Load testing standby power plants for business continuity risk management

What are Loadbanks?

Consequential loss claims faced by insurers following power failures can be colossal and many businesses do not recover. 

A load test, using a loadbank as a test instrument, can “prove” the capability of any standby system to do the duty required when called upon to work in an emergency. 

This will migrate the risk that a claim will arise as a consequence of power outages.

Loadbanks, manufactured by Crestchic Limited, provide a means to commission, test and service all types of power sources, including generators, turbines, batteries and fuel cells.

They do this by providing an electrical load which can be controlled remotely and simulate demand in real operating conditions.

Loadbanks can provide a variable resistive load (kW), a resistive/reactive load (kVA) at a variable of fixed power factor or a DC load for the discharge of batteries.

Why insurers should make use of a loadbank a condition of insurance

Everyday across industries worldwide, power failure or disturbance leads to loss of valuable data, waste of raw materials, decreases in productivity, increases in production time.  The consequential losses are immense and the cost to insurers staggering.  But these could be drastically reduced by making the use of a loadbank a condition of insurance.

A full test using a loadbank is essential for business continuity planning and should be completed before any assumption of risk.  This is a very important aspect of overall risk management as most power failures are as a result of human error, poor maintenance or planning, rather than war, terrorism or natural disasters.

Initially there should be a witness test of the performance of the standby system following its installation and commissioning or any major upgrade.  The witness test should include:

• “Black starting” to ensure that in the event of a mains power failure the standby system is capable of taking up the full load within a time frame of ten to fifteen seconds of the generator starting.  This is done by using the loadbank to ‘mimic’ the full operational load of the building or process.
  
  
• Using the loadbank to simulate power failure under full demand to ensure that the controls and switch panels work as expected in real conditions, and that the automatic transfer switch that regulates the main loads continues to operate in sequence.
  
• Testing the generator on full load at optimum operating temperature to reduce the chances of “wet stacking” which can cause engine failure.

Crestchic – a load test solution you can rely on

Following the initial testing and commissioning of the power plant, regular use of loadbanks to retest and service the systems, particularly in the event of any change in the building or process’s power profile, will ensure correct operation in the correct operation in the event of an emergency. 

In addition, any change in the generator itself should also be subject to comprehensive testing as this may cause the output to change.

Regularly discharging the UPS batteries using a DC loadbank will ensure they can be maintained in their fully charged state for as long as possible and will be able to assume the duty for the critical few seconds before the generator takes up the load.

Power loss costs insurers staggering amounts of money.  There is a solution.  Make the possession of a load test certificate a condition of your insurance.