Fred W

GE to Offer WiMax Smart Meter Solution Through CenterPoint Energy

Thank you for that analysis. Disappointing news, but very enlightening.


On Mar 31 12:22 AM meb289 wrote:

> This GE announcement is more hype than substance. Building a private
> WIMAX network to support the two way communications and control requirements
> for distributed power management solution is like killing a gnat
> with a sledge hammer. Centerpoint operates in the electricity delivery
> business; it owns transmission delivery equipment and manages electricity
> distribution between generators and electricity retailers. Its rates
> are set by the Texas PUC based on conventional utility cost recovery
> standards so if the PUC wants to invest in a gold plated wireless
> system, it can pass the costs through to the end customer . Centerpoint's
> principal benefit from using two way distributed electricity management
> systems is improving the efficency of its workforce and better utilizing
> its field assets. These types of systems can provide remote intelligence/diagnostics
> about end customer problems, limiting unecessary truck rolls and
> improving customer service. There is plenty of available capacity
> for these types of initiatives on the incumbent wireless service
> provider data networks to run proof of concept trials for Centerpoint
> .
>
> The companies that should really care about these real-time distributed
> power managment systems are the Texas electricty retailers who could
> use the two way power management systems to develop innovative "green"
> pricing programs. If electricity retailers offered consumers new
> service programs that would reduce their monthly bills in return
> for allowing the electricity retailer to turn off/down electricity
> draining devices during peak demand periods, the benefits from avoiding
> peak power plant generated electicity are significant, including
> lower fuel consumption, lower CO2 emmissions and lower capital costs
> from improved utilization of existing electricity generation assets.
>
>
> If GE really wanted to market a two way distributed power management
> solutions soon , it could use "off the shelf" 2G or 3G wireless device
> components, put a Linux stack together to run the applications neccessary
> to create a power management gateway ("smart meter") and collect
> all the information needed to manage the system. It would be hard
> to spend $200 per home. GE and Itron are used to getting $500 per
> device for their "so called" advanced automated meters. Are they
> really interested in producing a inexpensive device that completely
> meets the market's needs or do they want to delay those products
> with marketing FUD?
>
> I argue the later; this announcement is simply green PR. GE and
> Itron are defining the problem in way that allows them to create
> expensive, proprietary software, built on excessively costly hardware,
> and pass the costs through the regulatory system. By adding WIMAX
> radios to the devices, the system component costs increase significantly
> because there is so little WIMAX unit volume that chip manufacturers
> cannot build inexpensive modules.
>
> There is a significant opportunity to improve the efficiency of electricity
> distribution using wireless two way distributed electricity management
> solutions. Unfortunately, the incumbent utilities and electrical
> equipment manufacturers move at glacial speeds because regulators
> and consumers do not understand what is possible. This area is a
> perfect example underinvestment in infrastructure required to lessen
> dependence on fossil fuels. Hopefully Obama's energy policy makers
> will speed the adoption process, by identifying truly innovative
> companies that have built the necessary solutions
>