It’s safe to say that outage management is a top priority and concern for electric utilities. For example, consider what happened to an electric utility located in the middle of the country’s infamous ‘Tornado Alley.’ After a series of devastating storms and tornados hit, the utility’s transmission and distribution systems were seriously damaged. However, by combining meter data with its outage management system, the utility was able to complete all repairs to its transmission and distribution systems within a month. In addition, the technology integration helped the utility enhance its customer service by restoring power and resuming operations in record time.
This is just one example of how proper data management and the use of data analytics can help utilities maximize the value of all the data that their sensors are providing them to draw insights, identify current or potential issues, and enhance operations.
Getting Started
There is no denying that we live in an age of information. What really matters, however, is what we do with this information. After all, the information on its own is just that—data. As utilities adopt communication systems to improve their operations, these networks are delivering a growing volume of data from both the utility’s infrastructure as well as external sources such as news and weather aggregators. As a result, utilities are struggling to manage and determine how to best use this surge of information. However, through the use of data analytics, utilities can now better manage this information and, ultimately, improve system efficiency.
To optimize the value of data analytics, there are three steps that utilities should follow:
- Collect the data
- Analyze the information
- Convert data into actionable insights
Collect the Data
Communication networks provide utilities with data about power usage, the utility’s infrastructure and even outages. While this information is useful, utilities are now asking:
“What else can this information tell me? Is there an opportunity to use this information to improve system operations?”
Utilities need to consider the other sources of data that they could be tapping into for a more comprehensive view of their system and operations.
Another key benefit is that data collection improves coordination, breaking down the walls between different utility departments. More specifically, the actions of one department often affect the entire utility and data analysis helps to showcase this. For instance, customer service may have limited interaction with the operations department, and data collection and analysis enable every department to see the big picture. Through the use of data collection and data analysis, every department is able to work together to improve operations for the utility as a whole as well as benefit its customers.
Utilities and their customers are craving basic data and visualization such as charts, graphs and online dashboards. With data analytics solutions, utilities can quench this thirst and realize even greater value hidden within this information. If one department in a utility begins to implement data analytics, other departments will see the results, embrace it and the walls will come down.
However, while sensors on the communication network provide utilities with this data, collecting the information is just the first step.
Analyze the Data
As the example above revealed, sharing data across departments within a utility can often address problems such as customer-related issues. While this type of data analysis is useful to utilities, the real challenge lies in transforming this data into information that will benefit the utility and its customers.
Utilities have two main options for how to analyze this data:
- They can either build a system in house
- They can choose to source an outside data analytics vendor
There are certainly challenges and benefits with both options. When building a system internally, utilities have more control. More specifically, they have the ability to completely customize their data analytics system and do not have to try finding the right vendor to partner with. On the other hand, building an in house system also poses certain challenges and obstacles, particularly for smaller utilities. For instance, a system might require buy-in across several departments within the organization as well as require numerous resources to maintain it. For smaller utilities, they might not have access to these resources, making this option less advantageous. And let’s not forget that, while data drives tremendous value, the IT and business processes necessary to derive that value can be complex.
The second option is to work with an outside vendor. Data analytics is an evolving space; if a utility sources an outside vendor to supply and manage its data analytics system, software updates, for example, are seamless to implement. In addition, many utilities and especially IOUs have internal constraints to deal with. Very often, they cannot take the risks required to advance their own data analytics campaigns. In addition, smaller utilities oftentimes do not have the resources necessary to build a system in-house, making working with an outside vendor even more ideal.
Regardless of which option you choose, implementing data analytics allows utilities to continuously review, monitor and verify data. And the benefits are limitless. One major benefit is that utilities no longer need to continuously monitor data on their own. Data intelligence provides a series of routines to assure multiple checks and balances of the data. By using routines that verify data, utilities can expect to save both time and money.
This data intelligence also allows the utility to assign the appropriate action to automatically adjust to any perceived discrepancies in the data. Utilities can pre-select responses and organizational tactics for different types of incoming information. This continuous and instant monitoring allows utilities to run more efficiently and better serve their customers. Data analytics can also immediately alert customers of certain occurrences or issues, helping improve response rates and enhance customer service. Customers can receive automated notifications and alerts at the very moment something is wrong. This type of automated notification can cut response rates and increase operational efficiencies, enhancing customer services as a result. In this age of technology, this rapid response is not just wanted by customers, it’s expected.
Given the ever-changing nature of the electric industry, data analytics provides flexibility through vast customization options to address the varying skill sets and needs within a particular utility. In addition, such agility allows for enhanced integration of complex networks. With data intelligence, utilities can solve nearly any data-related issue while also incorporating a sophisticated platform that can address more complex needs.
For utilities, another significant benefit of data analytics is revenue forecasting. With the ability to bring in meter data every fifteen minutes, compared to just once a month, utilities can track their earnings in real time. Additional benefits include pulling customer information, better managing the business, segmenting sales data via customer classes and estimating budgets to conserve costs and improve operations.
Convert the data into actionable insights
With the massive influx of data that utilities receive on a daily basis, a key part of data management is being able to sort through all of this information and pull in actionable insights. To truly benefit from such a large amount of data, utilities need to determine what data is required to best improve operations, reduce costs and enhance customer service.
Reap the Benefits of Data
The combination of data management and analytics enables utilities to take a system-wide view of their operations. It also allows utilities to better serve their customers by turning data into actual intelligence. With the right data analytics solution in place, utilities can manage their data and, most importantly, use this information to improve their utility and benefit the customer.
Data analytics can also provide environmental and societal benefits. Utilities can monitor customer usage and educate customers on their consumption. More specifically, data analytics can provide customers with regular alerts on their energy usage. With improved communication to customers about their energy consumption, self-initiated conservation can take place.
Ultimately, if utilities want to maximize the benefit of the data they receive from their sensors, data analytics is key. By collecting the data, analyzing its information and pulling actionable insights, utilities can gather information from grids, infrastructure and external sources to improve operations, reduce cost and inefficiencies, and enhance customer service. Every utility has unique challenges but, for many, the solution lies in the packets of data that travel over their communication network.
About the Author
Brian is an 18-year utility industry veteran whose entire career has been focused on finding solutions to the challenges utilities face across their enterprise. Prior to joining Verdeeco, a Sensus company, Brian worked for the SAS National Utility Practice where he focused on providing utilities with analytic products such as load forecasting and energy trading risk measurement. Brian is a licensed Professional Engineer in the State of Georgia and received his BSAE degree from the University of Georgia.
