Development of a Distribution System Investment Planning Model Focused on Economics

경제성을 고려한 배전계통 설비투자계획 수립모델 개발

Recently, there are two big paradigm shifts in the global electric power industry. First, the maintenance practice is gradually moved from time-based activities to reliability-centered activities. On the other hand, asset management is emerging as a new framework to maximize the efficiency of investments. The two paradigms are mutually exclusive in natural. Thus the power utilities usually chose the investment alternative on the basis of reliability in the past. But today's changed business environment - competition -requires the power utilities to compromise the trade-off of reliability effects and economics of investments. This paper shows what and how to interpret the reliability effects of distribution system investments into financial indicators beneficial for power utilities's managers to make decision on the perspective of corporate value.