Determinants of Electricity Power Losses in Uganda.
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Date
2023-11-14
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Makerere University Business School
Abstract
This study investigates the determinants of electricity power losses in Uganda. Employing the Auto Regressive Distributed Lag (ARDL) approach, the study regressed Non-technical electricity power losses against domestic tariffs, income (measured as GDP per capita) and population growth over a 30-year period using annual data. The study established that in the short run, domestic tariff and income have a negative and significant effect on power losses with the reducing-effect of income spreading across a four-year period. Population growth on the other hand has a positive and significant short run effect on electricity power loss. In the long run, domestic tariff and population growth have positive and significant effects on power losses while the effect of income is not significant. The study therefore recommended that policy makers should strive to raise people’s income because high incomes have an immediate reducing effect on power losses. There should also be direct efforts to regulate and stabilize electricity tariffs and an installation of a clear policy on population growth in Uganda in order to sustain electricity supply in the long run.
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This is a master's thesis.
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Citation
Tuhamire, R. (2023) Determinants of Electricity Power Losses in Uganda. (Unpublished master's dissertation). Makerere University Business School, Kampala, Uganda.