and event registerswith a defined interval of occurrence, and also offers the

possibility of performing on demand readings and mightin the future allow for the storage or delivery of energy if


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the user has some form of generation or relevant storageequipment (electric vehicle).

As the decoder, the AMI meter is a device thatimproves the conditions of service for the user and should

belong to the company, which shall keep it updated aschanges with technology or functionality occur. Despiteits potential benefits it is not expected that users invest ina change towards smart meters. This equipment would beset up by the company but users may be given access tocontrol certain functions.

Finally, while the smart meter can involve more than apublic service, the decoder only allows the provision ofcable TV services. The following table summarizes andcompares the functions of decoder (D) and AMI meter(M):

Table 1

Comparison of television decoder-AMI meter

D M

Access to information concerning the service(channel guide, scheduling, fees, etc.).

Access options regarding payment for the servicereceived ("pay per view", pre-payment, automaticdebit, etc.).

Allows for user programming May avoid dispatching service personnel to the user Benefits for utility and customer Data storage Warning signals sent to the utility upon servicefailure

Functional options for the user organized inpackages (functionality is up to the customer).

X

Improves the management of the utility Information for customers

Information for utilities Integration with users applications X Integration with other public services X Introduces digital technology to public service It belongs to the company and is operated by thecustomer

It is the cornerstone of the service functionality Possibility of providing incentives to users toinfluence their consumption

X

Potential to save money to the customer Potential to improve the perceived quality of service Potential to improve the usage habits of the public

Presentation of information that facilitates access tothe possibilities offered.

Remote control The company can take remote actions (e.g. cuttingand reconnection of service)

There is no doubt that if AMI implements the expected

functionality it will have a huge potential change the roleof the user to convert him to a so called prosumer

(proactive consumer). Looking to the future at a certainmoment, the AMI infrastructure will be able to:

Integrate with applications to control domesticloads.

Integrate with mobile devices like phones orcomputers with Internet connection to allow the

remote control of the meter functions.

3.2. Required AMI functionalityAn AMI system basically consists of elements

classified into the following five groups (see Table 2 ): Data storage Communications Management User interface Data reading and data processing

Table 2 AMI functions Classification

Functional Group Functions

Data storageStorage of consumers data (consumptionand events)

Communications

Communications Protocols andcommunications technologies needed forthe operation of remote control functions.Among the possibilities are: DLC, HAN,PLC, M-Bus, GSM/GPRS, infrared,RS232, RS485, TCP/IP, UMTS andZigBee.

Management

Remote functions, fees management, loadcontrol, on demand reading, prepayment,multi-service metering, and real time

prices.

User interfaceAlternatives for the user to access theAMI functionality: LCD display, graphicsconstruction, keyboard, web site accountswith password protection, reportmessages to mobile phones or email.

Data reading anddata processing

Reading and processing consumption andevents data as voltage quality, current,active, reactive and apparent power,instantaneous and average values,frequency, loss of supply, theft andtampering detection, power quality, etc.

From this classification, the AMI requiredfunctionality is defined. Figure 2 shows groups offunctions connected with data flow lines and containingsub-blocks of the tasks performed by each block. In thesame diagram a dotted line represents the border of themeter, distinguishing user and the MDM System. Itshould be noted that between user and the data center ofthe utility there may or may not be a concentrator (Figure2 illustrates a case without hub).

3.3. Comparing conventional measurement and

AMI


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Basic AMI is defined in this paper as the minimumacceptable features for this type of infrastructure. Thedifference between basic and extended AMI, lies in the

possibilities involved in each one as shown in Table 3 (ingeneral, the main difference is that extended AMI furtherincludes control elements):

Figure 2. Functional diagram of an AMI meter into

the AMI infrastructure

Table 3. Comparison Chart: conventional scheme (C) Vs

basic (B) and extended (E) AMI

Functional Block Features CAMI

B E

Data storage

Consumption data

Events Time-of-use metering Operation under loss ofsupply

CommunicationsMultiple communication

protocols andcommunication technologies

Management

Remote control of devices(remote load switch-on/off)

Remote configuration ofmeter parameters

Limitation of consumptionand disconnection/reconnection of energy

supply

Remote metering Prepayment andconventional payment

Real-time pricing

User interface

In-home display, buttons andLEDs

Graphics construction, SMSmessages, web site usersaccounts

Data reading anddata processing

Theft and tamperingdetection and notification

Active power measurement

Reactive powermeasurement

Power quality measurement

Import and export energymetering

4. Technical, legal and regulatory issues4.1. Equipment and communications analysis

A single-phase meter and a three-phase meter permanufacturer were selected, as several companiesrecognized market leaders were taken into account.

In order to distinguish the way in which equipment

from different manufacturers performs similar functions,the following aspects were compared: Anti-fraud features. Readout of meter data without main power. Remote functions. Generation of graphics, SMS messages, web site

account. Time-of-use metering. Measurement of power quality. Measurement of electrical energy. In-home display, buttons and LEDs. Real-time prices. Protocols and technologies of communication. Data storage. Event Log file. Support for pre-payment and conventional

payment methods. Meter connection.

By confronting manufacturers in general it was foundthat different manufacturers provide different approach tothe same functions, handling different amounts of data.


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As for the user interface, none of the meters analyzedsupport graphics generation, sending SMS messages tomobile phones or uploading data to the Web.Storage of information varies among manufacturers,

presenting some common elements such as the ability toprogram the length of the time data recording interval andadding time stamps for data. Some of the manufacturersoffer load profiles3, some of which are in the fourquadrants. Single and three phase models of one of the

brands considered in the analysis, are able to operate up totwo load profiles simultaneously. The event log isincorporated into all three-phase and some of the single

phase smart meters.In most of the cases, the meters have an internal clock,

which is necessary for recording time information, andusually counts with a backup battery to ensure properoperation even if supply is lost. One of the analyzedmeters does not have an internal clock, rather, the timingis managed by a system clock.

A common element found is the inclusion of anti-fraud

features ranging from the detection and warning (byinstant message or event log) of the opening of the metercover to high immunity to magnetic influence.

The measurement of electrical energy is approacheddifferently by each manufacturer. It is noteworthy thateach of the three-phase meters registers energyconsumption in four quadrants, load profiles, ie, activeand reactive energy in the positive and negativedirections. Storage and data transmission, power quality,

bi-directional metering, four quadrants metering, multi-tariff support, remote functions and tamper detection, areelements that are being incorporated in equipment andsystems.

4.2. Meter manufacturing standardsThe following table provides a description of the main

European standards (IEC) concerning the manufacture ofsmart meters. Electrical equipment used in Colombianormally meets International standards, which aretranslated and adapted by ICONTEC. Regardingstandards of metering equipment, the ICONTEC meterscommittee, deals with standardization issues concerningelectricity meters and electrical load control equipment,such as active energy meters, reactive energy meters,maximum demand indicators, telemetering forconsumption and demand, equipment for remote reading,

time switches and load and rates control equipment [8].

Table 4. Meter manufacturing standards [9]

Standard DescriptionIEC

62056-61Electricity metering.Data exchange for

Describes the hardware and protocolspecifications for local exchange ofmeter data. The connection may be

permanent or may be based on an

3 Graph of the variation in the electrical load versus time.

meter reading, tariffand load control

optical or electrical coupling.The protocol allows reading and

programming of tariff devices.

IEC62052-11

Electricity meteringequipment (AC).General requirements,tests and testconditions. Part 11:Metering equipment.

Covers type tests for static meteringequipment, electromechanical ordigital, for indoor and outdoorapplication on 50 Hz or 60 Hz

networks, with a voltage up to 600V.It also applies to multi- servicemeters, with measurement of peakdemand, time switches,communication interfaces, etc,consisting of a measuring elementand register(s) enclosed together in ameter case.

IEC62053-23

Electricity meteringequipment (AC).Particular requirements.

Part 23: Static metersfor reactive energy

Applies to static VAR-hour meters ofaccuracy classes 2 or 3 for indoor oroutdoor application, consisting of ameasuring element and register(s)enclosed together in a meter case. Italso applies to equipment with multi-service metering and to functional

elements such as measurement ofpeak demand, time switches,communication interfaces, etc.

IEC62056-21

Electricity metering.Data exchange formeter reading, tariffand load control. Part21: Direct local dataExchange

Describes hardware and protocolsspecifications for local meter dataexchange using hand-held units(HHU) or a unit with equivalentfunctions connected to a tariff deviceor a group of devices.

IEC62052-21

Electricity metering

equipment (AC).General requirements,tests and testconditions. Part 21:Tariff and load controlequipment

Specifies general requirements forthe type test of newly manufacturedtariff and load control equipment,

like time switches that are used tocontrol electrical loads, multi-tariffregisters and maximum demandindicator devices.

4.3. Regulation of the measurement and pricing

of energy in ColombiaIdeally, in a given sector, regulations are established as

a result of a comprehensive policy and strategy, based onthe characteristics and sector-specific development.

In some countries, developments are occurring inrelation to particular plans and regulatory measures but

there is not as much development as it might be expected.In the United States, for example, the implementation ofsmart grids was established by law, based on standards,on which the National Institute of Standards andTechnology (NIST) is working at this time.

On the other hand, the Federal Energy RegulatoryCommission (FERC), national regulator, made knownstandards for safety and reliability for the smart grids[10].


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Regulation must pursue economic and energyefficiency. For this purpose investments that expand

periods in which rates may be affected, and alsogeneration, transmission, distribution and marketing arechanged, should be analyzed considering separateremuneration.

In Colombia, energy pricing is handled by type ofcustomer [11]. The Colombian electricity market hasregulated and non-regulated segments. Regulatedsegments cover industrial, commercial and residentialenergy users whose demand is lower than 0.5 MW. In theunregulated market, consumers with energy demandhigher than 0.5 MW can freely negotiate and contracttheir supply on the wholesale market (i.e., spot andcontract markets) directly or through business entities,distributors, or producers [12].

Colombian law mandates that there be freecompetition and that the end user should choose hisretailer, which in practice has not occured [9].

There are complicated legal and regulatory issues. For

example, in Colombia, self-generators of power cannotsell the energy back to the energy company or to othersunless meeting the strict regulatory conditions.

Advanced Metering likely may contribute to slowerdemand growth, or being more optimistic to its reduction,so companies would have to find new sources of income.As long as the current model in which the company withmore assets, more networks and more customers, has ahigher profit, real support for schemes such as AMI arenot be expected [9].

4.4. Considerations of Smart Metering

Implementation in ColombiaColombia is a country where 70% of the population is

of low income and a considerable number of people livingin substandard settlements and typically only use about 4or 5 light bulbs and a TV set. If smart meters are installedat these sites it may not be feasible to recover theinvestment over the lifetime of the meter, hence thecommon denominator of smart metering projects being sofar developed in Colombia is the reduction of non-technical losses.

Such technologies tend to be more useful in societieswith high per capita electricity consumption where the

population has high income. One way to make themviable in countries like Colombia, would be a segregated

implementation. Using criteria such as strata would leadAMI to specific groups of consumers, increasing in thisway the possibilities of successful implementations.

So far the need to think first on the AMI requirementsand the problems that have to be solved and to avoiddecisions based on new untested features is consideredkey for developing a solution for Colombia. No doubtthere are challenges to be addressed, obstacles such asownership of the meters by users or gaps in regulation,

which can, however, result in opportunities from thestandpoint of those who may invest in these types oftechnologies [13].

At present there is growing awareness and concern forenvironmental sustainability, and new possibilities areentering the scene, such as distributed generation, energystorage and remote loads control (on and off). It isexpected that the interest of utilities in Colombia,motivated primarily by improving their economicindicators continue to grow, and as that happens, thefinancial improvement based on increasing revenue orreducing operating costs, will motivate that new means toimprove the efficiency of the system and the cost ofkilowatt-hours of energy be employed. At that point AMIshall be strongly considered as a key element forimplementing Smart Grids.

Smart Grid implementation cannot be achieved onlyby automating the electrical grids; rather the user shallbecome an integral and active participant first [14].

Perhaps the most interesting aspect about the smart

grid and AMI systems is that to improve efficiency, notonly reducing pollution, but also reducing consumption

per capita.

5.Conclusions and recommendationsAMI is an infrastructure located near the user, whichmakes possible the demand response (encourage the clientto change their habits of energy consumption) anddemand management (direct control of householdappliances) with an enormous potential to change habitsof customers and to reduce energy use, increasingefficiency.AMI is being used in the world for the purposes of saving

energy and improving the management of distributionnetworks.Functionality of AMI is very promising but a detailedcase shall assess the potential benefits of theimplementation of this type of infrastructure. There are anumber of barriers to be overcome from the legalframework, tariffs and traditional development of theelectricity sector in Colombia, like the lack of any rewardor incentive for technological innovation related to AMI

but it is expected that with time, and appropriateinvestment costs of new technology AMI will be a goodcandidate of infrastructure for its implementation inColombia.

6. AcknowledgementThis paper is a summary of the Thesis prepared by

Ruben H. Lopez as partial fulfillment of requirements forgraduating as electrical engineer at the Universidad

Nacional de Colombia, Bogot.

7. References


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[1] SILVANO GUIDI, Claudio. CASTRO, CarlosOsvaldo. La regulacin elctrica en Latinoamrica frenteal desafo de Smart Grids. In: Seminario Internacionalsobre Smart Grids en sistemas de distribucin ytransmisin de energia elctrica (10 : 2009 : BeloHorizonte). Belo Horizonte : Comisin de integracinenergtica regional, 2009. p. 4.[2] "Evaluating The Leading-Edge Italian TelegestoreProject", presentation by Fabio Borghese, ENEL,Business Development Executive, Infrastructure and

Networks Division. Citado en: VAN GERWEN, Rob.JAARSMA, Saskia. WILHITE, Rob. Smart metering. The

Netherlands : Julio de 2006. http://www.helio-international.org/projects/SmartMetering.Paper.pdfhttp://www.helio-international.org/projects/SmartMetering.Paper.pdf[3] Domestic Metering Innovation, ConsultationDocument, Ofgem (UK), February 1, 2006. Citado en:VAN GERWEN, Rob. JAARSMA, Saskia. WILHITE,Rob. Smart metering. The Netherlands : Julio de 2006.

http://www.helio-international.org/projects/SmartMetering.Paper.pdf[4] Maandelijks uitlezen van elektriciteitsmeters,Eindverslag van regeringsopdracht 27-05-2002, StatensEnergimyndighet (Sweden). In: VAN GERWEN, Rob.JAARSMA, Saskia. WILHITE, Rob. Smart metering. The

Netherlands : Julio de 2006. http://www.helio-international.org/projects/SmartMetering.Paper.pdf[5] http://www.pge.com/about/news/mediarelations/newsreleases/q3_2006/060720a.shtml.http://en.wikipedia.org/wiki/Smart_meter[6] http://business.timesonline.co.uk/tol/business/industry_sectors/utilities/article6987070.ece.

http://spectrum.ieee.org/energywise/energy/the-smarter-grid/smart-grid-obstacle.[7] http://meterpedia.com/mwp/2009/08/22/implementation-in-colombia/[8] DIRECCIN DE NORMALIZACIN ICONTEC.mbitos Comits Tcnicos de Normalizacin. Disponiblein: http://www.icontec.org.co/index.php?section=183[9] http://webstore.iec.ch/webstore/webstore.nsf/[10] FONSECA, Sandra. La regulacin en los sistemas demedicin. En: Seminario Internacional Infraestructura deMedicin Inteligente (AMI) para servicios pblicos (4 :2011 : Bogot). Bogot : ACIEM Cundinamarca[11] http://www.creg.gov.co/html/i_portals/

[12] http://es.wikipedia.org/wiki/Sector_el%C3%A9ctrico_en_Colombia#Tarifas_y_Subsidios[13] ROJAS, Juan Pablo. En: Taller internacional sobrelos fundamentos de Smart Grids en los sistemas elctricos(7 : 2010 : Bogot). Bogot : COCIER, CNO-CAC, 2010.[14] MURCIA, lvaro. En: Taller internacional sobre losfundamentos de Smart Grids en los sistemas elctricos (7: 2010 : Bogot). Bogot : COCIER, CNO-CAC, 2010.

Renato Cespedes G.graduated as Electrical Engineer (1972) from theUniversity of the Andes (Colombia) and obtained a Doctor in ElectricalEngineering (1976) degree from the National Polytechnique Institute ofGrenoble, France. He is associate professor at the National University ofColombia. Dr. Cespedes is presently partner and CEO ofRCONSULTING GROUP, a consulting company based in Bogot withinterest in automation, technology and Smart Grid concepts. Dr.Cespedes retired in 2009 from KEMA Inc. where he held the position of

Director of the Latin America operations.

Ruben H. Lopez graduated as electrical engineer (2011) from theUniversidad Nacional de Colombia. He is presently working asinstalling coordinator of electrical framework at Cointelco S.A., anelectrical engineering company working on new building projectsdesigning and installing electrical systems. His interests are PowerSystems, Smart Grids and Smart Buildings.

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Challenges of Advanced Metering Infrastructure