Sector Reform and Utility Commercialization Project: Scope of Work for Electricidade de Moçambique Process Design for Global Information System (PDGIS) Pilot Project

The project is implemented by USAID, with a focus on power utility companies in developing countries. Electricidade de Moçambique (EDM), the Mozambique government's power utility, is seeking technical assistance to reduce commercial energy losses. EDM has made progress in reducing energy losses over the past five years, including through community and customer communications, modernization of the metering and Customer Management System, and the implementation of a list of fines for destruction of equipment and tampering with meters, fraud, and non-payment. However, total losses remain above EDM's targets, at 23% in 2014, with transmission losses estimated at 7% and non-technical losses due to theft and fraud likely in the range of 10%. EDM is in the process of strengthening its Commercial Department to reduce losses, with a plan to increase staff from 24 to 47, requiring institutional capacity building for its people, processes, and systems. The Commercial Metering & Loss Strategy and the Strategic Roadmap, developed by USAID/SRUC, identify ten initiatives to reduce commercial losses and improve operational efficiency. The Process Design for Global Information System (PDGIS) Pilot aims to assist EDM in re-register customers, carry out a GIS mapping of network assets, and integrate network and customer databases in a Pilot location. The PDGIS Pilot will provide a model for the integration of existing network and customer systems in a pilot area in the neighborhood of Mago in Maputo, which is representative of commercial loss issues in a typical Maputo neighborhood. The PDGIS Pilot will utilize EDM's licensed technology, Digpro, to identify customers and consumption patterns, complete initial energy balancing, and facilitate tracking of losses back to the original source. Once losses have been identified, EDM will regularize illegal connections and install new prepaid meters, as required. The PDGIS Pilot will also provide guidance on energy efficiency measures, including replacing incandescent bulbs with CFL bulbs and educating customers on energy conservation. The PDGIS Pilot will provide lessons that can be leveraged when similar data and loss reduction integration efforts are scaled up across the full EDM service territory, as planned under the World Bank-sponsored PERIP project. The project aims to improve the reliability and quality of EDM's electrical services, enhance governance, efficiency, transparency, and accountability in operations, and provide a model for the integration of existing network and customer systems. The PDGIS Pilot will be implemented in the neighborhood of Mago in Maputo, which is representative of commercial loss issues in a typical Maputo neighborhood. The project will utilize EDM's licensed technology, Digpro, to identify customers and consumption patterns, complete initial energy balancing, and facilitate tracking of losses back to the original source. The PDGIS Pilot will provide guidance on energy efficiency measures, including replacing incandescent bulbs with CFL bulbs and educating customers on energy conservation. The project will also provide guidance on the use of local residents and associations to act as liaisons between customers and EDM, educate customers on safety and energy conservation, and assist EDM in identifying losses and outstanding bills.