Abstract

This paper examines the effectiveness of the electricity billing and payment system and its probable contribution to energy losses vis-#xE0;-vis the billing and payment system deployed by the telecommunication companies in rural mining communities in the Western Region of Ghana. We used field observations, interviewed respondents with both openended and structured questionnaires and literature survey to validate our conclusion. This study firmed up the following facts: over 50% of Electricity Company of Ghana#x2019;s (ECG#x2019;s) legal customers in most mining rural areas do not pay commensurable electricity bills every month for the power used; a heap of power customers (47% of respondents) are unmetered and 26% of respondents used power freely. The study also revealed that most rural folks are capable of paying their electricity bills without any external interventions for the reasons imbued in their business activities for livelihoods and the sums of money disbursed on mobile phone recharge cards. Finally, the installed metering and payment system for electricity consumption contributes immensely to the ECG#x2019;s non-technical losses. Weighing the current costs of electricity production, this study provides real and premier foundation for future research on the type of energy metering and payment systems and energy policies to be adopted by developing countries.