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  Optimising the Mix of Capex and Opex

Electricity companies are looking for ways to prioritise investment options, consider better ways of managing resources and to link investment to performance improvements. The analysis and information gained from a robust approach can input into distribution regulatory reviews.

Clearly, it is in the interests of electricity companies to ensure that CAPEX, and OPEX decisions are soundly based and can withstand scrutiny on technical, economic, business, safety and security of supply grounds. Electricity company engineers and managers possess the traditional utility skills of running, maintaining and procuring extensive long-life utility infrastructures. What they lack, however, are the tools that enable a proper, thorough and robust analysis concerning the decisions they make and the strategies adopted that will live with them for many years.

Solutions

EA Technology has developed a number of modelling tools that have been used by UK electricity companies and other electricity authorities abroad. The consultancy is based on powerful but simple computer modelling of future strategies in which a variety of technical engineering and business scenarios can be pursued and evaluated without risk to the business itself.

Recently, a UK electricity company, working with EA Technology, wanted to optimise its use of resources (staff, materials, sites, etc.) and associated investment initiatives to allow them to improve their response to overhead line faults. This was in an area of their business that not only incurs significant costs but has the potential to yield reductions in customer minutes lost and operating costs. A spin-off benefit the electricity company found was the way the modelling and facilitation process altered management perceptions towards investment/benefit decision-making.

eaNSFDownload Now
eaNSF provides a decision support tool to assist in comparing and evaluating a wide range of policy issues which depend on the capacity and performance of the distribution network. Currently, the highest priority in most electricity companies is to be able to investigate and cost various options to improve reliability - reducing interruptions, reducing customer minutes lost and improving supplies to "worst fed" customers. eaNSF can compare refurbishment options, new configurations, the effects of additional auto reclosers and remote switching, etc.

eaFIRMDownload Now
The eaFIRM fault replay model is a completely new system for investigating the effect of the number of fault response teams on the performance statistics. It also provides a flexible way of evaluating the different strategies that can be used for team deployment.

EQUITYDownload Now
Equity is an established commercial product for prioritising investments based on a range of business drivers. It is different from financial modelling tools in that it can accommodate both quantitative and qualitative criteria and help to develop understandings of trade-offs. To ensure the model is representative of the real business, it is necessary to set up the model using decision conferencing techniques into which the decision support software is embedded.

eaBEAMDownload Now
eaBeam provides an overarching or unified approach for business evaluation and analysis in the three models above. This involves the creation of coherent interfaces to all of the software modules and a documented methodology for implementation within the distribution business


 

 

 

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