A method for systematic resource allocation for improved nuclear power plant performance

An investigation was made on plant improvement investments in terms of the methods and criteria used in cooperation with the staffs of a group of nuclear power plants, aiming to understand better the methods used within US nuclear power plants for allocating investments. Cost analyses were being used the authors translated the process into a mathematical format. A spectrum of practices, ranging from use of informal power relationship-based processes to format benefit was found among different organizations. Cost-based processes structured to take into account a broad range of decision factors. Factors such as cost results, risk aversion and required uncertainty premiums were included in the treatment. Ultimately, competing investments can be ranked using the method presented in order of their return upon investment at an equivalent level of uncertainty. A method for ranking the attractiveness of nuclear power plant investments is presented which takes into account consistently factors of return upon investment, uncertainty and decision-maker risk aversion. Hopefully its use will result in improved decisions. (M.N.)