Case Study Exelon Energy Delivery AMR Pilot Project

Case Study Exelon Energy Delivery AMR Pilot Project Jeff Evans - Exelon Michael Corbin - Elster Electricity, LLC

Agenda • Mesh Network Overview • Energy. Axis System Features • Energy. Axis Applications • Exelon Pilot Location • Project Background • Functional Test Plan • Remote Operations • Benefits Achieved • Lessons Learned • Conclusions

What is a Mesh Network? It’s a local area network (LAN) where nodes can participate as routers for other nodes in the network. For metering, this means the meter can also function as a Repeater or Collector.

A Mesh Network Assumes Obstacles C • Mesh networks were developed for battlefield conditions where units are moving. • Every radio repeats every message it hears. • This is chaotic and can lead to interference when units are fixed. • Elster employs a ‘controlled’ mesh where the Collector meter sets up the meter/repeater network • Algorithms emphasize reliability to each meter & allow paths to change in an organized fashion when needed. • Network configuration & changes are transparent to the operator.

Energy. Axis® System Overview • Entirely meter-based two-way communication system • Proven 902 -928 MHz unlicensed RF for local area networks (LAN) and public wide area networks (WAN) • Repeating RF “controlled mesh” LAN architecture • Energy. Axis Metering Automation Server (MAS) - data collection system • Electricity solutions are available today for: Ø Residential, Commercial & Industrial applications • Future availability for Water and Gas

Energy. Axis System for Residential Applications • Integrates 900 MHz communications into REX® and A 3 ALPHA® electronic meters • 900 MHz repeating RF LAN solution for singlephase residential and small commercial applications Telephone RF WANs MAS Communications Server

Energy. Axis Functionality Residential, Commercial & Industrial • Polyphase ALPHA meters with multiple WAN AMR options available today • Polyphase A 3 ALPHAs with repeating RF LAN communications now available for energy & demand metering • REX meters for residential Public Networks (Telco / Cellular) MAS Comm Server Public Networks (Telco / AMPS / Digital Cellular / Paging) 3 -ph A 3 ALPHAs Energy. Axis 900 MHz 1 -ph REX Meters Small Commercial Sites, Strip Malls, Shopping Centers, Large Industrial Sites Single or 3 -phase ALPHAs

A 3 ALPHA Meter Collector Overview • Collectors can be either single or polyphase meters • Meets ANSI standards C 12. 18, 19 and 21 • Consists of A 3 ALPHA meter with 2 internal boards: • WAN: Available with internal telephone outage modem; optional external CDMA or GSM cellular modem, other future RF options • LAN: 900 MHz RF Internal LAN Controller Board (ILC) • 1 Collector manages up to 1, 024 meters, including auto-registration and re-registration processes • Includes Lithium TOU battery to maintain system time, which is broadcasted to all AMR meters in the RF LAN • Maintains current and optional TOU tier schedules for downloading to REX meters (up to 8)

A 3 ALPHA Meter with 900 MHz LAN Board • A 3 Nodes provide polyphase AMR metering functions with LAN operation similar to REX • Units can function as an RF network repeater and can reside on same Collector networks with REX meters • Currently available in Forms 9 S, 12 S, 16 S, 35 S, 36 S • C&I functionality • k. WH energy and k. W demand metering today with remote demand reset • Future support in 2005 for TOU, LP, Reactive

REX Meter Key Features • “Plug and Go” installation in the field auto configures the network • Supports flexible rates without costly equipment changes or site visits. • Any meter can measure: • Energy (Delivered, Received, Sum, or Net) • TOU (4 Tier, 4 Season Energy) • Demand (Total + 1 Tier or 2 Tiers) • Real-Time / Critical Tier Pricing at any time • 15, 30 or 60 minute Load Profiling

REX Meter More Key Features • Tamper Detection • Outage / blink counts • Reverse energy always metered • Meter failure statuses • End-point Voltage data • Utility-specific LAN ID in each meter allows overlapping service territories without operational conflicts • Outage and Restoration data • Optional service disconnect switch is internal to the REX meter with demand limiting capability

REX Meter Service Disconnect Switch Option • Switch is inside the meter • Switch is operated by a command from the MAS Communications Server • The meter checks for load-side voltage before connecting service • In the future, disconnect meters may also be programmed with a demand threshold • Exceeding the programmed threshold will cause the switch to open for a programmed number of demand intervals, after which it will re-close.

Cost-Effective Solution for Targeted and Mass Deployments High-cost, Hard-to-Access, Dangerous, or High-Turnover Areas Apartments Student or Military Housing Mass Residential and Commercial Areas Industrial Campuses

System Features of Interest to Exelon • Com. Ed and Elster Electricity partnership • Suitable for system-wide or targeted deployments • Advanced 900 MHz RF LAN communication network – Full two-way communication system to all end meters – Repeating meter architecture allows multiple paths to communicate into RF “holes” – Collectors are meters - No dedicated units “up on a pole” • Tamper / meter alarm detection • Outage and restoration data • End-point voltage data • Optional 200 A. service disconnect internal to meter

Exelon’s Pilot Location Chicago South Yellow Stars indicate meters

Project Background • Proof of Concept purpose was to validate that AMR can: – Reduce outstanding collections and past-due amounts – Reduce lost revenue from final accounts – Improve workforce safety for Meter Reading & Field/Meter Services – Improve meter reading efficiency • Outage management, tamper detection, and load profiling were also evaluated. • AMR meters deployed in two locations: AMR Meters AMR with Disconnect Meters Total Cicero 439 115 554 Chicago South 146 55 201 Total 585 170 755

Functional Test Plan Overview • Shop and field testing were used to validate: – Communications – Hardware – Operating System – Meter Reading Data – Disconnect/Reconnect Functionality – Interval Data – Outage/Tamper Detection

Functional Test Plan Successes • Integration of remote disconnect meters into collections process • Tamper/Outage verification • On-Demand reads • Interval data

Remote Operations • Revenue Management executed 191 remote disconnect and reconnect operations during the pilot: Remote Disconnects Remote Reconnects Total Cicero 61 50 111 Chicago South 41 39 80 Total 102 89 191 • 102 remote disconnects occurred for 88 distinct customers. • 14 customers had more than 1 remote disconnect. • 13 customers remain de-energized today.

Benefits Achieved • 83. 3% of eligible REX D customers were cut at an average past due amount of $293. 15. – System average is 25. 1% at $527. 00 • Meter reading rate for the 775 REX/REX D meters improved to 99. 98%. – Woodsman readings were used when manual readings could not be obtained. – Remote meter reading improved manual operations.

Benefits Achieved • Costs for Field/Meter Services were reduced by $4, 400 resulting from using remote disconnect functionality. • Meter reading costs would have been reduced from $505 to $0 by using Woodsman remote readings each month. • Revenue lost as a result of unknown ownership was reduced by remote disconnects upon account final.

Benefits Achieved • 0 safety incidents occurred with Meter Reading or Field/Meter Services personnel. • 7 tampers and self-restorations were discovered via daily data review and resolved by Revenue Protection and Field/Meter Services. – Incidents resulted in $275 in Rev Pro charges • 2 reliability issues were discovered via daily data review and addressed by Operating: – Failing Service Drop – Incorrect weather-head connections

Lessons Learned • Proper selection of customers ensures frequent use of remote disconnect functionality • Installation plan – more structured to ensure communications to all meters • Training/Communications to CSRs, installers and field personnel • Verify medical status of account before installation

Conclusions • The pilot achieved its goal of validating: – Reduction in outstanding collectables/past-due amounts – Reduction in lost revenue from finalled accounts – Improvement in the safety of the Meter Reading and Field & Meter Services workforce – Improvement in meter reading efficiency • The remote disconnect meter functions as indicated. • The system can also be used for tamper/theft detection and reliability reporting.