Evaluating Your Electrical Distribution System
22 September 2016

Evaluating Your Electrical Distribution System

Evaluating Your Electrical Distribution System


Virtually all industrial and commercial installations are powered via the local electrical utility. Power is provided at the point of common coupling (PCC) after which the client owns and operates its electrical distribution network. While the main electrical substation upstream of the PCC is maintained by the local utility, the reliable operation of client owned equipment (after the PCC) is the sole responsibility of the client. Most of the production equipment, which is responsible for producing the revenue and profit of the client, is powered by electricity, except in some rare instances whereby excess process steam or gas may be used. It is therefore self-evident that the reliability of the electrical distribution system within the client’s facility is of utmost concern. The cost of an unreliable electrical system is mostly due to lost production as well as high maintenance costs. The cost to repair or replace failed equipment is usually insignificant in comparison.

This paper will describe how to evaluate the reliability of your electrical distribution system so that informed decisions can be made to improve it. In order to make these decisions on improvement, a business case must be made to upper management in order to demonstrate how capital cost improvements such as the replacement of obsolete or aged components, installation of redundant power feeds to critical busses, updating of spare parts inventories, updating preventative maintenance procedures or the installation of predictive maintenance equipment will positively improve the bottom line. In order to demonstrate the improvement, techniques will be described to calculate the statistical probability of failure of critical components. By multiplying the probability of failure over a fixed time period by the potential loss of revenue and profit, a dollar value can be ascertained to support the business case.

Table of Contents

1 Introduction
2 Advantages of Electrical Reliability
3 History of Electrical Reliability
4 The Process – Electrical Reliability Analysis
5 Financial Benefits of Enhanced Reliability
6 Conclusion

Evaluating Your Electrical Distribution System

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Magna IV Engineering
Magna IV Engineering