Linking AMPs to Short- Term and Long-Term Investment Plans

Transcription

1 Linking AMPs to Short- Term and Long-Term Investment Plans Dan Olsen CH2M, AM Consultant Billy Haklander LH & EAPWSS, Environmental s Engineer bhakland@london.ca

2 Presentation Objectives Understand our journey to develop an Asset Management system Understand how the Asset Management system has been used to update our Asset Management Plan for 2016 Understand how the Asset Management system is integrating all aspects of our business

3 Our Customers Systems Supply drinking water to approx. 500,000 residents across 15 municipalities including the City of London

4 Our Vision The Water Board strives to operate and to continually improve the sustainable, environmentally friendly utility that provides safe drinking water at stable and reasonable prices to current and future member municipalities.

5 Our Asset Management System Investment Planning Long-Term affordability of service Developed in 2014 Life Modelling identifying long-term Risk identifying short-term Developed in 2015 Growth & Enhancement identifying legislative, growth, efficiency and enhancement needs Business Casing Project Prioritization AM Plan, Financial Plan Developed in es Master Plan and Facility/Energy Optimization Study conducted in 2015 Developed in 2015 used to develop AM, Financial, & Capital plans Capital & Operating Plan Short-term impact to service

6 2016 Asset Management Plan Development Asset Management Strategy Financial Strategy LOS trends were identified: Value Availability/ Reliability Quality Sustainability Legislative Level of Measure # of unplanned service interruptions Average Day Demand (% of capacity) # of Water Quality Incidence reported Energy Efficiency (kwh/ml) Chemical Efficiency (kg/ml) # of non-compliance Trend ( )

7 2016 Asset Management Plan Development Asset Management Strategy Financial Strategy Lifecycle Modelling Long-Term Capital Renewal Projection (6-30 years) Risk Short-Term Capital Renewal Plan (1-5 years) Unconstrained Capital Forecast (1-30 years) Recommendations from Master Plan, Facility/Energy Studies Growth and Enhancement Plan (1-30 years)

8 2016 Asset Management Plan Development Asset Management Strategy Financial Strategy Financial analysis performed to establish rate increases and reserve funds needed to fund the unconstrained capital forecast over the 30-year planning period Different funding scenarios were developed and a preferred scenario was approved by the Water Board

9 2017 Asset Management System in Action Negative upward trend observed for energy efficiency. Energy efficiency identified as key strategic priority for the Lake Huron and Elgin Area Primary Water Supply Systems over the next 30 years Value Availability/ Reliability Level of Measure # of unplanned service interruptions Average Day Demand (% of capacity) Trend ( ) Quality # of Water Quality Incidence reported Sustainability Energy Efficiency (kwh/ml) Chemical Efficiency (kg/ml) Legislative # of non-compliance

10 Asset Management System in Action Life Modelling identifying long-term Risk identifying short-term High Lift Pumps were installed in 1960s and require a rehabilitation intervention Identified as a risk to Elgin Area Water Supply System

11 Asset Management System in Action Life Modelling identifying long-term Risk identifying short-term Growth & Enhancement identifying legislative, growth, efficiency and enhancement needs An energy optimization study determined that the High Lift Pumps at the Elgin Water Treatment Plant were operating at lower efficiency and were close to their life span

12 Asset Management System in Action Life Modelling identifying long-term Risk identifying short-term Business Casing Growth & Enhancement identifying legislative, growth, efficiency and enhancement needs Business case was developed for replacing High Lift Pumps at the Elgin Water Treatment Plant

13 2017 Asset Management System in Action Life Modelling identifying long-term Through the business case process, synergy with High Lift Switch Gear renewal project was identified and projects are being coordinated Risk identifying short-term Business Casing Project Prioritization Growth & Enhancement identifying legislative, growth, efficiency and enhancement needs

14 Asset Management System in Action Long-Term affordability of service Life Modelling identifying long-term High lift pump and switchgear project is being implemented in 10-year Capital Plan AM Plan, Financial Plan Risk identifying short-term Growth & Enhancement identifying legislative, growth, efficiency and enhancement needs Once Business implemented, the Project asset inventory Casing will be updated Prioritization and renewal needs for new assets will be included in the next Asset Management/Financial Plan update to inform long-term projections and affordability of service Capital & Operating Plan Short-term impact to service

15 Integrating Asset Management into our Business Investment planning process is implemented: Annually through update to the capital/operating plans Every 5 years to update the Master Plan, Asset Management Plan and Financial Plan

16 Integrating Asset Management into our Business Investment planning process is now being integrated with other Asset Management business processes: Computerized maintenance management system (CMMS) being developed to provide information to better inform investment planning Consultant deliverables are aligning to the process e.g. Technical memos and reports are framed to consider business case processes Contractor deliverables are aligning to the process e.g. detailed information on new assets to feed into CMMS

17 Integrating Asset Management into our Business Asset Management System is shaping resource allocation and division structure: Changing job descriptions to reflect business case processes and projects Additional resources (new positions to support the investment planning process) Paradigm shift in staff thinking and practices

18 Questions? Contact Us: Dan Olsen CH2M, AM Consultant Billy Haklander LH & EAPWSS, Environmental s Engineer bhakland@london.ca