Management education for a sustainable electric power industry in the 21st century

This paper presents the results of research and outlines the experience in the adoption of new methods for the training of energy managers that meet the 21st century challenges. The analysis shows that the management (both in energy companies and business consumers) are not qualified to operate on global and national competitive energy markets: managerial decisions there are taken amid high risk and uncertainty; decisions are often taken in response to changes in the external environment; new unconventional approaches are needed for a successful result; the price of a bad management decision grows substantially. The empirical data that were obtained through the research shows the importance of the background knowledge of engineering and energy production technologies for managerial training; of developing readiness for innovative practices; of mastering pro-active self-development techniques. An interdisciplinary approach that puts together the "energy technologies-safety and environment-economics and finance-management" chain becomes the methodological foundation for energy training. The article looks at prerequisites, peculiarities and principles of global energy education and training of corporate managers, civil servants and other professionals who are involved in the electric power industry. © 2014 WIT Press.International Journal of Safety and Security Engineering;International Journal of Sustainable Development and Planning;WIT Transactions on Ecology and the Environmen

Russian power sector reform: Lessons for developing countries

The article takes a look at the issues of the market-oriented power sector reform and the experience that is of interest in the process of reforms in any country. Organizational models might, however, vary quite substantially in different countries in terms of basic characteristics. The article studies the difference between idealistic notions that underlie the existing market model and real economic relations that are directly connected to the technological features of the industry. It validates proposals for alternative energy market models and a management mechanism for the industry. © 2014 WIT Press.International Journal of Safety and Security Engineering;International Journal of Sustainable Development and Planning;WIT Transactions on Ecology and the Environmen

Managers for sustainable electric power industry of tomorrow

To be able to lead a large-scale technological overhaul of the electricity generation sector and actively operate in energy markets, it is necessary to substantially increase the professional level of management. Moreover, there is no doubt that the social responsibility of power engineering as a vital infrastructure industry will only continue to increase, competition will intensify while the existing shortage of knowledge will grow. This is happening amid overall instability, uneven and chaotic demand for energy on the part of economic systems. On the other hand, energy consumers, investors and society as a whole are putting an increasing emphasis on reliability, pricing transparency and environmental impacts. The study provides substantiation and a new research and methodology platform for forward-looking education of energy managers. Its purpose is to equip professionals with knowledge and competencies that they will need for working in emerging technological and organisational and economic systems that will be based on new principles and will function in a turbulent external environment. The global energy education is used as an example of building educational content and methodology for the forward-looking training of future energy leaders. © 2018 WIT PressACKNOWLEDGEMENT The work was supported by Act 211 Government of the Russian Federation, contract № 02.A03.21.0006

A methodological framework for organizational risk management in energy companies

Energy production has always been associated with a number of operational (technological) risks as well as risks resulting from external events. A large number of tools has emerged recently that utilize complex software solutions to minimize such risks, which shows in a significant reduction of failures at energy facilities in the past few years and a growth in the key performance indicators of energy businesses. The most difficult ones to assess and prevent are organizational risks. The probability of such risks increases alongside the progress of structural transformations in the global energy sector. Such risks, despite their internal nature, are capable of triggering serious deformations within the governance system of an energy company and, given the specific features of the energy sector, lead to a sharp performance drop across the industry. The article presents a methodological framework for operational risk management in energy companies that is based upon the idea of identifying the priority results of companies’ performance. The proposed methodology is essentially about forming the risk space of an energy company and using it as a basis for quantitative assessment of the probability of risk events. This will in turn make it possible to identify critical organizational risks, assess anticipated damage and think of preventive management impact to offset the risk events. © 2017 WIT Press.ACKNOWLEDGEMENT The work was supported by Act 211 Government of the Russian Federation, contract No 02. A03.21.0006

Comparison of competitiveness of grid companies and industrial companies' own generating units

In contemporary Russia, the existing electricity supply model is gradually changing, the focus shifting to the priority development of small-scale distributed power generation. It is, however, impossible to significantly reduce grid electricity consumption in the near future. Conditions for grid companies are getting increasingly competitive, which may result in higher tariffs for consumers. At the same time, the development of small-scale power generation in this country is chaotic and its efficiency has never been adequately compared to that of grid electricity consumption. The article looks at factors and conditions that may help boost grid companies' competitiveness. It also provides a new developed methodology for comparative analysis of the efficiency of the construction of a company's own generating unit as opposed to consuming grid electricity. The article contains estimates of the cost of connection technologies to the grid and electricity tariffs for different scenarios of development. The article looks at the potential for tariff reduction and reveals peculiarities and the cost of construction and operation of generating units for industrial companies. The methodology was tested in Chelyabinsk Region which is served by JSC "Interregional Distribution Grid Company of Ural". © 2017 WIT Press

Factoring environment into electrification management in a region

Electrification is an integrated continuous process of production, transmission, distribution and use of electric power in a region's economy. Analysis of global trends shows that demand for electric power as the most advanced and flexible energy carrier has been growing as many countries are in transition to a new industrial landscape. Along with that, the energy provision of industrial and domestic processes is becoming more intellect-intensive, while environmental issues are receiving special attention. This determines the relevance of the study. The authors have designed a methodology for factoring the environment into regional electrification programs. The methodology includes the following steps: ranking and selecting facilities to be electrified based on the criterion of minimal values of the 'electricity-for-fuel substitution coefficient'; application of the energy and economic effect to financially compensate for environmental impacts; introduction of demand side management programs that help improve the environmental situation in the region. An 'ideal' structural model of electrification is proposed for regions with high eco-loads. The model combines a method for selecting facilities to be electrified, pro-active energy conservation, adding more energy installations utilizing carbon-neutral fuels to the power generating system. © 2018 WIT Press.ACKNOWLEDGMENT The work was supported by Act 211 Government of the Russian Federation, contract No 02. A03.21.0006

Fulfilling the potential of nuclear power industry through demand side management

The study analyzes the feasibility and ways of including nuclear power plants (NPPs) in demand side management (DSM) programs. Reducing peak load on energy systems is of high interest to nuclear energy managers because the load grows and so does the share of base load, providing an impetus for the construction of new NPPs in regions. The authors propose the principles and mechanisms of DSM and a system of organizational and economic measures that would encourage energy companies to get actively engaged in DSM programs. It is shown that it is appropriate to consider DSM as a way of improving the flexibility characteristics of new NPPs, such as their increasing their capacity factor, boosting output while reducing costs and, therefore, increasing their profitability. © 2017 WIT Press

Proactive management in the power industry: Tool support

Increasingly dynamic, non-linear and all too often chaotic changes in the global environment and tougher competition, including at the geopolitical level, call for radical transformations in strategic management of the power industry. The article provides the results of a study into proactive actions of energy company management, which are becoming increasingly important. The article offers a framework of concepts relating to proactive management and sums up ideas of a number of authors on diagnostics of weak signals as possible harbingers of threats to sustainable power industry development. The authors have determined a general approach to mechanisms of threat identification and developed methodological principles of shaping a corporate management model capable of reacting to new challenges. The article provides a thorough study of some components of the model and an assessment of factors that ensure successful implementation of the authors’ conceptual solutions in energy companies. © 2017 WIT Press.ACKNOWLEDGEMENT The work was supported by the Act 211 Government of the Russian Federation, contract № 02.A03.21.0006

Asset Management in Grid Companies Using Integrated Diagnostic Devices

The digitization of power grids envisages a transition to new models of fault diagnosis, repair and maintenance of electric power grid equipment. The most promising tools for implementing advanced production asset management strategies are integrated technologies that are based on robotic diagnostic platforms, various hardware–software instruments and smart data analysis systems. The article analyzes other countries’ experience of developing robotic methods of fault diagnosis and maintenance of overhead power transmission lines, which present a major challenge in terms of monitoring, failure prediction and localized repairs. The Cablewalker robotic system was used as an example for identifying the advantages of integrated diagnostic hardware systems as opposed to traditional methods of power grid equipment maintenance and overhaul. Recommendations are given for adopting the technology in grid companies. During trials of the technology on a 2.34-km section of a power transmission line 112 defects were detected versus three that were identified by means of ‘manual’ inspection. A digital twin of the transmission line was created to manage its technical condition with regard to various risks.The work was supported by Act 211 of the Government of the Russian Federation, contract № 02.A03.21.0006

Sustainable Energy for Smart City

The article presents the results of a study of structural changes in the energy sector serving digital technologies for the urban environment of the future that is being created now. The study considers country-specific factors and problems of ensuring the sustainability of heat and power supply. The authors look at the priority areas of a new phase of electrification aimed at the development of advanced energy-saving smart technologies, electric transport, electric cars and appropriate energy and utility infrastructure. The case is studied of developing engineering, technical, organizational and economic solutions when overhauling the heat supply system in a ‘smart’ residential district of Yekaterinburg, one of Russia’s megalopolises, that is being designed and constructed on the basis of the principles of intelligent engineering infrastructure.The work was supported by Act 211 of the Government of the Russian Federation, contract 02.A03.21.0006