You need JavaScript to view this

Analysis of electricity distribution network operation business models and capitalization of control room functions with DMS

Journal Article:

Abstract

Electricity distribution network operation (NO) models are challenged as they are expected to continue to undergo changes during the coming decades in the fairly developed and regulated Nordic electricity market. Network asset managers are to adapt to competitive technoeconomical business models regarding the operation of increasingly intelligent distribution networks. Factors driving the changes for new business models within network operation include: increased investments in distributed automation (DA), regulative frameworks for annual profit limits and quality through outage cost, increasing end-customer demands, climatic changes and increasing use of data system tools, such as Distribution Management System (DMS). The doctoral thesis addresses the questions a) whether there exist conditions and qualifications for competitive markets within electricity distribution network operation and b) if so, identification of limitations and required business mechanisms. This doctoral thesis aims to provide an analytical business framework, primarily for electric utilities, for evaluation and development purposes of dedicated network operation models to meet future market dynamics within network operation. In the thesis, the generic build-up of a business model has been addressed through the use of the strategic business hierarchy levels of mission, vision and strategy for definition of the strategic direction of the business followed by the planning,  More>>
Authors:
Publication Date:
Jul 01, 2010
Product Type:
Journal Article
Resource Relation:
Journal Name: Acta Universitatis Lappeenrantaensis; Journal Volume: 12; Journal Issue: 405; Other Information: Thesis or Dissertation; TH: Thesis (D. Tech.)
Subject:
24 POWER TRANSMISSION AND DISTRIBUTION; POWER TRANSMISSION; GRIDS; OPERATION; OUTAGES; COST; MANAGEMENT; BUSINESS
OSTI ID:
1010363
Research Organizations:
Lappeenranta Univ. of Technology (Finland)
Country of Origin:
Finland
Language:
English
Other Identifying Numbers:
Journal ID: ISSN 1456-4491; TRN: FI1103022
Submitting Site:
FI
Size:
page(s) 1-100
Announcement Date:
Apr 04, 2011

Journal Article:

Citation Formats

Tanskanen, A. Analysis of electricity distribution network operation business models and capitalization of control room functions with DMS. Finland: N. p., 2010. Web.
Tanskanen, A. Analysis of electricity distribution network operation business models and capitalization of control room functions with DMS. Finland.
Tanskanen, A. 2010. "Analysis of electricity distribution network operation business models and capitalization of control room functions with DMS." Finland.
@misc{etde_1010363,
title = {Analysis of electricity distribution network operation business models and capitalization of control room functions with DMS}
author = {Tanskanen, A}
abstractNote = {Electricity distribution network operation (NO) models are challenged as they are expected to continue to undergo changes during the coming decades in the fairly developed and regulated Nordic electricity market. Network asset managers are to adapt to competitive technoeconomical business models regarding the operation of increasingly intelligent distribution networks. Factors driving the changes for new business models within network operation include: increased investments in distributed automation (DA), regulative frameworks for annual profit limits and quality through outage cost, increasing end-customer demands, climatic changes and increasing use of data system tools, such as Distribution Management System (DMS). The doctoral thesis addresses the questions a) whether there exist conditions and qualifications for competitive markets within electricity distribution network operation and b) if so, identification of limitations and required business mechanisms. This doctoral thesis aims to provide an analytical business framework, primarily for electric utilities, for evaluation and development purposes of dedicated network operation models to meet future market dynamics within network operation. In the thesis, the generic build-up of a business model has been addressed through the use of the strategic business hierarchy levels of mission, vision and strategy for definition of the strategic direction of the business followed by the planning, management and process execution levels of enterprise strategy execution. Research questions within electricity distribution network operation are addressed at the specified hierarchy levels. The results of the research represent interdisciplinary findings in the areas of electrical engineering and production economics. The main scientific contributions include further development of the extended transaction cost economics (TCE) for government decisions within electricity networks and validation of the usability of the methodology for the electricity distribution industry. Moreover, DMS benefit evaluations in the thesis based on the outage cost calculations propose theoretical maximum benefits of DMS applications equalling roughly 25% of the annual outage costs and 10% of the respective operative costs in the case electric utility. Hence, the annual measurable theoretical benefits from the use of DMS applications are considerable. The theoretical results in the thesis are generally validated by surveys and questionnaires. (orig.)}
journal = {Acta Universitatis Lappeenrantaensis}
issue = {405}
volume = {12}
place = {Finland}
year = {2010}
month = {Jul}
}