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GITA 1999


Enterprise Integration


Strategy for spatially integrated distribution information system in energy delivery utility mergers


Strategy for a spatial DIS model
It is obviously useful to have a geographically referenced data model to support dispatch operations, for example, to determine the affected electrical equipment and service area based on imprecise location information from a non-customer or passerby telephone call, before a trouble crew is dispatched. More strategically important, the spatial-oriented data integration can support customer-driven engineering and operations planning. Such planning is particularly beneficial to utility mergers as the combined company takes a strategic look at the diversified service areas and customer bases of the merged utilities.


Figure 2. DIS Data Integration Facilitates Communication
Among Distribution Management Functions and Provides
for Other Business Solutions in the Future.


In the deregulated and competitive environment, utilities must increasingly focus on customers and costs. Decision making from planning to operations and maintenance is no longer just to find the most economical solution to meet fixed engineering criteria. Rather, it involves determining the customer value expectations and finding the best business approach to meet the expectations. For many years, distribution planners have used spatial land use analysis techniques to forecast the energy demand of customers for each geographic small area (Willis, 1993). Now, to ensure that the delivered service quality would meet the customer needs, while keeping costs to a minimum, the utility needs to know not just what the system wide expectations of service quality are, but also where the expectations would be higher, and where they could be lower. Expectations of energy service reliability and quality vary depending on the type of customers. Because there are spatial patterns in the locations of different customer classes (WNis, 1993), there are spatial patterns to the variations in customer expectations across the utility's service areas.

Similarly, the capital and O&M costs required to meet the demands and expectations also vary geographically. In an area where the system is utilized at or near its capacity, the incremental costs of providing for additional customers may be high because of the potential need for major facility upgrades, for example, a new distribution substation. The cost of service to an area would be higher, and the expected service quality there lower than average if that area is far from existing distribution substations. Besides circuit conditions, such as equipment age and the degree of automation, service reliability also depends on the location and environment; it would be worse in areas far from the utility's service centers and in areas where there are more tree trimming problems, etc.

Because the characteristics and expectations of customers and the costs of energy delivery and service to the customers both vary geographically, the utility should exploit modern spatial information technology in its DIS integration to take advantage of the spatial variations. The utility planner can use spatial information technology to analyze the customer energy demands and service expectations against the costs of meeting the demands and expectations. So, the utility can strategically spend its capital and O&M budget where it counts the most toward customer expectations, i.e., toward areas where customers would likely pay more for the service. As illustrated in Figure 3, this type of customer driven planning helps the utility decide business tactics for each geographic area, for example, whether to market electricity or gas, whether to upgrade the energy delivery network or build distributed generation, whether to increase or cut O&M expenditures, etc.


Figure 3. A Spatial DIS Supports Strategic,
Customer-Driven Planning.


Summary and conclusion
As energy delivery utilities go through mergers, the combined company explores the operational savings achievable by consolidating the distribution operations and management, and integrating the information technologies to support the consolidation. An integrated DIS that facilitates the combined operations of different functional organizations and that has an integrated data model to support different data requirements, rates, and qualities of data flows among the different information technologies involved is needed. While data integration is critical to the success of a DIS, incorporation of spatial information as part of the integrated model is key to enabling strategic, customer-driven planning to provide additional, long-term business benefits.

References
  • Engelken, L., Gay, A., Tram, H., 1999, "Development of an IT Strategy and Architecture for Energy Delivery Utility Mergers," IEEE T&D Conference, New Orleans.
  • Foster, G., Gay, A., Harms, A., Lonski, T., Tram, H., 1999, "implementation of a Unified Data Model for Distribution Management Systems," DistribuTech Conference, San Diego.
  • Juhi, G., 1998, "Trends in the Utility Industry: Will They Make or Break You," G/S Wor/d, pp. 42-46.
  • Lonski, T., 1997, "Database Integration: Criteria and Techniques," Utility Automation.
  • Tram, H., Engelken, L., Gay, A., 1999, "implementation of an Information Technology Architecture for Energy Delivery Utility Mergers," DistribuTech Conference, San Diego.
  • Willis, L., Tram, H., et. al., 1993, "IEEE Tutorial on Distribution Planning."
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