ERW CommandPower

THE INTELLIGENT POWER LEADERSHIP PROGRAMME

From power-poor to decision-rich.

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15-Session Programme · 25 Minutes Per Day · Free · For leaders in Nigeria’s power and energy sector
WEEK 1 OF 3 · DEFINE THE DECISION AND CHOOSE THE OPPORTUNITY · SESSIONS 1–5 · WORK AT YOUR OWN PACE
This week’s assessments: Pop Quiz 1 — Decisions and Constraints after Session 3 · Practice Exam 1 — Define the Decision and Choose the Opportunity after Session 5
By Session 15: you hold a signed 90-Day AI Readiness Plan for your own company · Every assignment marked against a published rubric · Pass mark 70
Orientation · The Decision-Rich Power SectorSESSION 1
The Decision-Rich Power Sector and the Reader's Toolkit
Session 1 of 15 · 25-Minute Module

Why This Matters

Every power business is already rich in decisions. A maintenance decision affects the availability of a plant; a metering decision affects the credibility of a bill; a collection decision affects cash, service and customer trust. Artificial intelligence enters your business through those decisions, and its value depends on what your people can do with the output. Over fifteen sessions you will build a signed 90-Day AI Readiness Plan for your own company around one unresolved decision you choose today, one that currently costs your company time, money or service. A model may help you rank or explain it. Carrying it through to verified work is leadership, and that is what this programme trains.

25-Minute Module
5:00 – 9:00
One sector, different businesses, one starting point
  • The book covers generation, transmission, distribution, electricity supply, mini-grids and the organisations that develop and finance energy projects. Their responsibilities and economics differ. Where an example comes from a part of the sector you do not run, apply it to the nearest equivalent decision in your business, or to the counterpart you depend on.
  • The IEA discusses applications in forecasting, operations and innovation (IEA, Energy and AI, 2025). That establishes possibilities. A Nigerian operator must demonstrate its own operating and financial case.
  • The book's sources were checked on 9 October 2026. A sector statistic stays attached to its reporting period; a regulation is read within its jurisdiction.
  • My recommendation is to begin with one bounded decision, establish the baseline, protect customers and assets, and investigate at a cost the company can control. Waiting for a settled technology postpones learning; buying a broad platform first creates a different problem.
Possibility is not a business case; your own records are.
18:00 – 22:00
Use the toolkit in an executive meeting
  • Write one unresolved decision at the top of a page. Name the process, population, decision date and authorised owner. Describe the current method and the alternative of no change. Then walk the six frameworks in turn.
  • The decision record containsWhy
    Request and alternativesWhat was asked, including no change
    Evidence and uncertaintyWhat is known and not yet resolved
    Accountable ownerA named role, not a department
    Operating and cash consequencesWhat changes in the work and the money
    Next review dateWhen the choice is examined again
  • Preserve supporting records under controlled identifiers. If the recommendation changes, retain the earlier version and explain why.
  • THE DOCTRINE

    Another qualified reviewer should be able to reconstruct the choice without relying on the memory of the people in the room.

A good operating review ends with a decision and a named owner.
Key Terms

Evidence floor

The minimum evidence a process owner agrees a decision needs, stating which defects can be controlled and which prevent an output.

Decision record

Request, alternatives, evidence and uncertainty, accountable owner, operating and cash consequences and next review date, kept so another reviewer can reconstruct the choice.

Self-Check — Before You Submit
1. A fictional distribution company is offered a model that ranks meter inspections more accurately, but crews cannot mobilise for half the existing queue. What comes first?
  • A. Approve the model, since better ranking always helps
  • B. Fix the broken act stage and name its owner before attributing value to the model
  • C. Ask the vendor for a higher accuracy figure
  • D. Automate account action instead of inspecting
B. Fix the broken act stage and name its owner before attributing value to the model — The loop breaks at act. A better ranking may leave the backlog unchanged. A higher accuracy figure is tempting but does nothing for the stage that is failing.
2. Under the Operations-Excellence Lens, which is an operating outcome?
  • A. Alerts generated in a month
  • B. The model's reported accuracy
  • C. A verified finding and a completed response
  • D. Dashboard log-ins
C. A verified finding and a completed response — Alerts generated are activity, however many there are. A verified finding with a completed response is the operating outcome; attributable cash after incremental costs is the financial result.
3. A candidate use scores well on value, but a safety question about the action attached to its output is unresolved. How does the Value-versus-Risk Map treat it?
  • A. As a gate to resolve before the use proceeds
  • B. As one weakness averaged against the value score
  • C. As acceptable if the return is high enough
  • D. As a matter for the technology team
A. As a gate to resolve before the use proceeds — Unresolved safety, legality or essential control is a gate, not a weakness averaged into an attractive score. A high potential return does not remove an unacceptable exposure.

Today’s Assignment

Name your company, its part of the power and energy sector, and the one unresolved decision you will carry through this programme, and show where its Operating-Intelligence Loop breaks.
  • Your company. Its name, its part of the power and energy sector and what it must deliver.
  • The decision. One unresolved decision that costs your company time, money or service, with its process, population, decision date and authorised owner by role.
  • Current method and no change. How it is decided today, and what happens if nothing changes.
  • Where the loop breaks. Walk it through sense, decide, act and learn. Name the stage where it stops, why, and who owns that stage.
  • The honest part. What your company gets wrong about this decision today. No AI in use yet is normal.
  • Four hundred to nine hundred words.
YOUR 90-DAY PLAN

Section 1 — Our company, the one decision we will carry, and where its loop breaks.

How this is marked — the rubric
Names the company, its part of the sector and what it must deliver15
States one bounded decision with process, population, decision date and an owner by role, not a department30
Describes the current method and the consequence of no change15
Locates the loop break at a named stage with a reason and an owner25
Names a real weakness in the student's own company15
Total · pass mark 70100
Submitting session 1
Write your answer in Word or Google Docs. The first line must read Session: 1, or the submission is refused. Upload the Word file (.docx), or switch to the Google Doc tab and paste your document’s share link.
Marked against the rubric above and returned as a written letter, saved to your progress page. Do not submit until you have passed the self-check above.
Capabilities Covered
Decision-first thinkingThe six toolkit frameworksLocating the broken loop stageWriting a decision recordSeparating activity from outcome
Tick it once you have submitted.Next: Session 2 →
Chapters 1 to 4 · Define the DecisionSESSION 2
From Power-Poor to Decision-Rich
Session 2 of 15 · 25-Minute Module

Why This Matters

An executive can receive more reports and become less certain about the business. One report describes energy delivered, another invoices raised, a third collections against balances that include earlier arrears. Each may be correct within its own definition and together they may still fail to answer the decision before you. This session is about becoming decision-rich: a common account of what happened, an explanation of what can be changed and a route for making the change. You will read the regulator's published figures with care, define your decision so that it can actually change, and design a review that ends in work rather than in more charts. Most of this needs no technology at all.

25-Minute Module
5:00 – 11:00
Read sector figures with care
  • Three measures first, in plain words. Billing efficiency concerns the stage at which energy received becomes bills. Collection efficiency concerns the stage at which bills become cash. ATC&C, Aggregate Technical, Commercial and Collection loss, folds the technical, commercial and collection losses into one figure. Billing and collection are connected, but they are different stages of the commercial chain.
  • Aggregate DisCo measure (percent)Q1 2026Q2 2026
    Billing efficiency79.2478.67
    Collection efficiency78.9581.06
    ATC&C loss37.4436.23
  • Source: the book's Figure 1.2, from NERC's Second Quarter 2026 Report, sections 2.3.3 to 2.3.5 (reporting period April to June 2026), with Q1 2026 beside Q2 2026. Higher billing and collection efficiency and lower ATC&C loss are favourable.
  • Read the mechanism. Between the quarters collection efficiency rose while billing efficiency fell. An improved collection ratio does not establish that meter records improved; a lower aggregate loss ratio does not identify which investment caused the change. Nothing here attributes any movement to AI or to any programme.
  • THE DOCTRINE

    A board can use an external report to locate questions. It cannot substitute a sector aggregate for its own reconciled baseline.

  • Your company should identify its reporting perimeter, its measurement period and its transaction records. If internal figures disagree with a regulatory return, that inconsistency is itself an operating issue to resolve before a model is asked to explain performance.
When two of your own reports disagree, the disagreement is the first finding.
17:00 – 21:00
Conflicting objectives, and a review that leads to work
  • Power businesses face objectives that cannot always improve together. Require one primary outcome and the protective measures relevant to it. An improvement in one metric cannot excuse an unacceptable consequence elsewhere.
  • ON THE PLANT AND NETWORK · THE WORKED CASE
    • Plant and network. For maintenance in a fictional generating company, the outcome may be reduced failure exposure with approved operating limits preserved. Maintenance may require a planned outage, so the trade-off is stated, not hidden.
    IN THE COMMERCIAL CHAIN · THE PARALLEL
    • Commercial chain. For inspections in a fictional distribution company, verified useful findings may be the outcome, with wrongful accusations, complaints and crew safety as constraints. A collection drive may raise receipts while generating legitimate disputes if the bills are wrong.
  • Approval states which decisions can be delegated, which need specialist sign-off and which remain outside. Begin the operating review with exceptions requiring a decision: source record, interpretation, proposed response and owner.
  • THE DOCTRINE

    Separate unresolved evidence from unresolved decisions. If a record is disputed, establish the record. If the record is trusted but two departments disagree on priority, management must resolve the trade-off.

  • Where the company cannot identify an outage reliably, a generated answer should not invent a restoration time. Ask who is absent from the evidence: customers unable to use a digital channel, assets without inspection histories, events recorded only in another system.
Asking a model for more analysis can delay both kinds of unresolved work.
Key Terms

ATC&C loss

Aggregate Technical, Commercial and Collection loss: one combined loss figure across the technical, commercial and collection stages. Lower is favourable.

Protective measure

A constraint that must hold while the primary outcome is pursued, such as approved operating limits, crew safety or wrongful accusations avoided.

Self-Check — Before You Submit
1. Between Q1 and Q2 2026, Figure 1.2 shows aggregate DisCo collection efficiency rising from 78.95 to 81.06 percent. What may a board conclude?
  • A. Meter records across the sector improved
  • B. A specific investment caused the improvement
  • C. AI adoption in the sector is working
  • D. It may use the figure to locate questions, but not as a substitute for its own reconciled baseline
D. It may use the figure to locate questions, but not as a substitute for its own reconciled baseline — An improved collection ratio does not establish that meter records improved, and an aggregate change does not identify its cause. Attributing it to AI is the tempting error the book explicitly rules out.
2. In a fictional generating company, the maintenance and operations teams trust the same equipment record but disagree on which unit to take out for maintenance first. What is needed?
  • A. Management must resolve the trade-off
  • B. Further model analysis to settle the disagreement
  • C. A new data-quality project
  • D. A larger dashboard
A. Management must resolve the trade-off — The record is trusted, so this is an unresolved decision, not unresolved evidence. Asking a model for more analysis is tempting but delays the decision management must take.
3. Who should own the decision in a decision brief for inspection prioritisation?
  • A. The technology team that introduced the tool
  • B. The vendor supplying the model
  • C. An operating manager responsible for the affected process
  • D. The board's audit committee
C. An operating manager responsible for the affected process — The operating manager owns it. The technology team prepares evidence and implements, but should not quietly become responsible for commercial policy or engineering approvals.

Today’s Assignment

List the reports your decision relies on and where they disagree, define the decision so it can change, name its conflicting objectives and set a review that leads to work.
  • The reports. Every report your decision relies on in your company, with definition, perimeter and period. Where two disagree, say how.
  • The decision brief. Your decision against the six rows of the brief, naming the alternative already in use.
  • Conflicting objectives. One primary outcome, its protective measures, and what can be delegated and what needs specialist sign-off.
  • The review. How it will begin with exceptions and separate unresolved evidence from unresolved decisions.
  • The honest part. Where your business relies on an unreconciled figure, or reviews charts instead of assigning work. No AI in use yet is normal.
  • Four hundred to nine hundred words.
YOUR 90-DAY PLAN

Section 2 — Our reports, the decision defined so it can change, and the review that leads to work.

How this is marked — the rubric
Lists the reports with definitions and identifies a real disagreement between them25
Completes the decision brief with a dated baseline, the current alternative and an operating owner by role30
Names one primary outcome with specific protective measures and delegation boundaries25
Designs a review that starts with exceptions and separates evidence from decisions, with an honest weakness named20
Total · pass mark 70100
Submitting session 2
Write your answer in Word or Google Docs. The first line must read Session: 2, or the submission is refused. Upload the Word file (.docx), or switch to the Google Doc tab and paste your document’s share link.
Marked against the rubric above and returned as a written letter, saved to your progress page. Do not submit until you have passed the self-check above.
Capabilities Covered
Reading sector figures with careBilling versus collectionWriting a decision briefPrimary outcome and protective measuresReviews that lead to work
Tick it once you have submitted.Next: Session 3 →
Chapters 1 to 4 · Define the DecisionSESSION 3
The Real Constraint Is Decisions, Not Megawatts
Session 3 of 15 · 25-Minute Module

Why This Matters

The habit this session challenges is a common and expensive one: treating every performance problem as a request for more physical capacity. Generation, fuel, transmission capacity, distribution equipment and safe operating limits remain indispensable, and where the constraint is physical it must be addressed through engineering, commercial arrangements and investment. But many shortfalls in your company may sit elsewhere: in a contract, in poor information, in delayed authority or in a known action nobody executes. Before you approve any investment, AI or otherwise, you need to know which. Today you locate the constraint behind your decision, trace the whole transaction and decide what level of automation, if any, the decision deserves.

25-Minute Module
5:00 – 11:00
Trace the whole transaction
  • Each stage of a power transaction has its own record and its own authority. A problem at one stage can appear downstream as a different problem.
  • ON THE PLANT AND NETWORK · THE WORKED CASE
    • Plant and network. For a gas-fired generator, the chain may include fuel nomination, confirmation of supply, unit availability, permitted dispatch, metering and settlement. A forecasting tool can support fuel planning, but a nomination must still respect the contract and operating requirements.
    • A model trained only on actual generation can mistake fuel interruption or curtailment for equipment failure, and recommend maintenance for the wrong cause. Preserve why output was restricted. An unknown cause should remain unknown until it is established.
    IN THE COMMERCIAL CHAIN · THE PARALLEL
    • Commercial chain. For a distribution company, trace energy received, energy measured, accounts billed, payments received and allocation to the correct balance.
    • An incorrect customer-to-meter mapping can look like unusual consumption. A payment allocated to the wrong account can make a paying customer appear delinquent. Prioritising that customer more aggressively would compound the record defect.
  • In both halves a downstream symptom can be an upstream record defect.
  • Ask your team to trace a sample of complete transactions before anyone proposes automation. Include ordinary cases and known exceptions. The purpose is to find where evidence changes form, where decisions wait and where responsibility becomes unclear.
  • This exercise is diagnostic. It is not a statistically sufficient evaluation of a model. It helps define the evaluation that is needed.
Follow one real transaction end to end before you read another dashboard.
16:00 – 21:00
Match automation to the decision, and test the funding choice
  • Not every delay needs machine learning. A reminder can resolve a missing response. A better form can prevent incomplete information. A clear rule can route a routine exception. When the decision is stable and its rule explicit, a conventional workflow may be cheaper and easier to maintain than a learned model.
  • Machine learning becomes worth investigating when useful patterns are not captured by the simpler method. Work backwards from the time available: a recommendation arriving after a schedule is locked is too late, however strong its retrospective accuracy. Keep a fallback its users have practised.
  • THE DOCTRINE

    An investment committee should receive a constraint statement: what prevents the desired outcome today, what the proposal can change and which obstacles will remain.

  • If better inspection ranking is expected to create value, show inspection capacity and the route from finding to correction. If an outage warning is expected to reduce disruption, show the response time and the actions engineering will permit. These dependencies belong in the investment case, not in a later implementation discussion.
  • Compare the proposal with other uses of the same capital: metering, spare-parts arrangements, a revised approval process. Trace upstream to the earliest decision you can usefully change now; a missing spare part may trace back to stocking policy. Keep the measures of separate interventions separate.
A physical investment may be necessary while better decisions set its timing.
Key Terms

Execution latency

The time from approval to completed work, which can be held up by spare parts, site access or procurement rather than by information.

Fallback

The practised procedure staff follow when a new service is unavailable: return to the current method, defer the decision or escalate.

Self-Check — Before You Submit
1. Approved repairs in a fictional distribution company wait weeks for spare parts. A vendor offers a faster recommendation service. What does the book's diagnosis suggest?
  • A. Buy it, since faster recommendations shorten every delay
  • B. The constraint is execution latency; a faster recommendation will not remove it
  • C. Replace the maintenance team
  • D. Ask the vendor to add spare-parts forecasting to the same model
B. The constraint is execution latency; a faster recommendation will not remove it — Separating decision and execution latency stops management buying a faster recommendation for a spare-parts problem. A parts forecast is tempting, but the earlier issue may be stocking policy.
2. A routine exception is decided by a stable, explicit rule, but cases are often routed to the wrong desk. What should be tried first?
  • A. A learned model trained on past routing
  • B. A copilot that drafts routing suggestions
  • C. A larger data platform
  • D. A clear rule in a conventional workflow
D. A clear rule in a conventional workflow — When the decision is stable and its governing rule is explicit, a conventional workflow may be cheaper and easier to maintain than a learned model. Machine learning becomes worth investigating when useful patterns are not captured adequately by the simpler method.
3. Why might a model trained only on actual generation recommend the wrong maintenance?
  • A. It may mistake fuel interruption or curtailment for equipment failure
  • B. Generation data is never accurate
  • C. Models cannot be used in generation
  • D. Maintenance records are always complete
A. It may mistake fuel interruption or curtailment for equipment failure — Without preserving why output was restricted, low output from fuel or dispatch limits can look like equipment failure. The fix is to keep maintenance records, operating conditions and restrictions in the evidence, not to abandon models in generation altogether.

Today’s Assignment

Locate the constraint behind your decision, trace one whole transaction, measure its delay against the correct clock, choose the right level of automation and test the funding choice.
  • The constraint. Which of the five causes apply to your decision in your company: physical limit, contract restriction, poor information, delayed authority or failure to execute a known action. Show how they interact.
  • The whole transaction. Trace one complete transaction, and one known exception, from first evidence to settlement, cash or closure. Say where the evidence changes form and where responsibility becomes unclear.
  • The clock. Place the delay in the four categories, separating decision latency from execution latency, and say what you know about the tail of the queue.
  • The level of automation. Whether the decision needs a model or a simpler method: a reminder, a better form or a clear rule. Name the fallback.
  • The funding test. A short constraint statement and the competing interventions for the same capital. Be honest about what your company has so far tried to buy its way out of.
  • Four hundred to nine hundred words.
YOUR 90-DAY PLAN

Section 3 — The constraint located, the whole transaction traced and the right level of automation.

How this is marked — the rubric
Names the binding constraint among the five causes and shows how causes interact25
Traces a whole transaction and an exception with the stages where evidence and responsibility change25
Separates decision latency from execution latency and addresses the tail, not only the average20
Justifies the level of automation against a simpler method and writes a constraint statement with competing interventions30
Total · pass mark 70100
Submitting session 3
Write your answer in Word or Google Docs. The first line must read Session: 3, or the submission is refused. Upload the Word file (.docx), or switch to the Google Doc tab and paste your document’s share link.
Marked against the rubric above and returned as a written letter, saved to your progress page. Do not submit until you have passed the self-check above.
ASSESSMENT NOW OPEN

Pop Quiz 1 — Decisions and Constraints opens now. Sit it before you start the next session — it is how you find out whether the doctrine landed, and the practice papers may be resat as often as you like.

5 questions · 10 minutes · covers Sessions 1–3 · pass mark 70
Sit Pop Quiz 1 →Closed book, no notes, and Coach Ritchie switches himself off while you sit it.
Capabilities Covered
Locating the binding constraintDecision versus execution latencyTracing the whole transactionRight-sizing automationConstraint statements for investment committees
Tick it once you have submitted.Next: Session 4 →
Chapters 1 to 4 · Define the DecisionSESSION 4
What AI Is and What It Is Not
Session 4 of 15 · 25-Minute Module

Why This Matters

AI is a broad label, and broad labels are where poor investment decisions hide. A proposal that says it will use AI tells your investment committee almost nothing about what the system estimates, how it could be wrong, or what control it needs. This session replaces the label with the function: a forecast, a classifier, an anomaly detector, a language model or an optimisation method. Each needs a different test. You do not need to train a model. You do need enough understanding to decide whether your company can rely on one, under what conditions and with which controls, and to explain its limits to your board in plain language.

25-Minute Module
5:00 – 10:00
Treat a prediction as conditional evidence
  • A prediction is evidence that holds only under conditions, above all the records it learnt from. A dataset of completed maintenance orders may omit assets never inspected. More records do not help if they repeat the same selection process.
  • A prediction is not a causal explanation. An association between asset age and recorded failure does not establish that replacing equipment by age alone is the best intervention. Engineering retains responsibility for treatment.
  • Customer payment history has similar limits. A relationship with future payment does not determine whether a bill is accurate or lawful. A model trained on disputed accounts may learn the consequences of billing defects and present them as customer risk.
  • THE DOCTRINE

    A label such as high confidence does not establish calibration against outcomes. Ask how often the outcome occurred among comparable scores, and whether that holds in the intended population.

A model's pattern reflects what your company chose to record.
15:00 – 21:00
Evaluate against the operating alternative, and explain the limitation
  • An accuracy figure without context is not a business case. Test only with information available at the time of the decision. If later corrections leak into the inputs, a retrospective test can look strong while providing no usable prediction live. Time-dependent tasks generally need chronological evaluation.
  • Compare the model with the current rule, a simpler statistical method and the manual process, where they are meaningful alternatives. For alerts, management needs the workload created, the useful findings and the significant cases missed.
  • OutputEvaluation questionControl in use
    ForecastIs error acceptable at the required horizon?Show uncertainty and refresh when conditions change
    ClassificationWhich cases are missed or incorrectly flagged?Require evidence before consequential action
    Anomaly alertDoes investigation establish a useful exception?Record findings and unresolved cases
    Generated textAre statements supported by applicable sources?Provide source access and accountable review
    Optimised planAre objectives and constraints correct and feasible?Obtain engineering or commercial approval
  • ON THE PLANT AND NETWORK · THE WORKED CASE
    • Plant and network. A maintenance prediction is not an engineering diagnosis. In a fictional transmission business, an incorrect flag can consume scarce inspection capacity and a missed defect can leave exposure untreated.
    IN THE COMMERCIAL CHAIN · THE PARALLEL
    • Commercial chain. A suspicious pattern is not a proven irregularity. In a fictional electricity supplier, an incorrect flag can cause unfair customer attention. Both sides ask the same question: what will the user do if it is wrong?
  • For the board: NIST's AI Risk Management Framework 1.0, published in 2023, is voluntary guidance that can structure questions. It does not make an operation compliant with Nigerian electricity requirements. Tell the board what the service does, its evidence, known limitations and prohibited uses.
A score that ignores investigation capacity is detached from the decision.
Key Terms

Calibration

Whether displayed scores match reality: how often the outcome actually occurred among comparable scores in the intended population.

Chronological evaluation

Testing a model only on information available at the time of each decision, in time order, so later corrections cannot flatter the result.

Self-Check — Before You Submit
1. A vendor reports excellent accuracy for a fault-prediction model. You learn that the test inputs included corrections entered after each work order closed. What is the problem?
  • A. Accuracy figures are never relevant
  • B. The model should be tested on more data of the same kind
  • C. The test used information not available at the time of the decision, so live performance is unproven
  • D. The model needs a language interface
C. The test used information not available at the time of the decision, so live performance is unproven — If later corrections enter the inputs, a retrospective test can look strong with no usable live prediction. More data assembled the same way repeats the flaw.
2. Which statement about the NIST AI Risk Management Framework 1.0 matches the book?
  • A. It is voluntary guidance that can structure questions but does not make an operation compliant with Nigerian electricity requirements
  • B. It is a Nigerian regulatory requirement for DisCos
  • C. Following it makes an AI service compliant
  • D. It replaces engineering approval
A. It is voluntary guidance that can structure questions but does not make an operation compliant with Nigerian electricity requirements — It is voluntary guidance published in 2023. Treating it as a compliance badge is the tempting error; local duties must still be mapped to the actual use.
3. A fictional distribution company's payment-risk model was trained on accounts that include many disputed bills. The commercial director wants to escalate collections on its top-scored customers. What should the executive require first?
  • A. Nothing; the model has learned payment behaviour
  • B. Transaction evidence and a challenge process before consequential action
  • C. A higher confidence label on the scores
  • D. A switch to a larger model
B. Transaction evidence and a challenge process before consequential action — A model trained on disputed accounts may learn the consequences of billing defects and present them as customer risk. A high confidence label does not establish calibration, so evidence and a challenge route come before action.

Today’s Assignment

State the kind of output your decision would use, how it would be tested against the current method, what generated text would need before anyone relied on it, and how you would explain the limitation to your board.
  • The output. Replace the word AI in your company's decision with the function: forecast, classifier, anomaly detector, language model or optimisation method. Show input, output and proposed operating action separately. If none applies, say so.
  • Conditional evidence. What the output would learn from, what those records omit, and why its pattern may not be causal.
  • The test. How it would be evaluated against your current rule, a simpler method and the manual process, using only information available at the time of the decision. Name the errors that matter and the workload they create.
  • Generated text. If any language output is involved, what source, version and reviewer it needs before anyone relies on it. If none, say what would stop one creeping in.
  • The board paragraph. What the service would do, its limitations and prohibited uses, and what the user does when it is wrong. Be honest about where your business has trusted a figure because it looked precise.
  • Four hundred to nine hundred words.
YOUR 90-DAY PLAN

Section 4 — The output we would use, its test against the current method, and the limitation in board language.

How this is marked — the rubric
Names the output by function and separates input, output and operating action20
Explains the data's omissions and the limits of prediction without overstating causation20
Designs a test against the current method using only information available at decision time, with error types and workload30
Writes a board-ready limitation statement covering prohibited uses and the consequence of a wrong output30
Total · pass mark 70100
Submitting session 4
Write your answer in Word or Google Docs. The first line must read Session: 4, or the submission is refused. Upload the Word file (.docx), or switch to the Google Doc tab and paste your document’s share link.
Marked against the rubric above and returned as a written letter, saved to your progress page. Do not submit until you have passed the self-check above.
Capabilities Covered
Naming the output, not the labelPrediction versus explanationReviewing generated languageTesting against the current methodExplaining limits to the board
Tick it once you have submitted.Next: Session 5 →
Chapters 1 to 4 · Choose the OpportunitySESSION 5
Where AI Actually Creates Value in Power
Session 5 of 15 · 25-Minute Module

Why This Matters

The same analytical method can have different economics in different parts of the sector. A generator, a distribution company, a transmission asset owner, a system operator, a supplier, a mini-grid developer and a financier each receive a recommendation with different authority and different cash. Value belongs to the business that can act. This session closes Week 1: you will follow the recommendation to the business that receives it, test whether a technical improvement converts into financial value, and select one use your company can execute. Sometimes the honest answer is a foundation repair or a simpler method.

25-Minute Module
5:00 – 11:00
Generation, transmission and the conversion test
  • The conversion test, in plain words: does a technical improvement turn into money under the conditions the business really faces? More technically available capacity does not necessarily create more saleable output.
  • ON THE PLANT AND NETWORK · THE WORKED CASE
    • Plant and network. For a generator, prioritise investigation of a defined failure mode, with the lead time a useful intervention needs. The recommendation may justify closer review or a diagnostic test; it does not acquire authority to alter protection settings or operating limits. A rise in discovered defects may reflect better investigation, not deterioration.
    IN THE COMMERCIAL CHAIN · THE PARALLEL
    • Commercial chain. For the same generator, fuel, dispatch, network access and settlement conditions can restrict production or revenue. Finance counts the additional contribution attributable to the intervention under those conditions, and does not count avoided failure costs again if they are already in it.
  • Transmission and system operation. NERC's Who Does What Under the Electricity Act 2023, published on 30 April 2026, distinguishes TCN's transmission infrastructure role from NISO's system-operation and market-administration role. Identify the decision owner from the task.
  • Work affecting protection, switching, dispatch or system security needs the relevant engineering authority. A planning study, a day-ahead forecast and a real-time response have different evidence needs, and value here should not be forced into a retail collection formula.
Count each benefit once, and only where it reaches your cash.
16:00 – 21:00
Supply, mini-grids, projects, and a use you can execute
  • Electricity supply. State the unit, settlement interval, agreement and counterparty. Keep a forecast separate from the contractual quantity and a reported delivery separate from an accepted settlement. A model should not silently amend prices, volumes or obligations.
  • Mini-grids. Stated interest differs from observed use, and consumption under limited supply may understate unconstrained demand. The NERC Mini-Grid Regulations 2026, section 4, set scope thresholds of up to 5 MW per site for isolated mini-grids and 10 MW per site for interconnected mini-grids, and address jurisdiction where a state regulator has assumed intrastate oversight. Verify your project's actual jurisdiction rather than apply an older threshold from memory.
  • Development projects. Document analysis cannot establish physical completion merely because a report says work is complete; approved drawings, inspection records and engineering acceptance remain necessary.
  • SegmentCandidate decisionEvidence to establishValue to test
    GenerationPrioritise a defined equipment inspectionCondition records and verified failure historyAdditional contribution or defensible avoided cost
    DistributionSelect meter or account records for investigationAccount, meter, billing and field findingsVerified corrections and attributable net cash
    Transmission assetsPrioritise an asset-risk reviewInspection findings and asset historyBetter risk treatment and work priority
    System operationEvaluate a forecasting aidTime-aligned operating and forecast recordsUseful forecasting and decision support
    Mini-gridAssess a site or operating scheduleDemand, resource and service evidenceFeasible service at a justified lifecycle cost
    Project deliveryEscalate a package dependencyApproved documents and verified progressReduced avoidable delay or rework
  • These are candidate uses, not documented deployments. State who pays, who acts and who benefits; exclude benefits your company cannot receive.
Keep a simpler alternative and a foundation repair on the list until the evidence removes them.
Key Terms

Controllable operating loss

A recurring loss the company has records for and can change through a better decision within the intervention.

Attributable contribution

The additional contribution that can be credited to the intervention itself, after the conditions that restrict output or revenue are taken into account.

Self-Check — Before You Submit
1. A fictional generating company forecasts that a maintenance model will add technically available capacity and values all of it at the full tariff. What is wrong?
  • A. Nothing, if the model is accurate
  • B. Available capacity should be valued at a higher rate
  • C. Maintenance models cannot create value
  • D. Fuel, dispatch, network access and settlement can restrict saleable output; only attributable contribution under those conditions counts
D. Fuel, dispatch, network access and settlement can restrict saleable output; only attributable contribution under those conditions counts — More available capacity does not necessarily create saleable output. Accuracy is the tempting answer, but an accurate model still fails the conversion test if fuel or dispatch prevent sale.
2. How does the book say Figure 4.1's gaps between ATC&C targets and Q2 2026 actuals should be used?
  • A. As a ranking of each DisCo's AI readiness
  • B. To frame a diagnosis, then examine the company's own feeders, accounts and collection cohorts
  • C. As the loss an AI programme can recover
  • D. As evidence that targets are unrealistic
B. To frame a diagnosis, then examine the company's own feeders, accounts and collection cohorts — The gaps invite diagnosis; they do not rank AI readiness or measure a loss AI can necessarily recover. Promising to close the whole gap assumes effects the model has not demonstrated.
3. A fictional distribution company's anomaly model flags a customer whose consumption fell sharply. What should happen?
  • A. Investigate, considering meter replacement, occupancy, outages and account mapping, and record the verified explanation
  • B. Disconnect the customer as a suspected thief
  • C. Ignore the flag, since anomalies are usually wrong
  • D. Add the customer to a fraud list pending review
A. Investigate, considering meter replacement, occupancy, outages and account mapping, and record the verified explanation — An anomaly warrants investigation but is not proof. A fraud list pending review is the subtler error: it labels the case before any explanation is verified.

Today’s Assignment

Follow the recommendation to the business in your company that receives it, apply the conversion test to the value claimed, and select one use your company can execute.
  • The receiving business. Who receives the recommendation, who can act and who receives the benefit. Name any counterpart your company depends on, by role.
  • The controllable loss. Whether your decision addresses a loss that recurs often enough to evaluate, has usable records and can be changed by a better decision.
  • The conversion test. The value claimed, the conditions that could stop it reaching your company's cash, and what must be excluded or not counted twice.
  • The use you can execute. One use as a row of the segment table, with what could prevent execution. Keep the simpler alternative and any foundation repair visible.
  • The honest part. Where your business has counted a benefit it could not receive. No AI in use yet is normal: apply this to the proposal in front of you.
  • Four hundred to nine hundred words.
YOUR 90-DAY PLAN

Section 5 — The business that receives the recommendation, the conversion test and the use we can execute.

How this is marked — the rubric
Identifies who receives, who acts and who benefits, including any counterpart dependency25
Applies the conversion test with the specific conditions that restrict value and avoids double counting30
Selects one executable use with evidence, value measure and named obstacles to execution30
Keeps a simpler alternative or foundation repair visible and names an honest past error15
Total · pass mark 70100
Submitting session 5
Write your answer in Word or Google Docs. The first line must read Session: 5, or the submission is refused. Upload the Word file (.docx), or switch to the Google Doc tab and paste your document’s share link.
Marked against the rubric above and returned as a written letter, saved to your progress page. Do not submit until you have passed the self-check above.
ASSESSMENT NOW OPEN

Practice Exam 1 — Define the Decision and Choose the Opportunity opens now. Sit it before you start the next session — it is how you find out whether the doctrine landed, and the practice papers may be resat as often as you like.

15 questions · 25 minutes · covers Sessions 1–5 · pass mark 70
Sit Practice Exam 1 →Closed book, no notes, and Coach Ritchie switches himself off while you sit it.
Capabilities Covered
Following value to the business that actsThe conversion testReading published loss figuresAnomaly is not proofSelecting an executable use
Tick it once you have submitted.Next: Session 6 →
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