METROPOLITAN EDISON COMPANY - Pennsylvania Public Utility ...
METROPOLITAN EDISON COMPANY - Pennsylvania Public Utility ...
METROPOLITAN EDISON COMPANY - Pennsylvania Public Utility ...
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VI. ELECTRIC RELIABILITYBackground – The Stratified Management and Operations Audit of Metropolitan EdisonCompany (Met-Ed), <strong>Pennsylvania</strong> Electric Company (Penelec), and <strong>Pennsylvania</strong>Power Company (Penn Power) (collectively, the FirstEnergy <strong>Pennsylvania</strong> Companies,FE-PA Companies or Companies) conducted by the consulting firmBarrington-Wellesley Group, Inc. (BWG or Consultant), released by the <strong>Pennsylvania</strong><strong>Public</strong> <strong>Utility</strong> Commission (PUC or Commission) on March 1, 2007, at D-05MGT002,D-05MGT003 and D-05MGT004, contained six recommendations in the ElectricReliability chapter. BWG rated this functional area as needing significant improvement.In this chapter, five prior recommendations and prior situations are reviewed and fivefollow-up findings and three recommendations are presented.Prior Recommendation – Develop a detailed plan to improve distribution systemreliability and meet the System Average Interruption Duration Index (SAIDI) goals set inthe Settlement Agreement.Prior Situation – Due to several reliability issues in the past, FirstEnergy Corp.(FirstEnergy) entered into a Settlement Agreement with the Commission, in November2004 at Docket Number I-00040102, whereby the FE-PA Companies were directedtoward improving system reliability for all customers. In accordance with the SettlementAgreement, FirstEnergy had committed to making various changes and improvementsin inspection and maintenance practices and procedures that would assist in addressingmajor causes of outages and detecting developing problems in a timely manner. TheSAIDI, Customer Average Interruption Duration Index (CAIDI) and System AverageInterruption Frequency Index (SAIFI) were the three reliability indices commonly usedby FirstEnergy to determine system reliability across its distribution system. SAIDI isthe average outage duration for each customer served and is calculated by dividing thesum of all sustained customer interruption 4 durations by the total number of customersserved. CAIDI gives the average outage duration and is calculated by dividing the sumof all sustained customer interruption durations by the total number of interruptedcustomers. SAIFI is the average number of interruptions and is calculated by dividingthe total number of sustained customer interruptions by the total number of customersserved. SAIDI is the product of SAIFI and CAIDI. While SAIFI and SAIDI are drivenprimarily by frequency or time duration respectively, both variables drive CAIDI. Thelower the SAIFI, SAIDI and CAIDI numbers, the better the overall system reliabilityperformance.The 2004 Settlement Agreement required the FE-PA Companies to improve theirrespective SAIDI performance over their 2003 calendar year values and maintain SAIDIperformance at or below the 2003 levels in the years 2005 and 2006. The FE-PACompanies had not improved their SAIDI performance in accordance with theSettlement Agreement. SAIDI performance for all three of the FE-PA Companies had4 Sustained customer interruption is defined as the loss of electric service for one or more customers thatis five minutes or longer in duration.- 34 -