Utilities
Evercor, from Alcatel-Lucent and Cassidian, brings LTE to the 400MHz frequency band used by many utilities for mobile radio
across the whole LTE network, including the backhaul segments, for a true end-to-end QoS management. Te bottom line for utilities: intelligent shar-
ing of air resources and network capacity and prioritization of traffic, for example, during incidents, ensures that critical communications continue to be carried over with the needed quality, reliability and efficiency.
Network sharing Te way LTE works with frequency bands and encryption allows different parties and applica- tions to share the same network resources with- out interfering with each other. Te bottom line for utilities: utilities there-
fore have different deployment options. For in- stance, they can deploy their own private LTE network or instead share resources – and the costs – in a variety of business models.
Licence to bill LTE is wireless and so it requires spectrum. Spectrum is finite and hence both hard to come by and extremely valuable. One’s op- tions for spectrum vary widely from country to country with licensing authorities having strict control over what is available to whom. For example, Industry Canada, the spectrum regulator in Canada, has set aside 30 MHz of spectrum specifically for use by utilities. In the US, 2×10 MHz of spectrum in the 700 MHz frequency has been reserved for public safety agencies with much talk recently of partnering with utilities to share this band and the costs of deploying LTE networks. Across much of Europe, Middle East, Africa
and many APAC countries, the 400 MHz band is reserved for PMR use among public safety and industry organizations, with recent techno- logical developments making this a viable band for LTE. Incidentally, lower frequencies provide wider coverage and better penetration, which make them well suited to utilities’ needing to cover wide areas and urban communications. Te European Commission is investigating set- ting aside bandwidth for critical industries such as utilities.
LAND mobile September 2012 Lastly, some unlicensed or lightly licensed
frequency bands are available in certain coun- tries, those these may be congested and there- fore pose reliability concerns.
Getting in the LTE game Tere are essentially three routes to adding LTE to your Smart Grid network, which must be considered in tandem with the spectrum issues.
Do it yourself If you’re lucky enough to have spectrum avail- able – or rich enough to be able to buy some – then there is the attractive option of deploy- ing a private LTE network. Te downside of this approach is cost, both in terms of initial deployment (capex) and ongoing manage- ment (opex). Tere are strategies for reducing capex: for example, re-use of existing sites and infrastructure or outsourcing. Regardless, for many utilities the increased levels of security and control of a private network make the in- vestment worthwhile. Te bottom line for utilities: a private LTE
network gives complete flexibility, security and control, but at a cost.
Piggy-back Most commercial mobile operators have services such as M2M (machine to machine) connectivity that are targeted at industries. Tere are also network managed services op- tions that allow utilities to jump into LTE at a much lower capex. Te downsides are in- creased opex, lack of control and, to an extent, reduced security. Of chief concern would be service reliability: if a commercial operator’s network goes down or is congested, can a util- ity afford its applications to suffer? Another factor is rural coverage; a commer-
cial mobile operator generally does not reach as far into the population as a utility. How- ever, service level guarantees can offset some of these concerns. Te bottom line for utilities: LTE provided
as a service is one option for bringing LTE to the Smart Grid, providing a utility’s business
concerns – notably opex, coverage and reli- ability – are met.
Partner As previously mentioned, there is a certain amount of debate about LTE network sharing between public safety agencies and utilities. In many respects utilities and public safety agen- cies make ideal bedfellows when it comes to sharing an LTE network: utilities are frequently involved in emergency situations, shutting off power lines at the request of rescue workers, for example, and so have existing relationships with public safety organizations. Utilities also bring a lot to the table because
they have infrastructure in place – such as power and transmission poles – to which they can add LTE equipment, as well as backhaul networks to connect all the pieces. Already many PMR systems are successfully shared by utilities and public safety, demonstrating the value of co- operation. And as we’ve seen, the technical characteristics of LTE overcome network shar- ing concerns such as capacity, reliability, security and traffic prioritization. Local authorities, rail operators or other organizations could also be potential partners based on similar criteria. Te bottom line for utilities: sharing the costs
and sharing the resources with trusted partners is potentially an ideal way of having the level of control utilities require of their LTE networks at an affordable cost. Joining forces also strength- ens both parties’ position when lobbying for dedicated spectrum.
Persuasive So the benefits of LTE as a Smart Grid tech- nology are relatively simple to demonstrate and very persuasive. Te trickier issues revolve around spectrum and a suitable deployment model. Solid business planning is essential, with a utility needing to look carefully at technical criteria, finance/investment options and, if ap- propriate, partnerships. But it’s clear that LTE has the potential to play a leading role in trans- forming the way utilities manage energy distri- bution and consumption as part of an overall Smart Grid strategy.
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