Term Project: Challenges in supplying Energy to Central Region By: Mohammed Shaflout Ali August 20, 2005 2/23/2019

OUTLINE Introduction Objective VE Job Plan - Information Phase - Creative Phase - Evaluation Phase - Development Phase - Presentation Phase - Implementation Phase - Audit Phase Q & A 2/23/2019

INTRODUCTION Demand on electricity in Central Region of Saudi Arabia has increased dramatically in the last 3 years ago ( Due to 9/11 Incident)??? SEC wants to determine the optimum power will be transmitted to Central Region at the most optimum cost. The original proposal was to import 1800MW to Central From West via 1200KM High Voltage A/C Transmission Line. 2/23/2019

Existing Network Planned Network 2/23/2019

OBJECTIVE To study and compare the original proposal with other alternatives and choose the most suitable system using V.E. techniques. 2/23/2019

INFORMATION PHASE Provide save and reliable electricity Satisfy customer needs The material to be in-kingdom Low operational and maintenance cost 2/23/2019

INFORMATION PHASE Cost Data Idea Cost HVAC $700M HVDC $550M Building Gen. Plant $1200M 2/23/2019

Supply reliable & save Electricity FUNCTION PHASE Function Worksheet Why Function How To meet customers needs Supply reliable & save Electricity Install HVAC transmission lines 2/23/2019

FUNCTION PHASE Identify Present Function What does it do? Verb Noun Supply Energy What must it do? Meet Increase in demand Ensure Reliability Enhance Stability 2/23/2019

CREATIVE PHASE Generate Ideas Install 1200KM/380KV HVAC Transmission Line. Build new Generation Plant. Install 1200KM/500KV HVDC Transmission Line. Co-generation agreements Buy energy from private generation companies. 2/23/2019

CEM-512 Value Engineering EVALUATION PHASE Feasibility Ranking Idea# Prob. of Implementation Time to Implement Cost to Reliability Experience Total Rank Develop 1 10 8 6 40 2 3 4 24 9 5 38 29 22 2/23/2019

Idea Comparison Idea Advantage Disadvantage Rank Install 1200KM/380KV HVAC Transmission Line Reliability Easy to construct Simplicity in equipments’ installation -High cost for long distances -Voltage problems -Transient problems -Dynamics problems 2 Install 1200KM/500KV HVDC Transmission Line Very small losses Economic solution for long distances Asynchronous -Complexity in construction of Invertors and Converters -Electronic based equipment 1 2/23/2019

CEM-512 Value Engineering EVALUATION PHASE Weights For Evaluation A Initial Cost B Operation C Maintenance D Reliability E Constructability Raw Score Assigned Weight 8 10 4 5 2 3 How important B C D E 3 Major Preference A A-3 A-2 A/D 2 Medium Preference 1 Minor Preference B-2 B/D B/E C-2 E-2 D/E 2/23/2019

Evaluation Matrix CRITERIA Initial Cost Operation Maintenance Reliability Construc. TOTAL IDEA Wt. 10 5 3 4 RANK Install new HVAC Transmission Line   6 8 9 7 2 Sub Tot. 60 40 27 28 30 185 Install new HVDC Transmission Line 1 100 36 21 217 2/23/2019

DEVELOPMENT PHASE 2/23/2019

DEVELOPMENT PHASE Savings Proposal Initial Cost ($M) 1)- HVAC 700 2)- HVDC 550 Saving 150 % Reduction 21% Life Cycle Cost: In Modern HVDC systems; Normal Routine Maintenance can be done one week/2years. Moreover, HVDC systems require a few skilled staff to do the job. In terms of thermal rating; HVDC systems can live long time. In contrast, HVAC needs lots of maintenance work and staffs i.e. lines and insulators wash, insulation test and patrolling. losses, tripping and short circuits can harm the HVAC aging . So, the maintenance cost for HVDC is less and the Return On Investment is guaranteed. 2/23/2019

VALUE STUDY SUMMARY The HVDC has the following advantages: Ensure very low environmental impact reduce construction time. Economically transmits large amount of power over long distances. Ensure minimum losses. Maintenance requirements are low. Flexibility of operation and control. Return on Investment is very high. 2/23/2019

PRESENTATION PHASE V.E. study to be presented to the executive management to show the recommended alternative. 2/23/2019

How should it be implemented? IMPLEMENTATION PHASE How should it be implemented? The proposed method will be award to GES contractor to prepare the drawings and the estimate. What should be changed and in what sequence? HVDC components to be installed in the transmitter and receiver end while construction the line. Who should do it? Qualified contractor who did similar projects before. 2/23/2019

AUDIT PHASE Management should assign team to assure the desired results have been attained, properly documented and reported. 2/23/2019

Thank you 2/23/2019