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Article
Publication date: 30 September 2014

Suchismita Satapathy

– The purpose of this paper is to develop a new model – namely service quality enhancement – in the electricity utility sector of south India and to test this model's fitness.

1152

Abstract

Purpose

The purpose of this paper is to develop a new model – namely service quality enhancement – in the electricity utility sector of south India and to test this model's fitness.

Design/methodology/approach

Effective customer satisfaction investigation is a very important precondition for a power supply enterprise to win in the market competition. The problems that need to be solved for the power supply enterprise are how to use advanced and practiced methods to evaluate electricity customer satisfaction, and how to use results of the evaluation to improve their service. Planning and operating modern electric power systems involves several interlinked and complex tasks. In this paper, structural equation modeling (SEM) is applied to the electricity utility service model to verify service quality satisfaction. To determine the scope of the electricity industry and its relationship with overall service quality, a questionnaire-based survey was conducted and a standard questionnaire was designed for all customers in different groups of stakeholders (i.e. domestic, industrial, agricultural, public organization). To investigate the respondents’ perceptions regarding the service quality of the electricity utility industry, 200 questionnaires were sent, and from these 169 responses were collected, consisting of 53 responses from the domestic sector, 43 industrial, 30 agricultural, and the remaining 43 from public organization consumers. Then a model was constructed using SEM and tested by Amos 18 to verify the casual relationship between the measured dimensions and the electricity service quality.

Findings

The results indicate that electricity service has a direct relationship with the dimensions of reliability, tangibility, empathy responsiveness, assurance, security and stability.

Originality/value

In this era electricity is the vital need, but due to regular interruptions in the electricity service, customer dissatisfaction is the measured issue. At the current time, the Indian electricity utility sector enjoys a monopolistic business. Therefore, there is hardly any effort to improve the service quality in this sector due to a lack of administrative pressure and reformation measures. Indian electricity consumers face many quality-related problems as far as the distribution of electricity is concerned. In order to assess service quality in electricity distribution, a survey has been conducted in this work to extract quality constructs from a customer's perspective. One of the contributions of this work is that on the basis of results obtained from factor analysis of the survey data, an instrument has been proposed for the first time in the Indian context, consisting of seven dimensions (reliability, tangibility, empathy, responsiveness, assurance, security and stability). This instrument would help to measure the service quality of the Indian electricity utility sectors, and it provides insights for managers and administrators to set a service standard to fill the service gap. SEM is a tool is used for confirmatory and exploratory factor analysis. It is used to test and validate standard instruments. Through confirmatory and exploratory factor analysis using SEM, the proposed service quality model has been tested and validated for practical acceptance in Indian electricity industry.

Details

Benchmarking: An International Journal, vol. 21 no. 6
Type: Research Article
ISSN: 1463-5771

Keywords

Article
Publication date: 1 July 2014

S. Satapathy, S.S. Mahapatra, S.K. Patel, A. Biswas and P.D. Mishra

The purpose of this paper is to develop a new model, namely service quality measurement for E_Electricity utility service in Odisha a state of India for the measurement of service…

Abstract

Purpose

The purpose of this paper is to develop a new model, namely service quality measurement for E_Electricity utility service in Odisha a state of India for the measurement of service quality.

Design/methodology/approach

Service quality regulation is an important and timely issue in many industries. The question of governance of power sector is an important question before researchers, policy makers and administrators for the obvious reason of its being an important input for socio-economic development of a nation. Power sector involves complex activities like generation, transmission, distribution and final delivery of service to end-users, i.e. consumers. Initially, private sector was the main player in the power sector when the electricity came to be used in India during the pre-independence period. The trajectory of power industry, from its inception to the present, has been complex rather than being simplistic for the reason that the pendulum of industry's ownership and regulation swings between privatization and nationalization. The consumers are main sufferer in this type of situation, and the satisfaction level decreases day by day. So government has changed it's strategies by implementing e-governance to electricity sector for achieving maximum consumer satisfaction. The first step to e-governance is change management within the government, enhancing citizens' access to information and improving government-to-citizen (G2C) interactions. This work seeks to propose a theoretical scale to measure e-government service quality and validate the measured instrument for electricity utility service by structural equation modeling.

Findings

The results indicate that basically the E_electricity service has a positive and direct influence on dimensions (web site design, fulfillment, privatisation and information).

Research limitations/implications

Only Odisha state is considered for measuring online service quality in electricity utility service.

Originality/value

As the electricity utility industry is doing monopoly business in India and all states basically in Odisha due to that the customer dissatisfaction is the most important obstacle. So the policy makers must concentrate on the dimensions and the sub-dimension before regulating new policies.

Details

Benchmarking: An International Journal, vol. 21 no. 4
Type: Research Article
ISSN: 1463-5771

Keywords

Article
Publication date: 1 February 2001

Jill Hooks, David Coy and Howard Davey

Corporatisation of the New Zealand electricity industry during the 1990s increased the need for improved accountability. The publication of annual reports is one of the prime ways…

Abstract

Corporatisation of the New Zealand electricity industry during the 1990s increased the need for improved accountability. The publication of annual reports is one of the prime ways in which organisations meet their accountability obligations. This paper describes the development of a disclosure index from a public accountability perspective and reports the results of its application to the 1999 annual reports of the 33 electricity retail and distribution companies. The index was developed with the support of a panel representing 15 stakeholder groups. It is designed to assess the comprehensiveness (both in extent and quality) of annual report disclosures and incorporates a best‐practice model of annual reporting. Key areas of inadequate disclosure relate to performance measures (financial and non‐financial), segmental information, asset valuation details, and the cost of electricity purchased / generated. Improved disclosure to meet best‐practice guidelines would contribute to improved communication between companies and stakeholders.

Details

Pacific Accounting Review, vol. 13 no. 2
Type: Research Article
ISSN: 0114-0582

Article
Publication date: 27 February 2009

Vinh Sum Chau

The purpose of this paper is to review the evolution and development of customer service performance measures in the electricity sector since privatization in 1989, and then…

1412

Abstract

Purpose

The purpose of this paper is to review the evolution and development of customer service performance measures in the electricity sector since privatization in 1989, and then examine the impact of a specific recent energy regulatory requirement (known as information and incentives project (IIP)) on the organizational management of an exemplar electricity distribution company. Also discussed is how the sector has tried to learn from benchmarks from a number of such literary disciplines as economics, marketing service quality, and total quality management.

Design/methodology/approach

The research first presents a survey of the historical development of performance standards based on archival documentation. It is then augmented by the employment of a longitudinal “tracer study”, involving the isolation and firsthand real time qualitative observations of a company's key strategic and operational activities, to understand how they related to the other organizational phenomena at large. This process spanned an investigative period of two years.

Findings

The paper finds that much of the early standards used in electricity immediately after the sector's privatization rested much on those in the water and gas safety sectors, which themselves were then admittedly inadequate in UK. The IIP, a complementary set of service quality standards, worked on these early problems, but the implementation of the new scheme proved problematic and warranted major organizational reengineering, as shown in the exemplar company, ElectriCo. IIP has impacted on organizational management mostly in the areas of: higher‐level strategic change, causing noticeable internal confusion during strategic transitions, building a performance management system, improvements in performance data, and establishing more effective ways for management.

Research limitations/implications

While the case example used in the research is a regional monopoly and is a good representation of the context in which the service standards operate, the findings are limited to the one company. It is a UK specific context without international comparison.

Originality/value

The research has combined archival research with an innovative firsthand methodological approach (tracer studies). Its value is in how the story of service standards in electricity (and specifically distribution) has been augmented from the early customer service standards to the most recent IIP considerations. It also looks from within the company, which has been missing in longstanding research in the more traditional disciplines such as economics.

Details

Benchmarking: An International Journal, vol. 16 no. 1
Type: Research Article
ISSN: 1463-5771

Keywords

Article
Publication date: 30 March 2022

Bikolimana Giliadi Muhihi and Leopold Pascal Lusambo

This paper aims at discussing the impact of quality electricity on household income (HI) in rural areas with complementarities and intermediary resources context.

Abstract

Purpose

This paper aims at discussing the impact of quality electricity on household income (HI) in rural areas with complementarities and intermediary resources context.

Design/methodology/approach

Partial least square-structural equation modelling (PLS-SEM) was used to estimate complex variables of quality electricity (QEC), development assets (DEA) and individual motivation (IMO) on rural HI. Age, education and gender were treated as moderators of antecedents for HI whilst household strength (HS) was treated as a mediator.

Findings

The findings show that QEC is an important predictor for HI in rural areas. In similar vein, land, social network, financial and physical resources cannot be undermined in bringing HI on stage. Moreover, IMO is a best complementary for electricity to bear impact on income. In fact, income cannot be equated with one factor; hence, moderating roles of education and gender should be considered.

Research limitations/implications

The results are limited to QEC, IMO and DEA as key resources which are associated with HI.

Practical implications

The findings should be twinned with rural development policy. There must be a multi-dimensional approach in diversifying development resources to the rural people for aggregated benefits.

Social implications

The rural communities remain in dire need of electricity which is a precious resource for income generation. Electricity works better with other resources.

Originality/value

Previous scholars have inferred HI in relation to electricity. Income is a function of many resources. This study inculcated complementaries and intermediaries along QEC. Unique PLS-SEM was used in rethinking some of the rethinking of QEC–income relationships.

Details

Technological Sustainability, vol. 1 no. 2
Type: Research Article
ISSN: 2754-1312

Keywords

Article
Publication date: 1 December 2002

Earl Juei Wang

Herein a cost minimization model with fuzzy multiple goals to determine available alternatives, which will economically enhance the quality of electricity within high‐tech…

Abstract

Herein a cost minimization model with fuzzy multiple goals to determine available alternatives, which will economically enhance the quality of electricity within high‐tech industries is developed. The proposed model focuses on the worsening phenomenon of the quality of electricity within high‐tech industries. Electricity quality is initially divided into load curtailment, interruption frequency and interruption duration, and is associated with the cost components and defined in terms of damage functions. A model is formulated using fuzzy multiple goals based on these damage functions and the characteristics of demands for electricity quality. A realistic packing enterprise is implemented to test the model methodology. The results of the implementation demonstrate that the proposed model is adequate for the high‐tech enterprise on deciding electricity quality planning.

Details

International Journal of Quality & Reliability Management, vol. 19 no. 8/9
Type: Research Article
ISSN: 0265-671X

Keywords

Article
Publication date: 14 September 2010

Virendra Ajodhia

Energy regulators applying price‐cap systems typically do not incorporate quality into the benchmarking process. The paper aims to develop a methodology for integrated cost‐quality

Abstract

Purpose

Energy regulators applying price‐cap systems typically do not incorporate quality into the benchmarking process. The paper aims to develop a methodology for integrated cost‐quality benchmarking for electricity distribution networks.

Design/methodology/approach

Two basic models are developed namely a technical model which specifies quality as a minimising input factor, and a social cost model which measures the extent to which the provided quality level is optimal. The two models are applied to a sample of Dutch and UK firms.

Findings

The results suggest that integrated price‐quality benchmarking is an important regulatory asset but at the same time, its limitations should also be recognised.

Originality/value

Traditionally, benchmarking under price‐caps has been mostly restricted to the analysis in the area of costs. A truly integrated price‐quality benchmarking approach for electricity distribution networks is, however, lacking. This paper aims to fill this gap.

Details

International Journal of Energy Sector Management, vol. 4 no. 3
Type: Research Article
ISSN: 1750-6220

Keywords

Article
Publication date: 2 August 2011

Austin C. Otegbulu

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…

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.

Details

Journal of Financial Management of Property and Construction, vol. 16 no. 2
Type: Research Article
ISSN: 1366-4387

Keywords

Article
Publication date: 19 September 2020

Mrigakshi Das

Resulting from large government interventions, India could attain 99% electrification in March 2019. However, the consequences are revenue losses due to lack of real-time efforts…

Abstract

Purpose

Resulting from large government interventions, India could attain 99% electrification in March 2019. However, the consequences are revenue losses due to lack of real-time efforts in bringing operational efficiencies of the power distribution companies (discoms). Distribution franchisees operate as agents to the discoms for performing their contracted functions in smaller high-loss making areas under jurisdiction of a discom. This study aims to explore how rural franchisees help or hinder requisite results.

Design/methodology/approach

A qualitative embedded multiple-case study was conducted. The case focused on two franchisees engaged in metering, billing and collection functions of a high-loss-making rural area dominated Indian state-owned discom. Data were collected through documents, personal observations and semi-structured in-depth interviews with franchisee employees situated at different levels of the organizational hierarchy. A review of pertinent literature and government documents was utilized in forming the codes for collecting the data.

Findings

It could be argued that franchisees with strong financial capability, human resources support and monitoring and control facilities could contribute effectively in generating revenue from rural and interior electrified mass. The analysis revealed various challenges serving as hindrances in achievement of contracted targeted outcomes. The analysis resulted in highlighting factors that if implemented could result in the needed outcome.

Practical implications

This study could be generalized only to similar socio-economic conditions. The findings could provide policy makers with valuable insights to emphasize on creating win–win situations for all the stakeholders to encourage franchisee participation.

Originality/value

This study is unique, as there is a dearth of empirical evidences relating to operational efficacies of these franchisees.

Details

Journal of Economic and Administrative Sciences, vol. 37 no. 3
Type: Research Article
ISSN: 1026-4116

Keywords

Article
Publication date: 1 April 2021

Nusrat Jahan Imu, Anayo Ezeamama and Saheed Matemilola

Decentralized solar systems are increasingly being used as alternative source of off-grid electrification in Bangladesh. They offer solutions to provide (clean) electricity to the…

Abstract

Purpose

Decentralized solar systems are increasingly being used as alternative source of off-grid electrification in Bangladesh. They offer solutions to provide (clean) electricity to the low-income households that are not currently served by the national grid. The standards of solar systems need to be improved to maximize the benefits they offer for off-grid electrification.

Design/methodology/approach

A quantitative research approach was used to explore the power output performance of six solar systems samples. In order to realize a proper load management, daily power production was measured to determine the generation capacity of 50, 60 and 100 Wp monocrystalline and polycrystalline modules when average solar irradiation was 916 W/m2. In the testing system, the irradiation was measured by panel analyzer HT instrument I-V 400. The load arrangement comprised of different kinds of appliances (fan, light, TV). The daily consumption of energy by these loads was calculated using daily operational hours to determine system power performance.

Findings

The authors found that monocrystalline system performs better than polycrystalline by 0.39 kilowatt-hour (kWh) with capacity of 100 watt-peak (Wp) modules. The carbon dioxide (CO2) emissions reduction potential of our sample solar systems were also estimated by assuming a scenario. This was derived by using the electricity emission factor for natural gas (CH4), since CH4 is the main source of energy for power generation in Bangladesh. Savings in CO2 of 0.52 kgCO2/kWh is possible with the adoption of a 100 Wp monocrystalline module.

Practical implications

Government actions that promote the use of monocrystalline module will enhance the benefits of the use of solar systems in providing quality and sustainable electricity. This will contribute to government's efforts towards achieving some of the United Nations (UN) sustainable development goals (SDG) and resilience of the most vulnerable population to the effects and impacts of climate change.

Originality/value

Almost all solar modules found in off-grid areas are polycrystalline whose energy generation capacity is much lower compared to monocrystalline types. But use of low efficient polycrystalline solar module hindered the development of country's solar sector and option to save carbon emission. The use of highly efficient monocrystalline solar module will save also the country's land as the country has land scarcity challenges for establishing large-scale solar power plant. The authors also recommend actions that can be implemented at the national level to improve the attractiveness of monocrystalline solar systems in Bangladesh.

Details

International Journal of Building Pathology and Adaptation, vol. 40 no. 4
Type: Research Article
ISSN: 2398-4708

Keywords

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