The new communication standard IEC 61850 is introduced in Substation Automation replacing almost all traditional wires by serial communication. Based on mainstream communication means like Ethernet it provides a high flexibility regarding communication architectures. Due to its flexibility utilities are concerned about the process of specifying an IEC 61850 based Substation Automation systems. Based on experiences gained during the initial introduction of Substation Automation systems utilities are worried that they will not specify what is necessary. Main task for the specification is to assure that all specific requirements will be met and that at the same time a maximum use of all possible benefits is assured. This paper addresses the key issues related to the specification of an IEC 61850 based Substation Automation System. The findings are summarized as follows. Use a strictly functional specification for Substation Automation systems. Add performance and availability requirements and check whether all interfaces to the systems surrounding the SA system are covered and defined. Then allow manufactures and/or system integrators to supply a technically and economically optimized system. Finally in the specifications and the other tendering documents the role of each involved party, especially that of the system integrator must be defined and should be properly negotiated.
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