Renesas Electronics America Inc. © 2012 Renesas Electronics America Inc. All rights reserved. Smart Grid, Smart Home for the Smart Society © 2012 Renesas Electronics America Inc. All rights reserved.2 Renesas Technology & Solution Portfolio © 2012 Renesas Electronics America Inc. All rights reserved.3 Agenda  Introduction  What is the Smart Grid?  Residential customers and Home Devices  An introduction to SEP 2.0  Market drivers  Customer participation in the Smart Grid  The technical challenges  Summary © 2012 Renesas Electronics America Inc. All rights reserved.4  Two-way data communications system used in conjunction with the electric power grid  Save energy  Reduce cost  Increase reliability and transparency  Enable new applications and markets  Smart Energy Profile 2.0 (SEP 2.0) is the protocol that enables the Smart Grid HAN for the residential customer  SEP 2.0 works in conjunction with multiple communication technologies (physical layers) What is the Smart Grid? © 2012 Renesas Electronics America Inc. All rights reserved.5  Increased use of digital information and controls technology to improve reliability, security, and efficiency of the electric grid;  Dynamic optimization of grid operations and resources, with full cyber-security;  Deployment and integration of distributed resources and generation, including renewable resources;  Development and incorporation of demand response, demand-side resources, and energy efficiency resources;  Deployment of "smart" technologies (real-time, automated, interactive technologies that optimize the physical operation of appliances and consumer devices) for metering, communications concerning grid operations and status, and distribution automation;  Integration of "smart" appliances and consumer devices;  Deployment and integration of advanced electricity storage and peak-shaving technologies, including plug-in electric and hybrid electric vehicles, and thermal storage air conditioning;  Provision to consumers of timely information and control options;  Development of standards for communication and interoperability of appliances and equipment connected to the electric grid, including the infrastructure serving the grid; and  Identification and lowering of unreasonable or unnecessary barriers to adoption of smart grid technologies, practices, and services. Characteristics of a Smart Grid as described by Title XIII of the Energy Independence and Security Act of 2007: © 2012 Renesas Electronics America Inc. All rights reserved.6  Under the Energy Independence and Security Act (EISA) of 2007, the National Institute of Standards and Technology (NIST) has "primary responsibility to coordinate development of a framework that includes protocols and model standards for information management to achieve interoperability of smart grid devices and systems…"  http://www.nist.gov/smartgrid/index.cfm The Role of NIST © 2012 Renesas Electronics America Inc. All rights reserved.7 The Smart Grid Conceptual Model Source: NIST Framework and Roadmap for Smart Grid Interoperability Standards © 2012 Renesas Electronics America Inc. All rights reserved.8 The Customer Source: NIST Framework and Roadmap for Smart Grid Interoperability Standards © 2012 Renesas Electronics America Inc. All rights reserved.9  The Home Area Network (HAN) allows home owners and their devices to participate in utility programs  Lower Bills  Earn rewards  Go green  Smart Energy Profile 2.0 (SEP 2.0) is the protocol that enables the Smart Grid HAN  Started under ZigBee Alliance – Now partners with WiFi and HomePlug Alliance and others – CSEP formed for common interoperability and certification  SEP 2.0 works in conjunction with multiple communication technologies (physical layers) The Home © 2012 Renesas Electronics America Inc. All rights reserved.10  What is SEP 2.0?  Networking and application integration platform for messages between customer devices and energy services providers – Zero Device Configuration – Secure  Is small inexpensive embedded downloadable software that resides on consumer devices and appliances  Scalable and addressable – IPv6 protocol centric and is physical layer Independent  What does it do?  Peak load shaving – By deferring the consumer high energy loads. E.g. Air Con, Pool Pumps  Modify consumer behavior – By providing real time energy usage with in home displays – Real time or time of use pricing  Manage Residential Loads/Generation – Electric Vehicles/Renewables – By Intelligently managing the load and generation, to prevent local distribution issues  Supported today by the major Utilities in the US, Korea and Australia  Rest of Asia and then Europe expected to follow Smart Energy Profile 2.0 Overview [...]... standards or a subset Summary  The Smart Grid meets the consumer in the next year  We can no longer just built power plants to supply the peak  Consumers can participate and be rewarded for saving energy  Utilities will become more efficient and pass on the savings  Home appliances and devices will become more intelligent and will integrate into the Smart Grid We need Smart Energy and so does our... sold will be Smart Energy compliant by 2015  Other manufacturers’ products include refrigerators, ranges, microwaves, dishwashers, washer/dryer, pool equipment, water heater, HVAC, etc 18 Smart Thermostat  Air conditioning is the largest load during peak periods  Thermostat replacement is inexpensive and easy to install  Smart Thermostats can be 20% to 30% more efficient than manual thermostats... opportunity Broad Market Drivers Industrial • The Internet of Things • M2M – Industrial Control/Diagnostics – Home Appliance Control/Diagnostics – Security/Surveillance – Health – Home Automation Utility Consumer  Intermittent Renewables growth  Peak Demand and Margin  Threat of rolling blackouts in several parts of the NA  Electric Vehicles  Plug in vehicles will tax the grid beyond its current capabilities.. .The Home Area Network - Connectivity Energy Storage Thermostats Water, Gas Meter Smart Meter Backhaul: Radio, PLC etc 12345 Appliances SE1 to SE2 Application Layer Gateway (if required) Home Area Network (HAN) Loads E.g Pool Pumps Internet DSL/Cable/Fiber Modem ESI/Gateway Solar, Wind EMS EVSE... WLAN  Will become popular for consumer driven applications  Participated in a public live demonstration  PLC  Competing standards – P1901.1 and 1901.2 and G.hn  SAE/ISO Electric Vehicle Charging – HP-GP  Other  DECT  Bluetooth  Ethernet  SEP 2.0 can support all of these physical layers 12 © 2012 Renesas Electronics America Inc All rights reserved Utility Driven Smart Energy Market Drivers... in Electric Vehicles  Problem:  Dependency on foreign oil  Increasing gasoline costs  Electric grid local infrastructure not designed to support wide-scale deployment of electric vehicles  Replacing 74% of cars and light trucks with EVs would reduce US oil imports by 52%  There is enough generation and transmission capacity to do this today  The Smart Grid and SEP 2.0 enables coordination of... Management  NERC 2010 Reliability report highlighted the major issues for the NA Electricity Grid  Intermittent Renewables which replace old or environmentally challenged generation is an issue that requires demand side management Addressed by SEP 2.0 17 backu © 2012 Renesas Electronics America Inc All rights reserved Examples of Demand Response: Smart Appliances  Many loads can be deferred or reduced... charging stations  EV as storage 19 backu © 2012 Renesas Electronics America Inc All rights reserved Consumer Desire to Lower Energy Costs A bill at the end of the month does not help consumer to identify wasted energy Daily and hourly consumption information has shown to save between 5-15% 20 © 2012 Renesas Electronics America Inc All rights reserved SEP 2.0 Technical Challenges Challenge Solution... generation Return on new generation capacity 2 New requirements on the grid Electric Vehicle Charging Renewable Generation 3 Rising consumer energy bill 4 Customer Support 13 © 2012 Renesas Electronics America Inc All rights reserved Solution 1 Peak Shaving with Demand Response 2 Intelligent Load Management Price Management Green Energy Usage 3 Information Phone, Tablet, Computer, Display Energy Management... reserved  Leverage infrastructure put in place by Utilities  Desire to be more “Green”  Economic  Consumers desire to save money on energy  OEM Revenue opportunity Peak Margin Improvements 2008  Margin forecast have improved overall  80% recession  20% demand response  Specific issues in 2015 in Texas and Canada 2010 Reference: NERC 2008 and 2010 Long Term Reliability Reports 15 backu © 2012 Renesas . Electronics America Inc. © 2012 Renesas Electronics America Inc. All rights reserved. Smart Grid, Smart Home for the Smart Society © 2012 Renesas Electronics America Inc. All rights reserved.2 Renesas. Introduction  What is the Smart Grid?  Residential customers and Home Devices  An introduction to SEP 2.0  Market drivers  Customer participation in the Smart Grid  The technical challenges . protocol that enables the Smart Grid HAN for the residential customer  SEP 2.0 works in conjunction with multiple communication technologies (physical layers) What is the Smart Grid? © 2012 Renesas