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The Pecan Street Project
  Austin, Texas

   Connected and Sustainable Living CUD, Seoul May 2009



Carolyn Purcell
US State and Local Government, IBSG
The Principals

   City of Austin
   Austin Energy
   University of Texas
   Austin Technology Incubator
   Environmental Defense Fund
   Chamber of Commerce
   Sematech

 Corporate Partners participating: Cisco, Dell, Gridpoint,
  Freescale, Microsoft, IBM, Oracle, GE, Applied
  Materials, Intel
Description of Austin Energy

   Unique qualities
     Texas is its own grid
     “Regulated” by City of Austin and ERCOT
     It’s really hot in the summer
     Liberal politically
   Size of service district
     400,000 customer
     900,000 population
   Portfolio
     Wind, solar, coal, gas,
   nuclear, other
   EE program – 25+ yrs
   Revenues
     $1B US
     $100M to the city
The Vision

                                 The Future
                                                                Bio fuels
                                                                 Plug-in
                                                                   H2




                                              Energy
                                            Information
                                                 $’s
      Fossil                         Nuclear
      Fuels




      Solar                          Wind


               Distributed Utility                    Zero Energy Home
The Goals

   Defer construction of 300 MW’s of power thru DG, DSM,
   EE and renewables
   Develop a viable business model for future AE
   Increase renewables portfolio
   Establish a research consortium for new technologies
   Establish Austin as a haven for emerging energy
   technologies and technology companies
   Consider an infrastructure for electric vehicles
   Ensure a sustainable quality of life in Austin
   Maintain reliability
The Disruptive Assumptions

      Solar parity is imminent – AE can’t control the portfolio
      Back-up power – reliability – wind and solar are not as
      reliable as prevailing sources – utilities will remain
      responsible for back-up power
      Price of energy from utilities will go up (carbon trading)
      Business model conundrum – how do utilities recover
      costs and make money in the new environment
      The law of accelerating returns
      Finally, the perfect application for AI – managing
      resources and traffic on the smart grid
      “Prosumerism” and aggregation – possibility of
      microgrids selling into a utility’s territory and further
      eroding utility’s customer base
      Will electric vehicles cause peak demand to skyrocket?

http://www.kurzweilai.net/articles/art0134.html?printable=1
What’s next?

   Evaluating the 200 or so proposals from various action
   teams and melding them into one or two scenarios most
   likely for AE
   From that scenario, an action plan that will provide a
   roadmap for the next 10-15 years
   In some cases, there simply isn’t enough information to
   call the shot – multiple options must be delineated with a
   reference to potential “tipping point” events
Law of Accelerating Returns




y   Ray Kurzweil


    An analysis of the history of technology shows that technological change is exponential,
    contrary to the common-sense quot;intuitive linearquot; view. So we won't experience 100 years
    of progress in the 21st century -- it will be more like 20,000 years of progress (at today's rate).
    The quot;returns,quot; such as chip speed and cost-effectiveness, also increase exponentially.
    There's even exponential growth in the rate of exponential growth. Within a few decades,
    machine intelligence will surpass human intelligence, leading to The Singularity -- technological
    change so rapid and profound it represents a rupture in the fabric of human history. The
    implications include the merger of biological and nonbiological intelligence, immortal software-
    based humans, and ultra-high levels of intelligence that expand outward in the universe at the
    speed of light.

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Carolyn Purcell - City of Austin, Pecan Street Project

  • 1. The Pecan Street Project Austin, Texas Connected and Sustainable Living CUD, Seoul May 2009 Carolyn Purcell US State and Local Government, IBSG
  • 2. The Principals City of Austin Austin Energy University of Texas Austin Technology Incubator Environmental Defense Fund Chamber of Commerce Sematech Corporate Partners participating: Cisco, Dell, Gridpoint, Freescale, Microsoft, IBM, Oracle, GE, Applied Materials, Intel
  • 3. Description of Austin Energy Unique qualities Texas is its own grid “Regulated” by City of Austin and ERCOT It’s really hot in the summer Liberal politically Size of service district 400,000 customer 900,000 population Portfolio Wind, solar, coal, gas, nuclear, other EE program – 25+ yrs Revenues $1B US $100M to the city
  • 4. The Vision The Future Bio fuels Plug-in H2 Energy Information $’s Fossil Nuclear Fuels Solar Wind Distributed Utility Zero Energy Home
  • 5. The Goals Defer construction of 300 MW’s of power thru DG, DSM, EE and renewables Develop a viable business model for future AE Increase renewables portfolio Establish a research consortium for new technologies Establish Austin as a haven for emerging energy technologies and technology companies Consider an infrastructure for electric vehicles Ensure a sustainable quality of life in Austin Maintain reliability
  • 6. The Disruptive Assumptions Solar parity is imminent – AE can’t control the portfolio Back-up power – reliability – wind and solar are not as reliable as prevailing sources – utilities will remain responsible for back-up power Price of energy from utilities will go up (carbon trading) Business model conundrum – how do utilities recover costs and make money in the new environment The law of accelerating returns Finally, the perfect application for AI – managing resources and traffic on the smart grid “Prosumerism” and aggregation – possibility of microgrids selling into a utility’s territory and further eroding utility’s customer base Will electric vehicles cause peak demand to skyrocket? http://www.kurzweilai.net/articles/art0134.html?printable=1
  • 7. What’s next? Evaluating the 200 or so proposals from various action teams and melding them into one or two scenarios most likely for AE From that scenario, an action plan that will provide a roadmap for the next 10-15 years In some cases, there simply isn’t enough information to call the shot – multiple options must be delineated with a reference to potential “tipping point” events
  • 8.
  • 9. Law of Accelerating Returns y Ray Kurzweil An analysis of the history of technology shows that technological change is exponential, contrary to the common-sense quot;intuitive linearquot; view. So we won't experience 100 years of progress in the 21st century -- it will be more like 20,000 years of progress (at today's rate). The quot;returns,quot; such as chip speed and cost-effectiveness, also increase exponentially. There's even exponential growth in the rate of exponential growth. Within a few decades, machine intelligence will surpass human intelligence, leading to The Singularity -- technological change so rapid and profound it represents a rupture in the fabric of human history. The implications include the merger of biological and nonbiological intelligence, immortal software- based humans, and ultra-high levels of intelligence that expand outward in the universe at the speed of light.