The unreliability of electricity supplies is a major cause of the high cost of manufacturing in developing countries. In this paper, we are able to measure the cost imposed by power outages and suggest some feasible mitigating measures. The study employs a rich, if not unique, set of data from...

This research examines households’ willingness to pay (WTP) for an improved electricity service. Households’ stated WTP is estimated using the choice experiment method (CE). The data used in the estimations came from 350 in-person interviews conducted during the period 5–22 August 2008 in...

This research examines households’ willingness to pay (WTP) for an improved electricity service. Households’ WTP is estimated using the contingent valuation (CV) method on data from 350 in-person interviews in North Cyprus. In order to avoid the cost of outages, households are willing to...

Because hydro dams are complex to design and usually involve long-term planning, they are particularly susceptible to cost and time overruns. The controversy surrounding their development remains an unresolved issue in the energy policy debate. This study re-examines the cost issues associated...

A Power Purchase Agreement (PPA) is at the heart of any BOT or BOO type power generation project that is to be undertaken by an Independent Power Producer (IPP). During the past decade privately owned IPPs selling electricity to the power industry has become common place. Such arrangements...

For most electric utility in developing countries the choice of generation technology, the type of financing that is available, the type of ownership of the facility, and electricity tariff policies are not independent variables. This paper reports on an integrated financial, economic and...

While the methodology for the evaluation of electricity generation investments is well developed, little work has been done on how to segregate and compare the costs and benefits of electricity distribution facilities. Distribution projects have been usually treated as a required technical part...

In the past, most evaluations of the electric utility investments have been based on the assumptions that the suppliers of electricity would provide the quantity of energy demanded at an acceptable level of reliability. The question addressed in most of the investment appraisals has been: “is...

Many public electric utilities and countries in Africa are capital constrained while the growth in demand for electricity is increasing. In this paper an economic analysis is carried out that investigate the efficiency of investing in solar photovoltaic (PV) power plants for grid generation in...

In this article we argue that the conventional financing and contractual arrangements in private power generation projects encourage the independent power producers (IPPs) to overstate the capital cost as a risk-mitigation strategy. Since the markup is only added to the capital cost, and not to...