Assessing the effect of electricity theft on the Ghanaian power sector; a case study of Electricity Company of Ghana, Tema Region

Abstract

The power theft has over the years been one of the factors militating against efficient supply of electricity in Ghana. This study was necessary and timely because of the frequent power supply interruptions Ghana has been facing in the past decade. The study was conducted to assessing the effect of electricity theft on the Ghanaian power sector. The researcher used convenience sampling technique to select 150 respondents from domestic consumers of electricity, commercial consumers of electricity and staff of ECG at Tema. The respondents were made up of 60 males and 90 females. The quantitative research design was used and three sets of questionnaires were designed to collect primary data from each category of the respondents. The study concluded that: high cost of electricity tariffs accounts for power theft among commercial consumers; connivance between staff of ECG and some commercial consumers of power account for power theft; lack of frequent monitoring of meters was found to account for both industrial and domestic power theft; and domestic power theft is caused by poverty, unemployment and high cost of living. The study also revealed that power theft causes: domestic and industrial fire outbreaks; energy sector debt; electrocution; high electricity tariffs; and power supply interruptions. The study recommends that independent meter auditors must be engaged to conduct periodic monitoring of meters; public education on the dangers associated with power theft must be intensified; severe punishment should be handed to perpetrators of power theft to serve as deterrent to others; and “Poor” and unemployed consumers who cannot pay their electricity bills should be identified and offered subsidized solar energy.