Saturday, March 6, 2010

Ashiss Dash: Ownership and Privacy are to Different Issues

1 Who owns the usage data?

Energy usage data of individuals or commercial entities is private and can have security, safety and societal implications if made public. The ownership clearly belongs to the consumer. The consumer generates this data and it is collected in the privacy of his or her premises. The data reflects the lifestyle and personal choices of the consumer.

However, Smart grid is an intricate network linking various assets by the constant flow of energy and data. Conversion of raw data into useful information is a critical step in equipping the grid with the right “intelligence”. This conversion requires tools, techniques and business rules for processing of the data. The consumer does not have this infrastructure or incentive to process the data but is definitely the central entity in the information. The question then really becomes “who protects this information?” and “who can use it?”

The accountability of protecting the information and the underlying data lies with the Utility. The Utility will have to protect the collection, flow, storage and archival of the data leading to the information. The owner, a consumer in this case, has the responsibility to ensure the protection measures put by the Utility are not compromised in any way. The regulators will have to be informed of all exceptions and breaches of security of the data. A parallel one can think of is the banking data. When we go to the ATM machine, we share private information at the ATM. The bank is accountable for providing a secure and safe way of collecting and dispersing information during the interaction. However, the responsibility of ensuring that the privacy and security measures put in by the Bank are not compromised remains with us. We own the data but the bank protects it – at least that is what we trust our banks with.

The usage of the information should be for the core objectives that a smartgrid needs to meet. Utilities and regulators alongwith authorized service providers should be able to use this data.

2. Should individual consumers and their authorized third-party service providers have the right to access energy usage data directly from the meter?

The short answer is “yes”. However, we must note that the Meter is just a paradigm. If we design our energy future smartly, we have to shift the paradigm and get away from our dependence on the meter as the single source of data. We have to leverage the advancement in user interface, intelligent devices and networking technologies to build that device. It is going to be an interface to the consumer in the form of a software or hardware. And yes, the individual consumers and their authorized third-party service providers have the right to access energy usage data and the related information from the Utility.

3. If the smart meter, via the utility network, is the primary gateway for obtaining residential energy usage data, will it be technically and commercially feasible for consumers and their authorized third-party service providers to access the data easily and in real time?

Yes. A home energy usage interface on a portal is commercially and technically feasible. This can be displayed on a secured website just like the way our banking or insurance data is displayed today.

(4) What types of policies are needed to gain consumer confidence that personal energy usage data is secure and not subject to abuse?

The policies need to address the following at the minimum:

a.> A proven technology to collect and store the data (verification: regular audits)

b.> Permission of the consumer before the data is shared or moved (verification: complaints to a 1-800 number)

c.> Restricted list of third parties who can potentially use the data (verification: full disclosure of the list to the consumer and consumer consent)

d.> Third party usage as per law (verification: Utility or the collecting agency to certify the third party)

e.> Strict punishment for misuse of data

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