Energy Sector Reform and Utility Commercialization - Utility Employee Incentive Program Study

This approach includes both quantitative and qualitative measures to select utilities most likely to have incentive structures in place and most adept and able to respond to the questionnaire and interviews. The methodology involves evaluating each identified utility based on the metrics described in Table 1. Each metric will be evaluated using a three-colored system (Green, Yellow, and Red), which will be assigned a numerical value. The team will add up the points associated with each individual utility and select the top scorers for inclusion in the team's initial outreach. To ensure a well-balanced customer mix, the team will strive to select utilities with a mix of residential, commercial, and rural customers. The down selection process will weight the metrics related to loss reduction targets and a robust regulatory environment. Loss reduction targets refer to the amounts of electricity injected into the transmission and distribution grids that are not paid for by end users. Non-technical losses are caused by actions external to the power system and consist primarily of electricity theft, non-payment by customers, and errors in account and record-keeping. Utilities will be scored based on access to electricity, with lower access to electricity representing a higher score. The existence of a stand-alone loss reduction group, loss reduction targets, employee and/or community engagement programs, and a robust regulatory environment will also be evaluated. Additionally, the team will assess the existence of anti-theft laws and adequate judicial systems, professional relationships with the identified utility, industry reputation, and USAID awareness. The metrics used in the down selection process include average electricity loss reduction, access to electricity, existence of a stand-alone loss reduction group, loss reduction targets, employee and/or community engagement programs, regulatory environment, existence of anti-theft laws and adequate judicial systems, professional relationship with the identified utility, industry reputation, and USAID awareness. These metrics will be used to evaluate each utility and select the top scorers for inclusion in the team's initial outreach.