AMR Advanced Applications – Taking it a Step Beyond

1. AMR Advanced Applications – Taking it a Step Beyond David Glenwright AMR Operations & Strategies NARUC July 15, 2007

2. Topics • Background • AMR at PECO • Advanced Applications • Outage Management • Theft Detection • Engineering Studies • Other Opportunities

3. Exelon / PECO Background • Subsidiary of Exelon Corp (NYSE: EXC) • Serving southeastern Pa. for over 100 years • Electric and Gas Utility • 2,400 sq. mi. service territory • Philadelphia and the four surrounding counties • Population of approx. 4 million people

4. Customer Profile

5. Scope of AMR at PECO • PECO’s AMR installation project lasted from 1999 to 2003 • A Cellnet Fixed Network solution was selected. • 99% of meters are read by the network • Others are drive-by and MV-90 dial-up • During the project, meters were activated at a max rate of 143,500 per month. • Installation was performed by PECO, Cellnet, and VSI. • Cellnet manages the network, performs meter maintenance and provide data to PECO. • All meters are read daily. Additional features include on-demand reads, and event processing.

6. Cellnet AMR Network Structure Exelon Applications National Operations Center (NOC) System Controller Cell Master (CM) MicroCell Controller (MCC) Wide Area Network Endpoint devices w/CellNet Radio Local Area Network

7. AMR network components 2.2 M Meters ~1.6 M Res. Electric ~455 K Res. Gas ~135 K Com. Electric ~42K Com. Gas 91 Cell Masters 8,318 MicroCell Controllers

8. Business Benefits of AMR

9. Outage Management

10. Outage Example TRF-2 TRF-2 TRF-1 TRF-1 CALL-9 CALL-7 CALL-3 CALL-5 CALL-1 CALL-2 CALL-8 CALL-4 CALL-6 FUSE Event Time: 00:00:00 Event Time: 11:49:00 Event Time: 11:31:00 Event Time: 11:27:00 Event Time: 11:35:00 Event Time: 11:38:00 Event Time: 11:38:00 Event Time: 11:43:00 Event Time: 11:49:00 Event Time: 11:35:00 Customers Affected: 002 Customers Affected: 003 Customers Affected: 004 Customers Affected: 001 Customers Affected: 005 Customers Affected: 006 Customers Affected: 000 Customers Affected: 018 Customers Affected: 019 Customers Affected: 086

11. Outage Example w/AMR TRF-1 TRF-1 LG-3 CALL-3 CALL-1 CALL-2 LG-2 LG-1 FUSE CALL-4 TRF-2 TRF-2 Event Time: 11:30:00 Event Time: 11:34:00 Event Time: 11:30:00 Event Time: 00:00:00 Event Time: 11:34:00 Event Time: 11:31:00 Event Time: 11:27:00 Customers Affected: 086 Customers Affected: 014 Customers Affected: 013 Customers Affected: 000 Customers Affected: 003 Customers Affected: 002 Customers Affected: 001 Customers Affected: 012 Event Time: 11:30:00

12. PECO’s Outage Management Process

13. “Summer Slam” - July 18, 2006 A severe band of thunderstorms caused nearly 400,000 power outages. Determined to be the worst summer storm ever experienced by PECO. • 1,200+ single customer outage calls were cancelled without crew dispatch due to meter pings that indicated power-on. • 750+ single customer outage calls were escalated into primary events via pings to neighboring customer’s meters. This ensured a properly skilled crew was dispatched the first time. • The pinging and restoration verification tools were used to confirm active jobs were valid prior to crew dispatch. Feedback from the field crews indicated that they felt like they were working more effectively because they had very few assignments that were “OK on arrival”. • Conservative estimates indicate that AMR has helped save in excess of $200,000 in avoided labor costs during this storm.

14. AMR Outage Management Summary • Improved outage management performance • Quicker response due to last gasp • More efficient use of field crews due to pinging (automated & manual) • Validate power restoration times using daily reports • Reduced CAIDI by 5.5 minutes in 2005

15. Theft Detection

16. Revenue Assurance • Theft detected during initial AMR installation • Initial focus of using various meter tamper flags to detect potential theft of service proved ineffective • Cellnet & PECO developed more advanced tools looking at irregular usage patterns combined with tamper flags • Repeated outages • Unexplained usage • Customer Load Profile / Irregular Load Shape • Repetitive Flags • Analysis is used to direct Revenue Protection crews to suspect areas

18. Revenue Assurance Reports Outage & Reverse Rotation No Weekend Usage

19. Revenue Assurance Reports Irregular Usage No Read-Window Usage

20. Examples of Customer Bills 117% After Corrections Prior to Corrections 96.4% After Corrections Prior to Corrections 128% After Corrections Prior to Corrections

21. Engineering Studies

22. Load Management • The goal is to use AMR data to get a better understanding of how the distribution system is operating. • Visibility into individual distribution transformer and cable loading is created • The models are based on combination of actual customer usage, billing data, SCADA-based substation information and weather data. • 4 circuits in a dense, urban environment were modeled with the Itron Distribution Asset Analysis Software

23. Load Management Pilot • PECO, Itron & Microsoft collaborated to conduct a demonstration of the DAA application • 4 circuits in a dense, urban environment were modeled • 7,500 customers • 269 transformers • Data Sources • SCADA – 20 points input • Daily and ½ hourly meter data • Several enhancements were required to correctly model the circuits: • Virtual nodes to model Secondary Mains • Interposing, Step-Down Transformers • 2-Phase, Scott Connected Transformers

24. Transformer Utilization

25. Meter to Transformer Rollup

26. Transformer Profile

27. Preliminary DAA Results • DAA predicted overloads on 2 of the 5 transformers that failed in summer ’06 on one of the demonstration circuits • 1 transformer failed just after midnight, customers experienced a 4 hour interruption • DAA provided secondary main loading data that was previously unavailable • Heavily loaded mains are now under analysis

28. Interval Data Pilot Old City Chinatown

29. Outage Prediction

30. Outage Prediction • AMR Last-Gasp and Power-Up Messages • 750,000 Last-Gasps Annually, 5% associated with actual outages • 6,000,000+ Power-Up Annually • Why? What do these messages mean? • Precursors • Demonstrated to give advance notice • Need to develop means to interpret these messages

31. High Density of Power-Up Messages

32. Outage Vs Power-Up Messages

33. Orphan Meter Analysis • Orphan meters are read by the AMR Network, but there is no corresponding customer location information • Affected customers may receive estimated bills • New meter sets may go unbilled – lost revenue • Analysis Process: • Map AMR network elements that are ‘hearing’ orphan meters • Overlay known meter locations vs. tax parcel & vacancy data • Identify occupied tax parcels that do not have meters that are within the range of the network device • Results are used to direct field area investigations

34. Orphan Meter Analysis

35. Smart Grid

36. Urban Utilinet Trial

37. Sample Manhole Installation

38. PECO Utilinet Pilot Demonstrate that the following devices can operate simultaneous via a single smart network: • Distribution Automation • Reclosers (Monitoring & Control) • Unit Substations (Monitoring & Control) • Faulted Circuit Indicators • Meter Reading • Current Meter Reading Functions • Remote Disconnect/Reconnect Meters • Interval Data/Demand Response • Voltage Sensing

39. Jenkintown Area

40. Closing Thought There continues to be a wealth of opportunities to extract real business value from AMI, well beyond what is being delivered today.

41. Contact Information David Glenwright Manager, AMR Operations & Strategies Email: david.glenwright@exeloncorp.com Phone: 215-841-6174