Andres Carvallo Speaks at Freescale Technology Forum 2010

I will be speaking on a smart grid panel about the industry current success and future outlook. As the father of the first smart grid in the US, I have a unique prospective on what works and does not to deliver a fully integrated smart grid.

What we bring at Grid Net to the industry is the very first and only real-time, all-IP smart grid and smart home software platform for any device and any broadband technology. Our partnership with Freescale enables devices from multiple companies to run our smart device software giving utilities total control of their electric assets under one single network management system.

Attend FTF to receive in-depth training on Freescale technologies from the engineers who created them, collaborate with industry peers, get hands-on experience with the latest innovations from Freescale and our ecosystem partners, and connect with key players and decision makers.

http://www.freescale.com/webapp/sps/site/overview.jsp?nodeId=052577903689DC

Freescale drives collaborative success through strategic partnerships and industry alliances, and has a strong, global, efficient ecosystem of embedded and application-level partners offering to drive fully integrated solutions on Freescale platforms.

HECO encountered "significant issues" with its first Sensus smart meter pilot

I congraqtulate the HECO team for sharing their lessons learned. I hope that their example can be followed by many others.

I have been talking about the fact that narrow band network solutions for the grid (e.g RF Mesh) are no able to do deliver real-time data needs, do not support 100% Internet Protocol, do not have performance management tools, are not built with open standards, and can not be integrated with complex systems (e.g. SCADA/EMS, solar PV panels, electric vehicles, electric charging equipment, and energy storage equipment).

The Greentech Media team always does a great job finding relevant stories and writing about them.

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As it appears on Greentech Media

http://www.greentechmedia.com/articles/read/heco-requests-second-pilot-of-sensus-meters

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HECO Requests Second Pilot of Sensus Meters

HECO encountered “significant issues” with its first Sensus smart meter pilot

The Hawaiian Electric Company is going back to the drawing board on their advanced metering deployment. HECO has requested a follow-up pilot on Oahu after they encountered communications problems with their first pilot of 9,400 Sensus meters.

HECO "encountered a number of significant issues," according to a document filed with the Hawaiian Public Utility Commission in May. "We have identified certain performance issues, including data anomalies, billing read performance, network performance and the ability of the technology to integrate with our future smart grid initiatives," said Darren P. Pai, the Senior Communications Consultant for HECO. "The purpose of this expanded pilot is to evaluate the technology and determine how well these issues can be addressed."

The utility reported that some problems were already fixed simply by using Sensus' latest technology. The next pilot, which is awaiting PUC approval, will include 5,000 meters and will "encompass the whole gamut of performance criteria using the latest vendor products," according to Pai. The second pilot will also include issues that were not prioritized in the first go-round, including security and demand response features.

However, not everyone is convinced that another pilot is the answer. The Hawaii Solar Energy Association filed a response to the request for a second pilot stating that HECO was "putting the cart before the horse."

Sensus has reportedly resolved the problems with some areas, such as meter demand reset, measurement anomalies, and radio frequency interference -- but HSEA is still concerned that even if this pilot is successful, the technology will become dated by the time pilot is complete. (HECO says that's the entire point of this second pilot: to make sure the technology is the right investment.)

And HSEA's criticism doesn't stop there. The organization also questions whether mesh is the right network choice and whether there needs to be a more detailed framework for AMI deployment and developing a smart grid before moving forward.

A successful deployment of smart meters will be critical if Hawaii is to meet its ambitious goal of 70 percent renewables by 2030. Hawaii has the highest electricity rates in the U.S., and nearly 90 percent of its energy is powered by imported oil. HSEA is both advocating that HECO take the time to map out a framework for a smart grid, but it is also calling for efforts to update the grid so that renewables can be brought online more quickly.

Some of HSEA's criticism is already being answered. HECO retained Accentor in December of last year to help develop a smart grid roadmap, which is still being completed. Integrating renewables, however, presents issues far beyond the meter. Hawaii's Clean Energy Initiative has a current proposal to build an undersea cable to bring wind power to Oahu, and if it does get built, Oahu's transmission grid will have to be updated to be able to carry the intermittent energy. Even without the wind project, the grid will need significant updates to accommodate 70 percent (or even 30 percent) renewables in the future.

But for now, HECO is just trying to figure out metering. If the proposal for a second pilot is denied by the PUC, it will certainly throw a pothole or two into the long-awaited roadmap. Stay tuned.

GRID Act Passes in the House of Representatives

HR 5026, the Grid Reliability and Infrastructure Defense (GRID) Act, passed the House by unanimous voice vote on Wednesday, June 9, 2010. The act allows the Federal Energy Regulatory Commission (FERC) to bypass the NERC standards setting process of Section 215 of the Federal Power Act and issue orders directly concerning: 1) Vulnerabilities not addressed by current NERC CIP standards which remain in effect until FERC approves a NERC standards which covers the vulnerability; and 2) Imminent cyber threats as determined by the President. FERC jurisdictional authority is also extended to energy distribution facilities serving the Presidentially-designated top 100 defense facilities in all fifty United States and its territories. FERC is also directed to address mitigation measures for geomagnetic events (including solar flares and EMPs) and physical attacks.

The Act will now be referred to the Senate for consideration. With the clock winding down for this session of Congress and the calendar already full with other items, consideration by the full Senate is uncertain. Majority Leader Reid has made it known that he intends to consider only comprehensive cybersecurity legislation rather than sector-by-sector bills due to the lack of time.

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Good move by the House of Representatives in realizing the magnitude of the risk and importance.

In my humble opinion, Smart Grid security is paramount. Waiting is not an option. Waiting is a landmark mistake.

Andres Carvallo Named Top Ten Greentech Person by Internet Evolution

Internet Evolution has come up with their first-ever list of the top 100 most innovative and influential people in the Web 2.0 world. In the social networking category, Mark Zuckerberg, the Founder of Facebook, beat out Kevin Rose, the Founder of Digg. In the search category, the heads of Google, Microsoft, and Yahoo! were named, but surprisingly Jason Calacanis of Mahalo was named, as well.

4) Greentech

1. Steven Chu, US Secretary of Energy, DOE
2. Hal La Flash, Director of Emerging Clean Energy Technologies, PG&E
3. Guido Bartels, Managing Director, IBM Corp. (NYSE: IBM); Chairman, GridWise Alliance Inc.
4. Elon Musk, Co-Founder, Chairman & CEO, Tesla Motors
5. Chuck Powers, IT strategist, National Renewable Energy Laboratory
6. Paul Maritz, CEO, VMware Inc. (NYSE: VMW)
7. Joel Selanikio, software developer
8. Lisa Wood, Executive Director, Institute for Electric Efficiency
9. Andres Carvallo, EVP, Chief Strategy Officer, Grid Net
10. KR Sridhar, Co-Founder & CEO, Bloom Energy

http://www.internetevolution.com/document.asp?doc_id=190304&page_number=5

Securing the Smart Grid

Recently, hype around the Smart Grid, smart homes and smart meters has reached a fever pitch. Yet, many consumers are still figuring out what the term, “smart grid” actually means. According to a March 2010 Harris Poll, “two-thirds of Americans have never heard of it (68%) and 63% have not heard of a “smart meter.” It’s actually a pretty simple concept, though enormously difficult to deliver and implement the reality. The electricity grid is the vast, diverse collection of devices and equipment that delivers electricity from utilities to consumers. The Smart Grid refers to connecting those devices and that equipment into a network that is monitored and managed by computing resources. How one interprets “computing resources” is pretty broad, but Grid Net’s objective is to enable the Smart Grid with a secure, reliable, real-time, all-IP, standards-based and scalable software platform that can run on any device and leverage any type of broadband communications resource.

My own experience implementing the first Smart Grid network in the U.S. at Austin Energy, and now at Grid Net working with utilities in their Smart Grid deployments, has given me a unique perspective on security, and I’m not the only one. Security is a huge area of concern for every utility executive that I know. At the 2009 Black Hat security conference, security consultancy IOActive reported that it was able to simulate a smart meter worm that infected about 15,000 home meters (out of 22,000 homes) and subjected the devices to the control of the worm’s designers. At the time, IOActive’s Mike Davis stated that, “the vast majority of smart meter systems use no encryption or authentication processes to prevent someone from uploading malicious software or turning meters on and off en masse."

Let’s be clear: any time that you connect devices into a network, you face security risks. But networking our nation’s electricity grids poses even greater security hazards, since most devices are located in physically unprotected / vulnerable locations and simply cannot be protected by the “four walls” of a data center or a physical plant.

But even worse: some Smart Grid vendors are offering technologies that are actually accelerating the threat of viruses and worms spreading the damage from a single device getting hacked.

For example, vendors that rely on radio-frequency (RF) mesh networks are peddling an architecture that relies on “peer-to-peer” networking – in this case, using the meter as a network link – and that thereby increases the risk of ‘man-in-the-middle’ and impersonation attacks. In the RF mesh scenario, smart meters are the first, and highly vulnerable, line of penetration for hackers and virus-spreaders. Think of mesh network infrastructure as a self-propagating home botnet that makes the threat of spreading malware very, very real. It’s a scary thought.

While open standards for RF mesh networks are beginning to emerge at the physical and media access control layers, the networking specifications still lack definition as to how they will implement the robust, proven security methods and technologies described in the National Institute of Standards and Technology (NIST) specifications. Lacking open standards and the pervasive, granular implementation of proven, broadly-adopted, leading security methods and technologies, RF mesh networks remain virtually defenseless against attacks.

In designing the smart grid, utilities should hold their vendors accountable for implementing a multi-faceted security approach to their offerings. This should include the following:

Security starts at the edge device - While smart meter hacks are inevitable, utilities can protect their smart grid from a massive network virus or worm by implementing granular security architectures. Embed unique, standards-based hardware and software security into every network node and device. That way, the device can be detected and isolated before it proliferates a virus.

Use only standards-based security, and use it everywhere - By incorporating security standards throughout the smart grid, utilities can leverage the collective best efforts of tens of thousands of engineers, universities, government agencies and white-hat hackers, as well as hundreds of millions of dollars of investments in the latest security technologies. Moreover, standards-based security ensures faster upgrades and “future-proofing,” an idea essential for utilities to stay ahead in the never-ending “hack-patch” cycle of cyber security.

Make security pervasive and granular - Data encryption and IP security schemes are necessary but, by themselves, nowhere near sufficient. Instead, utilities must require that vendors deliver pervasive, granular security architecture in their solution offerings by incorporating government-grade security into: smart meters and other distribution network edge devices, embedded applications, the smart grid communications network infrastructure, smart grid network operating systems, data being stored and transmitted, and utility enterprise systems.

Security is a marathon, not a 40-yard dash - Maintaining a safe, secure smart grid requires continuous vigilance and the stamina to sustain ongoing investments in security oversight, critical software patches, software upgrades and process improvements. That’s because security threats are never-ending: hackers enjoy a challenge, and they intend to keep at it.

It’s time for utilities and their vendors to start building security protocols into every aspect of the smart grid fabric. It’s also time for utilities to hold their vendors accountable for flawed architectures and vulnerable technologies. The risks are too great to take lightly.

Andres Carvallo Keynotes Smart Grid Update in San Diego

KEYNOTE SESSIONS

9:00 - 9:45 How to Evolve with the Changing Utility Business Models?

Hear how utilities intend to restructure their business models to incorporate game changers such as next-gen ICT, distributed generation and renewable sources of power. - Win over utilities that are migrating to participatory networks by revamping your solutions portfolio to include a complete services based package - Get a snapshot of outsourced utility activities to see which partnerships are proving successful and how you can ally your business alongside industry movers & shakers - Discuss the latest dynamic pricing and billing strategies employed by utilities to gauge end consumers’ tech preferences Andres Carvallo, Former Chief Information Officer, Austin Energy Chris Chen, Project Manager, Energy Efficiency, Sempra Utilities Michael Pesin, Strategic Technology Advisor, Seattle City Light Michael Ingram, Senior Manager, TVA

9:45 - 10:15 Austin Energy's Vision of the Smart Grid

Hear details of Austin’s technology set-up across the grid - from smart grid design, to smart appliances within the home space. - Hear straight from the CIO on technologies employed and further technology requirements to reinvent existing offerings - Understand the requirements of Austin’s existing assets and infrastructure to determine how new technologies and services need to adapt to integrate successfully - Get the low down on Austin’s future plans, next steps and pilot pipelines to aid them and other utilities to build a complete network of the future Andres Carvallo, Former Chief Information Officer, Austin Energy

http://www.smartgridupdate.com/smartgridtechnology/