Modernization Projects in the Power Industry: Performance Evaluation

The potential of industrial development of regions of the Russian Federation depends on the territory infrastructure condition. One of the key barriers to regional economic growth is now the depreciation of fixed assets of the grid companies, characterized by a significant loss of power during its transmission. Lack of tools, that would take into account all the external and internal parameters when evaluating the power modernization projects, does not allow to form a strategic vector of development of grid companies. The authors investigated the present methodological approaches to the evaluation of the power equipment modernization projects, foreign companies’ approaches to the plant assets management. Based on the analysis, a list of the key requirements and the effects of modernization, which should be considered when evaluating projects, was defined. Evaluation of the proposed effects allows to take the most appropriate decision as to implementing the technical influences on the equipment in terms of the technical, economic and system-wide performance.