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Necessary Steps to Protect & improve the income of Nablus Electricity System

Necessary Steps to Protect & improve the income of Nablus Electricity System. Salam Zagha Deputy Manager & Head of Studies Division Nablus Municipality -Palestine. Electricity Service in Palestine. Municipalities are the main electricity service providers in Palestine,except JDECO and GEU

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Necessary Steps to Protect & improve the income of Nablus Electricity System

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  1. Necessary Steps to Protect & improve the income of Nablus Electricity System Salam Zagha Deputy Manager & Head of Studies Division Nablus Municipality -Palestine

  2. Electricity Service in Palestine • Municipalities are the main electricity service providers in Palestine,except JDECO and GEU • The Palestinian National Authority had issued a letter power Sector Statement • Municipalities and village council would be consolidated into three efficient share- holders, electricity distribution companies. • Municipal Council of Nablus Municipality, in August 1996, had taken a decision to transfer Electricity Department to commercially operated utility.

  3. The Utility's Structure • Managed & Operated by a total of 190 employees

  4. Concession area • Nablus city , 18 villages & four refugee camps. • area of 30 km East-West and 25 km North-South. • Population served is around 200,000.

  5. Assets

  6. Networks

  7. Development & Achievement • Economic growth in all sectors has significantly increased. • Investment in electricity sector in Nablus reached to 20 million $US:- • Improve the distribution networks at medium and low voltage levels. • Improve the collection system • reduce the non-technical losses. • Detect the illegal connections (fraud and theft )

  8. Energy 1993 - 2002

  9. Consumers CategoriesShare

  10. New Connections

  11. Israeli Invasion & Electricity Networks • Direct Cost of Damages $US 2,692,000. • Direct Delivery problems • Shortage of material • Workers are arrive late or unable to reach sites. • Several substations and networks suffered from the Israeli shelling. • All connecting points with the I.E.C are in Area “C”. • electrical technicians are not able to deliver services (maintenance, new connections etc.) to the consumers living in remote areas & in some cases in the City . illegal connections to network is observed

  12. Metering • Metering is based on Ferraris type meters • Flat rate • Four wire 400/230V, ( three ph.), ( 20-100A). Above 100A CT operated • Two wires 230 V, (single ph.) , (20-60 A) • 50HZ • Class 2 • IEC 60521

  13. continue... Metering • Installations are protected by cartridge fuses 22x58mm ( for 1 Ph.), or MCCB for 3ph. • Measures:- • replacement of all old meters ( 5 A) • replacement of all meters with more than 15 years old. • Introduce electronic meters • modernize meter testing equipment.

  14. Billing • Meter reading by the field employees for electricity & water. • Manual feeding the meter reading to the computer while auditing it for reasonableness. • An invoice is issued for the customers either by the field employees or directly to the municipality. In all cases a receipt voucher is issued ( 12 bills/year). • The collection department audits the receipts. • The money received is deposited in the municipality’s Bank account.

  15. Accounting System • still cash-based, overly centralized • fixed assets are not considered. They are not capitalized in accounting system. • difficult to generate information need for management to evaluate the level efficiency and effectiveness.

  16. Economical Impacts • Deterioration in living situation • Increased of unemployment rate • Poverty from 21% to 60% • Increased of electricity debits by 83%

  17. Collection Efficiency!!

  18. Our Concerns • curfews and siege • Difficulty in data collection • Estimation is not accepted • 30% discounts of cost of electricity bill? • Difficulty in revenue collection • The entire municipal services, that depend on electricity income will be affected. • Threats from the I.E.C. to cut electricity

  19. How should we protect and collect our revenues? • Appropriate circumstances where peace, security and economic growth are essential. • Freedom of movement in building and installing networks and operational systems as necessary • Priorities from developing the electricity system and improving customer services into maintaining achievements. • Thanks to donor countries in assisting our municipality in reconstruction of electricity networks .

  20. Continue... • Israeli incursions must be stopped. Siege and separation wall must be ended. • Establishing new customer services offices in remote areas. • where illegal connection increases, prepayment meter system could be installed • to achieve reliability and accuracy of meters, to ensure cash-Flow, to reduce billing costs whereas, and reducing fraud by regular inspection and tests of meters.

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