Determining economic life cycle for power transformer based on life cycle cost analysis

Today, the power utilities are setting on the slow load growth and the aging of power equipment, and then could spend the efforts on the stability of system performance. Under structure of vertically integrated power industry, great cost has been spent to enhancing reliability of such power utilities. This paper presents the principle calculation of determining economic life cycle on the power transformer from economic aspect of asset management. Economic life cycle is calculated by life cycle cost analysis performed in accordance to IEC 60300-3-3. The proposed method will be expected to play an important role in investment decision making considering economic evaluation.