Presentation at Growing Grids Ryerson University

Transcription

1 Presentation at Growing Grids Ryerson University Distribution Investment Planning using Best Practice Asset Management Principles Thor Hjartarson, P.Eng

2 About METSCO The Company Canadian corporation - consulting services to electricity generating, transmission and distribution companies Founded in 2006 Centrally Located in Mississauga, Ontario Advanced technical solutions aimed at improving operating efficiency and financial performance of power systems CofA with PEO, WSIB registered, Professional and General Liability insurance Economical Alternative, Willing to Share IP Services Power Sector Investment Planning System Planning Studies Regulatory Filings, Justification and Support Smart Grid Development Services Substations Design Grounding Studies Testing Protection and Control Studies Connection Assessments Project Management Troubleshooting Operating Problems and Investigating Failures Mentoring, Training and Technical Resource Development 2

3 Better Asset Management requires better Data Corporate / Organization Management PAS 55 Asset Management System Manage Asset Portfolio Manage Asset Systems Manage Assets Create / Acquire Utilize Maintain Renew / Dispose 3

4 Essentials of Asset Management The successful implementation of asset management requires a multi-dimensional approach: BSI Standard PAS - 55 Holistic Sustainable Systematic AM Approach Optimal Systemic Risk Based 4

5 Financial Assets PAS 55 Asset Management Standard Human Interface: Motivation, Communication, Roles & Responsibilities, Knowledge, Experience, Leadership, Teamwork Total Business Financial Interface: Life Cycle Costs, Capital Investment Criteria, Operating Costs, Value of Asset Performance Vital Context: Business Objectives, Policies, Regulation, Performance Requirements, Risk Management Human Assets Physical Assets Information Assets Intangible Assets Reputation, Image, Morale, Constraints, Social Impact Information Interface: Condition, Performance, Activities, Costs & Opportunities 5

6 Comprehensive Asset Management Scheduled Maintenance Health Index Calculation Risk Assessment Capital Project Prioritization Asset Information Failure Probability Business Case Capital Program Rate Filing Inspection Results Asset Age Determination Asset Life Cycle Analysis Finalized Capital Project 6

7 The Need for Analytics & Tools Utilities are making use of systems and analytical tools to: Predict when distribution system assets will require intervention. Evaluate all distribution system assets to develop big picture in terms of asset performance and identify highrisk locations. 7 Develop improved justification for capital investments for both internal and external stakeholders.

8 Project Planning Procedure PROGRAMS/TOOLS DATABASES 8

9 Project Planning Procedure LEGEND High Risk Medium Risk Low Risk Risk Mitigated 9

10 Project Planning Procedure LEGEND High Risk Medium Risk Low Risk Risk Mitigated 10

11 Asset Condition Assessment (ACA) Subject Matter Experts Weighted Degradation Factors Asset Age Health Index Maintenance and Testing Inspections and Surveys Inspection Data 11

12 Probability of Failures (%) (within sample size) Condition Based Failure Probability CONDITION-based Failure probability Quantified condition score can be produced, based upon key degradation factors. Degradation factors must: Contribute to the assets failure Are destructive in nature, resulting in irreparable damage Have enough supporting data to compute an accurate score Health Index information may result in a steeper failure probability curve Age (years) Age-Based Failure Probability Condition-Based Failure Probability 12

13 Probability of Failure Ratio of Failed (End-of-Life) Assets Relating Health Index to Failures 100.0% 90.0% 80.0% 70.0% 60.0% 50.0% 40.0% 30.0% 20.0% 10.0% 0.0% 25.0% 20.0% Very Good Good Fair Poor Very Poor Mean Life of Asset Very Good Good Fair Age (years) Poor Very Poor When will these assets fail? Condition Group Fail Time Years Very Poor 0-3 Poor 3-10 Fair Good > 25 Very Good > % 10.0% 5.0% 0.0% Health Index Score 13

14 Building the Business Case PROJECT CREATION PROCESS Obsolescence External Historical Reliability Capacity Investment Justification Engineering Intuition 14

15 Project Prioritization Investment Strategy Project Benefits Safety Public Safety Personnel Safety Reliability CI / CMO Improvements Lower Risk of Failure Environment Less Eco Risk Customer Satisfaction Brand Image Service Quality Developed Projects Asset Investment Strategy Project Description Financial Cost of Project Justification Project Drivers Stakeholders Description Project Details Execution Schedule Asset Improvement Asset Condition Probability of Failure Prioritized Program 15

16 The Importance of Data Quality According to TDWI s Data Quality Survey 1, almost half of all companies have no plan for managing data quality. Part of the problem is that most organizations overestimate the quality of their data and underestimate the impact that errors and inconsistencies can have on their bottom line. Challenges Legacy Issues Data conversion errors Lack of definitions and existing documentation Many involved parties No ownership Different data formats Rule violations (lack of validation routines) Poor system design Process errors and delays Impact Reputation impact Regulatory impact Delay in project delivery Operational effectiveness Poor productivity Decision impact Rework & workarounds Budget and Cost overruns Poor information 1 The Data Warehousing Institute: Data Quality Survey, December,

17 Cost A fundamental principle of quality management is to detect and fix defects as close as possible to the source to help minimize costs. Prevention Correction Repair *Defects increase in cost the longer they go undetected, while the cost of quality management decreases as defects are prevented. *TDWI Data Cleansing: Delivering High-Quality Warehouse Data. 17

18 Selected dimensions represent significant problems in Asset Management Is all necessary data present? Data Quality in a source or system Is data available at the time needed? When was the data last updated to reflect changes in the real world? Timeliness Completeness Validity Are all data values within the value domains specified by the business? Are the relations between entities and attributes consistent? Within tables and between? Integrity Data Quality Accuracy Does data reflect the realworld objects or a verifiable source? Relations between different sources and systems Consistency Is data consistent between systems? Do duplicate records exist? 18

19 Managing Data Quality is a never-ending process. To lay the foundation for high quality data the following methodology can be used: 1. Launch a data quality program 2. Develop a project plan 3. Build a dataquality team 6. Monitor data continuously 5. Clean the data and improve business practices 4. Review business processes and data architecture and assess data quality 19

20 Implementation Benefits 1. Defendable Asset Management Plan Long term investment plan based on actual asset sustainability Business cases for every project/program Essential for successful rate applications 2. Costs and Income More planned and less unplanned costs Change in expenditures are better foreseen Costs are driven by asset needs not by historical needs or resource availability needs. 3. Performance and Reliability Plan is based on set reachable reliability targets, Drivers consider current and projected condition instead of only historical performance statistics. 4. Resource Planning Long term resource needs are known and potential over-staffing or under-staffing can be addressed in a timely manner 5. Continuous Improvement Gaps are addressed and plans put in place to start collecting information during regular maintenance activities Process is kept live and with increasingly better information it will become a vital executive tool. 20

21 METSCO Training and EIT Program High level training workshops offered for industry Grounding Systems - Grounding Testing, Studies and Grounding System Design Arc Flash Explaining Arc Flash, Arc Flash Calculation, Regulations and Requirements Asset Management Holistic Asset Management from PAS-55 to Asset Management Methodologies to Planning and Engineering ALL Courses are offered as 2-day courses and can be held at utility s offices Engineer-in-Training (EIT) Program Provide training opportunities for engineering interns within our communities METSCO has number of EITs as part of their regular staff METSCO s EITs can be seconded to utilities for shorter or longer term METSCO also supports Utility s own EITs Proven track record of mentoring to Utility s engineering development Mentoring continues after EIT s are placed short or long term to utilities 21

22 Thank You! 22