Confidence bounds for the reliability of binary capacitated two-terminal networks

Binary capacitated two-terminal reliability at demand level d (2TRd) is defined as the probability that network capacity, generated by binary capacitated components, between specified source and sink nodes is greater than or equal to a demand of d units. For the components that comprise these networks, reliability estimates are usually obtained from some source of testing. For these estimates and depending on the type of testing, there is an associated uncertainty that can significantly affect the overall estimation of 2TRd. That is, an accurate estimate of 2TRd is highly dependent on the uncertainty associated to the reliability of the network components. Current methods for the estimation of network reliability and associated uncertainty are restricted to the case where the network follows a series-parallel architecture and the components are binary and non-capacitated. For different capacitated network designs, an estimate on 2TRd can only be approximated for specific scenarios. This paper presents a bounding approach for 2TRd by explaining how component reliability and associated uncertainty impact estimates at the network level. The proposed method is based on a structured approach that generates a α-level confidence interval (CI) for binary capacitated two-terminal network reliability. Simulation results on different test networks show that the proposed methods can be used to develop very accurate bounds of two-terminal network reliability.