Electric cooperatives can save millions of dollars annually by managing distribution line losses, according to a white paper released by the Market Development Group. The paper describes how cooperatives are partnering with ElectSolve Technology Solutions and Services, Inc. to recover revenue lost through distribution line inefficiencies.

Distribution line losses of 10 to 15 percent annually can cost a utility millions of dollars. Bob Saint, principal engineer, Technical Services, for the National Rural Electric Cooperative Association (NRECA), sums up the issue in the white paper, noting, “Improving distribution system energy efficiency and metering accuracy is an important step in keeping energy costs as low as possible.”

The goal of line loss management projects is to develop a comprehensive view of the line loss problem by systematically reconciling the cooperative’s wholesale power purchase records with its power purchase sales down to the substation and feeder line. The team does this by collecting, tracking and analyzing meter data from all available data sources. This strategy quickly reveals where losses are occurring in an efficient, systematic way.

The most compelling aspect of the project is that a distribution line loss management program can pay for itself. ElectSolve is implementing programs for cooperatives using its Loss Analysis and Reporting System (LARS). The systems approach quantifies and confirms where line losses occur, as well as helping to identify specific tasks to recover lost revenue.

Ed Thomas and Katherine Johnson of Market Development Group co-authored the white paper. Download the full report at www.marketdevelop.com at the White Paper tab.