Smart Grid

In many countries, enterprises in the energy sector of the economy are undergoing a period of reform. The ongoing processes of mergers, acquisitions, and changes in the management structure, boundaries of the sphere of activity, and territorial presence make many former monopolies look for new models of value creation. The objectives of companies and their business processes inevitably change. Markets for the provision of public services are emerging. Market mechanisms are being introduced. Technological changes are required to meet the current development needs of the industry. While all of these changes vary by location and activity of utilities, innovation inevitably leads to a transformation of the entire utility industry.
The Russian energy sector is also going through a period of change. The main trend influencing the development of information systems in the energy sector is the Smart Grid concept. A number of important legislative acts are expected to be adopted in this direction. For Russia, the Smart Grid ideas are especially relevant, since the energy infrastructure is badly worn out.
Timely infrastructure management is critical. Utilities are faced with the need to implement new operating and maintenance standards to continually improve the balance between supply reliability and cost. Another of the key tasks in the energy sector is the management of equipment maintenance and repairs. This is due to the huge number of pieces of equipment distributed over large areas and requiring constant routine maintenance and repair. Consolidation of information about the state of equipment in a single control system with the possibility of its prompt provision to various consumers on the spot allows you to reduce downtime for repairs, reduce the cost of spare parts and materials, optimize logistics and staff workload.
Consumers are also an equally important driver of this change. There is a tendency to move from a process-oriented approach to a customer-oriented one. The increased requirements of consumers to the level of service inevitably lead to an expansion of the range of services provided by energy companies, the introduction of new financial and payment mechanisms.
In accordance with the concept of Smart Grid, among the priority areas of IT development in the energy sector for the coming years, one can single out:

1. Widespread implementation at new and modernized measuring points of smart measuring devices – “smart” meters with the function of remote control of the load profile of the measured line and measuring transducers with standard communication interfaces and protocols (including wireless) that comply with information security standards.

2. Installation at every large facility connected to the power grid (residential area, office center, factory, etc.), advanced automated information and measurement systems (AIIS) operating in real-time. AIIS must monitor object processes (for example, electricity or heat supply, including energy quality parameters), perform simple automatic control algorithms, and have developed means of information exchange with the outside world.

3. Creation of a wide network of integrated communications based on a variety of communication lines – fiber-optic communication lines, satellite, GPRS, HF communication via power lines, etc. Each AIIS must be connected via at least two independent communication channels.

4. Implementation of automated systems (AS) for production activity management in power companies. Since all energy companies belong to the production with a continuous cycle, four types of such systems can be distinguished:

AS for maintenance and repair management;
AS work in the markets (commercial dispatching);
AS customer service;
AS for managing the main production – generation, transmission, distribution, sales (accounting for consumption), or dispatching.
5. Creation of integrated interfaces to AIIS and AS of production activity management for automatic data exchange with AS of other market participants. At the same time, exchange protocols and information security standards for all categories of market participants should be determined.

A number of vendors have already announced support for the Smart Grid concept and will include new functionality in their next product releases. Some are bringing solutions to the market that are built in accordance with the new ideology and demonstrate greater flexibility and functionality in the new environment.

World and Russian energy development trends

20 century – homogeneous energy systems and their interconnections based on the concentration of EE production at the locations of energy resources and the concentration of consumers

• Large power plants (thermal power plants, hydroelectric power plants, nuclear power plants)
• Developed transit and distribution power grids
• Centralized operational management
• Synchronous zones in large areas
• Strict technical rules of joining and participation regulation regime
• Energy is a monopoly business area of ​​large energy companies

> Classic mode control system (PA, RA, ODE system)

21st century – alternative distributed micro, mini and small generation and hybrid power systems

• Generation based on renewable energy sources, virtual power plants
• Small-scale fuel generation of different entities with the diversification of energy resources
• Generation as an accompanying production
• Demonopolization of markets for capacity, energy, local, and system services
• Possibility of autonomous operation (independence)
• Soft technical rules for joining and participating in the regulation of the regime

> SMART GRID. Intelligent automation with little human intervention

Advantages of Smart Grid Compared to Traditional ECO

• SG is an automated network for the generation, transmission, and consumption of electricity;
• SG is a SMART system, that is, it is able to self-monitor and provide reports both on any network participants (its condition, needs, etc.) and complete information on the generated and transmitted electricity in any aspect: efficiency, losses, or economic benefits;
• SG also improves the reliability of the network by providing seamless switching to another source in the event of a failure of the main one. Since the reliability of individual power supply networks already reaches 99.97%, the use of SG is able to guarantee uninterrupted power supply in 24/7 mode;
• SG increases the “performance” of the network as a whole by reducing wire losses and optimal load distribution, establishing efficient (shorter) connection routes for large consumers.

Definition of Smart Grid, smart meters, AIIS KUE

Smart Grids are modernized power grids that use information and communication networks and technologies to collect information about energy production and consumption to automatically improve efficiency, reliability, economic benefit, and the sustainability of power generation and distribution.

Smart Grid technology solutions can be divided into five key areas:

• measuring instruments and devices, including, first of all, smart meters and smart sensors;
• improved management practices;
• advanced technologies and components of the electrical network: flexible AC transmission systems FACTS, superconducting cables, semiconductor, power electronics, storage;
• management technologies, distributed monitoring and control systems), distributed generation monitoring systems, automatic systems for measuring ongoing processes, as well as new planning and design methods for both the development and operation of the power system and its elements;
• integrated communication tools.

 

Smart meters (smart meters) of energy resources are a type of improved metering device equipped with communication means for transferring accumulated information through network technologies in order to monitor and carry out payments for utilities.

The term “smart meter”, as a rule, referred to electricity meters, but more recently it has also been applied to the means of measuring other consumed resources: natural gas, heat and water.

AIIS KUE – Automated information and measurement system for commercial metering of electricity.
AIIS KUE is a set of hardware and software tools that provide remote collection, storage, and processing of data on energy flows in power grids. AIIS KUE is necessary for the automation of electricity trade and also performs the technical functions of monitoring the operating modes of electrical equipment.

A hierarchical system, which is a technical device that functionally unites a set of measuring and information complexes of measurement points, information and computing complexes of electrical installations, and information and computing complex, and a system for ensuring a uniform time, which performs the functions of measuring, collecting, processing and storing measurement results, information about the state objects and measuring instruments, as well as the transfer of the received information to the integrated automated control system for commercial accounting in the wholesale electricity market in an automated mode

Main data transmission interfaces for smart energy metering systems

Information network Smart Grid unites many technical elements and nodes.

In the domain of electricity consumers, such elements are smart meters, electrical appliances, energy storage systems, electric vehicles, as well as distributed generation facilities.

In the domain of energy transmission and distribution, the elements of the information system are phase measuring units, substation controllers, distributed generation facilities, energy storage systems.

In the operational domain, the elements of the information system are SCADA systems.

In turn, each of the above domains can consist of its own subnets, which makes the overall network architecture very complex. At the same time, one of the key components of this information system is the security of data storage and transmission.

In accordance with generally accepted approaches abroad, IP (Internet Protocol) – networks are a key element of Smart Grid information systems. The advantages of using IP-protocols include the widespread use of this technology, the presence of a significant number of already developed industry standards, and a significant number of developed corresponding software products.

In addition, solutions based on IP principles have good scalability, which allows a significant number of network elements (smart meters, home appliances, etc.) to be included in the information system.

An important role in shaping the prospects for the global smart metering market is played by the unification of data transfer interfaces from primary metering devices to concentrators and from concentrators to a data processing system.

In the EU countries, the most widespread are data transmission interfaces using GSM / GPRS channels, PLC and radio channels. Below are the key communication interfaces used in smart energy metering systems in the EU countries.

 

Key tasks solved by stakeholders in the implementation of intelligent energy metering systems

The implementation of national strategies for the development of Smart Grid technologies and smart metering in various countries of the world pursues a number of key goals.

For energy companies, the key pursued goals for the development of Smart Grid technologies are:

• reduction of energy losses;
• increasing the timeliness and completeness of payment for consumed energy resources;
• management of the unevenness of the electrical load schedule;
• improving the efficiency of asset management of energy companies;
• improving the quality of integration of renewable and distributed generation facilities into the power system;
• improving the reliability of the power system in the event of emergencies;
• increasing the visualization of the work of energy infrastructure facilities.

The key tasks to be solved by energy consumers in the implementation of Smart Grid technologies are:

• improving consumer access to energy infrastructure;
• improving the reliability of power supply to all categories of consumers;
• improving the quality of energy resources;
• creation of a modern interface for interaction between energy consumers and its suppliers;
• the opportunity for the consumer to act as a full-fledged participant in the energy market;
• expanded opportunities for consumers to manage energy consumption and reduce the level of payments for consumed energy resources.

Governments and regulators of the energy industry are striving to achieve the following goals through the development of Smart Grid technologies:

• increasing the level of satisfaction of energy consumers with the quality and cost of energy supply;
• ensuring a stable economic position of enterprises in the energy sector;
• ensuring the modernization of fixed assets of the energy sector without a significant increase in tariffs.

In the world

2019

The cloud platforms used for collecting data from connected SmartGrid elements and end-to-end optimization management of power grids can be classified into two types:

• integration, used primarily for data collection and implementation of the most demanded monitoring tasks, in particular, automatic detection of consumer outages and cases of theft of electricity,
• and analytical, used for optimizing, predictive power grid management in real time, including the management of DemandResponse programs and distributed generation facilities.

According to J’son & Partners Consulting estimates, the global volume of consumption of services of both types of cloud IoT platforms reached $ 860 million in 2018, and the growth rate of consumption in the period 2015-2018. accounted for 85% CAGR. According to the forecast of J’son & Partners Consulting, the global consumption of the considered types of platforms will grow in 2023 to $ 4.8 billion, CAGR will be 41%.

2017

According to UN experts, 75% of all energy resources on Earth are consumed by residents of cities, whose share is 53% of the total population of the planet. According to Schneider Electric estimates, by 2050, the demand for energy resources, following the share of urban residents already in 86%, will grow by 50%.

This is partly why the number of megalopolises in the world implementing projects of smart cities, smart metering and smart grids is constantly growing. In the spring of 2017, experts from the consulting company ABI Research predicted that the number of smart meters that track the consumption of electricity, water and gas will double by 2022. This will happen against the backdrop of the development of technologies for energy efficient long-range networks (LPWAN).

The volume of profits of mobile operators from connecting power grids and smart meters by 2026 will amount to $ 26 billion, analysts predicted.

Machine Research. According to the forecast, by 2022 there will be 158 million smart metering devices connected to LPWA networks in Europe. Now about 60 million European meters are not equipped with the capabilities of remote transmission of readings.

According to the calculations of the European Commission, 200 million energy meters and 45 million gas meters will be replaced by 2020. By the designated time, such devices will be installed at 72% of electricity consumers and 40% of gas consumers.

And yet, the dynamics of this growth will be primarily influenced by the initiatives of city administrations and national governments. For example, in 2014, the UK government recognized the task of equipping citizens’ housing with smart meters as national. According to ABI Research, in the UK, the penetration rate of smart metering was less than 10% at the end of 2016. In 2017, the results of the MoneySuperMarket survey showed that only 16% of the UK residents use smart metering devices.

Also, according to ABI Research, the Indian government planned to implement 15 smart metering “pilots”, but seven of them did not even start. Brazil’s energy regulatory agency ANEEL, for example, has scrapped plans to relocate residents to smart meters as soon as possible.

The volume of deliveries of smart meters in Europe by the end of the year will reach 23 million

Berg Insight predicts that shipments of smart electric meters in Europe will grow by 21% in 2017. The volume of supplies will amount to 23.1 million devices. The growth in sales of such devices is due to the demand for smart metering devices in France, Italy and the UK and Spain [2].

A significant number of devices deployed in 2017 use power line communications (PLC). In 2018, the volume of deliveries of smart PLC devices will decline, but the share of devices operating in LTE-M / NB-IoT and RF networks will increase.

“France and Spain will be the last major countries in Western Europe to implement intelligent solutions with PLC. Starting this year, Italy is switching to second generation meters operating in hybrid PLC / RF networks. This will improve the reliability of data transmission, ”said Tobias Ryberg, senior analyst at Berg Insight. The UK and the Netherlands are focused on 2G / 4G, while the Scandinavian countries are actively using RF.

Berg Insight analysts believe that mobile technologies optimized for IoT (LTE-M / NB-IoT) as well as RF will account for the majority of connections over the next 5-10 years.

Moving from 2G to 4G / 5G will ultimately deliver better performance at a lower cost. LTE-M is likely to become the most suitable technology for metering electricity consumption. NB-IoT will meet the demand for intelligent metering of gas and water.

2016

The main global trends in the development of Smart Grid technologies and smart metering of energy resources

The analysis of the world’s best practices, carried out by J’son & Partners Consulting, allows us to conclude that the active development of modern energy metering technologies allows: to bring the quality of collection and analysis of consumer energy consumption data to a fundamentally new level; increases the efficiency of the operational management of energy assets; promotes the active involvement of energy consumers in the processes of regulating their own energy consumption.

It is also an important tool for improving the overall energy efficiency of the economy.

The Smart Grid technology market in the world is in its infancy. At the same time, the continuously continuing development and modernization of the energy infrastructure in each region has its own characteristics and approaches.

In recent years, the vast majority of industrialized countries, as well as many developing countries, have embarked on the implementation of programs and projects in the direction of Smart Grid, covering a wide range of problems and tasks.

The most ambitious programs and projects in this direction have been developed and are being implemented in the USA, Canada and the European Union countries, as well as in China, South Korea and Japan. A decision was made to implement similar programs and projects in a number of other large states (India, Brazil, Mexico).

In particular, by 2020, China expects to reach the level of equipment with modern energy metering systems in 90-95%, the USA – 50-60%. In the period after 2020, 100% equipping with smart meters is planned in the USA, China, Brazil, Japan, most of the EU countries.

For example, one of the main tasks of the energy policy of the EU countries, defined in the “Electricity Directive”, is to equip at least 80% of consumers with “smart” metering systems by 2020.

The obligations of the participating countries to define a plan for the implementation of smart meters create the necessary impetus for the deployment of programs for the development of Smart systems in the European Union. In particular:

• France: Issued the smart meter directive in September 2010, mandating the installation of 95% of smart meters by 2016;
• Germany: Law of January 2010, which makes it a condition for the installation of smart meters in new buildings, renovated, or at the request of the consumer;
• UK: government mandated implementation of smart meters between 2012 and 2020;
• Spain: Royal Decree 1110/2007 and Ministerial Order 2860/2007 oblige by 31 December 2018 to replace all electromagnetic electricity meters with smart meters.

Thus, it is predicted that the world market of smart metering systems for energy resources as an important component of Smart Grid technologies will continue to demonstrate steady growth in the medium term. At the same time, the key factors contributing to the global growth in demand for smart metering systems for energy resources will be the high growth rates of this market in the EU, China and the United States.

International industry examples of the effectiveness of the use of intelligent accounting systems

The economic efficiency of the implementation of projects in the field of smart metering systems is confirmed by a significant number of implemented projects in this area.

Their analysis, carried out by consultants J’son & Partners Consulting, in relation to the EU countries, and a comparison of the costs and benefits of implementing smart metering systems using the example of electricity allows us to draw the following conclusions:

• unit costs for equipping 1 metering point vary significantly in the context of the EU countries and range from 94 to 766 Euro / metering point (for the lifetime of the device);
• specific benefits from equipping 1 metering point also vary significantly in the context of the EU countries and range from 77 to 654 Euro / metering point (for the lifetime of the device);
• For most of the countries analyzed, the cumulative benefits of smart metering outweigh the cumulative costs.

In the segment of smart metering of natural gas, the estimated decrease in its consumption due to the implementation of these projects is 0-7%.

The largest cumulative benefits from smart gas metering projects are projected in Austria (€ 1,400 million) and Spain (€ 1,050 million).

The implementation of projects for the joint implementation of smart metering of natural gas and electricity is planned in such EU countries as Ireland, the Netherlands, and the UK.

 

The total benefits from the introduction of such smart metering systems for these countries are estimated at up to 27 billion euros, the reduction in energy consumption, depending on the country, is estimated at 2.2-3.2%, and the decrease in the peak load in the power system – at 0.5-9. 9%.

2007: US Energy Independence and Security Act

Formally, the definition of a smart grid emerged a few years after Burr’s report. It was introduced in the US Energy Independence and Security Act, approved by the US Congress in January 2007. In an explanatory note to the regulation, it was stated: “The US policy is to support the modernization of the electric grid infrastructure, which will lead to an increase in its level of safety and efficiency.” The action plan consisted of several points:

• Use of smart grids: increased use of digital information and operational management and monitoring technologies to improve the reliability and efficiency of power generation;
• Dynamic optimization of network operations and resources, ensuring complete cybersecurity;
• Deployment and integration of distributed resources and generation, including renewable resources, the introduction of “smart” technologies (in real time, automation, interactive technologies that optimize the physical operation of appliances and household appliances) to account for measurements, communications regarding network operations;
• Providing clients (both private and corporate) with real-time data on resource consumption for operational control;
• Ensuring an almost continuous controlled balance between demand and supply of electricity, etc.

2003: Requirements for reliability will drive investment in automation

The term Smart Grid was first mentioned in 2003 in Michael T. Burr’s work Reliability Requirements Will Drive Automation Investment.

“Grid weaknesses can be narrowed with new power transmission capabilities and network management systems. These two areas are likely to receive huge investments in the coming years, “- noted in the work of the researcher.

In the report, Michael Burr also referred to research from the Electric Power Research Institute, which predicted that real-time electronic control would replace the system’s existing electromechanical switchgear, allowing for more operational control of the digital network.

Michael Burr also noted the following benefits:

• Combining the power system with communications systems would create a “dynamic, interactive power system” that will support real-time information exchange. “
• Advanced metering: replacing the old metering system with a real-time metering system
• Distributed resources: Implementation of distributed generation will improve the reliability and performance of the system.
• Energy efficiency of end-user devices: technological advances will increase the efficiency of end-use of electricity and provide more flexible device management.

In Russia

2021

Mishustin approved a roadmap for the development of smart energy systems

The Russian government has approved a roadmap for the development of electricity transmission technologies and smart energy systems for three years. Prime Minister Mikhail Mishustin announced this on May 31, 2021 at an operational meeting with Deputy Prime Ministers.

We need innovative solutions of the latest generation in the energy sector – from increasing the reliability of networks to new composite materials for high-voltage wires, in order to provide people and business with uninterrupted power supply and reduce electricity losses, – he said, quoted by the press service of the Cabinet.

Mishustin recalled that Russian President Vladimir Putin spoke about the need for new approaches in this area in his message to the Federal Assembly.

The roadmap assumes, among other things, a transition to intelligent energy metering, thanks to which it will be possible to refuse manual data transmission, promptly receive information about accidents and prevent theft, Mishustin said.
In Russia, according to the Prime Minister, the production of the entire spectrum of critical equipment will be created. And above all – high-temperature superconductors and digital transformer substations. It is also planned to develop a component base for process control systems, he noted.
As Mikhail Mishustin noted, one of the main tasks is the introduction of energy storage systems, thanks to which the use of renewable energy sources, such as solar power plants and wind generators, will be brought to a new level.
On May 31, 2021, the Head of the Government of the Russian Federation announced the need to quickly start implementing roadmaps in the field of electricity transmission technologies and smart energy systems.
Start of mass replacement of electricity meters with smart devices in Moscow
On March 22, 2021, on the website of the Mayor of Moscow, information appeared about the beginning of the mass replacement of electricity meters with smart devices that calculate the resource consumed by residents and remotely transmit this information to the power grid company. In the event of systematic delays in payment, such a meter can limit the supply of electricity to the consumer.
NB-IoT standard was not allowed to smart electricity meters in the Russian Federation
The data transmission standard of the Internet of Things NB-IoT (Narrowband Internet of Things) was not included in the list of permissible for use in electricity metering systems and devices, and therefore at least 1 million smart electricity meters used in housing and communal services will have to be replaced. This is reported in a letter sent by the telecommunications companies MTS, MegaFon, VimpelCom and Tele2 to the Deputy Head of the Ministry of Digital Industry Oleg Ivanov.
2020
The government of the Russian Federation instructed to shift the cost of smart electricity meters to the population
On September 24, 2020, it became known about the decision of the Government of the Russian Federation to shift the cost of smart electricity meters to the population. Deputy Prime Minister Yuri Borisov instructed the FAS, the Ministry of Energy, the Ministry of Economy and other relevant departments to work out an appropriate initiative.
As Kommersant writes with reference to these orders, which must be executed before November 19, 2020, “factors related to the organization of electricity metering” can be derived from the restrictions on the growth of the total payment, which is limited by the marginal indices (set for each region).

The office of Deputy Prime Minister Borisov confirmed to the publication that an increase in utility bills is possible. But so that the inclusion of the costs of organizing accounting does not lead to an excess increase in payments, the relevant ministries must submit a draft resolution with a detailed financial and economic justification of the final amount by which the total payment of citizens may increase.

In recent years, utility bills have increased by an average of 4%, due to the purchase of new meters, this level may be exceeded, experts interviewed by the publication fear. The additional burden on consumers is estimated at 60 billion rubles a year, or 1% increase in the final price of electricity, according to a publication by Kommersant.

The Ministry of Energy told the publication that the Deputy Prime Minister instructed “to analyze the amount of funding for the installation of metering devices, which should be included in the tariffs.” They noted that the calculation will be carried out taking into account the proposals of the ministry to minimize funding, including by checking old meters instead of replacing them, extending the deadline for installing meters for consumers who did not do it themselves until July 1.

The Ministry of Industry and Trade told Kommersant that subsidies, concessional loans are provided for Russian manufacturers, and in some cases a mechanism for compensating for lost income may be applied

Data on the verification of electricity meters is now entered into the electronic register of Rosstandart

On September 24, 2020, new rules for the verification of household meters came into force in Russia. The only legally significant confirmation of the verification was electronic registration, and paper certificates will be of an informational nature and will be issued at the request of people.

“Rosseti” invests in smart electricity meters

On July 23, 2020, “Rosseti” announced an investment of 381 billion rubles in smart electricity meters as part of the implementation of Law 552-FZ on the development of intelligent electricity metering systems. The funds are allocated until 2030.

The head of the company, Pavel Livinsky, spoke about the plans of “Rosseti” at a meeting chaired by Deputy Prime Minister Yuri Borisov at the Istok Research and Production Enterprise named after Shokin in the science town of Fryazino near Moscow.

“Rosseti” called the intelligent metering system a key element of the digital transformation of the electric power industry. The group has been preparing to act in force of FZ-522 since 2018. By July 23, 2020, 15% of outlets or about 2.7 million commercial metering devices are already equipped with smart solutions.

The company, according to its press service, carried out a lot of preparatory work with suppliers. As part of the partnership between “Rosseti” and Rostec State Corporation, production lines have been created and modernized, including those based on NPP Istok, ready to meet the growing demand of the network company in smart meters. “Rosseti” intends to install about 18.1 million smart electricity meters by the end of 2030.

As explained in “Rosseti”, consumers will first of all feel the benefits from the introduction of smart metering. They will be able to quickly receive accurate information on electricity consumption, manage its volumes and cost. The quality of services and the reliability of power supply will improve. At the same time, a serious positive effect is expected for the power industry by reducing losses and operating costs, improving payment discipline, and increasing labor productivity, the group said in a statement.

From January 1, 2022, the construction of an accounting system should be carried out only on the basis of smart meters.

Russians obliged to install smart electricity meters

On July 1, 2020, a law on the mandatory installation of intelligent electricity metering systems in houses and apartments came into force in Russia. Responsibilities for the implementation of such equipment in apartment buildings will be assigned to the suppliers of last resort (they are the main power supply companies of the regions), and for other consumers – to the power grid companies.

The replacement of electricity meters will be carried out in stages. Smart metering devices will be installed for new consumers, and the existing equipment will be replaced as it breaks down, breaks down or expiration of the calibration interval.

As the Ministry of Energy of Russia explained, consumers will not bear the cost of purchasing and installing metering devices, which amounts to 5-20 thousand rubles, depending on the complexity of the installation and the type of metering device itself. Also, the consumer is relieved of all responsibility for the maintenance and calibration of metering devices.

At the same time, the consumer is obliged to monitor the safety of the meter if it is installed in his area of ​​responsibility (for example, in an apartment or on a land plot where there is a private house).

The main difference between smart meters and old metering devices is that they will store and protect data on electricity consumption and transfer them directly to energy companies.

The method of data transmission during smart metering will be chosen by the energy company itself, while the minimum functional requirements for the system as a whole and for metering devices have been approved, and the approval of the basic document on the security of data transmission is also envisaged.

By the end of 2020, it is planned to install about 2-2.5 million smart metering devices. According to the Ministry of Energy, the range of metering devices will be reduced, in addition, their retail sales will be excluded. This will lead to “a decrease in the cost of the same type of metering devices in the context of time before and after July 1, 2020”

2019

In the Law “On Electricity” No. 35-FZ, the term appeared – an intelligent system of electricity metering

At the end of December 2018, the term “intelligent electricity metering system” appeared in the Law “On Electricity” No. 35-FZ. The intelligent metering system is designed to automatically collect data from electricity metering devices. To operate such systems, “smart meters” are required, which reduce errors in metering consumption and simplify the transmission of readings from the consumer.

In accordance with Law No. 35-FZ, the installation of smart meters will begin in July 2020. From this date, new devices will be installed in multi-apartment and private residential buildings, instead of the previous generation meters that need to be replaced (for example, due to expiration of their service life, malfunction, etc.).

From January 1, 2022, all energy metering devices put into operation must be intelligent. In new buildings commissioned from January 1, 2021, the installed energy metering devices must be connected to the smart metering system of electrical energy by default. Smart meters are needed to reduce errors in metering consumption and to simplify the transmission of readings from the consumer.

Replacement with new-generation meters is the responsibility of energy sales companies, consumers are not obliged to install new meters themselves. “Smart meters” transmit readings remotely using mobile communication or the Internet, make a differentiated metering of consumed electricity, independently signal a device malfunction, break-in or failure, limit the supply of electricity to malicious defaulters.

Research J’son & Partners Consulting

The Russian market makes much more stringent requirements for developers of IoT platforms than the markets of North America and Western Europe. Firstly, in the structure of the housing stock, which is mainly targeted by the Demand Response programs in the world, housing in apartment buildings connected to centralized heating and hot water supply systems prevails in Russia (65% of the total number of apartments and individual houses). For such objects, the effect of optimizing energy consumption is minimal. In addition, in apartment buildings, the installation of their own sources of generation, which is an important element of the Smart Grid, is practically impossible to implement. Secondly, the cost of electricity in Russia is one of the lowest in the world (2.5 times lower than in the USA),

Therefore, for Russia, to an even greater extent than for the United States and Western Europe, the “pay as you go” approach is advisable, offered in the format of managed services based on the use of cloud IoT platforms (integration and analytical). The “big bang” method implemented in China and at the first stage of digitalization in the USA and Western Europe is not applicable in Russia.

In Russia, it makes sense to start the implementation of end-to-end optimization management of energy consumption, covering end-users as well, with individual housing stock, acting pointwise, and only at the next stage move to the coverage of multi-apartment housing. This is only possible when using cloud-based IoT platforms.

As for the external market for Russian developers, their commercial success in Russia, where the most stringent requirements for unit cost are typical, will become an important prerequisite for success in other markets, in particular, in the potentially most interesting Chinese market.

It should be noted that currently the consumption of cloud services of integration and analytical platforms in Russia is only about $ 3.2 million. the consumption structure is dominated by large commercial companies such as Rosneft, Russian Railways, but not sales companies. As a result, the overall penetration of intelligent electricity consumption metering systems in Russia is extremely small and amounts to tenths of a percent of the total number of objects – electricity consumers, and cloud IoT platforms are practically not used to create such systems.

When implementing projects for the implementation of intelligent metering systems for electricity consumption in large corporations, the “local big bang” method is used – all large objects – electricity consumers within one company – are connected. The motivation is the ability to select the optimal tariffs from the list of tariffs available to commercial consumers (including hourly ones), reduce losses from theft of electricity, timely identify cases of power outages, automate billing and reconciliation processes. Since objects with large volumes of electricity consumption are connected, the effects listed above are sufficient to compensate for the costs of deploying proprietary AMR. At the same time, in this case, there is no question of any participation in the programs for smoothing peaks of energy consumption,

Obviously, this approach is inapplicable for the deployment of AMR in the residential sector – neither in terms of the cost of connection and operation, nor in terms of achievable economic effects. Attempts to implement a cloud-based approach in Russia are still extremely limited, and are concentrated mainly in small management companies. This does not allow to recoup the costs of connecting even to relatively simple cloud services. Moreover, with all the obvious advantages of cloud IoT platforms over on-premise AMR, due to the relatively low level of electricity prices in Russia, in order to achieve a high level of penetration, the unit cost of connecting to integration (MDMS) and analytical platforms should be about 3 times lower than for the global market, currently formed by 90% of consumption in North America and Western Europe, that is, regions with high electricity costs and high per capita income. However, at present, exactly the opposite picture is observed – the average payment for MDMS functionality in the cloud service format is 3 times higher than that on the global market.

Due to the prevalence of a proprietary approach to the deployment of AMR in Russia and the concentration of this market mainly in the segment of large commercial companies, Russian AMR developers have no incentives and opportunities to develop cloud-based IoT platforms to implement the functionality of smart metering systems for electricity consumption. In turn, the absence of such platforms blocks the development of the most promising globally direction of analytical platforms, since the basis for their successful development is the ability to train predictive models based on a large amount of real data accumulated over a long historical period, which can only be obtained from cloud IoT integration platforms. absent in Russia. Also, there are no managed services in Russia using such platforms,

Thus, it is advisable for developers of IoT applications and platforms for the electric power industry, focused on success in the global market, to rely on the segment of analytical platforms, entering into partnerships with global leaders in the segment of integration platforms, using them as a data source for training simulation predictive models.

The insignificant size of the Russian market of cloud integration and analytical platforms in monetary terms – $ 3.2 million in 2018 (fact), $ 10.4 million in 2022 and $ 39.6 million in 2029 (forecast), means that:

with a minimum cost of developing a competitive IoT platform of tens of millions of dollars and an achievable market size of several million dollars, the creation of platforms focused exclusively on the domestic Russian market is not economically feasible; promotion of cloud services based on IoT platforms in Russia as a self-sufficient product does not make economic sense, it is necessary to package them within the framework of complex managed outsourcing services for telemetry and telemetry functions for power grids and final consumption; it is necessary to subsidize the installation on the side of end users of the elements of “Smart Home” systems, without which automatic control of the end energy consumption is impossible.

A key condition for realizing the achievement of the above volumes of the Russian market of cloud IoT platforms in the electric power industry is the introduction in Russia of full-fledged programs to stimulate end-use management (analogs of Demand Response programs in North America, Western Europe and a number of other regions), in the absence of which the economic effect exceeds the costs of digitalization of the electric power industry are unattainable, regardless of the sources of financing for digitalization.

For the industry and regulators discussing the regulatory framework for digitalization of the electric power industry, it makes sense to adjust the “big bang” approach to the implementation of smart metering systems for electricity consumption, which is currently considered as the main approach, taking into account the experience accumulated in the United States and Western Europe, with a shift in emphasis on development systems of economic motivation for end users and energy companies.

2018

The State Duma adopted a law on intelligent electricity metering systems

The State Duma adopted in December in the third reading a government-initiated law aimed at developing intelligent electricity metering systems in Russia. The document proposes to separate different types of accounting at the legislative level.

As noted earlier by the Deputy Head of the Ministry of Energy of the Russian Federation Yuri Sentyurin, we are talking about individually installed metering devices that are not included in the metering system, about the metering system, which implies the inclusion of metering devices in the data collection system, about intelligent metering systems, which imply the introduction of uniform requirements for the functionality of such systems for all grid companies in all retail electricity markets.

Intelligent electricity meters differ from conventional meters in the absence of a display and the ability to interfere with the operation of the meter. According to the explanatory note to the document, the creation of such systems will reduce electricity losses, provide targeted impact on non-payers for the supplied electricity and increase the “observability” of the power grid complex.

It is also proposed to empower the government of the Russian Federation to approve uniform functional requirements and rules for providing the minimum functionality of intelligent metering systems by territorial grid organizations (TGOs) to electric power entities and electricity consumers.

The law sets the priority for an intelligent electricity billing system. The network organization independently decides whether or not to install such accounting systems.

The current mechanism, in which the consumer himself is responsible for organizing electricity metering, is not abolished. The network organization has a choice: to install modern smart metering devices or interact with the consumer within the framework of the existing mechanism, Sentyurin pointed out earlier.

The law will make it possible to form a transparent data system on electricity consumption, to ensure reliable and high-quality supply of consumers and the development of the market for additional services from sales organizations, the explanatory note says.

Amendments to the second reading

By the second reading of the document, amendments were adopted, which regulate the costs of the last resort supplier and grid organizations incurred by them to fulfill their obligations, and the procedure for financing such costs, as well as the procedure for commercial metering of electricity (capacity) in retail markets for the provision of utility services for electricity supply. Suppliers of last resort and grid organizations will be required to monitor compliance with the requirements, as well as purchase, install, replace and allow for operation of electricity meters and other equipment.

Multi-apartment buildings put into operation must be equipped with individual, common (for a communal apartment) and collective (common building) electricity metering devices, which ensure the possibility of their connection to intelligent electricity metering systems. After January 1, 2022, suppliers of last resort must ensure that electricity consumers are provided free of charge with a minimum set of functions of smart metering systems for electric energy using smart metering systems for electric energy (power).

From January 1, 2023, if the guaranteeing supplier and the network organization fail to provide or improperly provide access to the minimum set of functions of intelligent electricity metering systems, the consumer has the right to demand payment of a fine. The amount of the fine is set as a fixed amount, in the manner determined by the rules for providing access to the minimum set of functions of intelligent electricity metering systems.

Installation of “smart meters” for gas can cost the population almost 130 billion rubles

On December 11, 2018, it became known about the plans of the Russian authorities to oblige the Russians to install “smart” gas meters, which can cost the population 130 billion rubles.

According to the Kommersant newspaper, citing sources in the government, the introduction of intelligent gas metering systems for the population was discussed at a meeting with Deputy Prime Minister Dmitry Kozak, which took place on December 4, 2018.

It was commissioned to develop proposals for the implementation of smart meters installed in houses with central gas supply by March 2019. At the same time, the interlocutors explained to the newspaper that the topic is still in its infancy. According to experts, the installation of meters will be 4-5 thousand rubles apiece. On a national scale, an innovation can cost the population almost 130 billion rubles.

The representative of Dmitry Kozak, Ilya Dzhus, noted that an order had been given to “first study the issue.” The interlocutors in the government specified that so far “the topic is in its infancy.”

The general director of the Housing and Public Utilities and Urban Environment Association Alexei Makrushin says that if the consumers themselves are obliged to install the meter, then for many the cost will be significant, and the state does not have the funds to finance the program at the expense of the budget.

The draft law of the Ministry of Energy on the mandatory installation of electricity meters was adopted by the State Duma in November 2017 in the first reading. By December 2018, it is expected to pass its second and third readings soon. It is assumed that the responsibility for their installation will be transferred to the guaranteeing suppliers of electricity for apartment buildings and networks – for the rest.

The press service of the Ministry of Energy told RBC that if the period for installing gas meters is legally extended until January 1, 2021, then the risks associated with administrative responsibility for organizations that equipping with gas metering devices until 2019 ”, will also be postponed until 2021.

The Ministry of Construction postponed the mandatory installation of “smart” meters in new buildings

The installation of “smart” meters in new Russian buildings will become mandatory in houses with a commissioning date after January 1, 2020. The plans to establish the appropriate standards “Izvestia” was informed in the Ministry of Construction. We are talking about both general house and individual metering devices for all resources.

In May, it was reported that the Ministry of Construction intended to introduce these requirements six months earlier – from July 1, 2019. Why the deadline was eventually postponed, the newspaper does not say. But it follows from the material that the ministry did not support the recent initiative of “Rosseti” to ban the installation of “stupid” meters as such.

Installation of smart meters will become mandatory from 2019

From July 1, 2019, in Russia, only “smart” utility meters may be allowed to be installed in apartment buildings. This is provided for by the roadmap of the Smart City priority project of the Digital Economy state program, Izvestia wrote in May 2018. Such devices will independently transmit their readings to the settlement centers.

The innovation will affect only residential buildings that are being commissioned or have undergone major repairs. Moreover, it will be necessary to install not only individual, but also general house metering devices with the function of remote transmission of readings. It is planned to start developing the relevant amendments to regulatory documents from January 2019.

The need for reform is driven not only by a focus on innovation and user-friendliness. The innovations will also make it possible to combat theft, Alexander Sidyakin, first deputy chairman of the State Duma Committee on Housing Policy and Housing and Communal Services, explained to the publication. “Many apartment owners often tweak their appliances, insert magnets, films, and turn the meter in the opposite direction to pay less. As a result, the costs are borne by other residents. And if the whole house is connected to an intelligent system, then it is impossible to steal, because any intrusion will be recorded, ”Sidyakin explained.

2017

Installation of “smart” electricity meters reduced network losses by 30%

New technologies are helping to combat power theft. Installation of “smart” meters has reduced energy losses by 10 – 30%. These are the results of the experiment in three pilot regions of Russia.

Installation of smart electricity meters has reduced losses in networks by 10 – 30%. These are the results of an experiment carried out in three regions of Russia: Kaliningrad, Tula and Yaroslavl regions. About this with reference to the data of regional suppliers written in May 2017 TASS News Agency of Russia.

In particular, in the Kaliningrad region, after the installation of “smart” devices, losses decreased by 37%, Yantarenergo reported. As part of the experiment, such meters were installed in more than 20 thousand regional consumers. In the Tula region, losses in networks decreased by 10%, the Tulenergo branch of IDGC of Center and Volga Region, PJSC, reported. Here, 27 thousand consumers received smart meters.

One of the main advantages of such systems is the ability to independently transmit data on electricity use to power supply companies in real time. As a result, the probability of theft tends to almost zero.

However, it is not only suppliers who can benefit from smart meters, but also conscientious consumers. Their installation makes it possible to introduce a system of differentiated tariffs, including for each month of the year. The consumer will be able to save significantly if he is able to use a significant share of electricity outside the “peak” periods.

According to experts from the Optima group of companies, the number of smart metering devices in the domestic sector does not exceed 500 thousand. The drivers of market growth will be a change in Russian legislation, which should oblige service and resource supplying organizations to necessarily replace ordinary meters with smart ones, experts say. Another driver of market growth is the development of technologies, including the Internet of Things. For example, LPWANs will make a variety of smart metering devices the industry standard. At the same time, experts do not exclude that the lack of necessary laws or their slow implementation may become barriers to the development of smart metering.

Bill on the free installation of new electricity meters

In April 2017, a government bill on the free installation of new electricity meters was developed and submitted to the State Duma. Since June 2018, those who have a meter out of order or have expired its service life (16 years) can count on this. Usually, tenants are given three-rate meters to replace them. Experts have calculated that the cost of installing a new single-rate meter for a Moscow family is 6,000 rubles. Now, in most regions, power supply companies offer subscribers to change meters at their own expense.

In March 2017, it became known that the state intends to oblige territorial grid organizations (TGOs) to introduce a smart metering system for electricity from July 1, 2018. The Ministry of Energy has developed a bill according to which, from July 1, 2018, old-style meters that do not support remote transmission of data on consumed resources are prohibited from installation and modernization. One of the goals of introducing smart metering technologies will be to target non-payers, Kommersant reports.

2016

Trends in the Russian market for smart devices and energy metering systems in 2010-2015

J’son & Partners Consulting presented in the fall of 2016 brief results of a study of the main trends in the Russian market for smart devices and energy metering systems in 2010-2015. and forecasts of its development for the period up to 2020.

One of the main tasks facing the energy complex around the world is the development of fundamentally new approaches to the modernization and innovative development of the industry, aimed at improving the reliability and quality of supply, creating opportunities for active interaction between generation and energy consumers, expanding opportunities for consumption management, and also the massive introduction of environmentally friendly energy technologies.

Prerequisites for the implementation of intelligent energy metering systems in Russia

The problem of increasing the energy efficiency of the Russian economy is one of the most urgent tasks. The policy being implemented in the Russian Federation aimed at increasing the energy efficiency of the national economy provides for a comprehensive modernization of the country’s electricity infrastructure. In this regard, an important role is played by the processes of equipping all categories of consumers with modern solutions in the field of energy accounting.

The adoption by the Government of a number of consistent decisions, in particular, in the housing and communal services, contributed to a significant growth in the market for metering devices in recent years.

Good preconditions have been formed in Russia for the development of intelligent energy metering systems. However, these projects, with the exception of the electricity metering segment, have not yet received mass distribution.

To the greatest extent, modern systems are being introduced in the Russian Federation in the electricity metering segment.

As of June 2016, 6099 AIIS KUE systems have been implemented in the Russian Federation.

In value terms, the Russian market of AIIS KUE in 2011-2015 demonstrated a fairly steady growth. If in 2011 the total sales of such solutions in the country as a whole were estimated at 1.3 billion rubles, then by the end of 2015 the market volume was estimated at 1.9 billion rubles.

The sectoral structure of the implementation of projects in the field of implementation of AIIS KUE is characterized by the dominance of power grid facilities in the sales structure.

In the segment of heat energy metering, the possibility of remote reading of metering devices is available for about half of the fleet of meters operated in the Russian Federation.

At the same time, a relatively small number of projects have been implemented in the field of smart metering of natural gas and water in recent years.

Prospects for the implementation of smart metering systems for energy resources in Russia

One of the key areas for increasing energy efficiency is equipping consumers with modern electricity metering systems. Since 2005, there has been a steady growth in the production and consumption of electricity meters in Russia. The key categories of objects-consumers of electricity metering devices are:

• individual dwelling houses and apartments;
• apartment buildings;
• electric power infrastructure facilities;
• commercial real estate objects;
• industrial facilities;
• objects of the budgetary sphere.

Another important area is heat metering systems. Russia has a developed district heating system. The country operates over 52 thousand isolated heat supply systems. In addition to large general-use CHPPs, the country operates a large number of industrial CHPPs, thousands of boiler houses and millions of individual heat generators (individual household boilers, stoves).

The medium-term prospects of the Russian water meter market will largely be determined by measures of state support for projects in the field of development of metering of energy resources. And although today the problem of equipping with water metering devices in the field of housing and communal services has been largely removed, the problem of introducing intelligent automatic metering systems in the consumer segment still remains.

Equipping consumers with natural gas metering devices is an important area of ​​increasing energy efficiency in the housing and utilities sector, industry, and the commercial sector. Despite the high share of natural gas in the country’s fuel and energy balance, this segment of the market is characterized by significant growth potential, primarily due to insufficient provision of housing and utilities with gas meters. According to Rosstat, the share of natural gas-equipped residential area in the country is about 70%, which opens up huge potential for the development of intelligent metering systems.

Prospects for the development of the Russian market of solutions for smart metering of energy resources are determined by a fairly wide range of factors, among which should be highlighted:

• the current level of implementation of modern types of metering devices, allowing them to be used in multi-level dispatching systems;
• the rate at which consumers are retrofitted with general building energy metering devices in accordance with the requirements of FZ-261;
• dynamics of financing of regional energy saving programs;
• dynamics of volumes of new residential and commercial construction;
• dynamics of the volume of overhaul of multi-apartment housing stock;
• the cost of technological solutions in the field of smart accounting offered in the Russian market;
• the level of tariffs for energy resources;
• development and implementation of targeted programs, pilot projects in the implementation of smart accounting solutions;
• adaptation of existing technical industry standards to the implementation of intelligent energy metering systems.

To assess the mid-term development prospects of the Russian smart metering technology market, J’son & Partners Consulting formulated three market development opportunities: basic, optimistic and pessimistic scenarios.

The following factors are considered in the basis of the scenario assumptions:

• the projected timing of the completion of the equipping of all apartment buildings with general metering devices;
• the degree of penetration of smart metering into the market in various segments of the energy market;
• the growth rate of housing construction in the Russian Federation and some others.

Taking into account the scenario assumptions adopted in the study by J’son & Partners Consulting, it is assumed that the penetration rate of modern intelligent electricity metering tools in the Russian market by 2020, depending on the scenario, may be from 10% to 40%. At the same time, the key potential for market growth lies in the use of AIIS KUE solutions at housing facilities.

By 2020, the demand for smart metering devices for electricity in the framework of the considered market development scenarios may range from 0.7 to 3.0 million units.

In the heat energy metering segment, the penetration rate of modern intelligent metering devices in the Russian market by 2020, depending on the scenario, may be from 60% to 100%. The most promising direction will be the introduction of multi-level dispatching systems for the readings of common building heat meters in the multi-apartment housing stock, as well as solutions in the field of dispatching heat meters installed at local heat supply facilities. The forecasted demand for smart metering devices for heat energy by 2020 within the framework of the considered market development scenarios may range from 238 to 510 thousand units.

The rate of development of modern water metering systems in Russia in the period up to 2020, within the framework of the scenario assumptions fulfilled, will be less significant compared to the segments of electricity and heat energy metering. The key constraining factors for the development of this market will be the long payback periods of such projects, as well as the distribution of cheaper substitute products on the market – traditional vane meters.

The predicted degree of penetration of modern intelligent water metering devices in the Russian market by 2020, depending on the scenario, may be from 15% to 40%. The most promising direction will be the introduction of multi-level systems for dispatching readings of common house water meters in multi-apartment housing stock, as well as at large industrial consumers.

The demand for smart water meters estimated under the considered scenarios by 2020 may range from 2.2 to 6.0 million units.

The main promising direction for introducing smart metering for natural gas in the Russian Federation until 2020 will be the introduction of ASKUG systems for various categories of consumers, primarily at multi-apartment housing facilities.

The penetration rate of modern natural gas meters on the Russian market by 2020, depending on the scenario, may range from 9% to 25%, and the demand for smart gas meters (integrated into ASKUG systems) by 2020 may vary from 202 to 593 K pcs in year.