Communicating Smart Grid

to Customers

October 23, 2013

Today’s Presenters

Paige Layne Communications Manager

Duke Energy

KC Boyce Assistant Director

Smart Grid Consumer

Collaborative

Risa Baron External Affairs Outreach Manager

San Diego Gas & Electric

Housekeeping

• You will receive a copy of the slides

– To the email you used to register

• You can ask questions as we go along

– Simply type into the question box, as we will explain or raise questions during the Q&A

• We will answer all the questions submitted

– If we are unable to get to all the questions, they will be answered individually after the presentation

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Agenda

1. Introduction to SGCC findings

• Smart Grid Economic and Environmental Benefits: A Review and Synthesis of Research on Smart Grid Benefits and Costs

2. Duke Energy Case Study

• Engaging Customers

• Key Takeaways - What Resonated

3. San Diego Gas & Electric Case Study

• Communications Platforms

• Communicating Smart Grid - Engaging Stakeholder Groups

4. Questions & Answers Session

Speaker #1

Name Background

KC Boyce

Assistant Director – Smart Grid Consumer Collaborative

• Previously CTO for a startup that provided asset mapping services to communities

• Served as COO/CFO for ICLEI – Local Governments for Sustainability focusing on developing cutting-edge online tools for local governments to assess and manage their energy use

• K.C. serves as Chair of the Decatur (Georgia) Environmental Sustainability Board

• MBA from the Robinson College of Business at Georgia State University

• BA in Political Science from Colorado College

Consumer Benefit Findings

Smart Grid Capabilities Reviewed

1. Integrated Volt/VAr Control

2. Remote Meter Reading

3. Time-Varying Rates

4. Prepayment and Remote Dis-/Reconnect

5. Revenue Assurance

6. Customer Energy Management

7. Service Outage Management

8. Fault Location and Isolation

9. Renewable Generation Integration

Findings: Direct Economic Benefits

$-

$5.00

$10.00

$15.00

$20.00

$25.00

$30.00

$35.00 B

en

efit

pe

r cu

sto

me

r p

er

year

Ideal Case

Reference Case

Possible

Total direct benefits from Smart Grid are $39.69-101.57 per customer per year

Findings: Indirect Economic Benefits

$-

$5.00

$10.00

$15.00

$20.00

$25.00

$30.00

$35.00

$40.00

$45.00

Be

nef

it p

er

cust

om

er

pe

r ye

ar Ideal Case

Reference Case

Possible

Total indirect benefits from Smart Grid are $49.67-53.08 per customer per year

Findings: Environmental Benefits

0

50

100

150

200

250

300

350

400

Be

nef

it p

er

cust

om

er

pe

r ye

ar

(lb

s C

O2e

re

du

ctio

n)

Ideal Case

Reference Case

Possible Likely

Total environmental benefits from Smart Grid are 55-592 pounds CO2e

reduction per customer per year

Findings: Reliability Benefits

Capability Reliability Improvement

(%) (customer-minutes)

Integrated Volt/VAr Control Improved power quality (not quantified)

Service Outage Management 4.5% 4.9 minutes

Fault Location and Isolation 20.5% 22.3 minutes

Renewable Generation Integration Likely

Speaker #2

Name Background

Paige Layne

Communications Manager – Duke Energy

• Responsible for providing strategic external and internal communications support for Duke Energy’s Customer Operations organization

• Previously Manager of Corporate Communications for SunCom Wireless

• 20 years of experience in the communications field including serving in customer communications, media relations and emergency response

• Previously Manager of Public and Community Affairs for Duke Energy’s McGuire Nuclear Station

• Bachelors of Science in communications and public relations from Appalachian State University and Accreditation in public relations from Public Relations Society of America in 2008

Duke Energy

14

Electric Retail Customers – 7.2 million

Gas Customers – 500,000

Service Territory – 104,000 sq. miles

Total US Generation Capacity – 57,700 megawatts

Transmission Lines – 32,200 miles

Distribution Lines – 289,900 miles

Employees – 27,775

Major Grid Modernization Initiatives

6

Duke West

Gap AMI

AMR

Gap AMI

AMR

DSDR

CBM Phase 1

Duke East

Legend

In-flight project

In place

Midwest

Gap AMI

Residential AMI

IVVC

BTM/PEV

BTM/PEV

BTM/PEV

Enterprise

MDM

DMS

DA

Florida

AMR

DSDR Phase I

NGDR (DLC Switch Uplift & Gap AMI)

BTM/PEV

We think our

business is

much cooler

than most

people think it

is.

What Shaped Duke Energy’s Communications Strategy

• Market Research

• Operating Experience

• National Landscape

“”The The grid is for

industrial plants,

right?

I thought you already

did that.

I want my power

on and the bill

cheap.

Show me the

magic, I really

don’t care how

you do it

Communication Structure

Decision Makers Customers Industry/Peers

Demonstrate Inform Promote

Envision Center

face-to-face

Direct Mail

Telephone / email

Face-to-Face

Envision Center

National Media

Online publications

Blogs

Envision Center

Au

die

nce

G

oal

Ta

ctic

Customer Communication Touch Points

Customer Service and Support

Day 1 Day 5 Day 6-15 Day 26 Day 45+ Day 60+ Day 36

Meter Reading and Billing certification occurs

Meter installation vendor

Day 18

Duke Energy Web Page

Vegetation Mgmt Door

Hanger Manage

Vegetation Postcard

Notification Canvas and Door

Hanger Outbound Calls Letter 1 Disconnect

Notice Disconnect

Door Hanger Certification

Letter Daily Usage

Postcard

The “Mark & Don” Strategy

Old-Fashioned Customer Engagement

• specific

• one-on-one

• high touch / personal

• EFFECTIVE!

Over 1,200 customers engaged since

2010

Key Takeaways

20

Set the Stage for Conversation

• Know your audience – don’t assume your customer understands or even care about our business

• Build relationships now -- through all of your routine interactions with customers; demonstrate care and customers will be more apt to listen when you talk about smart grid and benefits.

• Meet customers where they are – Use opportunities to highlight successes where your customers may already be talking (i.e., social media)

• Be prepared and be patient – mass market campaigns are quick, but will do little to make issues go away or create real engagement. Take the time to talk to customers who want to listen and leverage others who want to help tell your story

Speaker #3

Name Background

Risa Baron

External Affairs Outreach Manager – San Diego Gas & Electric

• Responsible for the stakeholder education on energy issues such with a focus on energy efficiency, smart meter, smart grid and renewable energy.

• 20 years of experience with environmental policy and education

• Served on the City of San Diego’s Sustainable Energy Advisory Board for two consecutive terms.

• Instructor at University of California San Diego (UCSD) Extension Department for their Sustainability Business Certificate

• Bachelors of Science in Political Administration and Public Administration from San Diego State University

Communicating Smart Grid to Customers

© 2011San Diego Gas & Electric Company. All copyright and trademark rights reserved.

SDG&E’s transformation

to meet the growing needs of customers

© 2012 San Diego Gas & Electric Company. All trademarks belong to their respective owners. All rights reserved.

SDG&E Business Overview

• Service area 4,100 square miles, covering two counties and 25 cities

• 1,835 miles of electric transmission lines and 21,601 miles of electric distribution lines

• Serving 3.5 million electric and gas consumers

• 1.4 million electric and 850,000 natural gas meters

• Over 99% smart meters installed

• Over 39% paperless billing and 60% self-service payments

• 5,000 employees

© 2012 San Diego Gas & Electric Company. All trademarks belong to their respective owners. All rights reserved.

23

Los Angeles

San Diego

San Francisco

© 2012 San Diego Gas & Electric Company. All trademarks belong to their respective owners. All rights reserved.

Changing Energy Landscape

24

Energy & Environmental Policies

Customer Options

Technology Advances

Smart Grid Communications

New approach to customer education

•Communicating Before and During Installation

•Communicating the Smart Grid Benefits

•Multiple Channels

•Collaborating with Stakeholders

•Third Party Education Program

25

Website – www.sdge.com

Energy Management Tools

Energy Usage Data

Online Services

27

Mobile Solutions Connecting customers to “APP-licable” information

Access from Smart Phone

Bill Highlights

Mobile App

Cost Calculator Bill Pay

Payment Locator Outage Map

Energy Solution Partner Program

• Program developed to educate our community based organizations about energy issues

• Program provided CBOs resources for them to reach out to educate their members, volunteers, and

• This program integrated SDG&E programs and services into their existing education efforts.

• Energy Topics included: – Smart Meter deployment, technology and customer benefits

– Tiered Rate Structure

– Changes in customer billing format

– Products and services

– Emergency Preparedness

– SDG&E’s overarching sustainability and energy-efficiency programs

Media Arts Center- You Tube Video

La Mesa Chamber – E-blast

Chinese Historical Museum- Tweets

Stakeholder Committee

Goal is to provide two-way communication with various stakeholders in our service territory

Education about energy industry, smart grid technology, regulatory and legislative issues.

Types of groups:

• Service Territory Wide Stakeholder Group – Citizen’s Advisory committee

• Regional Stakeholder Group – location driven

• Environmental

• K-12

SDG&E Ambassadors

• Volunteer speakers’ bureau of employees. Career development opportunity.

• The Ambassadors represents multiple areas of the company, including front line field personnel and senior leadership.

• Provide presentations to community groups and civic organizations.

Presentations:

– Shaping our Energy Future -- is designed to educate our customers on what SDG&E is doing to ensure we have a stable supply of energy for the future. The presentation includes information on technological advancements and what those changes means for our customers.

– Customer Programs and Saving Money --designed to educate customers in our service territory about low income programs and energy efficiency options that are offered through SDG&E. We are here to help you navigate all of the valuable programs offered.

Tours & Workshops

SDG&E Energy Innovation Center • Designed to be one of San Diego’s

first LEED Platinum buildings open to the public. The Center offers free workshops and training as well as tour of green building, smart grid and energy efficiency

Mission Control • Invite stakeholder groups to learn

more about smart grid, outage management and transmission & distribution

Renewable Energy (under design) • Developing tours of large scale solar

and wind farms • Birch Aquarium – Boundless Energy

exhibit

35 Non-compensated technical advisor

Thank you!

Risa Baron

External Affairs Outreach Manager

SDG&E

858-654-1857

rbaron@semprautilities.com

Takeaways & Questions

Thank you! You will receive a copy of the slides to the email

address you used to register.

Download the report now: SGCC’s Smart Grid Environmental and Economic Benefits Report:

• http://smartgridcc.org/sgccs-smart-grid-environmental-and-economic-benefits-report

Paige Layne Communications Manager

Duke Energy Paige.Layne@duke-energy.com

Risa Baron External Affairs Outreach Manager

San Diego Gas & Electric RBaron@semprautilities.com