The impact of electrical energy theft on revenue collection at Eskom in KwaZulu-Natal Province.
Loading...
Date
2022
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
Abstract
South Africa’s state-owned company, Eskom has been experiencing a decline in revenue and an
increase in non-technical energy losses(NTL). Research has shown that most utilities including
those from first-world countries are struggling with non-technical energy losses and have
employed advanced technological solutions which are aimed at reducing losses . In this study,
the researcher investigates the motives behind energy theft from Eskom KwaZulu-Natal
Operating Unit electricity consumers and recommends solutions to eradicate or reduce the NTL
. Increase revenue collection by reducing customers that engage in energy theft activities in
Eskom KwaZulu-Natal Operating Unit. In the context of this study the perception that electricity
is a right, refers to the phenomenon that all energy consumers must be supplied with exceptional
power quality, irrespective of whether they are from affluent or less affluent communities. Nonprobability
sampling technique was employed to select 60 participants that are directly supplied
by Eskom or are Eskom employees based in KwaZulu-Natal. A quantitative research approach
was used to investigate the probable cause of increasing non-technical energy losses, and an
online survey questionnaire was distributed to the potential participants. The results were divided
into three sections section A, section B, and section C. The results were analyzed utilizing the
Chi-square test. The results suggest that the increase in non-technical energy losses is attributed
to consumers having easy access to the Eskom infrastructure. Most socio-economic groups find
electricity tariffs unaffordable and consequently decreasing Eskom’s ability to collect revenue.
The result of this study ensuing past research has proven that technological solutions applied in
isolation will not address the increasing non-technical losses in utilities. The increase in NTL
experienced by Eskom affects the larger masses of South Africa as energy access has a direct
correlation to GDP growth and the livelihoods of households. A collaborative approach is needed
between Eskom and the government to address the rising pressures induced by NTL, the use of
theoretical knowledge in new technologies, reviewing tariff structures, new policies to help
reduce energy theft, and joint partnerships between Eskom and the community leaders and
strengthening law enforcement.
Description
Masters Degree. University of KwaZulu-Natal, Durban.