Economic sustainability of urban power distribution asset management: A framework for stability planning in metropolitan grids

• Established an economic model for reducing blackouts and best practices in electric distribution. • Combined a conceptual framework for evaluating the economic sustainability of asset management. • Assessed the impact of investment and repair shortages on outages and system stability. • Implemented the model on a real electricity distribution network in Iran. • Investigated the effect of external factors like inflation and energy demand on maintenance costs. Urban electricity infrastructure is critical for sustainable cities, yet aging assets, investment deficits, and rising operational costs threaten its economic resilience. This study develops a comprehensive economic optimization framework for asset management in metropolitan distribution grids, ensuring operational stability while minimizing outage-related costs. By integrating factors such as inflation, regulatory penalties, and load growth, the model quantifies the impact of repair shortages on system reliability and economic sustainability. The framework is validated through a case study of Tehran’s metropolitan grid, demonstrating its applicability to large cities facing rapid urbanization and infrastructure challenges. Results show that optimized crew allocation and proactive maintenance reduce outage costs by 22 % while enhancing grid resilience. The model supports SDG 11 (Sustainable Cities) by enhancing infrastructure resilience and SDG 7 (Affordable Energy) through optimized resource allocation. Findings provide actionable insights for urban policymakers on balancing O&M investments, regulatory penalties, and inflation impacts to achieve long-term infrastructure sustainability.