Optimal allocation of distribution investment

Management and owners of electricity supply authorities are regularly confronted by decisions for the allocation of limited capital and operating funds between dissimilar project types. The author presents a method for the prioritization of a wide range of dissimilar electricity industry spending proposals, some of which target improvements to the total supply system, while others target improvements to only a small geographic area. The method is based on an evaluation of the various components of the benefit of each project, compared with the project cost