Get 20M+ Full-Text Papers For Less Than $1.50/day. Start a 14-Day Trial for You or Your Team.

Learn More →

A contingent valuation model for assessing electricity demand

A contingent valuation model for assessing electricity demand Purpose – The purpose of this paper is to focus on households' willingness to pay for electricity consumption and mitigation expenditure due to poor electricity infrastructure as a measure of demand and tariff setting. Design/methodology/approach – In this paper, the demand side management (DSM) approach was adopted in establishing user demand for electricity in the study area. Findings – Based on the high cost (averting expenditure) of providing alternative power supply, households are willing to pay extra for more reliable and regular power supply. Practical implications – The study is a deviation from the usual command or supply side management approach to infrastructure provision and management. Originality/value – There is limited research on DSM approach to electricity infrastructure provision in Nigeria. The study will enhance the chances of cost recovery under private‐public partnership arrangement. The paper identifies that a reliable and reasonable priced electricity supply is essential for a developing country. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png Journal of Financial Management of Property and Construction Emerald Publishing

A contingent valuation model for assessing electricity demand

Download PDF
21 pages

Loading next page...
 
/lp/emerald-publishing/a-contingent-valuation-model-for-assessing-electricity-demand-xm4NB2ksev

References

References for this paper are not available at this time. We will be adding them shortly, thank you for your patience.

Publisher
Emerald Publishing
Copyright
Copyright © 2011 Emerald Group Publishing Limited. All rights reserved.
ISSN
1366-4387
DOI
10.1108/13664381111153114
Publisher site
See Article on Publisher Site

Abstract

Purpose – The purpose of this paper is to focus on households' willingness to pay for electricity consumption and mitigation expenditure due to poor electricity infrastructure as a measure of demand and tariff setting. Design/methodology/approach – In this paper, the demand side management (DSM) approach was adopted in establishing user demand for electricity in the study area. Findings – Based on the high cost (averting expenditure) of providing alternative power supply, households are willing to pay extra for more reliable and regular power supply. Practical implications – The study is a deviation from the usual command or supply side management approach to infrastructure provision and management. Originality/value – There is limited research on DSM approach to electricity infrastructure provision in Nigeria. The study will enhance the chances of cost recovery under private‐public partnership arrangement. The paper identifies that a reliable and reasonable priced electricity supply is essential for a developing country.

Journal

Journal of Financial Management of Property and Construction – Emerald Publishing

Published: Aug 2, 2011

Keywords: Developing countries; Nigeria; Electricty industry; Cluster analysis; Electricity reform; Electricity supply reliability; Electricity tariff

References

  • Economics: An Introduction to Analysis and Policy
    Bach, C.L.
  • Toward Competition in Local Telephony
    Baumal, W.; Sidalc, J.
  • Environmental Economics and Management
    Callan, S.J.; Thomas, J.M.
  • Measuring willingness to pay for electricity
    Choynowski, P.
  • Nigeria: issues and options in the energy sector
    Energy Sector Management Assistance Program
  • Multivariate Data Analysis
    Hair, J.F.; Black, W.C.; Babin, B.J.; Anderson, R.E.; Tatham, R.L.
  • Cost Benefit Analysis and the Environment
    Hanley, N.C.; Splash, C.L.
  • Contingent Valuation Method Possibilities and Problems
    Holvad, T.
  • Privatizing Africa's Infrastructure
    Kerfand, M.; Smith, W.
  • Contribution of Infrastructure to Economic Development: A Recovery Experience and Policy Implication
    Kessides, C.
  • A framework of Economic Policies for Urban Upgrading
    Kessides, C.
  • Privatizing Infrastructure: Privatizing Regulation and Competition
    Kessides, C.
  • Privatizing Infrastructure: Privatizing Regulation and Competition
    Kessides, I.N.
  • Economics Principles, Problems and Policies
    McConnel, C.R.
  • Valuation of environmental goods and services: an institutional assessment
    Mishra, S.K.
  • Willingness to pay for improved quality of electricity supply across business type and location
    Morrison, M.; Nalder, C.
  • Assessment of user demand preferences of urban – infrstructure in Lagos Metropolis using contingent valuation model
    Otegbulu, A.C.
  • Economics
    Samuelson, P.A.; Nordhaus, W.D.
  • The power sector reform and urban transportation
    Shomolu, F.
  • Urban Development Policies in Nigeria: Planning Housing and Land Policy
    Taylor, R.W.
  • The willingness to pay for changes in water, waste water and electricity services in Trinidad and Tobago
    Virgee, K.
  • The Demand for Electricity in Latin America: A Survey and Analysis
    Westley, G.
  • The challenge of demand assessment in pro – poor infrastructure projects
    Whittington, D.