This paper develops a two-stage stochastic program and solution procedure to optimize the selection of seismic retrofit strategies to increase the resilience of electric power systems against earthquake hazards. The model explicitly considers the range of earthquake events that are possible and, for each, an approximation of the distribution of damage experienced. This is important because electric power systems are spatially distributed and so their performance is driven by the distribution of component damage. We test this solution procedure against the nonlinear integer solver in LINGO 13 and apply the formulation and solution strategy to the Eastern Interconnection, where seismic hazard stems from the New Madrid seismic zone.

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