Rapid changes in consumer, business and industrial products and technologies, the proliferation of sensors and digital footprints and sophisticated data analytics are driving transformational shifts in many sectors. The energy sector has responded to this change with more energy efficient appliances, digital retail innovations and progressive smart grid investments, but this is modest relative to many others.

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Jamie Silk | March 2017
The Internet of
Things of Energy
From Smart Products
To Intelligent Solutions

2. • Developments in the IoT of Energy
• The opportunities for energy efficiency,
demand response and customer
satisfaction
• How the data from the IoT can assist retail
and infrastructure in developing strategy
A whistle stop tour of …

3. There’s been a dramatic change in:
consumer and business technologies, connectivity,
sensors, data, analytics, industry/sector convergence.

4. Energy is a little smarter:
it has efficient/smart appliances and systems, digital
retail innovations, smart network upgrades.

5. Global experts predict transformation in energy but is
it just hype or is New Zealand (NZ) simply different:
high use of renewables in NZ; for the tech savvy is it
convenience not savings that count?

6. Internet of Things of Energy
The catalyst is coming to transform the IoT of Energy from
peripheral smart products to intelligent solutions

7. The IoT enables the
transactive grid and
new consumer
opportunities
The
Internet
of Energy
Big Data and
Analytics
Consumer
Energy
Assets
The
Sharing
Economy

8. Integrating these can drive dramatic
change to energy supply and
consumption…
“

9. But innovating IoT for energy services can be complex:
Need to understand what engages individuals and their choices.
Complex dialogues are costly. Timing is everything.
Smart appliances must be simple to use.
Relevance and
convenience are key

10. The Opportunities
Developments in the IoT of energy needs
intelligent, relevant engagement; convenient
execution.

11. This year’s Consumer Electronics Show is the
craziest yet, as the falling cost of sensors
means the internet of things is finally a reality…
FT.com
“

12. The promised maturity of voice artificial
intelligence (AI), combined with analytics over
our digital footprints, means personalised
consumer dialogues are imminent…
“

13. Making it convenient, easy and simple to do
what you are thinking …
Example:
… Nvidia’s Spot’s AI mini mikes in wall sockets,
or Alexa in your Ford car or device
Voice artificial intelligence

14. Facilitating convenient, personally relevant
dialogues…
Example:
… cheap sensors, digital footprints and data
analytics to personalise dialogues. XNOR.AI
runs on every device
Intelligent Personal Assistants (IPA)

15. Enabling building blocks to intelligent and
convenient engagements are developing
“

16. Digital contracts and transaction verification
secure real-time logging of every transaction,
with instant access for automated decision or
settlement…
…anywhere, device to device.
Building block: Blockchain

17. Building block: connected hardware
• Choice, functionality and cost
• Electric vehicles, connected vehicles,
energy storage, photovoltaic (PV) self-use
devices, sensors
• Connected storage choices have
proliferated
• CSIRO predicts a 53% decrease in
prices by 2025

18. Fault Location Isolation and Service
Restoration (FLISR), distributed resource
management systems, real-time ratings
Building block: the industrial IoT - smart grid

19. Standards, cyber-security, product connectivity
and continuity are developing but…
“

20. Energy Smart
Tech Investment
2014 to 2015
Global energy smart tech investment
Energy Smart Tech
Investment
2015 to 2016
-2% +30%
Source: Bloomberg New Energy Finance 2016
Global energy smart
tech investment kicked
in to growth in 2016 (as
clean energy
investment fell 7%)

21. The Power of Data
How can the data from the IoT assist retail
and infrastructure in developing strategy?

22. For strategy to be possible … it is necessary to …
evaluate the possible consequences of
alternate courses of action.
Bruce Henderson, BCG, 1981

23. • Opens up rich new sources of
knowledge to inform strategy
• Will change how we transact
and execute every day
• Unlocks the value of the energy
internet for consumers and business
The data from the IoT:

24. • Optimise across operations, services,
products or convergent industries
• Deeply understand consumers (preferences,
behaviours, related activities, environmental
or material factors)
• Deliver increasingly dynamic, predictive
solutions
The energy internet and data analytics can:

25. Adapting to analysed operational and
environmental data to optimise asset
utilisation, asset life, and investment
choices.
Asset fleet, network design
and operations strategies

26. • Chief Data Officers, Data Scientists
required
• Architecture for millions of data points
and sources
• Maturing analytically from surveillance
to optimisation to predictive
• Cyber security
IS strategy adapts to data volume,
velocity, variety and complexity

27. IoT data provides …
• Contextual inputs to what very different
consumers do, why and when
• Lead indicators on how their needs and
preferences will change
• Dynamic, connected and automated
engagement across convergent sectors
Customer strategy

28. The “crazy” AI
enabled IoT…
… an intelligent,
convenient and
relevant pathway to
new business and
consumer outcomes.
The
Internet of
Energy
Big Data and
Analytics
Consumer
Energy
Assets
The
Sharing
Economy

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