Advertisement

Prepaid Metering as an Instrument for Power Development

A Prepaid Metering System Can Ensure the Collection of Bills in Advance and Limit the Unauthorised Electricity Usage in Bangladesh
  • Sakib Bin AminEmail author
  • Saanjaana Rahman
Chapter

Abstract

One of the important concerns in Bangladesh that provoke the power crisis scenario in Bangladesh is power theft. Power theft can occur in numerous forms such as stealing, meter tampering, billing irregularities, and unpaid bills. Theft of power in Bangladesh in 2016 was estimated to be 14% which is around 2400 megawatt hour (MWh). This is quite alarming situation since, at this rate, power worth approximately BDT 5 billion is stolen from the national grid leading to serious negative implications on the Bangladesh economy. Introduction of a prepaid metering system can reduce the power theft in Bangladesh. It is not only that the consumers have benefitted from the implantation of the prepaid metering system, but rather the power companies have also benefited in some ways, primarily through improved cash flows and a decrease in non-technical losses, along with relatively less amount of overhead expenses. The increased revenue and no outstanding bills with better monitoring and protection from conventional-meter tampering can also play important roles for future energy security in Bangladesh.

Keywords

Power theft Power generation National grid Prepaid metering Bangladesh Energy Technical losses 

References

  1. Bergasse, E., Paczynski, W., Dabrowski, M., & Dewulf, L. (2013). The relationship between energy and socio-economic development in the Southern and Eastern Mediterranean. MEDPRO Technical Report No. 27/February 2013. Available at http://www.ceps.eu/book/relationship-between-energy-and-economic-and-social-development-southern-mediterranean.
  2. Jack, B. K., & Smith, G. (2016) Charging ahead: Prepaid electricity metering in South Africa. Working Paper 22895, National Bureau of Economic Research 2016. Available at https://sites.tufts.edu/kjack/files/2016/12/Jack_Prepaid.pdf.
  3. Smith, T. B. (2004). Electricity theft: A comparative analysis. Energy Policy, 32(18), 2067–2076.  https://doi.org/10.1016/S0301-4215(03)00182-4.CrossRefGoogle Scholar
  4. Bangladesh Economic Review. (2017). “Power and Energy”, published by Finance Division, Ministry of Finance, Government of the People’s Republic of Bangladesh. Available at: https://mof.gov.bd/site/page/44e399b3-d378-41aa-86ff-8c4277eb0990/BangladeshEconomicReview

Copyright information

© Springer Nature Switzerland AG 2019

Authors and Affiliations

  1. 1.School of Business and EconomicsNorth South UniversityDhakaBangladesh

Personalised recommendations