Controlling the costs of materials management (inventory control) and operations and maintenance (O&M) are major concerns for all power plant owners. According.to a Frost & Sullivan report, overcapacity and rising natural gas prices have effected a revamp in the operation and maintenance (O&M) paradigm of old and new power plants in the U.S. The conversion of many baseload plants to cycling units, and the extension of intervals between scheduled outages, is changing the way power plants are operated and/or maintained. With electric power markets becoming more competitive many electric utilities in recent years have reduced power plant staffing levels through downsizing and retirement. As a result, plants have lost highly qualified operators and maintenance personnel, and many power plants that previously did most of their own maintenance are now looking at outsourcing some or all of the maintenance and materials management.
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