3 Steps for Utility Companies to Get Started with Undergrounding
2024-10-14 13:51
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Wedoany.com Report-Oct 14, The U.S. electric grid is under more strain than ever to support exponential electricity demand due to artificial intelligence (AI), data centers, electric vehicles, and hotter temperatures. Its infrastructure is made up of 180 million power poles spread out over 5.5 million miles that are frequently bombarded with increasingly severe storms and weather.

Worsening SAIDI (System Average Interruption Duration Index) and SAIFI (System Average Interruption Frequency Index) values—commonly used by utilities to measure performance—show our electric grid is in need of hardening. Replacing or reconductoring existing overhead power lines still makes them susceptible to severe weather conditions. Undergrounding, on the other hand, provides a promising option to help utility and electric providers improve power resiliency and reliability for their customers. With careful planning and consideration, utilities can help offset the upfront investment by reducing risks, repairs, and maintenance over the long run. In this article, I outline considerations to help utility companies determine the optimal time and location for undergrounding, assess the value of the investment, and identify funding opportunities.

An essential step for utility providers in developing short- and long-range plans is to identify, categorize, and prioritize which service areas make the most sense for their undergrounding projects by evaluating the following:

Highest Potential. Areas that serve a large number of customers and are prone to recurring or increasing storm damage, long power restoration times, heightened fire risk, etc.

Medium Potential. Areas where undergrounding could be considered economically competitive. Undergrounding in these areas is driven by more qualitative factors like aesthetics, customer satisfaction, reputation, etc.

Low or No Potential. Areas of low customer density and at lower risk of repeat extreme weather or fire events.

The highest potential segments are often the best place to begin undergrounding projects. It’s important to weigh avoided costs and risks, along with additional benefits such as:

Improved Environmental, Social, and Governance (ESG) Performance. Undergrounding power lines can enhance a utility’s ESG performance by reducing environmental impacts and demonstrating a commitment to sustainable practices.

Reduced Risk for Utility Crews and the Public. Burying power lines reduces the risk of accidents, injuries, and fires caused by downed or damaged lines, making it safer for utility workers and the community.

Improved Streetscape Aesthetics. Without the clutter of overhead wires and poles, streets and neighborhoods look cleaner and more attractive.

Improved Customer Service. Undergrounding power lines leads to fewer outages and faster restoration times, resulting in more reliable service and happier customers.

Improved Reputation. Taking a proactive approach to modernize infrastructure and increase reliability by investing in undergrounding projects can enhance a utility’s public image.

Utilities need to consider additional factors like street permitting, digging up or around property, and geographic constraints. Utility companies may find it easiest to initiate digging along roads, railroad tracks, or other routes where they typically have right-of-way. The approval process can vary greatly between areas, so utility companies will need to work with their local or regional authority to ensure they have the necessary approvals and permits to begin digging.

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