A multi-objective economic model to assess and evaluate capital expenditures associated with a foreign utility

The privatization of the global energy market has presented unique problems to firms investing in foreign utilities. These problems range from poorly maintained facilities, to high technical and commercial losses in the distribution system, to outdated technology. One problem area that requires a complete solution is the investment in new innovative technology within the metering and billing functions. The purpose of this project is the development of a model that will assist the decision-maker in evaluating the most effective strategy in terms of schedule, cost, and technology for installing new meters, replacing defective meters, and utilizing new metering technologies. The goal of the model is to maximize the company´s incremental investment cash flow under various financial and technical constraints. The model presented will assist the decision-maker in the assessment of the costs and benefits of implementing innovative technology programs into the financial performance of the utility