DEPARTMENT OF THE ARMY
ETL 1110-2-550
U.S. Army Corps of Engineers
Washington, DC 20314-1000
CECW-EE
Technical Letter
No. 1110-2-550
30 May 1997
Engineering and Design
RELIABILITY ANALYSIS OF HYDROPOWER EQUIPMENT
1. Purpose
a. In FY 1992, major rehabilitation projects
began being budgeted under Construction, General,
This engineer technical letter (ETL) provides basic
and Flood Control, Mississippi River and
guidance for assessing the reliability of hydropower
Tributaries, appropriation accounts. Total
equipment and establishes an engineering basis for
implementation costs of hydropower rehabilitation
rehabilitation investment decisions. The
projects must be in excess of .3 million for FY
methodology, concepts, and background
1998 submittals, and the work must extend over
information are briefly stated with further
two full construction seasons to qualify under the
explanation and examples in the appendices. This
major rehabilitation program. The cost threshold
letter also references the hydropower benefits
amounts are adjusted annually for inflation as
analysis and the economic models as they relate to
published in the Annual Program and Budget
hydropower rehabilitation projects.
Request for Civil Works Activities, Corps of
Engineers, EC 11-2-172. Proposals for these
projects are subjected to a much more rigorous
2. Applicability
economic analysis than in the past. Not only is it
necessary to show that the monetary benefits of
This ETL applies to all HQUSACE elements and
major rehabilitation work exceed the cost, but it
USACE commands having responsibilities for civil
must also be demonstrated that each component in a
works hydroelectric power plant projects.
rehabilitation plan is incrementally justified and that
the combination of components proposed yields the
maximum net benefits. In short, proposals for
3. References
major rehabilitation work must be supported by the
same level of economic analysis as that for new
Required and related publications are listed in
water resource development projects. The Chap-
Appendix A.
ter 3 of the ER 1130-2-500 establishes the policy
for major rehabilitation at completed Corps
projects. The Chapter 3 of the EP 1130-2-500
4. Background
established guidance for the preparation and
submission of Major Rehabilitation Projects
Reliability analyses are a required and significant
Evaluation Reports for annual program and budget
part of the economic justification for funding of
submissions. They should be consulted for the most
rehabilitation and major maintenance projects.
recent policy on types of improvements that can be
pursued under the Major Rehabilitation program
This technical letter supersedes ETL 1110-2-337, dated 30 June 1994.
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