Choosing modern secondary equipment based on distribution utility strategy

The basic business of distribution utilities has not changed. All utilities must plan, design, construct, operate and maintain their networks. However, utilities are under extreme pressure, due to the deregulation process, to perform these functions efficiently and cost effectively. Utilities are scrambling to put together the tools, processes and training required to meet and exceed customer expectations. The purpose of this paper is to introduce a model or idea that should help distribution utility managers and engineers to evaluate future investments regarding modern secondary systems and other equipment that enable implementation of functions gather under globally accepted term Distribution Automation. Electric utilities must shift their focus from conservative «reliability at all costs» emphasis to a more efficient and economic emphasis. That means that future decisions or calculations regarding investments should be based on both technical and economic studies. Authors suggest that Distribution Automation should be strategic option of distribution utility established in such a way that supports utility´s generic strategy. Automation will help distribution utility to achieve the parameters required in the performance-based rates that will be required by the regulatory bodies.