Tier 2 Power Supply Planning Workshop Advanced AMI Benefits Overview

1. Tier 2 Power Supply Planning WorkshopAdvanced AMI Benefits Overview

2. Key Performance Objectives • Goal – Leverage the City’s AMI System investment • Advanced features and functionality • Suggested Next Steps & KPO’s • Water meter right-sizing • Electrical transformer right-sizing • Continue Demand Response program  • Implement annual meter inspection program • Utilize outage notification system • Water system main leak detection • Establish redundant fiber optics to collectors • Leverage meteorological data to predict system peaks • Continue Customer communications program • Distribution automation & Integration of SCADA

3. Smart Water & Electric Infrastructure Smart Infrastructure Infrastructure Security Vision System Inspections On Demand Reading Planned Repairs and Maintenance Theft Detection AMI System Modeling Emergency Shut-off and Repair Gateway Into Home Sub-metering Services Emergency Alerts Customer Web Access AMR Remote Usage System Management Smart Pipe & Pipe Pigs Remote Disconnect Demand Response Outage Management Customer Leak Detection Predictive Maintenance Time of Use Backflow Detection Equipment Status Monitoring Flow / Pressure Monitoring Customer Profiling & Data-logging Unmeasured Flow Reduction Audit and Revenue Enhancement Contamination Monitoring Water Quality Monitoring Leak Detection, Locating and Repair Repair / replace instructions GIS Mapping / Asset Management

4. Leverage AMI Hourly Data • Water Meter right-sizing • By monitoring the hourly flow through meters, the City could verify water meter sizing is appropriate and replace meters as needed • High flow – could prevent meter burst • Improves revenue by improving accuracy • Ensure Electric Transformers are not Overloaded • By aggregating the individual hourly meter data by transformer, the system can estimate the average load • Prevent emergency replacements • Better utilize under-loaded transformers

5. Transformer Loading • Easily Identify Potential Overload Failures • Planned replacements instead of emergencies • Requires City Inventory & meter links

6. Continue Demand Response • The City is taking a major step with enabling Demand Response in 2011 and evaluating the benefits in 2012 • Don’t stop now; Port Angeles could be a show case community in the U.S. • To maximize the benefits and better understand the impacts to both the City and it’s customers, the City should continue demand response recruitment activities in 2013 after our 2012 evaluation. 

7. Annual Meter Inspections • As part of the initial AMI system deployment, Mueller Systems is conducting a 100% audit • Water meter plumbing • Electric meter sockets; overhead clearance • Evaluating meter clearances against codes • This puts the City in a top notch position • Recommendation • Maintain - do not stop while you are ahead • How – implement an annual meter inspection program. Does not have to be 100% every year but there should be a plan to keep up

8. Utilize Outage Notification • Provide an even higher level of system reliability • GIS Tool—Plotted Notifications • Full outage list shown for sorting and prioritizing work

9. Distribution Side Leak Detection • Mueller acquired Echologics in December 2010 • Leader in acoustic leak detection technology • No additional AMI infrastructure required • Devices magnetically attached to valves • Loggers activate and listen each night • Results are collected via Mi.Net Infrastructure

10. AMI Backhaul Reliability • There are two critical pieces to the AMI network infrastructure • AMI collectors to AMI meters • Mueller System is responsible • Fiber Network to AMI Collectors • The City if responsible • Recommendation - Establish redundant fiber optics to collectors in 2012 to ensure high AMI System network reliability

11. Leverage Meteorological Data • The Mi.Net AMI System provides a direct feed to local meteorological data from the national weather service • By correlating AMI hourly consumption data with meteorological data, the system can help the City predict next day system peak hours • Recommendation – use the system to help anticipate system load

12. Continue Customer Communications • The City has started off the AMI system program with one of the most impressive and all encompassing customer communications programs in the nation • This was a key issue for other large systems • The City is doing everything right! • Recommendation • Continue to promote the customer benefits • Key Areas • Time of use rates • Customer portal • Customizable alerts • Demand Response

13. Promote Consumer Portal Personalized Alerts and Notifications Utility Messages

14. Future - Distribution Automation • Mueller Systems owes the City a SCADA integration and Distribution Automation Plan in the Fall of 2011 • This is a new area of development for Mueller Systems and the details are still being developed • Recommendation • Consider long-term (2013 and beyond) integration of the SCADA and AMI System • Consider AMI automation of the distribution devices such as switches and reclosers • Benefits – leverage the advanced system in which you are already investing