Jerry  Shoemaker    Manager,  Smart  Grid  PMO  

February  20,  2014  

PHI’s    Smart  Grid  Program    Management  Approach  

Lessons  Learned  

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Acknowledgement  "This material is based upon work supported by the Department of Energy under Award Numbers: DE-OE000300, DE-OE0000301, DE-OE0000204” Disclaimer: "This report was prepared as an account of work sponsored by an agency of the United States Government. Neither the United States Government nor any agency thereof, nor any of their employees, makes any warranty, express or implied, or assumes any legal liability or responsibility for the accuracy, completeness, or usefulness of any information, apparatus, product, or process disclosed, or represents that its use would not infringe privately owned rights. Reference herein to any specific commercial product, process, or service by trade name, trademark, manufacturer, or otherwise does not necessarily constitute or imply its endorsement, recommendation, or favoring by the United States Government or any agency thereof. The views and opinions of authors expressed herein do not necessarily state or reflect those of the United States Government or any agency thereof."

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Agenda •  Overview  of  PHI  Grants  &  Projects  

•  Where  we  stand  today/status  –  Management  Approach  

•  Lessons  Learned  

   

Smart  Grid  

Project Management Office (PMO)  

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Atlantic City Electric Customers: 545,000 Headquarters: Mays Landing, NJ Delmarva Power Customers: 500,000 (Electric) 130,000 (Natural Gas) Headquarters: New Castle Region - Wilmington, DE Bay Region - Salisbury, MD

Pepco Customers: 753,000 Headquarters: Washington, DC

Pepco  Holdings  

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 PHI  SGIG  Awards  Summary  

 Company/Regions AMI DLC DA CI

Total Project Costs

DOE Funding

Pepco  Maryland   $137.7 $51.4 $15.0 $ 5.5 $209.6 $104.8

Pepco  District  of    Columbia   $ 68.2 $ 7.1 $ 9.1 $ 4.8 $ 89.2 $ 44.6

AtlanKc  City  Electric   NA $13.4 $17.0 $ 7.0 $ 37.4 $ 18.7

Smart  Grid  Workforce    Training  Grant   NA NA NA NA NA $ 4.4

Total   $205.9 $71.9 $41.1 $17.3 $336.2 $173.5

   

PJM  Syncrophasor   $ 1.4 $ 0.7

$ Are in millions

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Smart  Grid  iniDaDves  are  accelerated  through  DOE  funding…  

Pepco-­‐DC   Pepco-­‐MD   ACE-­‐NJ  

-­‐ 280,000  smart  meters  -­‐ 20,000  DLC  devices  -­‐ 17  ASR  schemes  -­‐ Dynamic  pricing  -­‐ Enabling  comms  

-­‐ 570,000  smart  meters  -­‐ 168,000  DLC  devices  -­‐ 62  ASR  schemes  -­‐ Dynamic  pricing  -­‐ Enabling  comms  

-­‐ 25,000  DLC  devices  -­‐ 20  ASR  schemes  -­‐ 158  Capacitor  banks  -­‐ Enabling  comms  

$89.2M   $209.6M   $37.4M  

$44.6M   $104.8M   $18.7M  

Impacts  on  PHI  

Total Cost DOE Funded

•  Acceleration of installation of meter and thermostats

•  Acceleration of benefit for customer to manage their energy use

•  Modernization of the electric system to reduce outages, better manage the operation of

the system and reduce losses

Solar Energy & CFLs reduce the need to run power plants

Direct Load Control programs reduce peak demand use

Customers will have online energy information

Smart appliances will reduce peak demand and help lower energy prices

Utility pole collectors transmit data between customer and utility

More Efficient Appliances

More Information on Your Energy Usage

Greater Access to Energy Information

Smart Meters that Improve Service and Reliability

A New Wave of Electric Vehicles

Smart Thermostats That Automatically Save $$$

A Stronger, More Reliable & Interactive Grid

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DLC  

DSM          

• Finance  • Legal  and  Audit  • Corporate  CommunicaDons  • Government  and  Regulatory  Affairs  

   Design  Authority                DA  and  CI  

 Blueprint  Steering  CommiYee  

ExecuDve  Leadership  Team    (ELT)    

AMI      

Project  Management  Office  • Twice  a  month  • OperaDonal  &  Strategic  • Risk>Schedule>Budget  • Benefit  RealizaDon  

PHI-­‐Wide  Cross-­‐FuncDonal  Support  of  ImplementaDon  Effort        Asset  Management,  OperaKons,  Strategic  Services,  IT,  Corporate  CommunicaKons,  PS&HR,  Finance  &  Regulatory    

   

Federal  SDmulus  CoordinaDon  

Dynamic  Pricing  

PHI  Structure  &    Management  

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District  of  Columbia    

AMI  Meters   270,000  

End  Points   60  

Repeaters   375  

Direct  Load  Control  Devices   20,000  

ASR  Schemes   3  

ASR  Feeders   19  

SecKonalizing  Switches   51  

Network  Transformer  Protector  Monitors   41  

CommunicaKons  Infrastructure  in  the  process  of  installing  mesh  radios,  base  staKons,  and  subscriber  radio  units

Prime  Recipient  Name POTOMAC  ELECTRIC  POWER  COMPANY

Project  Name District  of  Columbia  Smart  Grid  Program

Award  Number OE0000300 Total  Cost $89,161,097.79   Federal  Share $44,580,549.00   Private  Share $44,580,548.79   Award  Date 04/05/2010 Start  Date 04/05/2010 Percentage  of  Federal  Share 0.50%

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District  of  Columbia    

Projects:  •  Advanced  Metering  Infrastructure  •  Direct  Load  Control  •  DistribuKon  AutomaKon    •  CommunicaKons  Wireless  

Infrastructure  •  ExperienKal  Design  (CMU)    

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Prime  Recipient  Name POTOMAC  ELECTRIC  POWER  COMPANY

Project  Name District  of  Columbia  Smart  Grid  Program

Award  Number OE0000300 Total  Cost $89,161,097.79   Federal  Share $44,580,549.00   Private  Share $44,580,548.79   Award  Date 04/05/2010 Start  Date 04/05/2010 Percentage  of  Federal  Share 0.50%

3/2013  Forecast  

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Smart  Grid  implementaDon  involves  the  most  significant  technology    transformaDon  since  the  grid  was  first  created:      •  EducaKon  and  training  of  workforce    •  Integrated  Plan  /  success  of  the  Program    •  MulK-­‐year  projects  are  evoluKonary    •  Successful  implementaKon  can  only  

be  achieved  by  understanding  the  impact  on  all  aspects  of  the  business  

•  Benefits  RealizaKon    •  Approach  to  Risk  

 

Lessons  Learned  

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Risk  management  approach  Con$nuous,  not  as  a  one-­‐$me  only  ac$vity  during  the  planning  of  the  project.  PMO  should  analyze  risks  on  an  ongoing  basis  to  deal  with  changing  condi$ons  and  priori$es  on  the  project.    

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Risk  Framework  

Identification RBS/Categories, SWOT

Assumptions & Constraints Network Diagram

Response Avoid, Mitigate, Transfer Exploit, Enhance, Share

Accept

Monitor and Control Determine effectiveness

Re-assess Corrective Action

Analysis Qualitative

Quantitative

Projects Integrated Plans

/Critical Path

Blueprint Integration

Large Projects High Criticality Very Complex

Small Projects Low Criticality

Very Basic

Scalable for all Projects in the PMO

PMO  –  Project  Management  Office  SWOT  –  Strengths,  Weaknesses,  OpportuniKes,  Threats  RBS  –  Risk  work  breakdown  structure  PHI  conforms  with  Project  Management  InsKtute  standards  which  FERC  and  DOE  have  adopted  

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Scoring  Matrix  

Probability x Impact = Exposure

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Jobs  Created  –  558  Full  Time  Equivalents  

CumulaDve  Jobs  As  of  Q1  2013    AtlanKc  City  Electric   3.9  

 Pepco  Maryland   287.8  

 District  of  Columbia   205.8  

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Jerry  Shoemaker    Manager,  Smart  Grid  PMO  

February  20,  2014  

PHI’s    Smart  Grid  Program    Questions / Comments

Thank you