Review of the Risk Management at a Distribution System Operator

Sweden was re-regulated in 1996 followed by new laws and regulations. These new circumstances have become incentives to adopt more comprehensive and quantitative analysis methods applied on Electrical Distribution Systems (EDS). This paper provides a systematic presentation of the current risk management at a Distribution System Operator (DSO) as an integrated part of the net planning process. The description is complemented by an example and an evaluation including ideas of future developments. Furthermore, the paper gives a definition on the risk concept; investigates how different incentives affect the risk management; describes and discusses similarities and differences between voltage levels. The main objective is to support DSOs in the work of developing risk management, and to give academic reference material to utilize industry experience.