Hydropower Asset Management

At the outset, it is essential to establish a framework and guiding principles for making asset- and investment-related decisions. Ideally, the framework provides a direct connection between leaders and operators. A perfect tool for the job is the global standard for asset management development and support provided by the International Organization for Standardization (ISO). Its set of three standards –– ISO 55000, 55001 and 55002 – offer best practices that can be used as a checklist for program development and support.

Asset Management prioritizes projects based on risk, particularly the likelihood of failure and the consequences of failure, helping organizations implement the right projects at the right time. It requires assessing asset conditions, evaluating their needs and ranking them according to a risk profile. For sophisticated systems, prioritization may include a comprehensive value analysis of each project and a calculated score for business risk exposure, coupled with considerations for asset criticality, safety, resilience and regulatory requirements. By quantifying project risk, including understanding the possible impacts of deferment, the capital improvement plan can be optimized portfolio-wide.

Computerized Maintenance Management System (CMMS) and Enterprise Asset Management System (EAMS) solutions can help hydropower producers maximize their information technology investments. While powerful, these systems can be outdated. Multiple systems may be in use, resulting in competing demands to keep them operating. Successful assessment and implementation depend on understanding:

• The characteristics and qualities of the systems and how they map to organizational requirements

• Whether existing business practices and processes are optimal for automation

• How to configure the solutions to the organization’s practices and processes

Attempting to make their assets operate more efficiently for longer periods of time, organizations must balance their performance and reliability needs with competing demands for resources. Tools including Failure Modes Effects Analysis and Root Cause Failure Analysis can help to focus resources in support of the most effective maintenance, rehabilitation or replacement strategies.

The better an organization understands the conditions of its assets, the better equipped it is to make decisions regarding rehabilitation or replacement projects. One effective inspection strategy is to use the latest condition assessment standards. Organizations that produce such standards include the Centre for Energy Advancement through Technological Innovation (CEATI), the Hydropower Asset Management Partnership (hydroAMP) under CEATI’s Hydraulic Plant Life Interest Group, the Risk Management Center (RMC) under the U.S. Army Corp of Engineers’ Institute for Water Resources, and the Electric Power Research Institute (EPRI). Condition assessments are also used to fine tune project priorities.