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SMART GAS GRID



Suvendu Mohapatra
Sabarmati Gas Limited (A JV of BPCL and GSPC), Sector-21, Gandhinagar, Gujarat, India
Abstract
Development of natural gas infrastructures has changed the scenario of natural gas.
In this paper, our focus will be to converge revolutionizing instrumentation, information and
communication technologies with cost effective applications that can transform the way natural gas is
produced, delivered and used just in time.
Having isolated modern instrument is not enough. In order to overcome the challenges like supply
demand gap, monitoring the process and equipment safety and reliability, avoiding the duplication of
automation infrastructure there is need of a Smart Gas Grid integrating the automation systems of gas
producers/LNG terminals, gas transporters , gas distributors and Consumers.
Here the vision is to create an integrated automation and communication infrastructure for the
entire natural gas supply chain so that all stake holders can share this common infrastructure to monitor
and control their part of asset in terms of process as well as business environment.
Key words
CNG, CGD, Gas grid, SCADA, GSM, GPRS, CRM, Utility portal.
Introduction
Development of natural gas pipeline and CNG infrastructures by gas transportation and distribution
companies has changed the scenario of natural gas consumption radically. In this paper, our focus
will be to converge revolutionizing instrumentation, information and communication technologies
with demand and supply site management with an effort to highlight the scope of improvements
in terms of energy efficiency, cost effectiveness, reliability and safety.
Sophisticated electronic sensors and managed by advanced metering and control systems are
spurring more innovative and cost effective applications that can transform the way natural gas is
produced, delivered and used just in time. But having isolated modern instrument is not enough. In order
to overcome the challenges like supply demand gap, monitoring the process and equipment safety and
reliability, avoiding the duplication/minimization of automation infrastructure there is need of a smart grid
integrating the automation systems of gas producers/LNG terminals, gas transporters , gas distributors
and Consumers.
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Here vision is to create an integrated automation and communication infrastructure for the entire
natural gas supply chain so that all stake holder can share this common infrastructure to monitor and
control their part of asset in terms of process as well as business environment. For example, a customer
can use this tool to select (selling and buying) sourcing of gas, mode of transportation, distribution
medium.
This integrated automation infrastructure will lead to drastic reduction in operating expense, quick
emergency management, monitoring safety of the system, quick commercial decision making,
reduce losses and improved supply and demand management.
While operating the gas grid, it is important to visualize the scenario of total interruption of gas supply to
a city or state having millions of domestic customers, commercial restaurants, industries, CNG
vehicles/buses without gas may be due to interruption of many supply pipelines. We can very well
realize the gravity of the situation. So one of the visions of smart gas grid is to improve shutdown
management performance by responding faster to repair pipeline/ equipment before it fails
unexpectedly.
Smart gas grid can improve the load factors and reduce system losses. The enabling ingredient of Smart
Gas Grid will consist of sensors, flow meters, flow computers, gas analyzers, fire and gas detectors,
PLCs, RTUs, DCIUs, micro SCADA, Mini SCADA, DCS, CGD SCADA, SCADA system of
transportation company, automation systems of Gas fields and LNG terminals, Automation system
of power generation units, fertilizer plants, automation system large gas customers, automation
systems of CNG stations, industrial, commercial MRSs and DRSs, commercial and financial
application software for business trading and commercial applications, leakage application software
etc.
Here the vision is to achieve maximum reliability and serve the unique needs of different
customers at minimum cost. The importance of this vision can be visualized if we compare it with the
todays status of electricity infrastructure where huge investments are going on to reform the sectors that
could have been easily avoided or minimized if appropriate action was taken 30 yrs back. If the
present Gas infrastructure companies can not visualize the future problems then problems will be plenty
to face after 15 yrs, with baggage of old infrastructures, without data of pipeline, plumbing,
network, capacity constraint of existing infrastructure etc.
Meter reading is a non trivial component of a distribution companys fixed monthly cost. Many companies
do not read meter monthly, instead go for bimonthly. Scope of improvement includes making meter
reading instantaneous along with dispatch of invoice creating additional cost saving and more
important , greater convenience for customers.
With gas prices set to continue rising sharply, the smart gas grid will also offer consumers
choices that could reduce their bills, it can offer time of use and possibly even real time pricing, as
opposed to the flat rate retail tariffs most consumer now pay. This will reduce peak load, improve
asset utilization, reduce additional non gas tariff in case of under utilization and over consumption,
and in turn lower per unit cost of gas.
In future it may happen that natural gas demand will grow much faster in some cluster that lead
to capacity constraints of pipeline with existing operating pressure. This in turn calls for to run the grid
with a demand based multi pressure system exploiting the design conditions and operating conditions.
Now gas industry needs a breakthrough to enable it to rebalance the value equation it presents to
customers. Costs are headed up while reliability is slipping. The smart gas grid can also presents an
opportunity to bundle in home intelligence offerings such as automating switch off of heating
applications when temperature is reached the required one, safety isolation of the system in case
of heat, fire and gas leakage, alarm in case of more use than average use, efficient use of time
of use (TOU) conditions of gas supplier etc.
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If the cost can not be driven down, the utility industry will need to improve the quality of service.
This will increase the perceive value of the product. Because smart gas grid will give customers more
control over their use of gas, it offers away to increase perceived value. It could enable
customers to minimize the total amount of their bills. So even though unit prices may not go down, the
total size of a customer bill could be minimized if not absolutely reduced. And the total amount of a bill
will have a much greater impact on customer satisfaction than unit price.
Smart gas grids biggest potential for CNG Infrastructure is the energy efficiency of CNG
compressors by managing inlet pressures, TOU of Gas and Electricity for prime movers, reduce
operational expense by remote monitoring etc, better cash management at dispensing points, safety of
CNG infrastructures, tracking of regular customers, waiting line analysis, monitoring maintenance
schedules, performance monitoring of CNG equipments etc.
Fuelling of CNG vehicles at houses from their domestic connections or at their garages
implementing slow fill systems are yet to be implemented in India. If it happens it will improve the
domestic consumption of natural gas making it more viable.
Moreover there will be six factors that will drive the adoption of smart gas grid in India.
1. Safety reliability of the system by online monitoring of entire infrastructure
2. Reduction in capex towards individual SCADA /automation systems by mutual sharing of infrastructure
and technology.
3. Better supply demand management.
4. Reduction/managing the human element in system operations.
5. Peak load management.
6. Better Interaction with customers and stake holders with smooth commercial transactions.
What is Smart Gas grid?
Simply put, a smart gas grid is the integration of information and communication technology into
natural gas transmission and distribution networks. The smart gas grid delivers gas to customers
using two way digital technology to enable the more efficient management of consumers end uses
of gas as well as more efficient use of the grid to identify and correct supply demand imbalances
instantaneously and detect faults in a self healing process that improves service quality, enhances
reliability and reduces costs. The smart gas grid concept is not confined to utilities only; it
involves every stages of gas supply chain, from generation, transportation, trading, transactions, and
customer applications. It encompasses a broad set of applications, including software, hardware and
technologies that enable utilities to integrate, interface with, and intelligently control innovations. Meter
Telecommunication
The core of the smart gas grid transformation is the use of intelligent communication networks and
systems as the platform that enables gas grid instrumentation, analysis and control of utility
operations from gas exploration/ regasification to trading, and from transmission and distribution to
retail.
Telecommunications channels can be divided into three categories.
Land line: This includes analog subscriber lines, digital subscriber line, coaxial cables, fibre
optics.
Wireless:- This includes cell phone communication systems ( both GSM/GPRS method and
the CDMA method) and Wi Fi.
Private radio: this included trunk mobile dispatching channels and meshed meter networks.
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A smart gas grid can use multiple options of communications. Telecommunication combined with
distributed intelligence, make it possible to report and resolve gas grid issues in real time (self
healing).In addition information communicated by intelligent electronic devices alerts operators to
problems. It is thus important to evaluate the systems reliability, security and availability, as well as
technology cost, when choosing telecommunication cost.
Scalability is another important consideration in choosing technologies. With smart metering, an
advanced infrastructure of check meters and two way communication systems serves as a gateway for
distribution company- customer interaction. This integration brings huge amount of data that must
be gathered, stored, and transformed in near real time for intelligent responses and decision
support. Thus the ability to scale a communications method also an important parameter.
In India coverage of network can be a problem in sub urban and rural areas. In urban areas
network congestion is a challenge because smart gas grid requires voluminous data. Gas utilities
can explore time of use (TOU) tariffs with the mobile operators in order to shift the mobile phone
load. Wide area network are available with gas transportation companies as fiber optic are being laid
along with pipeline. Challenges will be for gas distribution companies when Fibre optics is not laid.
However with many telecom utilities having adaptability for supporting industrys requirement can provide
adequate communication solutions. There is scope for minimization of communication infrastructure
cost if Gas transportation companies will allow Gas distribution companies to use their fibre optics
infrastructure where is feasible. Companies like Cisco are sharing their networking expertise with utility
companies.
Information Technology
The head end system is the apex node of the network; it consists of the telecommunication
system and field devices. The role and function of head end system vary depending on the
systems application i.e. metering and billing, SCADA, Emergency shutdown systems, disconnection
and reconnection as part of the billing, gas reconciliation, demand side and supply side
management etc.
The combination of growing technology in distribution management and operations is leading to an
emerging need to support the integration of micro grids, open access /architecture systems, and
the use of networked controlled devices, and hence , a need for a converged security
infrastructure. This will require an end to end secure infrastructure that protects the communication
assets ( SCADA, RTU, PLC EVCs, flow computers etc.)
The first priorities in smart gas grid development are addressing the transmission and distribution
infrastructure, the telecommunication network, and the data centers (computing platforms).Next
attention should turn to building the right operational systems for automated metering infrastructure,
shutdown/curtailing information, customer information, geographic information system (GIS), meter
data management, asset management and distribution management. Existing isolated
SCADA/automation systems does not address these system in totality, which should be viewed
from the perspective of overall business applications and workforce management.
Several software companies may have roped in to develop such infrastructures. However, in India
infrastructure development have been restricted to isolated gas grids or pipelines. Special drive is
required to connect all critical infrastructure of gas grid i.e. CGS, fiscal metering systems, tap off points,
major customers, DRS , intermediate compressor and strategic SV stations and CNG stations etc..
Software standardization and compatibility with standard protocol is very much essential to
integrate legacy system. Otherwise an effort has to be taken for upgrading/replacing the existing
equipments. That will help to ensure.
Interoperability: The capability of plug and play devices and software is important for field devices,
telecommunication channels, and IT systems of the head end equipment.
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Open Architecture: Adopting non proprietary architecture will eliminate vendor lock in, be easier to
maintain than the architectures of disparate proprietary systems, and will help in the development
of uniform system across enterprises because when vendor compete, innovations result.
Based on industry accepted standards: Architectures that conform to such standards protect the
utilitys investment, reduce the risk of obsolescence, and ensure a smooth migration of future
technology.
Unfortunately, many equipments and infrastructures lack the basic hardware and software required
to deploy in a smart Gas grid. Many companies have not adopted large scale basic enterprise
system or followed a broad IT strategy (few exception are gas transportation companies have
integrated SCADA systems etc. )Most deployments are limited to a few functionalities such as
computerized billings and setting up control centers, GSM based automating metering system, CP
monitoring systems etc.
Smart Gas grid should address customer relationship management, supply management and work
management. From smart gas grid perspective, however gas resource management (trading and
contracts, settlement and risk) needs to be addressed on a functional level, as do network management
at the operational level.
At the infrastructure level, the smart home/industry/commercial infrastructure (smart
temperature/pressure sensors, ESD remote operated/monitored valves, load control devices, F&G
detection systems, etc) has also not been addressed.
Without adequate physical infrastructure, we are some distance away from the time when peak gas
demand loads can be assessed at the customer and cluster levels.
Customer Relations management
Integrated customer relationship management (CRM) and advance metering infrastructure data will be a
key enabler here. Knowledge of customers profiles with their usage requirement and patterns is crucial
for utilities wishing to integrate with Smart gas Grid.
Compete knowledge of customers and their needs will allow utilities to influence consumers to shift peak
load demand consumption and protect customers from over consumption. In addition, it will
enable utilities to help customers comply with contract fulfillments, environmental and security
regulations. This, in turn, will help utilities to manage their assets, improve customer service and control
costs.
An important aspect of CRM is customer awareness and participation. Customer will be important
stakeholders in the smart gas grid they will need to be more aware of the risks involved.
At present the complaint handling process in companies are weak, resulting in decreased
customer satisfaction. However, efforts are to be taken for accountability within the utilities.
Utility Portals & Automated Call Centres
Utility portals (interactive websites that are linked to the call center databases and help customers
log directly into websites) are to be enhanced. Their objectives are similar to those of call centers and
give customers another medium for interacting with the utility. All companies are implementing their
isolated portals. Universal portal can be visualized in which customers across the utilities i.e. not only gas
but also electricity, telecom etc. can be included along with provision for different options of payment.
Because of this lack of integration, many companies are maintaining paper based system as well,
resulting duplication of effort.
Automatic meter reading
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Automatic meter reading is often the most widely implemented GSM/GPRS based system in gas
distribution application. Its contribution to make the gas grid smarter is that meter data are rapidly
and accurately collected. This technology can save labor costs. This data also improve the inputs
to the retail tariff structure, help with regulatory compliance, and help customer better understand
their consumption and plan their usage accordingly.
Remote disconnect and reconnect
The remote disconnection and reconnection of customers who do not pay their bills is an
extension of automatic meter reading. The meter contains, or control, a remote actuated on off valve that
disconnects or reconnects the customer from the main gas grid.
Shutdown /gas dispatch curtailment
Before handling any unavoidable situation to isolate the gas grid in case of emergency or
curtailment of supply, this smart gas grid will be very useful in quick decision making and
monitoring the same.
Demand Side Management and Load Management
By installing field devices for demand side and load management and integrating this into the smart
gas grid system having integrated AMR system, with the help of application software (tailor made
for the industry application), demand side management and load management can be done.
Distributed, Standby, Gas tap off from different gas sources.
Many local gas source tap offs along with major gas sources like regassification terminal, major gas
suppliers etc. are to be integrated with the system. In addition to this tap offs are provided at the interface
between gas transporter and gas distributer. In case of emergency of pipeline rupture etc. gas
distributor should have either standby tap off arrangement or loop arrangement that can divert load
remotely isolating the affected portion within no time. This is the major requirement envisaging total
stoppage of gas supply to all customers in a city or locality.
Rapidly isolation of failed portions of the network and restoring service automatically and rapidly is
the most critical application of Smart gas grid.
Demand Response
It increases the opportunity for demand response by providing real time data to gas suppliers and
consumers and intermediate transporters. Foundation of it is having accurate customer profiles with
load, consumption pattern and asset data so as to be able to evolve customer segmentation and
develop business cases for supporting each of those categories with different plans and incentives.
Economics and financing
Regulator is focusing on unbundling the vertically integrated gas supply chain to improve each sector
(transmission, distribution etc,) to improve their performance and accountability .But unbundling
should not hamper the implementation pipeline integrity along with open automation architecture.
Otherwise their will be interface problems, duplication of infrastructure etc. Determination of financial
feasibility for such project is a major concern. In todays scenario, balance sheets of Gas utility companies
are not that attractive than a year before. If there are only limited fiscal benefits from smart grid
investments in the short term, it will be a challenge to get a commitment for significant additional
fund. Innovative financing should be explored.
Conclusion
Organizations have to assess how its end to end delivery and operation value chains will be
affected and determine how smart grid enhancements can add value to the customer and other stake
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holders. Given sufficient times and effort, all of these challenges are manageable. The test for corporate
leaders is to create a shared vision and engage internal and external stake holders in a common focus to
collaborate and ensure that smart gas grid benefits are delivered cost effectively. Development of and
clear communication of a credible strategy is the single most important thing to get it right
early.

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