SIMILARITIES AND DIFFERENCES IN THE STRATEGIC ASSET

SIMULATION FOR ELECTRICITY AND GAS DISTRIBUTION GRIDS

Klaus Peters RWE Rhein-Ruhr - Germany Armin Gaul RWE - Germany Heiko Spitzer entellgenio - GermanyTerence Dürauer entellgenio - Germany

Frankfurt, 09.06.2011

Frankfurt (Germany), 6-9 June 2011

Asset management capabilities in the electricity and in the gas sector have reached a new level

The main challenge for the asset manager is to balance conflicting targets over time

General targets are sector independent, e.g.: save revenue, minimize costs

and increase profits ensure asset availability and quality obey regulatory constraints (re)consider investment and maintenance strategies

RegulationTechnology

CustomerFinance

AssetManagement

2Klaus Peters, RWE Rhein-Ruhr / Armin Gaul, RWE / Heiko Spitzer, entellgenio / Terence Dürauer, entellgenio – Germany – paper 0825

Frankfurt (Germany), 6-9 June 2011

The different history of electricity and gas grids leads to different starting points

main grid extensions took place in different point in time

“position” of the grid in its lifecycle is unequal

closed circle of renewal for gas grids are (often) not yet completed (e.g. expected lifetime of pipes)

different development of grids in the future expected

- schematically - gas grid

electricity grid

3Klaus Peters, RWE Rhein-Ruhr / Armin Gaul, RWE / Heiko Spitzer, entellgenio / Terence Dürauer, entellgenio – Germany – paper 0825

Frankfurt (Germany), 6-9 June 2011

Using asset simulation in different sectors, sector specific parameters have to be adapted

specific plant safety aspects specific technical rules (VDE/DVGW – German Technical and

Scientific Association for Gas and Water) predefine some parameters to a specific valid range (e.g. maintenance interval) – still having hundreds of decision parameters

specific technologies, e.g. grid design, materials, mechanical stress, ..

specific external requirements, e.g. regulatory aspects or requirements through “EEG” (Renewable Energy Sources Act) and different customer needs asset simulation tool

- schematically -4Klaus Peters, RWE Rhein-Ruhr / Armin Gaul, RWE /

Heiko Spitzer, entellgenio / Terence Dürauer, entellgenio – Germany – paper 0825

Frankfurt (Germany), 6-9 June 2011

Tools and methods can be adapted – as long as specific parameters and targets are retained similarities concerned asset management and the appliance

of tools and methodologies individual parameters, targets and dependencies have to be

represented in an appropriate way strategy benchmarks described in the paper can be adapted

to the needs of an electricity distribution grid provider and may be enhanced with specific required key figures

combination of tools and methodologies (e.g. asset simulation, sensitivity analysis, strategy benchmark, asset optimization) enables asset managers to focus on their core competences while regarding a wider range of requirements

Klaus Peters, RWE Rhein-Ruhr / Armin Gaul, RWE / Heiko Spitzer, entellgenio / Terence Dürauer, entellgenio – Germany – paper 0825 5