looking ahead: identifying common elements of a customer ... · planned to launch in 2013 •...
TRANSCRIPT
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© Copyright 2013, Southern California Edison
Looking Ahead: Identifying Common Elements of a Customer Engagement Platform
CEE Industry Partners Meeting September 18, 2013
Derek Okada Southern California Edison DSM Strategy & Compliance
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Discussion
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• Background & Market Trends
• Program Considerations
• Program Offerings & Opportunities
• Next Steps
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SCE Background
• One of the nation’s largest electric utilities
• Nearly 14 million residents in service territory
• Approximately 5 million customer accounts
• 50,000 square-mile service area • Over 103,000 miles of distribution
and transmission lines
• 7 – 8% projected average annual rate base growth through 2014 driven by:
• System reliability and infrastructure replacement
• California Renewables Portfolio Standard
• Technology improvements
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DSM Strategy
Effective and enabling customer
interactions
Intelligent Delivery
Innovative Energy Solutions
• SCE is evolving toward a technology-enabled customer delivery service model
• This shift enables SCE to: • Meet customer expectations in a
timely and agile manner as needs and expectations evolve
• Address California’s aggressive energy policies and goals while serving the specific needs of our customers
• Leverage the benefits of our smart grid through more engaged customer program participation and behaviors
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DSM Organizational Evolution
Policies Products Programs Promotion
• EE, DR, DG, Low Income, Renewables
• CLTEESP • Zero Net
Energy • Water-Energy
Nexus
• IDSM offerings • Emerging
products • PCTs, IHDs, • HANs, HEMs
• Pilots and solution development
• EE, DR, DG, ESA, PEV programs
• Behavior programs • Market
transformation programs
• Offer Management • Lifestyle Plans
• Rate Choices • TOU Rates & Dynamic
Pricing • Load Management
Incentives & Rebates (SDP)
• Self-Service Offerings
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Vision
Adopting customer’s preferred way of communication and frame of reference is essential to changing behavior towards
energy usage and increasing participation in energy programs
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Market Trends, Opportunities & Challenges
• Trends • Growing innovation and enabling technologies • Increasing CA focus on behavioral offerings • Pressing need for deeper and targeted DSM savings • Ongoing need for solutions to prepare customers for time of use pricing • Converging product and delivery channels
• Opportunities
• Redefine the utility role as an “energy advisor” • Engage customers to make informed energy use decisions • Work with energy management market actors
• Challenges
• Encouraging customers to make energy savings a priority • Working within regulatory frameworks to achieve attributable savings • Developing the value proposition for customers, partners, and utilities • Driving toward behavioral persistence and market transformation
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Non-Resource Offerings
• SCE.com • Budget Assistant
• Edison SmartConnectTM
• Offer Management
Behavioral Framework
Non-Technical Behavioral Offerings
• Social Gaming • Competition • Normative Messaging
Technical Behavioral Offerings
• Home Energy Management • Feedback & Disaggregation
Planned Behavioral Offerings
• Home/Business Energy Advisor • Home Energy Reports • Mailed Audits
Objectives
Achieve 5% Adoption Target
Identify IDSM Potential
Identify savings beyond technical measures
Enhance Customer Satisfaction
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Behavioral Intervention Progression
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Awareness • Home Energy
usage
Education • Understanding
usage • Managing energy
use • Learn ways to
save
Customer Acceptance • Energy Efficiency • Habit changing • Cross-cutting
(Participating across all IDSM programs)
Customer Persistence • Maintaining habits
Customer Analytics Customer
Analytics
Customer Analytics
Maximize Savings
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Behavioral Program Qualifications (D. 10-04-029) - 2012
• Residential unit usage compared to similar residences in the subscriber’s geographic area
• Did not restrict definition to residential applications
Comparative Energy Usage
• Control vs. Treated Groups • “Gold standard” and most rigorous research design • Allows for isolation of program impact
Experimental Design
• Measurement & Evaluation post program implementation
Ex Post Measurement
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For more information on behavior intervention strategies, please refer to the behavior whitepaper, published in www.CALMAC.Org, “Paving the Way for a Richer Mix of Residential Behavior Program, Study ID SCE0334.01.
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Energy Management Opportunities
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Change Behaviors Educate customers
about their energy use
Demonstrate Innovation Support development of customer facing energy management solutions • Build upon Edison SmartConnectTM
capabilities
Diversify Offerings Pursue all cost-effective
DSM opportunities to target energy savings without
impacting user experience Influence Attitudes
Identify new and impactful areas for
policy and advocacy
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Two Paths Into the Home
SCE
Smart Meter
3rd Party Cloud
ZigBee Interface
Customer PCT
Customer Router
KEY POINT: Both paths enable DR and EE savings
Utility-centric: - Requires additional technology, $ - Uniform control; connection issues - Aligns with current utility programs
Interested 3rd parties: ADT Security, some PCT manufacturers
Customer-focused: - Uses home WiFi, variety of PCTs - Personalized PCT management
24/7 - Aligns with market preference
Interested 3rd parties: Cable, Telecom, HEM Platforms, Portals
“The way utilities planned for”
“The way the market is leaning”
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Smart Thermostat Study
Overview: The purpose of this study is to evaluate the capability of third parties to shed load during Save Power Days using internet-controlled thermostats in homes
Details: • Part of the SONGS Summer Readiness effort to reduce peak
energy usage • Provides guidance on efficacy of leveraging third party service
providers to reduce HVAC energy usage during Save Power Days
• Uses SCE’s new SmartConnect meters to quantify amount of energy reduced and reward customers for that reduction
• Informs future DR program design • Minimizes costs by using third party to market to their existing
connected customers • Other companies in addition to Nest are included in this
summer 2013 Study to increase diversity of learning • Study runs from June 1 through October 1 (Summer DR
Season)
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Gamification Pilot
Overview: • Partnership with Zema Good to conduct a
behavioral pilot using virtual currency from casual social games to engage, educate and reward customers for becoming more energy efficient
• Goal is to test this emerging technology and discover whether it can be successful in the marketplace
Details: • New Emerging Technology assessment pilot
planned to launch in 2013 • Residential customers will be targeted to
qualify for this pilot and randomly selected to participate in the trial
• Participants will earn digital rewards for each qualified action taken that moves the customer up the Behavior Intervention Progression lifecycle
• Energy savings will be measured over a 12-month period after the pilot launches
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Home Energy Report Pilots
Overview: • Enhance SCE HEES mail-in survey by
adding treatment messages to cover letter
• Rationale: Test message type effectiveness and test whether behavioral treatments can drive customers to other programs
• Benefits: Employs proven tools for energy savings, but tests new approaches/theories, uses existing program infrastructures and learn about program synergies and sequencing
• Theoretical approach: Loss aversion and Referencing
• Focus: High Usage Customers
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Universal Audit Tool Offerings
Overview: • Home Energy Advisor and Business
Energy Advisor provides audit information that is calibrated to customer profiles
• Integrates DSM including EE, DR, DG, Emerging Technologies, Smart Connect, Budget Assistant, Rate Analysis, New Digital Customer Experience, and Engagement Marketing
• Comparative energy usage • Ongoing interactive customer
engagement • Enhancements focused on utilizing
social media, rapid rewards and gamification tactics
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Load Disaggregation Opportunities
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Next Steps
• Continue to explore innovative energy management and behavioral offerings • Expand PCT, IHD, and other energy management solutions and
partnerships • Test new DSM measures
• Expand the scope of behavioral measures • Continue exploration within the behavioral community for measures
meeting the 2013-2014 behavioral framework • Explore opportunities to expand the definition of behavioral programs in
California
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Home Energy Management Opportunities
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Technology Intervention Opportunities Strategies Barriers/Risks
PCT • Increase adoption of DR enabled PCTs • Develop new “cloud” to “cloud” channels
• Engage Energy Information Service Providers on DR opportunities
• Business case for Residential OpenADR not yet established
IHD/Mobile • Increase availability of IHD/Mobile customer offerings
• Pilot IHDs in homes • Evaluate apps for EE/DR
• IHDs may be short-lived • No SmartApps other than
Outage Management
HAN/HEM • Educate consumers about market availability • Test market for EE/DR savings potential • Work with retailers on customer strategies
• Field test HANs via DR Pilots • Support retailer HAN strategies • Evaluate HEMs savings potential
• Emerging product class • Savings benefit still TBD
Smart Appliances
• Work with ENERGY STAR and CEE on “connected” device standards and strategies
• Field test Smart Appliance • Evaluate EE/DR savings
potential • Test consumer behaviors
• Limited availability • Savings not yet documented • Behavior strategy not defined
Smart Plugs
• Test cost effective delivery channels • Educate customers on plug controls
• Evaluate EE savings potential • Pilot web channel opportunities • Test consumer behaviors
• Low consumer awareness • Long ROI • No energy standards
Web Tools • Develop customer centric tools to better manage energy use
• Enhance customer facing tools • Budget Assistant • Universal Audit Tool • Energy Disaggregation Pilot
• Customer engagement strategy not yet defined
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Behavioral Offerings
Technology Description Customer Needs Benefits
Home Energy Advisor
• Online audit tool, offering ways to save energy including behavioral changes, EE, DR, water and solar to homeowners, renters, and landlords
• Straight forward tools to identify energy use and energy saving tips and recommendations
• Provides custom recommendations, breakdown of key energy loads, links to programs and services
Business Energy Advisor
• Online audit tool offering energy saving tips and recommendations for EE, DR, water and solar opportunities for small business owners and tenants
• Information about how to prioritize EE investments
• Provides custom recommendations, breakdown of key energy loads, links to programs and services
Home Energy Guide
• Provides a guide to home energy use including product and energy use information for building materials, heating & cooling, lighting, appliances & electronics, and pools & spas
• Straightforward resource to guide them on product features, purchase considerations and other tips on how to incorporate EE measures into their use
• Energy education
Home Energy Reports
• Proactive report sent to customers which compares their usage to similar households
• Information about energy use and how they compare to their peers (neighbors)
• Provides peer comparison of energy use, normative messaging and behavioral influence
Budget Assistant
• Allows customers to set monthly spending goals and track progress while receiving automated alerts
• Information about monthly energy usage and how it contributes to their bills
• Provides hourly interval data (from the day before) to help customers set saving targets and monitor ongoing usage
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