**5. An integrated mechanism to resolve the grid modernization complications**

The combined, step-by-step upgrading plan represented in **Figure 4** can be developed with efficiencies first; corporations need to define the performance results that the modernization programs will perform, using the key performance indicator (KPI) and metrics. The first aims to regulate the basic abilities and key investments necessary for achieving the vision. The second aims at furthering business cases for localised grid investments. This can be done in particularly specific uses and are not related to investments. It is crucial to avoid investing in streamlined assets to meet proven needs. Many shareholders – like consumer teams, supply chain players, regulators, and IT firms – do not regularly participate in investment programme development in a soloed investment programme. Investment in grid systems and other business areas is substantially co-related; if this interdependency is not documented and considered, poor implementation plans may arise. The development and implementation of grid modernization plans are assigned insufficient resources. Investments contributing to the objectives of

**Figure 4.** *Grid modernization planning steps [13].*

*Smart Grid Modernization: Opportunities and Challenges DOI: http://dx.doi.org/10.5772/intechopen.97892*

strategic capacity must be given priority, while the immaterial ones should be removed from the capital plan.

T&D personnel who advance a recovery policy to offer maximum client service and persuade controllers of its effectiveness should provide an invented full description of the return of assets to the taxpayer.

## **5.1 Set top-down precedence's**

Utilities used clear and well-known arrangements traditionally for the purpose of justifying their grid projects, namely to endorse their proposals in a dialogue regarding the creation of a consistent electric grid. Utilities have precise metrics (e.g., Consuming Periodic Interruption Index, occupational health and security records) to monitor reliability and safety, and shareholder potential is adversely affected by continuous growth. Otherwise, more capital meant greater market and civilisation reliability. The first step against regulators and consumers is to describe precisely what effectiveness means "modernisation" as seen in **Figure 5**. "Grid modernization" can mean multiple things to different shareholders.

#### **5.2 Define initial savings**

Skills are not binary. Some can grow mature and widespread over time across the grid. For example, tracking and control are usually important. Most conveniences therefore have simple monitoring and control skills, though many strive to improve their sophistication over time, as stated in **Figure 6**.

#### **Figure 5.**

*Steps of grid modernization set top-down priorities [13].*

**Figure 6.** *Step of investments for grid modernization [13].*

The basic savings required can be difficult since they are not usually linked to a certain grid or asset. Corporations should concentrate their efforts on the shortcomings in current basic workflows such as network infrastructure, asset design, control and duty systems, with topic, line and line leaders.
