A risk and decision model for the optimal investment in plant protection

There is continual concern within the power generation industry as to how well a plant is being protected against failure and damage. This industry constitutes an environment in which high risk of plant failures as well as adverse consequences exist. Providing information as to the performance of the plant is important in reducing these risks as well as deciding what mitigating action to take. This paper provides a methodology and model with which to assess the value of the plant protection system and the information it provides. The discipline of decision analysis is used to develop a model to determine the optimal investment in protection equipment, and also takes into account risk preference