| Just as
T&D professionals are learning that deregulation is having
lasting effects on T&D investment and technology issues,
so too are the IS departments of the world's electric
utilities. More than 40% of the 70 IS managers recently
surveyed said that deregulation would mean a "major overhaul"
of information technology (IT) systems and services. Just
about the same percentage indicated the very real possibility
that the IS organization may become a separate business.
Twenty percent said that deregulation concerns were causing
serious delays in IT planning and implementation. A review of
three subject areas reveals some interesting observations
about the future direction of IT systems and services at
utilities.
Internet Activities
As I noted in my June 1997 column, the
Internet continues to grow in relevance and importance to
utilities. Ironically, fewer than one-in-six utility IS
executives indicated any use of the Internet for serving as a
front-end to any production utility information systems. On
the other hand, nearly one third indicated that such
applications would be coming on line in the future. In fact,
extensive planning is already under way for the Internet to
play a key role in customer communications—with about one
third of the respondents indicating that their utility was
already doing this. A possible future role in providing
Internet-based customer account information and bill paying
mechanisms was also noted by several IS managers.
Integration and Communication Issues
Few utilities currently have
any significant integration of enterprise (business)
applications with operational applications; however, 30% plan
to have strong links in the future. Meanwhile, 70% of the
electric utility officials said that advanced customer
communications capabilities were being developed. Respondents
supplied a variety of reasons for this development. Among
these, "Internet access" had the most mentions (54%).
Automatic meter reading was next (44%). Seventeen percent of
the IS managers indicated that customer premises security
monitoring services would be offered, and 10% said that the
communications capabilities were being extended to provide
"smart house" services.
One of the most
frequently discussed possibilities for non-energy related
offerings, the launching of a telecommunications services
business, was discussed in this survey. Somewhat surprisingly,
72% have no plans to launch such a service, at least in the
near term.
Operational Systems
In another surprising finding was that
only 40% of the electric utility IS executives thought that
access to real-time operational data was "critical" for
decision makers. Most of the rest indicated that such access
was "somewhat important" to business managers.
IS officials pointed
to outage management and trouble call systems as the most
important operational system for marketing access. Revenue
metering was not far behind in importance. More than 40% felt
that service dispatch was vital and about one third thought
that access to some EMS data was pivotal.
For business
planning officials at these utilities, IS reported substantial
interest in access to distribution management
systems/applications. Finally, for the finance department,
revenue metering data was termed especially important.
IS officials were
more optimistic than their T&D operations and engineering
counterparts about the outlook for full or service area wide
deployment of pilot systems. Fifty-two percent of the
officials indicated that they expected to see an increase in
full deployment rates for currently piloted systems.
Year 2000 Compliance
The Year 2000 compliance issue is finally
catching up with utilities as well. Even now, only about half
of responding officials indicated that the issue was "critical
to their utilities' computing and operating infrastructure.
Meanwhile, 8% claimed "resolution" of this issue. Budgets for
resolving the problem ranged from a few thousand dollars to
several millions of dollars. About 25% of these significant
allocations are being used to fix problems with "imbedded"
systems, such as remote terminal units, programmable
controllers, and other "smart" field instruments and
intelligent electronic devices. Some IS executives were so
bold as to indicate that compliance issues for these imbedded
assets were "not their concern."
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