AEP to spend $350m on DACR to improve grid reliability

  • January 14, 2025
  • Steve Rogerson

American Electric Power (AEP) has filed a stipulation with the Public Utilities Commission of Ohio (PUCO) to approve a plan for improving power grid reliability and resiliency, and preventing or shortening outages.

The plan includes installing or upgrading distribution automation circuit reconfiguration (DACR) technologies on up to 412 circuits throughout AEP Ohio’s 61-county service territory. AEP Ohio has previously installed DACR technology that has prevented 41 million minutes of user interruptions.

DACR uses technology that detects a power outage and automatically reroutes the power within minutes, reducing the number of people affected. Crews are also able to pinpoint what needs to be repaired to restore power, reducing time spent diagnosing an outage’s cause and leading to faster power restoration than without the technology.

The stipulation was agreed to by AEP Ohio, PUCO’s staff, Ohio Energy Group (OEG), Ohio Energy Leadership Committee (OELC) and Ohio Manufacturers Association Energy Group (OMEAG.)

“AEP Ohio is continually focused on making our electric grid more resilient and reliable throughout our service territory for each and every customer,” said Marc Reitter, AEP Ohio president. “Our efforts include trimming trees as well as advanced technology that helps automate the power grid. We have seen improved power service across our territory thanks to these advanced automation technologies, which is why we are asking the PUCO to let us continue building on those successes. This investment would more than double the number of automation technology installations on our system.”

This proposal is part of AEP Ohio’s GridSmart programme, which uses technology to reduce the number and duration of power outages. The plan builds on previous GridSmart DACR efforts, including a pilot programme that included DACR technology installed on 70 circuits, and GridSmart phase two, which included DACR technology installed on 255 circuits.

Those investments across AEP Ohio’s service territory have led to more reliable electric service with fewer outages than users would have experienced without the technology.

During this phase, AEP Ohio plans to install DACR technologies on 333 circuits without any previously installed DACR equipment and enhance DACR technologies on 79 circuits already equipped with some level of the technology. Installations will take place over the next six years if approved by the PUCO.

AEP Ohio plans to invest approximately $350m under this plan. If approved, the proposal is estimated to cost a residential customer using 1000kW-hours per month 22 cents per month.

AEP Ohio (www.aepohio.com) is based in Gahanna, Ohio, and is a unit of American Electric Power. AEP Ohio provides electricity to 1.5 million customers..

AEP (www.aep.com) is investing $54bn from 2025 to 2029 to enhance service for customers and support the growing energy needs of communities. Its nearly 16,000 employees operate and maintain the USA’s largest electric transmission system to deliver energy to 5.6 million customers in 11 states. AEP also is one of the nation’s largest electricity producers with approximately 29,000MW of diverse generating capacity.