TY - GEN
T1 - An examination of the costs and critical characteristics of electric utility distribution system capacity enhancement projects
AU - Balducci, Patrick J.
AU - Schienbein, Lawrence A.
AU - Nguyen, Tony B.
AU - Brown, Daryl R.
AU - Fathelrahman, Eihab M.
PY - 2006
Y1 - 2006
N2 - This paper classifies and analyzes the capital and total costs for 172 electricity distribution system capacity enhancement projects undertaken during 1995-2002 or planned in the 2003-2011 time period by three electric power utilities in the Western United States. Projects were sorted into eight categories: capacitors, load transfer, new feeder, new line, new substation, new transformer, reconductoring, and substation capacity increase. Capital cost and total cost frequency distributions were constructed along with descriptive statistics for each project type. Ordinary Least Squares (OLS) regression analysis was performed to determine how various project variables (e.g., project location and primary customer served by the project) impact the unit costs. Distribution system capital costs averaged $51/kVA of additional capacity and varied significantly by project type. New substations and new transformers were the most costly, $112/kVA and $87/kVA respectively, while reconductoring and substation capacity increase were found to be the least expensive ($21/kVA). Using the full costs of delivering electricity over the 30-year life of a project increased the mean project cost to $100/kVA. The OLS analysis revealed that the primary determinant of total project cost is project type. Other variables, such as the geographic location of the project and primary customer served, did not yield statistically significant results.
AB - This paper classifies and analyzes the capital and total costs for 172 electricity distribution system capacity enhancement projects undertaken during 1995-2002 or planned in the 2003-2011 time period by three electric power utilities in the Western United States. Projects were sorted into eight categories: capacitors, load transfer, new feeder, new line, new substation, new transformer, reconductoring, and substation capacity increase. Capital cost and total cost frequency distributions were constructed along with descriptive statistics for each project type. Ordinary Least Squares (OLS) regression analysis was performed to determine how various project variables (e.g., project location and primary customer served by the project) impact the unit costs. Distribution system capital costs averaged $51/kVA of additional capacity and varied significantly by project type. New substations and new transformers were the most costly, $112/kVA and $87/kVA respectively, while reconductoring and substation capacity increase were found to be the least expensive ($21/kVA). Using the full costs of delivering electricity over the 30-year life of a project increased the mean project cost to $100/kVA. The OLS analysis revealed that the primary determinant of total project cost is project type. Other variables, such as the geographic location of the project and primary customer served, did not yield statistically significant results.
KW - Cost deferment
KW - Demand-side management
KW - Distributed energy resources
KW - Distribution system capacity enhancement
KW - Distribution system upgrade
UR - http://www.scopus.com/inward/record.url?scp=34250160570&partnerID=8YFLogxK
UR - http://www.scopus.com/inward/citedby.url?scp=34250160570&partnerID=8YFLogxK
U2 - 10.1109/TDC.2006.1668461
DO - 10.1109/TDC.2006.1668461
M3 - Conference contribution
AN - SCOPUS:34250160570
SN - 0780391942
SN - 9780780391949
T3 - Proceedings of the IEEE Power Engineering Society Transmission and Distribution Conference
SP - 78
EP - 86
BT - Proceedings of the IEEE Power Engineering Society Transmission and Distribution Conference, PES TD 2005/2006
T2 - IEEE Power Engineering Society Transmission and Distribution Conference, PES TD 2005/2006
Y2 - 21 May 2006 through 24 May 2006
ER -