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We are excited to announce its participation and speaking engagement at the highly anticipated Reuters Energy Transition Event, taking place in London in 2025. This executive-level conference brings together industry leaders, decision-makers, and innovators committed to shaping the future of energy. Mark your calendar and meet us in person to gain exclusive insights that will drive your utility’s strategic advantage during the energy transition. 

Fireside Chat: Driving Next-Level Value in Asset Management 

Our CEO, Michael Schneider, will be joined by Frank Jacobs, Director, Energy Control Systems & Digitalisation at TRC Companies Inc. Together, they will lead a fireside discussion titled “Driving Next-Level Value in Asset Management: Harnessing Data, Integration, and Interoperability for Strategic Decisions”. In this fireside chat, we will examine how a unified utility operating system can enable seamless data interoperability and integration throughout core business processes. 

Why Attend? 

  • Explore System Integration: Learn why breaking down silos and connecting your data sources is critical for operational success in today’s utility landscape. 
  • Data-Driven Decisions: Insight into how interoperable systems support smarter investment planning, predictive maintenance, and operational excellence. 
  • Real-World Solutions: See firsthand examples of how utilities have successfully leveraged unified platforms to create measurable value and improve reliability. 
  • Lead the Transition: Discover methodologies that help utilities move beyond legacy limitations and thrive through data-driven transformation. 

Meet Us in London: Book Your Meeting Now! 

IPS®ENERGY is committed to helping utilities realize strategic value from digital transformation and asset management excellence. Ready to accelerate results for your organization? Secure a one-on-one meeting with our experts at the Reuters Energy Transition Event. 

Don’t miss this opportunity! Book your meeting today to discuss how our innovative solutions can empower your journey in the energy transition! 

Contact us for more details and to schedule your meeting. We look forward to connecting with you in London and supporting your asset management transformation!

 

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We are proud to announce that we have been awarded the Enexis Asset Performance Management (APM) Digitalization tender, marking a major step forward within the Dutch energy sector.

About Enexis

Enexis Groep is one of the largest regional network operators in the Netherlands, responsible for delivering safe and reliable access to electricity and gas to millions of customers across Groningen, Drenthe, Overijssel, North Brabant, and Limburg. Beyond ensuring continuous energy supply, Enexis plays a leading role in the energy transition, connecting wind farms, solar fields, charging points for electric transport, and building infrastructure fit for a sustainable future.

As of June 30, 2023, Enexis delivers electricity to approximately 2.9 million customers and gas to around 2.3 million customers Enexis sees digital asset management as critical to ensuring safety, reliability, and cost efficiency while meeting the challenges of the energy transition.

 

Why Enexis Chose Us

The tender for “APM Digitalization” followed an extensive market consultation in 2023, during which Enexis explored advanced solutions for data-driven asset management. After competitive evaluation, we were selected to provide the purchase, implementation, support, and maintenance of Enexis’s future-oriented APM solution, incorporating the use of all historical failure values to optimize asset performance and decision-making.”

The IPS®APM platform addresses Enexis’s key business objectives, including:

  • Gaining deeper insight into asset health and failure behaviour
  • Optimizing maintenance and replacement strategies based on data-driven risk vs. cost analysis
  • Supporting smarter, scenario-based decision-making at asset category and network levels
  • Reducing risks and enhancing operational safety at the lowest possible cost
  • Enabling better prioritization to align with energy transition demands

Scope of the Partnership

The partnership with Enexis covers the end-to-end lifecycle of its Asset Performance Management (APM) solution, from purchase, implementation, support, and maintenance to continuous innovation. The APM solution will incorporate historical failure values, risk data, and asset health awareness to enable smarter, data-driven decisions around maintenance and replacement.

The scope also emphasizes flexibility for future developments, including links with Enexis systems such as Work Order Management, Asset Investment Planning, additional IoT-based data sources, and evolving regulatory needs. To stay future-proof, the solution will integrate latest technologies to support predictive maintenance, intelligent decision-making, and scenario-based planning.

This partnership is strengthened through close collaboration with DNV, embedding industry best practices, risk frameworks, and strategic insights into the program. Together, we will ensure that Enexis can optimize resources, reduce risks, and accelerate its contribution to the Dutch energy transition.

“At Enexis, we are committed to building a safe, reliable, and sustainable energy system for the future. The IPS®APM solution gives us the data-driven insights and decision-making platform that transforms historical failure data and asset health insights into smarter maintenance and investment strategies. We chose IPS because of their proven expertise, innovative technology, and ability to grow with our future needs.”

– Marco Poorts, Manager Asset Performance Management at Enexis!

About Us

We deliver end-to-end solutions to utilities and critical infrastructure operators worldwide. Our mission is to empower organizations to maximize asset lifespan, improve decision-making, and unlock efficiencies that support the global transition to cleaner, smarter energy systems.

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We are thrilled to announce that IPS will be exhibiting at CIGRE Australia 2025, taking place in vibrant Adelaide from 2 – 4 September. 

About CIGRE Australia 2025 

CIGRE Australia 2025 is the leading technical forum in the energy sector, bringing together experts, thought leaders, and innovators from across the industry. This event features insightful papers, technical sessions, workshops, and an exhibition focused on the latest challenges, solutions, and advancements in power systems and grid modernization. Attendees gain access to cutting-edge knowledge on asset management, digitization, grid resilience, and collaborative technology for the future of electricity networks. 

Visit IPS at Booth #38 

Stop by our booth and discover how IPS can empower your utility or enterprise with smart, future-ready solutions. Here’s why you should visit us: 

  • Unlock Next-Generation Asset Management: Explore how our comprehensive software platform boosts efficiency, reliability, and compliance for critical infrastructure. 
  • Stay Ahead with Grid Innovations: See live demos of solutions that address emerging challenges in grid modernization, predictive maintenance, and digital transformation. 
  • Meet Megger & IPS Together: Experience seamless integration—learn how IPS solutions work in sync with Megger’s testing expertise for a robust, actionable asset management ecosystem. 
  • Expert Guidance: Our specialists will share practical insights, trends, and tailored strategies to help you achieve your business goals. 

Meet Your IPS Team Onsite 

Connect face-to-face with: 

Our experts will be ready to guide you through our solutions, answer your questions, and discuss customized approaches to meet your operational objectives. 

Book Your Meeting 

Would you like to meet us at the event? Fill out the form below and schedule your meeting with our experts on site. Can’t attend the event? Book a free online demo and get a tailored introduction to the power of our solutions, wherever you are. 

We look forward to connecting with you at CIGRE Australia 2025! 

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Book a Meeting at the Event

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We are named a Representative Vendor in the 2025 Gartner® APM Market Guide for the second consecutive year, marking progress in advancing APM for energy.

We are named in the latest Gartner Market Guide

We are proud to announce that, for the second time in a row, we have been named a Representative Vendor in the 2025 Gartner® Market Guide for Asset Performance Management Software Report. In our opinion, this represents a significant step forward in our work toward building the most powerful Asset Performance Management solution for energy businesses worldwide.

READ THE REPORT

What is Asset Performance Management?

Asset Performance Management is a strategic approach focused on maximizing asset reliability and efficiency, minimizing costs, and extending asset life. APM integrates real-time asset monitoring, advanced analytics, and maintenance planning into a unified solution that helps prevent asset failure and maximize their performance.

Key benefits of APM:

The effective APM leverages data analytics, predictive maintenance, and various integrated technologies and algorithms to ensure that all assets operate at their top performance. This reduces downtime and extends asset operational life, consequently lowering maintenance costs. The key benefits of Asset Performance Management are:

  • Manage Risks: Effective risk management is essential for more than just reducing costs and minimizing unplanned downtime by predicting asset-related incidents. It also helps balance operational performance with the asset’s life-cycle cost. By employing risk management strategies, you can prioritize future investments, enhance availability, and ensure that critical assets and systems are consistently monitored and protected against emerging threats.
  • Predict Asset Failure: Using artificial intelligence, the software can predict failure by monitoring an unlimited number of assets and providing an early warning of asset failure and increased risk of asset failure. Integrated algorithms for prediction allow customers to eliminate unnecessary inspection and maintenance regimes and time-consuming, expensive manual monitoring of asset performance.
  • Asset Lifecycle Management: Optimize the profit generated by your assets throughout their lifecycle. Solutions such as APM help businesses better understand each asset’s lifecycle. The software can eventually assist owners in making better decisions, maximizing equipment efficiency, and reducing spending costs and maintenance.
  • Extending APM with Asset Investment Planning: APM can be extended with Asset Investment Planning, a module for investment planning and scenario creation based on budget allocation. Integration is supported through web services. With IPS®AIP, users can enhance complex, longer-term tactical and strategic decisions relating to the CAPEX/OPEX budget allocations and overall asset management planning.

The importance of Asset Performance Management

In today’s fast-changing world, the importance of keeping the optimal performance of assets and resources is more critical than ever. Besides fighting downtime, which can become a significant problem for asset-dependent companies, resulting in increased costs, it is essential to ensure the proper allocation of staff and resources. The data within the Asset Performance Management System helps with efficient staff and resource allocation.

Another important aspect of APM is to provide a complete system perspective. APM offers a comprehensive view of the entire system, which helps prevent equipment failure before it escalates, and supports making informed decisions on whether to refurbish or fully replace an asset.

Conclusion

Being named a Representative Vendor in the 2025 Gartner® Market Guide for Asset Performance Management Software for the second year in a row reinforces our commitment to delivering an industry-leading APM solution. Our solution empowers energy businesses to reduce risks, predict failures, optimize asset lifecycles and make smarter investment decisions.

Book a demo to see it in action. Discover how IPS®APM can help transform your asset strategy.

This*Gartner, Market Guide for Asset Performance Management Software, Nicole Foust, Kristian Steenstrup, Lloyd Jones, 26 March 2025. GARTNER is a registered trademark and service mark of Gartner, Inc. and/or its affiliates in the U.S. and internationally and is used herein with permission. All rights reserved. Gartner does not endorse any vendor, product or service depicted in its research publications, and does not advise technology users to select only those vendors with the highest ratings or other designation. Gartner research publications consist of the opinions of Gartner’s research organization and should not be construed as statements of fact. Gartner disclaims all warranties, expressed or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose. This graphic was published by Gartner, Inc. as part of a larger research document and should be evaluated in the context of the entire document. The Gartner document is available upon request from IPS.</>

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We are excited to announce that we will be attending Australian Energy Week 2025, taking place in Melbourne from 18–19 June. The event brings together energy leaders and innovators from across the region to help shape and drive the energy transition forward.

Stop by our booth to…

  • Discover how we help utilities optimize assets, boost efficiency, and reduce costs.
  • Explore our innovative solutions for Asset Investment Planning, Outage Management, Network Model Management, and more.
  • Meet our team to discuss your unique challenges and uncover new opportunities.
  • Learn how our tailored solutions empower distribution, transmission, and generation utilities to achieve their goals.

Meet the team

Our experts will be on-site at booth #C16, ready to connect with you. Complete the form below to reserve your slot.

They will be happy to walk you through our solutions, answer your questions, and show you how IPS can help you achieve your business goals.

 

Can’t attend the event? Book a free online demo and get a tailored introduction to our solutions.

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    Book a Meeting at the Event

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    In the Utilities industry and outage management information systems, we generally divide outages into two areas: planned and unplanned outage management. This article will relate to both and explore how Outage Management Systems (OMS) empower utilities with smarter, faster decisions. Whether managing planned or unplanned outages, a CIM-based OMS increases efficiency through real-time data, seamless integration with SCADA, GIS, CRM, and more. Learn what features matter most and how to choose or optimize an OMS for your utility operations.

    Outage Management Systems Requirements

    Outage Management Systems are extensive, require lots of experience, and knowledge from the end user. How can an end-user really benefit from the outage management system implemented in the company? How should one setup the OMS system, and to which 3rd party systems should you integrate? What should be the most tangible benefits from the system, that a utilities-based company should look for? What are the technologies that we should consider as supported?

    CIM Based Outage Management

    Surely having a CIM based Common Information Model (CIM) Outage Management System plays a crucial role by providing a standardized framework for interacting and managing network connectivity and asset management data.

    CIM also helps in network topology management, translating it into asset management hierarchies and optimizing planning for asset-related programs. It also enhances visualization and analysis through geo maps and schemes, improving outage information management.

    Integration to Other Information Systems

    An Outage Management System (OMS) is a specialized software solution used by operators of electric distribution systems to efficiently detect, manage, and restore power outages. An Outage Management System (OMS) should offer native CIM-based integration options with 3rd party systems such as:

    • Enterprise Asset Management (EAM) systems,
    • Supervisory control and data acquisition (SCADA) systems,
    • Geographic information systems (GIS),
    • Customer information systems (CRM),
    • Lightning and weather data,
    • Asset Investment Planning Systems for project planning,
    • Mobile solutions.

    Only fully integrated Outage Management System can fulfil key functionalities and show benefits such as outage detection, fault location identification, restoration prioritization, workforce management, and overall risk reduction.

    Workforce Management

    An OMS information system should fully support organizational business processes, especially the outage management process framework (Planned and Unplanned Outage Management, Switching Order Management, …).

    OMS solutions should be designed for different power utility sector users responsible for maintenance, operations, and management. Users should dynamically plan and assign work based on resource availability. The system should auto-schedule outages by considering request details while geo-visualizing scheduled and ongoing tasks through dashboards, offering a clear view of related activities on a map.

     

    OMS and the role of AI technology

    What did AI technology changes bring in the last years, and what should solution providers and utilities search for in their landscape? How should we use available data and new technologies within outage management solutions?

    In a recent paper, »Big Data Analytics for Predictive Lightning Outage Management Using Spatially Aware Logistic Regression, « authors (*1) investigated whether big data may be used to predict lightning outages.

    Researchers used a comprehensive database that contains historical lightning-related events to train the prediction model. The study also used other data sources, such as Geographical Information System (GIS) data about utility assets (locations of substations, transmission lines, transmission towers, and substation transformers), utility historical outage records, etc.

    They used a mixture-of-experts model incorporating multiple spatially aware logistic regression models to predict lightning strikes to the transmission lines one to three hours in advance. Different durations of lightning-related failures, including both temporary and permanent faults, were considered.

    The results demonstrate the capability of the algorithm to predict lightning outage probability with high accuracy for a specific location. When tested on real utility data, applying a spatially aware logistic regression model yielded a prediction accuracy ranging from ~0.86 to ~0.94, with the Area Under the Curve being larger than 0.75 for all cases with prediction using spatial embedding.

    Study results demonstrate that the model can isolate the area that will be affected by lightning with very high probability.

    OMS Systems – Conclusion

    When planning for an Outage Management System, put your priorities into already mentioned functionalities:

    • CIM based OMS system,
    • Integrated workforce management capabilities,
    • Flexible integration options to 3rd party systems via API’s etc.,
    • Secure and modern microservices built solution,
    • Niche focused solution with extensive industry library support and experience,
    • Solutions that utilize quality data models and the latest available technologies on the market.

     

     

     

    (*1) M. KEZUNOVIC, T. DOKIC, Z. OBRADOVIC, M. PAVLOVSKI and R. SAID, »Big Data Analytics for Predictive Lightning Outage Management Using Spatially Aware Logistic Regression«, CIGRE 2020.

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    In the previous article, we discussed the role of predictive analytics in asset investment planning, focusing on the bottom-up approach. Keep reading to learn about the top-down approach.

    What is Asset Investment Planning?

    The main reason utilities are implementing the Asset Investment Planning Solution (AIP) is to have better control over costs and mitigate the risks to ensure high-value returns.  It provides powerful capabilities and enhanced intelligence to assist in planning and managing asset investments and optimizing the benefits, costs, and risks of high-value assets.

    The AIP solution should be used by everyone who manages strategic assets, focuses on creating and managing investment strategies, optimizing asset allocation, and achieving financial goals.

    The Bottom-Up Approach in Asset Investment Planning

    The previous article explained the bottom-up approach to Asset Investment Planning (AIP). This approach focuses on the current condition of assets, including factors such as asset health, Probability of Failure (PoF), Consequence of Failure (CoF), and other data taken from the Asset Performance Management (APM) system. Based on this information, we can effectively plan maintenance activities. With the support of the AIP system, we can also create different scenarios and simulations to determine the optimal course of action, whether to repair, refurbish, or replace an asset. These decisions consider all relevant asset specifications, such as its location, planned outages, spare parts availability, and whether the necessary human resources and tools are on hand.

    The Top-Down Approach in Asset Investment Planning

    The top-down approach, on the other hand, asks a bit of different questions. We need to answer strategic questions that shape the direction of the entire asset investment strategy. Instead of focusing on individual assets and their condition, we need to consider wider factors that influence long-term planning and ask questions such as:

    • What is the general condition of our grid?
    • How the grid will develop in the next 10 or 20 years?
    • Which technologies are developing, and what are the alternatives?
    • What is happening in the local and global energy markets?
    • What are the current prices and forecasts for critical components and materials?
    • What regulations and legislation must we comply with as we plan our investments?

    Strategic Objectives

    Organizational objectives typically drive the top-down approach. The objectives such as focusing on achieving net-zero emissions, expanding renewable energy generation, improving grid resilience, or renewing and modernizing outdated infrastructure, usually form the basis for planning next steps and forming future strategy.

    For example, if a utility wants to focus on building up grid resilience, it might want to prioritize investments in grid automation and asset fault detection before it happens. This is not because assets fail, but because such upgrades enhance system availability and help with faster recovery from disruptions caused by extreme weather, cyber-attacks, or any other. Strategic investments help reduce downtime and save resources, aligning with long-term grid reliability goals.

    Portfolio Optimization and Scenario Planning

    The effective AIP tool allows users to develop and compare multiple investment portfolio scenarios. These scenarios will help utilities balance competing priorities such as cost, risk reduction, and grid reliability…

    Leadership is responsible for deciding on the resource allocation and timing of investments, but to do that, they need accurate simulations and scenarios to compare different strategies, such as what happens if we invest more in automation than traditional updates, how would a delay in funding affect grid reliability, and which scenario provides the best ROI while maintaining compliance…

    Respond to Growing Trends

    Technical innovations also play a crucial role in the decision when and where to invest. Utilities must stay agile and leave open options for redirecting resources toward innovations that will reduce long-term costs and increase flexibility.

    Integration of Both Approaches

    Asset Investment Planning will work best if both approaches are combined. Strategic goals must be proven by real-world asset data such as maintenance history, condition monitoring, and failure prediction. Both approaches will give utilities a powerful insight and framework to prioritize investment, navigate complexity, and create a robust, forward-looking infrastructure plan.

    Conclusion

    To take out the most of AIP, utilities should leverage both approaches. While the bottom-up method ensures decisions are grounded in real asset data, the top-down perspective aligns with long-term strategy and market situation. When combined, these approaches provide the data-driven basis for maximizing asset value, managing risk, and building a strong, future-ready grid.

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    This article answers key FERC 881 questions: when it was issued, what it changes, and how line ratings impact grid reliability.

    When Was FERC Order 881 Issued: History

    FERC Order 881 was issued on December 16, 2021, by the Federal Energy Regulatory Commission (FERC). According to the commission, the purpose of this rule is to utilize the transmission grid in the United States efficiently. This step improves the accuracy and transparency of the Bulk Electric System (BES) Across North America.

    The question is how will this order provide the changes that FERC predicts. To understand this, you must know how line ratings evolve in the bulk electrical system. Traditionally, conservative static assumptions were used. Static line ratings, known as “nameplate ratings,” are often based on worst-case scenarios, the highest temperatures, and low wind speeds. This safety-first theory prevents overheating, which can cause brownouts or blackouts, and excessive sagging of the electrical lines, which could lead to public hazards.

    The Problems with Static Line Ratings

    The problems with the worst-case scenario described in the previous paragraph are threefold and do not account for the weather’s dynamic nature. Temperatures fluctuate, and resistance lowers in colder temperatures. This lower resistance means higher electrical conductivity, allowing electricity to flow more easily. Electric lines expand and sag during warmer temperatures; you can often see the sag most dramatically in areas with cold nighttime and hot daytime temperatures, such as Texas, California, New Mexico, and Arizona. However, even if the sagging isn’t as noticeable, sag increases resistance by increasing the distance that electricity travels. More resistance = slower energy flow.

    Another problem with Static Line Ratings is that they do not address wind. Everyone in Oklahoma knows that “when the wind goes sweeping down the plains” isn’t just a catchy lyric. Folks in Chicago are so familiar with the wind that their city is known worldwide as “The Windy City.” But sometimes the wind is friendly to electrical lines, cooling the temperature. Conversely, in desert areas of the USA, the lack of wind can cause the heat to become even more oppressive, increasing resistance and slowing the flow of electricity.

    The third issue with Static Line Ratings is that they fail to address solar irradiance, which is the amount of solar power received in a specific area at a given time. This intensity of the sunline is affected by the sun’s angle, the distance the sun is from the Earth, and atmospheric conditions such as clouds and haze that can scatter solar radiation, reducing the irradiance. In the summer, longer days and the earth’s tilt toward the sun affect solar irradiance. Winter days, shorter and further away from the sun, experience less solar energy.

    Next Steps: Seasonal Line Ratings

    Slightly more dynamic and able to handle seasonal fluctuations in temperature are Seasonal Line ratings. Condition assumptions for summer and winter being vastly different in temperature is an extremely common-sense way to upgrade from the more conservative Static Line ratings worst-case scenario methodology. However, the Seasonal Line ratings only consider temperatures and use conservative temperature assumptions, often 95 degrees in the summer and 32 degrees in the winter. Additionally, transmission owners historically have relied on 5 to 10-year historical highs and lows for their calculation; this can be a concern for the overall warming trends seen in recent years.

    What are Ambient Adjusted Ratings?

    Ambient Adjusted ratings are calculations based on temperature and solar heating (night vs. day). Using ambient air temperature forecasting, ambient adjusted ratings can help balance supply with demand, often a significant pain point in extreme temperatures. FERC and other regulatory agencies worldwide, along with electrical engineers from companies, have developed the concept of Ambient-Adjusted Ratings. Two pain points of Static Line Ratings that Ambient adjusted ratings consider are temperature and solar heating. Knowing that there is less solar irradiance allows for more electrical flow through lines. Ambient Adjusted ratings consider that the lower the temperature, the more flow is possible. Ambient Adjusted Ratings allow flexibility that the worst-case scenario restrictions of Static Line Ratings do not. This improved consideration means more energy flowing through the lines and better grid reliability. This reliability can lead to cost savings as poor gid conditions lead to higher maintenance and decreased customer satisfaction.

    The future of Ratings: How do Dynamic line ratings work?

    While not a current requirement for transmission owners, dynamic line ratings (DLRs) are the future. DLRs allow for the most significant degree of system control. DLRs work by using real-time ambient conditions such as air temperature, wind conditions (direction and speed), and solar irradiance intensity (not just day or night, but cloudy or clear, etc.), among other things. Sensors on transmission lines collect and send data on temperature, wind speed, and direction and can sense solar radiations, giving large amounts of data more frequently (e.g., hourly or every 15 minutes). This data can be analyzed using advanced algorithms to determine the line’s capacity. These analytics determine the maximum safe current, and the transmission operators can adjust the flow. Dynamic line ratings essentially negate the weaknesses of Static line rantings discussed. DLR calculations, however, can be costly, including the cost of equipment and data management, especially data storage.

    Advanced Facility Ratings Technology

    FERC 881’s sweeping changes to Facility Rating Management are mandated by July 2025. In the new operating rules, seasonal rations must be defined for all four seasons. These seasons will vary by climate, so three equal months for each seasonal rating would not be required. Instead of basing ratings on historical highs and lows, Ambient Adjusted Ratings (AARs) must consider the static rating assumptions, modified hourly by ambient temperature and solar irradiance. FERC 881 requires AARs to be adjusted anytime the temperature changes by 5 degrees or more since the last adjustment.

    With IPS®, the assumptions for the static ratings can be adjusted in any way the client wishes. Our System includes limits imposed by the protection system for all overcurrent and distance protection through our IPS® Safe Load Calculation Module. Advanced Facility Ratings Management (AFRM) collects rating information from Enterprise Asset Management, Network Model Management (NMM), and any allowable external system currently used. The software calculates and aggregates facility ratings using the network connectivity model Common Information Model (CIM). AFRM calculates ambient adjusted and seasonal ratings based on the weather service provider’s data, then manages and stores all the relevant rating data based on internal and regulatory requirements. It can integrate the data into operational information systems, such as SCADA/EMS, and business systems, including regulatory reporting. AFRM becomes a central hub for rating information inside the utility.

    The software can interface with your external data sources and turn all your raw data into actionable information. This allows you to work smarter, budget wisely, and deliver on the demands of the governing regulatory bodies and the power grid today and in the future. Book a Demo with us today!

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    Since 2014, IPS® has attended DISTRIBUTECH to showcase how our AI-powered solutions help utilities improve asset management and meet regulations like FERC 881. Our CIM-Based Network Model Management enables planning with a single source of truth, while IPS®AFRM supports compliance with accurate AARs, DLRs, and weather data integration.

    Helping Utilities Meet FERC 881 Compliance & Improve Network Model Management

    We have attended DISTRIBUTECH, the leading annual conference and exhibition for the transmission and distribution industry, every year since 2014. We had the opportunity to speak with investors, engineering firms, and utilities, sharing how IPS® leverages today’s Machine Learning and artificial intelligence to improve efficiency and better manage assets and data. The most significant focus of questions for our team was around Network Model Management and FERC 881.

     

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    Network Model Management

    Our solution for Network Model Management provides a central repository, integrated planning and simulation tools, EMS/DMS, and hierarchical structures. Using the Common Information Model (CIM), it provides connectivity to users’ databases, sources, and applications, enabling the management of power system planning and development with a fundamental single-source-of-truth basis. We are currently collaborating with EPRI and others to develop the CIM for Distributed Energy Resources (DERs), aiming to manage the energy network of the future. Learn more about our CIM-Based Network Model Management and schedule a demo today.

    FERC Order 881

    The FERC Order 881 deadline is July 2025, and while many utilities are requesting extensions from regulators, there is growing interest in how this data is gathered and stored. Many utilities we spoke to are just in the beginning stages of understanding how complicated this requirement is, or they have questions about AARs, DLRs, and precisely what the requirements for weather data entail. The fundamental strategies now center around change management within an organization to avoid bottlenecks, miscommunications, and resistance to change. Having a software partner that understands the mandate and can dynamically respond to changes in the network model, one that can connect to current and forecasted industry-recognized weather data and can store that data, is key to compliance. IPS®AFRM is ready to help you meet FERC 881 compliance. Check out our articles online, and if you missed our booth, you can schedule a demo online today.

    See you at DISTRIBUTECH in San Diego in 2026!

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    FERC 881: TOP 5 Concerns

    FERC Order 881, is the most sweeping change since NERC FAC-008. Announced in December 2021, it requires ambient-adjusted ratings (AARs) instead of static seasonal ratings to improve grid accuracy, transparency, and efficiency.

    This change addresses aging infrastructure, rising electricity demand, and the need for better transmission capacity management. Utilities were required to submit compliance strategies back in 2024 and must fully implement AARs by July 12, 2025. Financial penalties have not been confirmed.

    The transition poses challenges, including technology upgrades, data integration, and compliance documentation, but AARs can increase grid reliability, optimize power flow, and support energy transition efforts.

    FERC 881 Recap

    Various concerns and issues surround implementing FERC Order 881, which is expected in any significant upgrade to a system. Many factors, stakeholders, and documentation requirements are causing legitimate concerns, especially for companies starting late or running into unexpected delays.  Next, we will take a look at the top five concerns regarding the implementation of FERC Order 881 as it relates to the AAR requirements:

    1. System Readiness and Software

    Significant concerns about system readiness and delays in vendor software delivery impact the ability of Transmission Operators and others to meet the requirements on time.  AAR calculations adjust ratings based on varying temperatures and weather conditions.  These ratings provide additional accuracy of the transmission line capacity over traditionally used fixed ratings. Software is required for this level of calculations, and implementations take time, money, preparation, and organizational skills.  Software delivery, calculation accuracy, and data quality delays can significantly slow down this process.

    2. Operational Testing Time frame

    The compressed timeline for testing is a significant concern, with project shifts testing periods raising doubts about the adequacy of operational testing. Many stakeholders advocate for a minimum of six months of testing before the implementation date to ensure thorough validation. Being well inside that six-month recommended testing period, utilities not firmly in the testing stage for their project are feeling the stress of meeting the July 2025 deadline for FERC 881 compliance.  Utilities must communicate their AAR data effectively to the Regional Transmission Organizations (RTOs) and independent system operators (ISOs) for compliance.  So, not only must their selected software solution be able to calculate the AAR data, but it must also be able to communicate that data with other software.

    3. The Impact of Seasonal Loads

    FERC Order 881 includes the need for at least four distinct seasonal ratings.  These ratings are used to evaluate longer-term point-to-point transmission service.  Specifically, these calculations are for more than 10 days in the future based on predicted ambient temperature.  With the July 2025 season being the peak load for many utilities in the USA, with summer demands increasing, especially in southern regions for residential and retail air conditioning, the deadline being at this time may pose a risk to reliable operations if the implementation and testing periods are not complete.  In other words, implementing changes during peak load periods, particularly in summer months, poses a risk to reliable operations. There is a strong preference for a transition that avoids these high-demand times to prevent operational issues, with some stakeholders requesting six-month extensions.

    4. The Readiness Moment

    We’ve discussed how RTOs, ISOs, and utilities must communicate to meet FERC 881 compliance. Concerns exist regarding the definition and achievement of readiness among joint facility owners. This is especially true if more than one utility utilizes a particular facility. If members are unprepared, this could jeopardize operations’ overall implementation and reliability. One utility software implementation could delay the entire system or section of that system’s ability to reach the FERC Order 881’s mandate standards.

    5. Lack of Clarity and Communication

    In this article, we’ve discussed the concept of communication in several ways. It is emphasized here because the absence of detailed information about upgrades and enhancements to others, such as stakeholders in the RTO, ISO, or individual utility companies, creates concern. A lack of clarity in the timeline or lapses in communication among members of this expanded team can jeopardize meeting the FERC mandate. It is essential to have a clear and firm timeline from transmission operators and owners, ensuring that all stakeholders can adequately prepare for the upcoming changes.

    Our solution Advanced Facility Ratings Module is designed to assist with compliance with FERC 881.  Schedule a demo today to see how IPS can help you meet this upcoming mandate.