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Electric Energy T&D - Index

Electric Energy T&D - EE Magazine March / April - Index

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How many utilities take these latter factors into account when
budgeting, and how many use purchase price as the sole basis
for setting budget amounts? Life Cycle Costs are real, and never
before have they been as much in focus as they will be over the
next decade as thousands of assets reach the end of their useful
operating lives. If you pay more for a system that supports closer
asset monitoring and allows you to operate those assets beyond
their depreciation and/or performance curves safely and reliably, is
going strictly for the lowest initial purchase price really the most
prudent alternative? Sure, it will take some additional time and
effort to make those determinations, but the payoff for doing so
can be substantial.
4. Automation (It’s not just for breakfast anymore!) As I’ve said many
times before, it’s time to stop thinking about automation as a luxury
or an afterthought that only gets attention when there is clearly no
other way out. The reality is, however, that even though old habits
die hard, the aging work force and declining infrastructure this
industry is facing now will only intensify over the next 7-10 years,
making automation an operational imperative. So get on board
now, and avoid the last minute rush…
5. Regulatory Mandates (They CAN make you do it!) And just in case
you think you can escape automating by simply ignoring it, a
wave of new regulations and legislation dealing with everything
from security enhancement to energy conservation and demand
4 I March-April 2008 Issue
Utility Horizons TM
response to vegetation management will soon directly or indirectly
mandate automation at numerous levels of utility operations.
Sarbanes-Oxley compliance, smart grid initiatives, rigorous new
state estimation requirements and more sophisticated energy
management and settlement systems are but a few areas that
will require automation enhancements, much of which will be
on a broad scale.
It all sounds good when we talk about change in the abstract, but when
it comes down to actually changing; a fundamental shift in planning,
policy and practice is in order. Are YOU ready to replace the existing
normal?
Behind the Byline
Mike Marullo has been active in the automation, controls and
instrumentation field for more than 35 years and is a widely published
author of numerous technical articles, industry directories and market
research reports. An independent consultant since 1984, he is co-founder
and Director of Research & Consulting for InfoNetrix LLC, a New Orleansbased
market inteligence firm focused on Utility Automation and IT markets.
Inquiries or comments about this column may be directed to Mike at
MAM@InfoNetrix.com.
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