Boosting capital project efficiency to meet rising electricity demand
How utilities can pick the right projects, choose the right delivery models, and execute properly.
US electricity demand is growing at a faster rate than it has in decades. Grid planners have nearly doubled their forecasts for demand growth over the next five years. Meeting this demand is not just about increasing production; it also involves addressing aging infrastructure, managing climate change risks, and navigating supply chain disruptions. How can utility companies optimize their capital resources to meet customer needs while maintaining financial stability? This paper, Boosting Capital Project Efficiency to Meet Rising Electricity Demand, outlines a strategic three-step approach to enhance capital project efficiency.
1
Project Prioritization:
- Balanced Scorecard: A tool that evaluates projects based on strategic alignment, financial returns, and technical reliability.
- Strategic Alignment: Ensuring projects align with long-term goals.
- Financial Returns: Assessing potential financial benefits and risks.
- Technical Reliability: Evaluating technical feasibility and reliability.
2
Delivery Model Selection:
- Model Evaluation: Comparing different project delivery models to identify the most suitable approach.
- Risk Management: Implementing strategies to mitigate potential issues.
- Stakeholder Engagement: Ensuring buy-in and support from key stakeholders.
3
Project Execution:
- Best Practices: Implementing industry best practices for project management.
- Tools and Technologies: Utilizing advanced tools for project tracking and control.
- Continuous Improvement: Refining processes to enhance efficiency over time.
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Boosting Capital Project Efficiency to Meet Rising Electricity Demand
Download PDFUtility companies must adopt a strategic and proactive approach to capital project management. This paper provides a comprehensive framework to help utilities meet rising demand and achieve their goals. By prioritizing the right projects, selecting the best delivery models, and executing projects with precision, utilities can ensure a reliable and sustainable electricity supply.
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