GE EVN Solutions For Power and Utilities From GE Digital
GE EVN Solutions For Power and Utilities From GE Digital
GE EVN Solutions For Power and Utilities From GE Digital
2 3
Digital Transformation of Electricity Through 2025
Residential
Market Operational
Generation Transmission Distribution
Trading
Commercial & Industrial
Beyond
the Electron
4 Source: World Economic Forum White Paper Digital Transformation of Industries: Electricity Industry, January 2016 5
Top 10 Digital Trends
1 IMPACT OF RENEWABLES AND DISTRIBUTED 4 MULTI-DIRECTIONAL IS THE NEW GRID 7 CLOUD + EDGE IS THE NEXT IMPERATIVE 9 THE PLATFORM ECONOMY
ENERGY RESOURCES (DER) The future will increasingly be defined by digitally- Cloud + Edge provides powerful, step-function The power industry will increasingly be defined by
As more utility-scale wind and solar reach grid parity, enabled, intelligent grid technology, multi-directional advantages over existing IT/OT infrastructures, including digital platforms that developers and companies use
the industry must aggressively adopt digital technology power flows and higher quality power. greater speed, end-to-end security, lower costs, better to scale collaboration, rapidly build capabilities that
to become more efficient, flexible and compliant with performance, reliability, ability to scale and global address a huge number of challenges and drive new
environmental regulations.1 5 THE PROSUMER WAVE visibility across geographies and assets.3 value creation.5, 6
Prosumers are starting to shape the power industry
2 ARTIFICIAL INTELLIGENCE (AI) in transformative ways, requiring energy providers to 8 THE TALENT CHALLENGE 10 NEW BUSINESS MODELS
We will see a growing number of innovative applications use analytics and digital platforms to forecast usage, Digitalization, mobile, wearable devices and analytics Power and utility companies are increasingly using
of AI for the energy industry, from autonomous drones predict and manage two-way grid flows and deliver well- will increase the productivity of energy workers while digitalization to change their business models to
capable of inspecting and analyzing remote transmission designed mobile customer experiences. capturing and augmenting the knowledge of a rapidly compete in a rapidly changing power market driven
assets to predicting equipment problems that prevent retiring workforce.4 by distributed generation, renewables, smart grids,
unplanned downtime. 6 CXO ROLES TRANSFORM storage, digitalization, non-traditional competitors and
“CIOs are playing an increasingly central role in both OT prosumers.
3 DISRUPTIVE CYBERATTACKS and IT as utilities are undergoing digital transformation by
Escalating cyber attacks, together with the increase leveraging IoT to integrate people, business and things,”
in number of IP-enabled edge connected devices, will according to Gartner. New Chief Digital Officer (CDO) and
necessitate adoption of even more robust and extensive Chief Transformational Officer (CTO) roles are also driving
cyber security solutions. digitalization.2
“Utilities’ traditional business models are under attack, directly and indirectly. Utilities are racing to
reinvent their roles and have started a profound transformation journey. The industry will be reborn
in 3D: decentralized, divergent, and digital.”
— Roberta Bigliani, IDC Energy Insights
FOOTNOTES:
1
“Roadmap for a Renewable Energy Future,” International Renewable Energy Agency, 2016.
2
Gartner – Predicts 2017: Energy and Utilities Get Ready for Digital Disruption.
3
Industrial Internet Report for 2015, GE and Accenture.
4
U.S. Senate Committee on Energy & Natural Resources.
5
Platform Economy: Technology-driven Business Model Change from the Outside In, Accenture 2016.
6
Global Platform Survey, The Center for Global Enterprises 2015.
6 7
Our Commitment TIO
N DI
ZA AFFORDABLE
GI
I
GE is committed and uniquely positioned to support our
AL
TA
DECENTR
LIZA
customers through a period of unprecedented industry
UNIVERSAL
TION
transformation with the following beliefs:
ACCESS
S U S TA
BLE
• Access to electricity is a basic human right; every person needs
LIA
IN
power that is affordable, reliable, and more sustainable.
BL
RE
E
• N
avigating a changing industry requires an understanding across DE N
CAR IO
the entire EVN. B O N I Z AT
• N
o single technology is the answer. Instead, a broad combination
of solutions is needed, based on resource availability, distribution
systems, regional dynamics and customer needs.
• GE’s installed base and new grid, plant and system investments,
with digital as a key enabler, will drive tremendous value for our
customers.
Asset Performance Management: Up to 5% reduction in unplanned downtime; 15% increased asset utilization (T&D grid)
$1MM per NERC infraction to millions per day in lost production from catastrophic cyber event
Cyber: From avoidance of
Predix: Up to 15% IT cost reduction; up to 30% application acceleration; millions in benefits from cross-EVN data sharing
3%–4%
carrying capacity
of networks
Up to 70% reduction
in lighting costs
emissions reduction
Business Models
Digital Demand Response Storage Management Intelligent Environment
Emerging Digital
Offerings &
MICROGRIDS
Operations Optimization Better, Faster Decisions Productivity VIRTUAL POWER PLANT (VPP)
Cyber Security Plant Optimization Capacity Forecasting Grid Energy Building Energy
Management System Management System
Efficiency Production Plan Parts
40
Health Management Optimization Management
A2A Exelon PSEG
Work Order
new Predix AES Gas Natural Fenosa RasGas Management
CYBER SECURITY
customers BC Hydro General Electric Company SAIF Security Network Security Patch Cyber Asset Intrusion
Bord Gais of Libya Salt River Project Assessment Segmentation Management Protection Detection
Decision making analytics exactly Cross plant, fleet and EVN data Leverage a catalog of analytic models
where they need to be for real-time integration and software for optimized to build new digital twins across all
decisions — adjacent to machines. business insights and actions. asset types.
End-to-End Security
“All the operational data goes directly into Predix. By collecting all the data in the GE hosted Predix
Enterprise-wide Integrates data from nearly
Predix application implementation 2 MM smart cloud — instead of spread across many systems — it can be brought together for analysis and
38 GW of power plants in 48 states meters, more than 5,000 machine learning.”
and Canada relays, 2,000 routers and 30 different — Brian Hoff, Director of Innovation at Exelon
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Digital Twin: The Core Innovation
Behind GE’s Digital Solutions
>550,000
GE Digital Twins
created
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Asset Performance Management
Increase asset reliability and availability while reducing maintenance cost
APM CAPABILITY — COMBINED CYCLE GAS TURBINE PLANT
900
APM FOR GAS/STEAM Less Reliable 800
700
80% GE Partner
Ecosystem
a goal of
100% coverage of most critical critical failures by 2018. electricity to up to 10% of Ireland’s house-
NERC failure modes by 2018
holds, to be available for power generation
65% GE EVN
Extensions
when called upon by the national grid. GE’s
new software technology is an ideal solution
50% GE Digital
APM
to help increase our plant’s reliability and
availability, while making the most of our
planned maintenance outages.”
< 40% Basic
Monitoring
— Rory Griffin, Operations Engineer — Whitegate,
2015 2016 2017 2018+
Asset Operations, Bord Gáis Energy
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Operations Optimization Business Optimization
Driving the most profitable use of resources for market conditions Linking energy operations with energy trading
Commercial &
Generation Grid Industrial Business Generation • Grid • Commercial & Industrial Business
Grid Prosumer
Optimization Optimization
Plant
• Grid Energy • Grid Stability • Building Energy • Inventory Market Portfolio Business Financial
Optimization Management Management Management Management
System
Intelligence & Management Communications Performance
• Efficiency • Flexibility • Availability • Capacity • Emissions System • Advanced DMS • Building Forecasting
• DER Integration • Advanced Meter • In-store Optimization
(DERM) Insight (AMI) Marketing • Space
• Store Optimization
Operations
Steam Gas Nuclear Wind Hydro Solar Transmission Distribution Substation Prosumer Steam Gas Nuclear Wind Hydro Solar Transmission Distribution Substation Prosumer
Increase Output
Raise
INPUTS OUTPUTS
Increase
Availability Efficiency
Demand Financials
• Expected P&L
Generation
• Revenue
Improve
Reliability
Balance
Wear & Tear
Contracts Portfolio • Costs (Production,
Communication
“Operations Optimization provides us with visibility and Up to 5% increased output capacity with Third Parties
and ISO
the insights to our KPIs and allows us to look at the actions
that will improve performance at lower costs.”
20% emissions reduction
20 — Richard Lopriore, President of Fossil Generation, PSEG Increase annual AEP by 10% 21
Cyber Security
Protecting critical assets and operations
Generation • Grid • Commercial & Industrial Business • In the Ukraine, 225K people lost power due to
cyber attack in December 2015 — and again in
December 2016
Security Cyber Asset Security/ST Cyber
Assessment OpShield Protection and Patch Security • NERC CIP carries $1M per day fine for security
Services (CAP) Management Training compliance violation
RESULTS OF GE ASSESSMENTS
PERFORMED FOR POWER GENERATION
64% of power and utilities
Steam Gas Nuclear Wind Hydro Solar Transmission Distribution Substation Prosumer executives believe that their security
96% at least one system with a strategy is not aligned with today’s risk
vulnerable OS environment. (Source: Ernst & Young)
BASELINE
Immediately identify security issues BASELINE PROTECT PREVENT
92% at least one system with an
expired end-point solution
that can impact operations, even if the
High
and simulate defenses to measure threat Health Check Intrusion Detection Event Monitoring
impact and improve security. Patch Updates
Personnel Training
Whitelist
Blacklist
Anomaly Detection
Adaptive Protection
12+ years longest duration since
administrator password changed
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Digital Worker 18% increase in technician productivity
Digital technologies will augment the abilities and power of workers of every skill level 8% reduction in services costs
13% reduction in the time it takes to repair equipment
13% increase in service revenue
Digital Worker
NAMED A LEADER
2016 GARTNER
MAGIC QUADRANT
FOR FIELD SERVICE
MANAGEMENT
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Create a More Strategic Capital Allocation Approach
Asset Management and Operations Insights — Improve Regulation and Compliance — Create flexible scenario
measurement and forecast of current and future load, asset planning with digitalization around legislation and
health, criticality, life and performance leveraging data regulations, (environmental, cyber security, etc.) that
insights. could affect new and existing infrastructure, as well as the
development of new business models and service offerings.
Financial Trends and Forecasting — Utilize digitalization
to ensure greater forecasting accuracy by leveraging new Cloud Computing — By leveraging cloud technologies and
and multiple data sources to understand and optimize data management, capital planning for the entire EVN can
upstream supply, market, and internal financial scenarios. be accomplished with a common data source.
Customer Intelligence and Service — Understand the New Business Models — Transitioning business
specific needs and demands of customers across the models can signify significant changes in asset planning,
system through use of distribution-level and customer- capitalization, depreciation and retirement. The ability to
site data. study the impact of these changing models across EVN
assets provides a more refined assessment of new model
impacts.
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Digital Transformation GE Digital Professional Services Ensure
A digital transformation requires a vision, strategy, and • Partnerships Are a Force Multiplier — Expand the a Successful Transformation
roadmap that is aligned with long-term business goals and view and nature of partnerships to accelerate the
metrics. Success will be determined by the ability to set a transformation internally and externally. STRATEGIC PROJECT SERVICES Create modern and solid system architectures and UI
strategy, deliver results, cultivate partnerships, transform Guidance for new revenue opportunities
• Transformation Must Be Intentional — MANAGED SERVICES
culture, and capture growth opportunities. Operate with integrity and transparency
Transformation is complex. It requires change across DELIVERY SERVICES
• Strategy Is Paramount — Establish a vision, assess the people, process and technology. Speed time to value with rapid installations
EDUCATION SERVICES
environment, understand your capabilities, and define Train and coach toward independent operations
• Digital Is a Growth Multiplier — Digitalization enables SUPPORT SERVICES
the metrics for success.
new business models that take advantage of emerging Monitor and respond to minimize production impact
• Early Wins Deliver — Drive productivity in existing value creation opportunities for your operations and DESIGN THINKING
operations and build support and credibility across the customers.
organization.
Growth
Transformation
Productivity
China Datang Group will implement China’s first and most advanced Monitoring and Diagnostic
Centre, co-developed with GE Power Digital Solutions, which will help increase plant performance and reduce
maintenance cost through big data analytics. This represents an intelligent digital hub servicing the entire Asia-Pacific
region and will be the cornerstone for Chinese power groups to begin their digital transformation.
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The GE Ecosystem: 400+ Partners Signed and Growing
GE Digital has joined forces with other industry leaders and innovators to build a powerful ecosystem of companies
committed to advancing the new digital industrial era.
GE Portfolio Companies
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New Utility Business Models ENERGY RESOURCES ENERGY CONNECTIVITY COMMERCIAL AND INDUSTRIAL
BUSINESS
Digital Power Plants, Renewables, Virtual Power Plants (VPP),
As power and utility companies seek growth Energy Storage, Distributed Microgrids, Distributed Energy Energy Efficiency, Mobility
opportunities, they are increasingly investing in, Generation Resource Management Systems Services, Smart Cities, Retail
(DERM), Blockchain Technology Marketplaces, Community Energy,
testing, and launching digitally-driven and digitally- New and legacy energy resources
Intelligent Environments
enabled business models to tap new sources of utilize digital solutions to monitor and Digital solutions are enabling
manage assets, drive new operating the aggregation of resources, Power and utility customers are
value for customers, grid operators, and others
efficiencies, and optimize value the connectivity of systems and leveraging digital solutions for new
across the ecosystem. creation opportunities. collaboration across the grid, as well businesses and solutions that extend
as new transaction mechanisms both beyond traditional energy services for
centrally and at the edge, to drive commercial and industrial customers.
value across the ecosystem.
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Digitalization Drives Powerful Eco Results 1% efficiency improvement at thermal plants reduces Applied to global thermal fleet, this equals offsetting of
CO emissions 2–3%
2
~50K wind turbines
3% 40% 3% 10% “Dynegy is always looking for ways to “By working with GE to increase the flexibility
reduction in CO2 emissions reduction in start-up fuel increase in fuel NOX reduction economically increase output, reliability and and efficiency of our power plants at EGAT
consumption efficiency efficiency at our power stations while upholding North and South Bangkok, we are strengthening
our commitment to safety and environmental power security for our country in the event of
responsibility. Through our collaboration with different gas compositions (WOBBE INDEX)
20% hidden transmission capacity optimization — 25% decrease in renewable curtailment resulting GE, Dynegy is upgrading four of our facilities while also improving air quality and reducing
avoid costs of new lines in less CO2 emissions with some of the latest technologies to achieve fuel consumption.”
these goals.”
— Mr. Charin Kanjanarat, EGAT Assistant Governor
— Marty Daley, Executive Vice President, Dynegy
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“As the only Fortune 100 company in the electricity sector, we have “This digital solutions platform supports our primary mission to provide
a unique opportunity to lead the energy industry in the exploration, customers with low-cost, clean, reliable power with the industry-leading
development and deployment of the next generation of clean, diverse energy infrastructure and services they value.”
energy technologies.” — Gil C. Quiniones, President and Chief Executive Officer, NYPA
— Chris Crane, President and Chief Executive Officer, Exelon
Enterprise-wide software agreement
Enterprise-wide Predix & applications implementation 6 power plants in New York state
38 GW of power plants in 48 states and in Canada ~6 GW of coverage
Deployed across fossil, nuclear, wind and solar plants Monitor power generation & transmission equipment
36 *P
rojected estimates based on GE modeling and historical PJM energy pricing. 37
Leadership To Help Drive Your Digital Transformation Digital Foundry San Ramon, California, USA
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GE Digital Headquarters San Ramon, California