Distribution Integrity Management Program
Unlock the hidden business value
Efficiency in Pipeline Integrity Management (PIM) practices has a significant impact on the ability of a gas utility to create shareholdervalue. Aspects of PIM such as leaks and incidents not only increase the cost of operations but also impair the revenue earning potential. Furthermore,efficient PIM practices can enhance the economic life of pipeline assets, thereby increasing the total lifecycle business value realization from pipelineinfrastructure investments. The non-prescriptive nature of the Distribution Integrity Management Program (DIMP) regulation provides a tremendous
opportunity for gas utilities to innovate and develop a plan with a strong focus on business value creation while complying with the regulation. Thetheme of DIMP is
of pipelines. It
s imperative for gas utilities to transcendbeyond structural integrity management to adopt a more comprehensive approach, encompassing dimensions of operational maturity to predict,prevent and mitigate risks and the associated commercial implications to the business.
Priorities of DIMP and PIM Framework
How do I create a DIMP strategy and roadmap and maximizethe ROI on DIMP investments?
How do I create a business case and prioritize my DIMP
initiatives so that the shareholder value is maximized?
Do I have data, information and knowledge about my pipelinesystem to objectively measure, monitor and assess risks?
Do I have a comprehensive set of metrics to predict risks? Are
these metrics driving my operational decisions?
Is my leak management system capable of effectively detecting,
tracking and monitoring leaks?
Do I have comprehensive documentation of digitized records
and trends of pipeline integrity metrics?
Are my engineering and IT systems seamlessly integrated to
ensure data integrity and enable visualization of risks to my
Architecting a Value-based DIMP Roadmap
Every utility is unique in terms of its capabilityto manage risks to pipeline integrity; a cookie-
cutter approach to developing a DIMP plan
can at best be sub-optimal and a quick-fixsolution. The solution lies in designing a
well thought-out customized DIMP program,which addresses the specific challenges andlong-term business priorities of each utility,leading to creation of shareholder valuewhile meeting and exceeding the regulatory
objectives. Our solution framework, takes intoconsideration not just the health of the pipeline
system but also the capability/ maturity of
the PIM processes in terms of its ability topredict and prevent risks. In addition, our
VRMTM methodology helps in linking theDIMP initiatives with financial and operational
levers, creating a clear line of sight of how the
initiatives drive shareholder value creation.