Cost Benefit Analysis for Electrical Loading System for Transformers of a Barangay

The study assessed the cost and benefit of electricalloading management of transformers. There is a seriousoccurrence of over and under loaded transformer which deeplyaffects the power quality or system loss and reliability of thedistribution lines. Initially, the percent loading of the 27transformers of Feeder 21 were identified using Microsoft Excel2016. Then, the identified transformers were classified into threecategories; overload (greater than 70%), under loaded (less than40%) and normal loaded (40-70%). Through this process, three(3) solutions were identified: Solution I - change the transformerrating, Solution II – merge and transfer transformer loadsandSolution III - combine solution I and II. The three-solution usedto identify the new percent loading to meet the normal percentloading (40-69%). Subsequently, the reduced Core and CopperLosses, Annual Energy Save, Savings and Benefit/Cost Ratio werecomputed and analyzed to determine the impact ofloadingmanagement. The results show that there was anaccumulated savings of Php 332,060.08 for Solution I, Php92,043.09 for Solution II and Php 252,045.78 for Solution III. Inthe case of Benefit/Cost ratio it should be greater than 1 (>1) for aproject to be economically feasible and justifiable; Solution I was1.22, Solution II was 687.3 and 1.93 for Solution III. Based on theresults of the study, SolutionIII was best among the three, for ithas met the criteria of all transformers were all in normal loaded(40-70%) condition, and greater than 1 benefit/cost ratio.