Change of paradigms in complexity and interdependencies of infrastructures: The case for flexible new protocols

In this paper a brief assessment of the technical, economic and regulatory paradigms underlying design and operations of complex infrastructures is provided. First, a description is given for the industry as it was. This is followed up by the industry in transition driven by technological advances and regulatory restructuring. It is concluded that a major qualitative change of paradigm has taken place. The paper describes the fundamental nature of this change, and its implications on the evolution of the infrastructure systems, their performance. Although the illustrative examples are mainly from the electric power industry, the change of paradigm described here can be found throughout the network type infrastructure industries, such as the airline industry, gas/fuel supply and delivery, and, more generally, transport industries. The paper identifies a major missing R&D piece well posed and flexible industry protocols for interactions among various newly evolved, unbundled sub-entities within each specific infrastructure, as well as for interactions among re-bundled entities across several infrastructures. It is suggested that these are essential for the infrastructure industries under the new operating paradigm to manage hidden complexities for predictable performance, technical and economic.