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      1. 3.2.1 Network Exploitation and Grid Asset Consolidation
      2. 3.2.2 Development of the Grid Complex
      3. 3.2.3 Connection
      4. 3.2.4 Electricity Transmission
      5. 3.2.5 Additional (non-tariff) services
      6. 3.2.6 Consumer liaison
      7. 3.2.7 Key RAS metrics
      8. 3.2.8 Key IFRS metrics
      9. 3.2.9 Tariff Policy
      10. 3.2.10 Investments
      11. 3.2.11 Innovations
      12. 3.2.12 Progress of the Digital Transformation Program

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3.2.11 Innovations

The Board of Directors adopted the OAOOpen Joint-Stock Company IDGCInterregional Distribution Grid Company of Urals’ 2020-2024 Innovation Development Program to be potentially extended till 2030[31]. The 2021-2025 mid-term implementation plan was revised and approved as a part of the 2020 Innovation Development Program progress report[32].

The following key directions of innovation-driven development were set to enhance efficiency of the program planning and implementation:

1. In terms of technological innovations:

— State-of-the-art technologies and solutions – activities related to the usage of new materials, isolations, equipment in primary business processes (current limiters, controlled devices, new-type wires with improved electrical conductivity and durability, new-type isolators, power electronics, etc.);

— Digitization of management and technological processes – transition from analogue to digital principles of control over relay protection and emergency automation, automated process control systems, metering and telecommunications (digital measuring transformers, digital network equipment, shift to digital substations); digitization of production asset management; launch of digital monitoring in the networks and at substations;

— Enhancement of grids flexibility – development of network properties to enhance resilience to network disturbance and automated restoration of normal operations (adaptive relay protection and emergency automation, control systems, logic automation, digital on-line network model).

2. In terms of organizational and marketing innovations:

— Designing new and systemic re-engineering of existing business processes through the lens of end-to-end performance (management of production assets, management systems, front-end services, management of life cycles of the system, lean production practices);

— HR management innovations (implementation of HR management technologies, relevant to this day);

— Shaping innovative environment around the Company (collaboration with innovative companies, scientific and educational institutions dealing with scientific and technical issues by partnership in technological platforms, implementation of cooperation agreements with anchor higher education institutions).

The goal of the Company’s Innovation Development Program for the mid-term and long-term (till 2030) periods is to shift to the new-generation innovative network with game-changing properties related to reliability, efficiency, availability, controllability and customer-centricity.

2021 Achievements:

1. Transition to 35-110(220) kVkilovolt digital substations.

The goal of the Digital Substations projects is to create grid facilities with intelligent control and management system by installing state-of-the-art equipment and systems as well as to use IECInternational Electrotechnical Commission, international standards and conformity assessment body 61850 data transfer protocols. Effect from the deployment of the “Digital Substation” technology: reduced exploitation costs due to extended repair intervals, usage of low-maintenance equipment, reduced time for restoration of normal network operation, reduced possibility of incidents and damages of equipment, usage of network fault location and remote switch control system.

The “Digital Substation” technology is planned to be deployed on the following pilot substations:

  • 110 kVkilovolt “Tekhnologicheskaya” substation (Permenergo).

Innovative technologies implemented: i) digital relay protection and automation devices, supporting digital data exchange; ii) digital (electronic) current and voltage measuring devices (incl. transformers and various detectors, incl. fiber-optic) supporting digital data exchange.

2021 achievements: the design specifies a digital decentralized substation, using MMS, GOOSE and Sampled Values protocols. During design process, application of analogue signal converters and electronic CTcurrent transformer and VTvoltage transformer shall be compared from the technical and economic point of view. In 2021, we performed design and survey works. Technical solutions are in the process of approval.

2021 expenses totaled RUBruble 5.86 million (target), RUBruble 5.86 million (actual).

  • 110 kVkilovolt “Esaulka” substation (Chelyabenergo)

Deployment of the project shall:

— give an opportunity to connect new customers, increase net supply;

— enhance reliability of electricity supply and voltage quality;

— replace outdated and obsolete equipment;

— achieve optimal load of the district;

— enhance observability and manageability of the facility, test solutions using RPArelay protection automation and telematics devices supporting “digital substation” technology in line with IECInternational Electrotechnical Commission, international standards and conformity assessment body 61850.

2021 expenses totaled RUBruble 1.91 million (target), RUBruble 1.91 million (actual).

  • 110 kVkilovolt “Asbest” substation (Sverdlovenergo).

Innovative technologies implemented: i) digital relay protection and automation devices, supporting digital data exchange; ii) digital (electronic) current and voltage measuring devices (incl. transformers and various detectors, incl. fiber-optic) supporting digital data exchange; iii) PMU devices integrated into DSP; iv) smart meters with possible integration into the unified management system, providing remote control and information on network parameters; v) intelligent (digital) monitoring systems and hardware troubleshooting.

2021 achievements: due to a long period of preparation of design and estimate documentation and System Operator’s endless comments after re-examination of the design and estimate documentation, revised in the course of design (in 2019-2021) in unison with changes of regulatory and administrative documents (incl., DM levels and scope of telematics), the design and estimate documentation has not been yet approved. In light of Sverdlovenergo’s financial economic situation, the project shall be implemented beyond the terms stipulated by the investment program.

2021 expenses totaled RUBruble 0.5 million (target), RUBruble 0.0 million.

2. Transition to digital smart grids with distributed intelligent automation and control system.

We completed projects related to the roll-out and development of smart metering (0.4-110 kVkilovolt) in Permenergo, Sverdlovenergo and Chelyabenergo branches. The goal of the project is to create a customer-centered automated metering system with smart metering functions (remote reading of metering parameters, incl. billing and load limitation/disconnection; remote collection of consumption data; multi-tariff function; monitoring of meter status; data exchange).

Innovative technologies implemented:

Effects from implementation:

2021 achievements:

2021 expenses in Permenergo: RUBruble 434.12 million (target), RUBruble 400.37 million (actual); 2021 expenses in Chelyabenergo: RUBruble 72.39 million (target), RUBruble 58.57 million (actual); 2021 expenses in Sverdlovenergo: RUBruble 10.30 million (target), RUBruble 144.24 million (actual). Varience from target figures is due to revision of investment program during 2021 (transfer and increase of expenses in 2021 in Sverdlovenergo) and due to long-term procurement procedures and cancelled tenders (in Permenergo, Chelyabenergo).

 

3. Transition to end-to-end performance of business processes and automation of control systems.

Build-up of Production Assets Management System (PAMSProduction Assets Management System).

Goals of the project:

  • build-up of the system for regular centralized management of core production assets in line with the Company’s strategic goals;
  • enhancement of the quality of planning for repair, maintenance, upgrade and reconstruction programs;
  • provision of Company’s management with a tool to generate objective data on production assets’ health and exploitation costs;
  • creation of a mechanism for provision of maximum possible reliability level within set funding.

Innovative technologies implemented:

  • deployment of ERP systems;
  • creation of a network model, compliant with the single data standards;
  • SCADAsupervisory control and data acquisition;
  • mapping systems – geographic information systems linked to geolocation and geopositioning systems;
  • electronic catalogues and databases of standard technical solutions.

Effects from implementation:

  • build-up of the system for planning and recording of production programs execution (repair program, maintenance program, upgrade and reconstruction program and other programs included into the exploitation decree), compliant with uniform requirements set by external regulatory documents and Company’s bylaws;
  • integration of the system covering financial and management accounting, control of logistics, transport and human resources;
  • integration of the system with external systems to arrange data exchange, required for planning of production programs, integration with Rosseti’s GISgeoinformation system systems, business analysis systems of the Company;
  • establishment of the KPIkey performance indicators system related to production asset management on all levels that help evaluate and compare production departments, branches in terms of processes, technical and economic properties for further solutions.

4. Application of the latest technologies and materials.

Goals of the project: implementation of a pilot project related to use of innovative wires for aerial power lines. We plan to use innovative wires on the following facilities:

–     Reconstruction of 110 kVkilovolt “Gornaya — Metanol” (circuit II), “Kizelovskaya GRES-3 — Gornaya” (circuit I) power lines (Stage 1) (10.534 kmkilometer);

–     Reconstruction of 110 kVkilovolt “Gornaya — Metanol” (circuit I), “Kizelovskaya GRES-3 — Gornaya” (circuit II) power lines (Stage 2) (9.873 kmkilometer);

–     Reconstruction of 110 kVkilovolt “Kizelovskaya GRES-3 — Gornaya” (circuits I,II and branch lines) (Stage 3) (3.9 kmkilometer).

Effects from implementation:

2021 achievements: we completed design and survey works, comparing innovative wires, purchased equipment (incl. innovative wires and line fittings) and started construction and assembly works. In 2022, we plan to complete C&Aconstruction and assembly works and acquire innovative conductors. 2021 expenses totaled RUBruble 34.40 million (target), RUBruble 34.40 million (actual).

Target and actual expenses in 2021 (RUBruble million, net of VATvalue-added tax):

 


Expense target value, RUBruble million (net of VATvalue-added tax) Expense actual value, RUBruble million (net of VATvalue-added tax)
Transition to digital substations 8.27 7.77
Transition to digital smart grids with distributed intelligent automation and control system 549.57 608.45
Transition to end-to-end performance of business processes and automation of control systems 10.00 15.21
Application of the latest technologies and materials 34.40 34.40
Total: 602.24 665.83

There were 3 research and development works during 2021, according to the mid-term plan on the implementation of the Innovative Development Program:

1) Research project “Development of an automated system for handling of keys to electric equipment and control of access to facilities, integrated with PAMSProduction Assets Management System, with application of electronic keys and signature” (in progress, project time: 16.08.2021-30.11.2022).

Key 2021 achievements:

— Design and engineering documentation to the automated system for handling of keys (services, devices, software, software components, components, required for system operations) prepared;

— Drafts of administrative and regulatory documents regarding accommodation of equipment in DPC prepared;

— A draft of the Standard (Requirements to the technology-facilitated arrangement of recording, storage and delivery of keys) prepared;

— A draft of the Standard (Functional and Technical Requirements to equipment used for grid facility monitoring systems) prepared;

— Technological documentation dealing with system application prepared.

2) Research project “Mobile system for recording results of computer-vision inspections of power lines and equipment with identification of defects and integration into the PAMSProduction Assets Management System defects register” (completed).

Key 2021 achievements:

— Project solution on creation of software and interface prepared;

— Software and methodologies for testing procedures and algorithms of the system and interface prepared;

— Algorithms and procedures of functioning, required for creation of system software, incl. integration components, developed;

— Interface for system’s and infosphere’s interaction developed;

— Interface for users’ and system’s interaction developed.

3) Research project “Study of compliance of MPLS, WDM by ECI Telecom (Apollo, Neptune), installed in Permenergo and Chelyabenergo branches, with PAOPublic Joint-Stock Company Rosseti’s STO 34.01-9.2-004-2019 and IECInternational Electrotechnical Commission, international standards and conformity assessment body 61850” (completed).

Key 2021 achievements:

— communications test schemes installed, signal routing with simulated incidents studied (Apollo and Neptune equipment);

— recommendations on the arrangement of telecom channels for RPArelay protection automation signals passage via PSN;

— passage of signals via digital networks, based on various technologies, compared.

 

MU 2019 2020 2021 2021/2020, %
Expenses on innovations RUBruble million 492.71 520.71 665.83 127.87%
R&Dresearch and development expenses RUBruble million 31.75 22.69 31.51 138.87%