E.S. Cornwall report – optimising expenditure in asset management

During Matthew Zillmann’s tenure on the E. S. Cornwall Memorial Scholarship he aims to explore opportunities for optimising expenditure in the area of electricity network asset management. To assist in this research he will undertake a period of nine months’ work at UK Power Networks in London and nine months working with Commonwealth Edison in Chicago, USA.

In his report, Matthew explains he will be primarily focused on the transition from PAS55 to the recently published ISO55000 series asset management standard. Both of these standards outline the components of an effective asset management system and enforce the need for continual review and improvement.

Aside from identifying the differences between PAS55 and ISO55000, he is gaining exposure to two projects that analyse and present network data in ways that enable intelligent and informed decision making. He sees these as valuable opportunities for the Australian electricity supply industry; particularly in circumstances where poor asset management can result in millions of dollars of additional cost either through lost opportunity or over investment.

Matthew has been impressed by the UK Power Networks’ asset management system and their efforts to continually challenge and develop the system.  He has made some valuable insights into how both systems can be used effectively and also the potential pitfalls.

The Distribution Network Visibility project is investigating improvements in the capabilities of network monitoring devices. Extracting distribution substation load profiles can provide valuable information on the behaviour of a range of customer types and produce models which lead to more flexible operation of the network.

The second project which he gained exposure to was the Asset Risk and Prioritisation tool which combines asset information, expert experience, and condition data to predict the health ranking and remaining life of an asset. The tool ensures that funds are allocated where they yield greatest value.

In the UK, the electricity industry is regulated by the Office of Gas and Electricity Markets (“Ofgem”). Ofgem also uses the tool as a regulatory tool and has required UK distribution network operators collaborate on a consistent method for classifying health and criticality scores. Matthew ponders whether the Australian Energy Regulator may impose similar requirements on Australian utilities.

In summary, Matthew explains that, from his experience thus far, it is evident that improved data quality and availability is a fundamental enabler for prudent asset management. He teases this view out in his report and looks at his next steps.

In terms of Matthew attending the Paris Session, he found it to be a “valuable professional and personal experience”. A highlight was the paper by Klaus Kleinekorte of Amprion GmbH, Germany who discussed the challenges the German electricity network and market are facing as a result of significant renewable (wind and solar) generation penetration. Another was the presentation by Michael Heyek, President US National Committee of CIGRE USA, discussing some unconventional views on how electricity networks (particularly within the USA) might change in the coming years.

Matt also visited the Culham Centre for Nuclear Fusion.

More details can be found in his report. More information about the E. S. Cornwall Memorial Scholarship is on their website.