As the UK moves towards the planned shutdown of 2G and 3G mobile networks by 2033, concerns have been raised about the impact on smart meters. The Public Accounts Committee estimates that around seven million smart meters could be rendered inoperative by the disruption of 3G networks.
This issue is important because smart meter readings are crucial to improving the efficiency, sustainability and cost-effectiveness of the electricity grid. It is estimated that by 2045, using half-hourly data from these meters will save consumers between £1.6 and £4.5 billion on their energy bills.
The potential decommissioning of smart meters should not be utilities’ primary concern, however. A more pressing problem is their reliance on outdated time-division multiplexing (TDM) systems, a communication method used to control and monitor critical grid infrastructure. It is widely accepted that these systems lack the accuracy and bandwidth needed to operate modern, efficient power grids.
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The importance of flexibility
With the push to decarbonise economies, installed renewable energy capacity is expected to grow significantly by 2050. The transition to renewable energy sources (RES), coupled with economic and population growth, will cause electricity demand to soar: it will increase by 40 per cent between 2020 and 2030 and double by 2050.
Wind power and solar radiation are not constant from hour to hour. Solar and wind energy production in Europe are known to fluctuate between 0 and 23 and 24 GW of energy respectively during peak hours. This variability presents challenges when integrating these energy sources into the grid.
To manage this supply uncertainty, utilities must focus on becoming more flexible and scalable to handle constant fluctuations in grid power availability, and communication is critical to this. Traditional TDM systems were designed to operate with a fixed number of channels and time slots, which limits flexibility to adapt to changes in an application’s communication needs.
In contrast, wide-area private wireless networks offer the adaptability to respond to changing demands without major infrastructure modifications. These networks can scale up or down as needed, allowing utilities to track and manage Scope 1, 2, and 3 emissions effectively. These networks have ubiquitous connectivity across large campuses, both indoors and outdoors, ensuring superior connectivity regardless of geographic parameters.
Economic benefits of private wide area wireless networks
While the initial investment to establish a private wireless network can be substantial, the long-term savings and gains are significant. According to Nokia’s Industrial Digitalization Report 2024, businesses are increasingly leveraging private wireless networks for use at industrial sites such as power plants and utilities. Of these companies, 93% achieved a return on investment within 12 months, with some achieving profits in just one month. These savings are largely due to increased operational efficiency and reduced overall business costs.
The role of private network operators
Ofcom has highlighted the importance of dedicated spectrum bands for the utility sector. Spectrum bands such as 410 MHz, 450 MHz and 700 MHz are crucial to meeting future operational communication needs, especially for advanced metering infrastructure (AMI). These dedicated bands ensure that utilities have the bandwidth needed to support critical applications. However, legacy TDM systems do not take advantage of existing bandwidth. In legacy TDM systems, certain time slots may remain unused if no signals are sent during a particular slot.
In contrast, private network operators can offer customised solutions to utilities, ensuring seamless integration with wide area networks (WANs), local area networks (LANs) and neighbourhood area networks (NANs). This integration supports diverse applications with different requirements, providing a flexible and reliable communication infrastructure for utilities that utilises all the bandwidth available to them.
Adaptability of private wireless networks
Private wireless networks offer a future-proof solution that can evolve with technological advances, such as the transition to 5G. This adaptability ensures that utilities stay at the forefront of technological innovation, unlike traditional TDM systems that fall behind due to a fixed number of channels and time slots dividing bandwidth. Private wireless networks can be continuously upgraded to support new standards and technologies, ensuring long-term viability and relevance.
The phasing out of 3G networks, while important, should not be what keeps utility executives up at night. The biggest challenge lies in the continued reliance on outdated TDM systems. By focusing on the adoption of private wide-area wireless networks, utilities can ensure flexibility, sustainability, and scalability. This shift not only addresses the immediate challenges posed by the decommissioning of 3G networks, but also positions utilities for long-term success in a rapidly evolving technology landscape.
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