How SAP IS-U Supports Green Energy Billing

As the energy sector undergoes a major transformation, renewable energy sources are playing an increasingly important role. The rise of hundreds of thousands of prosumers — consumers who also produce their own energy — is creating new challenges for systems. SAP IS-U, an ERP-class solution for utilities, provides the tools needed to fully and flexibly settle both the energy drawn from and fed back into the grid. The following outlines how SAP IS-U supports energy companies:

1. ‍Collecting Data from Renewable Sources. SAP IS-U collects data from wind farms, solar installations and small hydroelectric plants. It records the amount of energy produced and assigns it to the right customers or contracts.
2. ‍Managing Feed-In Tariffs. The system supports billing for energy fed into the grid. It automatically calculates payments based on current rates and local regulations.‍
3. Accurate Production and Consumption Billing. SAP IS-U allows precise monitoring of meter data, making it possible to accurately bill energy produced and consumed by prosumers.‍
4. Handling Different Tariff Models. The system allows setting different rates depending on the energy source, time of day, or location.‍
5. Automatic Invoicing. Based on meter readings and contract terms, SAP IS-U Automatically generates invoices, speeding up the billing process.‍
6. Support for Prosumers. SAP IS-U handles two-way energy flows, billing for surplus energy fed into the grid and energy drawn when production is low.‍
7. Regulatory Compliance. The system ensures compliance with both local and international renewable energy regulations.‍
8. Tracking Environmental Impact. With integration to other SAP solutions, companies can monitor how their activities help reduce CO₂ emissions.‍
9. Managing Subsidies and Certificates. SAP IS-U helps companies handle billing related to subsidies, tax benefits, and green energy certificates.‍
10. Integration with IoT Devices. The growing share of renewable energy in the energy mix can be seen in Germany, where in 2023 renewables accounted for 52% of gross electricity consumption, compared to 47% in 2022. The largest contribution came from onshore wind (20%), followed by photovoltaics (15%) and biomass (8%), as shown in the chart below.

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Consumption and Feed-In Scenario in SAP IS-U

In SAP S/4HANA Utilities, the standard consumption and feed-in scenario is based on a 2:1 relationship between the Market Location (MaLo) and the Metering Location (MeLo). This enables efficient management of energy flow in both directions.

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This scenario can be implemented using either a single bidirectional meter or two unidirectional meters, depending on operational needs. Bidirectional meters are often chosen due to their ability to measure energy in both directions, providing greater flexibility in managing prosumer data.

How to Configure a Bidirectional Meter for Prosumers

Bidirectional meters are essential for prosumers who both consume energy from the grid and feed surplus energy back into it (e.g., from solar panels). In SAP IS-U, configuring such a meter requires proper settings for the Device Category and the Register Group.

In the General Data section, the following settings are applied:

• Division – 01 (Electricity), indicating the energy type.
• Division Category – 01 (Electricity), confirming that the device measures     electrical energy.
• Basic Category – Meter, specifying the device type.
• Type of Device – Devices and Device Info Records Permitted, allowing the     meter to be assigned to an installation.

A key configuration for bidirectional meters is the Register Group field in the Add. Data section. In this case, the PROSUM01 register group is assigned, which defines registers for measuring both imported and exported energy. The register group is essential for the system to understand what metering data the device will record and how to interpret it during billing and settlement processes.

The PROSUM01 Register Group with OBIS Codes

The PROSUM01 register group, shown in the screenshot below, includes two registers: one for imported energy and one for exported energy.

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In the Register Code section, the two registers are configured as follows:

• Register 1: Imported energy, marked with OBIS code 1-1:1.8.0 — according to IEC 62056-61 standards, this code represents active energy drawn from the grid (import).
• Register 2: Exported energy, marked with OBIS code 1-1:2.8.0 — this OBIS code represents active energy fed back into the grid (export).

Using the correct OBIS codes is crucial because SAP IS-U relies on these codes to identify the type of metering data and to allocate it correctly within processes such as billing and reporting.

What Are OBIS Codes?

OBIS (Object Identification System) codes, defined by the international standard IEC 62056 (DLMS/COSEM), provide a standardized framework for identifying measured values and parameters in energy metering systems.

OBIS codes are used in electricity, gas, water, and heat metering to encode data in a universally interpretable format.

Structure of OBIS Codes

OBIS codes follow the format:

A-B:C.D.E*F

Each letter represents a group of values:

• A     – Medium (e.g., electricity, gas)
• B     – Channel number or measurement chain (e.g., tariffs)
• C     – Measurement quantity (e.g., active energy)
• D     – Measurement type or direction (e.g., import/export)
• E     – Measurement mode or further detail
• F     – Historical data or billing period

Only some segments are always used, and in simplified cases, the code is displayed as C.D.E.

Examples of Common OBIS Codes

Typical OBIS codes used in energy metering :

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Case Study of Implementations Related to Green Energy

1. ‍Alperia – Italian Leader in Green Energy
   Alperia, an Italian renewable energy producer, manages 34 hydropower plants and a 9,000 km distribution network, supplying green energy to over 300,000customers. The company struggled with a lack of flexibility in responding to market changes and isolated data systems in legacy systems.
   Solution: They implemented SAP S/4HANA Utilities to streamline processes and boost innovation. SAP IS-U enabled energy data management and integration of energy sources in various locations.
   Results: Alperia gained greater flexibility in network management, improved process synergy, and accelerated the execution of new renewable energy projects, better aligning with sustainability requirements.‍
2. ENGIE – Path to Carbon Neutrality
   ENGIE, a global leader in the energy sector, aims to achieve carbon neutrality by 2045. The company needed tools to manage emissions and optimize operations for renewable energy sources.
   Solution: ENGIE implemented SAP IS-U alongside SAP Sustainability Control Tower, enabling the monitoring of emissions across different categories and the integration of data from renewable sources like wind farms.
   Results: The company gained clarity on emissions, simplifying compliance reporting with environmental standards and planning decarbonization strategies. SAP IS-U also improved renewable energy management, increasing its share in the energy mix.‍
3. Centrica – Support for Prosumers
   Centrica, a British energy provider, wanted to enable customers to sell energy produced at home from solar panels back to the grid, supporting the prosumer model.
   Solution: They used SAP Business Technology Platform and SAP IS-U to develop the Microgen app, which facilitates real-time energy data management and billing.
   Results: Centrica’s customers can now easily sell excess energy, increasing their engagement with green energy. The company also improved operational efficiency through automated billing processes.‍
4. Vibrant Energy – Growth of Renewables in India
   Vibrant Energy, an Indian renewable energy company, needed a scalable solution to manage a growing number of solar and wind projects.
   Solution: They implemented SAP S/4HANA Cloud Private Edition with the SAP IS-U module to integrate data from smart meters and manage energy sources in various locations.
   Results: The company increased operational efficiency, accelerated the development of new renewable energy projects, and improved energy data management, enabling faster expansion in the Indian market. ‍
5. E.ON – Network Digitalization for Renewables
   E.ON, one of Europe’s largest energy providers, wanted to speed up the connection of solar systems to the grid in response to the growing demand for green energy.
   Solution: They implemented SAP IS-U and smart data technologies to integrate data from the grid, meters, and customers.
   Results: E.ON reduced the connection time for solar installations from weeks to days, improving access to green energy for customers and enhancing network management efficiency.

Conclusion

The transition to renewable energy demands flexible, future-ready solutions. SAP IS-U provides comprehensive support for utilities, from managing green energy billing to ensuring regulatory compliance and efficiently supporting prosumer services. It is a strategic tool for companies aiming for long-term sustainability and growth.