Prepayment metering system pdf

This objective can partly be achieved through intensive public education and concerted effort on the side of the Electricity Company, retailers and consumers alike. The chapter is organized as follows; the population sample size and sampling techniques, the research design and the data collection procedure that was used for the study.

Research design The study involves an assessment of the impact of the introduction of the prepaid meter system within the Cape Coast Metropolis. It was design within the framework of the descriptive survey. According to Bell , the descriptive sample survey involves the collection of data about a subject or variable in order to test some hypothesis or to answer certain questions concerning the current state of the subject under study.

It focuses on the status of a defined population with respect to certain variables. The descriptive research design was chosen because it has the merit of producing a good amount of responds from a wide range of people. Also, variables and procedures are described as accurately and completely as possible so that the study can be replicated by other researchers. Moreover, it enables the researcher to have direct contact with the respondents so that the realities of the impact can be assessed.

The use of such design however is very costly and time consuming. Study area Cape Coast Municipality lies within latitudes There are 84 communities in the municipality. The inhabitants are mainly Fante. The people are of different educational backgrounds from illiterates to degree holders who are involved in occupations such as trading, artisanship, farming, teaching, health services, fishing, transport, government employment, construction, financing, tourism.

The study area was chosen on the grounds of proximity and convenience and cost effectiveness. Population According to the population and housing census, the total population of Cape Coast was one hundred and one thousand, one hundred and one , but for the purpose of this research, Ola is chosen as the study area. Out of this, the target population for the research was only prepayment meter users. Sample size determination and sampling techniques Although the entire Cape Coast Metropolis was the scope of the study, only one of the suburbs was considered.

The considered study area was Ola and a sample size of hundred and one was considered out of the total population for this research work. The respondents customers were selected through the simple random sampling technique.

The purpose was to ensure that all the respondents had equal chance of being selected for the study. The researcher spent a maximum of seven days on the administration and collection of the questionnaires. Data collection instrument The main instrument used for the collection of the data for the study was questionnaire. The questionnaire was structured with open and closed ended questions to ensure that sufficient responses were collected from respondents.

Moreover, it enables the researcher to reach out to the respondents more easily as compared to the other methods. It also offers respondents the opportunity of answering the questions at their own convenient time and also assures respondents of anonymity.

Above all, it is less expensive and less cumbersome to administer as compared to the other methods. The questionnaire was designed for all categories of the individuals selected to form the study sample both literate and non-literate.

For the illiterate respondents the questionnaire was used as interview guide to interview them to collect information for the study. The questionnaires were administered by the student researcher. Data Collection Procedure The data collection process started with a pilot survey. The pilot survey was carried out in the study area which was not included in the main sample to ensure that the research instrument designed for the fieldwork was suitable and comprehensive enough as well as safeguard the validity, and reliability of the data that would be collected for the actualstudy.

One research assistants was recruited and trained to ensure speedy and smooth collection of the data. He was selected on the basis of his educational background, proficiency in the local language and the appreciation of surveys of this nature. The research assistant was involved in the pilot survey to enable him to be abreast of what to expect ahead of the fieldwork to ensure consistency and accuracy in the recording of responses from the respondents. In all, forty questionnaires were administered for the pilot exercise.

This was carried out to check the suitability of the questions and responses. The pilot survey revealed some inaccuracies and inconsistencies in the responses which indicated that some of the questions were not framed or structured well to elicit the appropriate responses form the respondents. These mistakes were noted and the necessary corrections made. This made the main fieldwork relatively fast and easy.

Data for the study was collected after the pilot survey. The fieldwork took a maximum of three weeks. One hundred and one questionnaires were administered for the main study. The respondents were given the option to either self- administer the questionnaires or been assisted by the either the researcher or the assistant. Data analysis and procedure The analysis of the findings of the survey would be carried out with the use of statistical package for Social sciences SPSS and Microsoft Excel.

The initial stage of the analysis started with the editing of the questionnaire. After the coding scheme had been prepared, all the questionnaires were coded accordingly. They were then entered into the SPSS system data view after the creation of the variable view.

Cross tabulation of relevant variables and their frequencies as well as diagrams were then generated from the system. The analysis and interpretation are accessible in the form of frequency distribution tables as well as figures. The discussion and presentation of the tables and figures are preceded by basic information gathered from prepayment meter users.

Characteristics of the respondents Table. Regarding sex, Table 1 depicts that out of the one hundred and one respondents who constituted the sample size, sixty eight of them were male and this constitutes The above Table depicts that majority of the respondents involved in the study are single. They constitute Those widowed, separated and divorced from 3.

The fact that majority of the respondent are single has also got its political, economic and social implications on the country in the near future. The problems associated with the prepaid metering system.

As a new system, the prepaid metering has some problems which include misunderstanding among tenants over prepayment meter, difficulties in reloading prepaid credit due to card related problems and many others. Some of these have been discussed in tables and figures below. When it comes to meter sharing, Table 4 indicates that majority of the respondents and for that matter the people of Cape Coast do not have their private meters.

Those who share their meters with other co-tenants are made up of a significant percentage of Those who do not share their prepaid meters with other co-tenants constitute just This huge percentage of commercial prepaid meter users could possibly be attributed to the fact that the process involved in acquiring a new meter is either too complex or in short the cost of its acquisition by new consumers is too high beyond their means. Responses Frequency Percent Yes 46 The above figures give an implication that although many consumers share their meters with other co-tenants, cases of any possible misunderstanding have quite a lower probability of occurrence.

This outcome can partially be assigned to similar experiences that Ghanaians have had with the use of the post-paid system. Considering the various sources of misunderstanding over the prepayment system among consumers, the one that constitutes a greater percentage is point allocation to gadget used by consumers. This implies that the Electricity Company of Ghana has the responsibility of either educating consumers on how to share bills or provide every household with a list of gadgets and their allotted points so as to reduce any tendencies of misunderstanding among consumers.

A total of 7. The responses provided by respondents indicate that they do not have any problem with prepaid meter credit reloading. This is depicted in figure 2. Table 6: lack of access to periodic information by consumers Responses Frequency Percent Strongly agree 24 In all, In Figure 3 ,9.

Relatively, On the issue concerning the time that consumers spend on buying credit, the results in Table 7 indicates that On the other hand, In general, This percentage is slightly above half of the entire responds provided and so it is too close to say that the prepayment system has helped to reduce the time that consumers spend on accessing credit.

Source: Field Data, As depicted in Figure 3, On the same inconvenience, Averagely, This means that greater proportion of prepaid meter users find regular purchase of prepaid credit inconvenient Table 8: High cost of energy under the prepayment system Responses Frequency Percent Strongly agree 49 On the whole, However it will be out of proportion to jump to a conclusion that the introduction of the prepayment system is the sole cause of the increase in the cost of energy consumption.

Other factors may include the number of hours that consumers use their devices and general increase in utility bills. Table 9: Reduction in the number of gadgets due to the introduction of prepayment system Responses Frequency Percent Strongly agree 26 From Table 9, It may also be a wrong to conclude that many consumers have reduced the number of devices that they as a result the introduction of the prepaid metering system because there is small difference percentage of consumers who agree and those who do not agree to this statement.

Those who agree constitute In terms of distance, figure 4 depicts that Generally, In spite of the challenges that confront consumers in the course of using the prepaid meters, there are some benefits that come with this new system.

Some of these benefits are; efficient power management, affordability of the prepayment system to low income earners, convenient mode of paying electricity bills and many others which benefits have been discussed and illustrated on tables and in figures in the next pages. As to whether the introduction of the prepayment system has helped consumers to manage their power effectively, the results in Table 10 indicate that Whereas 9. This outcome attests to the fact that the objective of the Electricity Company of Ghana to ensure efficient power consumption in the country is gradually materialising.

When it comes to the affordability of the prepayment system by low income earners, 7. At the same time, The results in Figure 6 depicts that May be respondents feel that the system is not affordable from the perspective of low income earners as a result of the regular recharging of credit which means that if their credits get exhausted and they do not have money on them, then they have to opt for voluntarily disconnection which consequently affect them enormously.

Responses Frequency Percent Strongly agree 8 7. As depicted in table 11, a total of 7. This means that over half of the respondents agree that the minimum cost of credit makes the system quite convenient to consumers.

Table Relatively less costly nature of the prepayment system Respondents Frequency Percent Strongly agree 4 4. Whiles 9. A total of From table 13, 5. The high percentage of respondents who disagree to this statement replicates the fact that many consumers see the prepayment system as relatively less costly. The consumers indicated that the prepayment system has increased the financial benefits that they gain from the avoidance of late payment of fees and reconnection costs.

In general, a significant percentage of the respondents believe that the mode of paying bills under the prepayment system is very convenient. This outcome does not provide enough support for the various publications by the media that the general public is of the view that payment of electricity bills under the prepaid metering system is less convenient. In fact, convenience of paying bills under the prepayment system does not seem to be a problem to consumers. This outcome is also in line with that of the research conducted by Ariel and Luciana which shows the possibility of consumers purchasing electricity according to the availability of money which is consequently linked to the advantage of not having to make fixed monthly payments.

In contrast to this figure, This outcome provides enough grounds to say that consumers on the whole have positive perception about the prepayment system. Those consumers opted for the prepaid meters on the grounds that the system was quite convenient than the post-paid system. Out of the one hundred and one respondents, 7.

Other 8. In addition to that, Another Considering the difficulties that some consumers go through the quest to reload their credit, As a result, ECG must Endeavour to make meter acquisition quite simple. Also they think that the cost of meter acquisition is to high-hence the need to reduce it. It also includes conclusion drawn from the findings on the data collected from the field, limitations to the study, recommendations, conclusion as well as suggestions for future research.

Summary As part of measures to make electricity more accessible to every Ghanaian and ensure a cost-effective operation, the Electricity Company of Ghana restructured its revenue collection mechanism by introducing the prepayment metering system.

While some consumers welcomed this idea as a step in the right direction, which would enable them maximise their welfare, others perceive the system to be inherently associated with several challenges.

Such perceived challenges include its expensive nature and the high risk for low income earners, low level quality of the prepaid meter itself and the tendency that the prepaid meter system would make life uncomfortable for consumers.

These differences in the impression of consumers about the prepayment metering system became a subject of interest that necessitated a detail investigation- hence the conduct of this study. Areas considered include the theoretical issues of the prepayment metering system, its origin and the institution in charge of the effective delivery of the operators of the prepayment system.

Some empirical literatures relevant to the topic have also been extensively reviewed. A survey in the form of a simple random sampling was conducted to seek the opinion of consumers about the prepayment metering system. The results were discussed, and presented on tables, pie chart, and bar charts with their corresponding frequencies as well as the percentages. Finally, conclusions were drawn and recommendations necessary to help the Electricity Company of Ghana to improve on its performance made.

Conclusion Considering the numerous challenges including revenue mobilization difficulties, high expenses on monthly meter reading and inefficiencies faced by the Electricity Company of Ghana, the company indicated its intension to introduce the prepaid metering system by the year Most consumers had negative perception about the prepaid metering system that it was associated with several challenges.

Among such challenges perceived by consumers to be inherent in the prepayment system are persistent difficulties in reloading credit, difficulties in accessing credit and many others.

Indeed, one can not dispute the fact that those problems did not exist since the system was still in it experimenting stage. Nevertheless, the findings of this study have revealed that such purported challenges faced by consumers lack generalization since those problems were just usual minor challenges characterised with the implementation of any new policy at its initial stages.

With the exception of few occasional problems, many are those who have recommended that the prepaid metering system should be extended nationwide due to its positive effect. In general, it would not be out of proportion to conclude that with time, Ghanaians have become used to the prepaid metering system and revised their perception about it. These recommendations would go a long way to making the prepayment system more comfortable and efficient to both parties.

It is recommended that: Considering the low level of literacy in the country, the Electricity Company of Ghana has to intensify public education on the prepayment meter system to enlighten consumers and for that matter Ghanaians about some of the benefits associated with the electricity prepayment system.

To allow for transparency and reduce any possible misunderstanding among co- tenants, consumers have to be provided with the quantity of energy they consume together with the cost each time they purchase prepaid credit.

Although meter sharing does not seem to be a major source of misunderstanding among co-tenants, it will be imperative to make meter acquisition less costly and the process less complicated to first time users of the prepaid meter so as to encourage more people to patronize the system.

Since the prepaid metering system is still in its experimenting stage, it will be very important for the Electricity Company of Ghana to establish more consumer care support units so that problems faced by consumers can be addressed as early as possible.

Finally, for the sake of low income earners, it may be advisable to reduce further, the minimum cost of credit. The sample size should be increased so that findings could reflect the true perception of all consumers.

The study should also be extended to cover the effect on the power producers and the credit retailers Finally, future study should also seek to explore the cost-benefit analysis of producers, consumers and retailers. Limitations to the study The success of this study has not come without some limitations. Kasoa residents to use ECG prepaid meters. Daily Graphic, p. ECG opens customer care call center to improve customer satisfaction.

Ariel, C. Prepaid metres in electricity: Cos-Benefit Analysis. Economic returns in Ghana: The miracle and the mirage. Accra, Woeli Publishing Service. Asare, K. ECG to improve revenue collection. Ghanaian Times, p. Bell, J. Doing Your Research Project: A guide for first-time researchers in education and Social sciences 3rd ed.

Glasgow: Open University Press. Cardwerk, , March ECG installs smart cash meter in Accra West. Doe, J. Electricity deficit and metering woes in Ghana. Electricity power to meters in Ghana. New body to handle power transmission. Donkor, M. PURC committed to ensuring quality service. Mirror News paper, p. Dudome, A.

Prepaid Meters to be accessed to all. Public Agenda. Retrieved from the All Africa Global Media database. Dzamboe, Y. Electricity prepaid system: Advantages for consumers.

Estache, A. Ghana News Agency. ECG insists on prepaid meters. ECG incurs losses through errors. Kyekye, R. ECG speeds up with prepaid meters. Weekly spectator, p. Nyanmey, C. Prepaid meter installation suspended in twin city. Selby, H. ECG customers complain about prepaid meters.

Types of Electricity Meters. Tewari, D. The Allen Consulting Group. This questionnaire is designed for academic purposes only and respondents are assured that whatever information they provide will be treated with confidentiality and anonymity. Please provide short responses to the open-ended questions and tick where necessary. Sex Male Female 2. What is your marital status? Do you share your prepaid meter with other co-tenants? Yes No 5. If no, please go to question 7 and if yes has the prepayment system created any misunderstanding between you and your co-tenants before?

If Yes, please explain the source of the misunderstanding ……………………………………………………………………………. I often have difficulties in reloading my credit due to card related problems.

I do not have access to periodic information on the amount of energy I consume 9. I use to spend much time on buying credit because the prepaid credit sales centers are few in my area. Regular purchase of credit creates inconvenience for me With the introduction of the prepayment system, I have reduced the number of electrical devices that I use. I have to cover a long distance before having access to prepaid credit. The prepaid system is affordable to low income earners.

The prepayment system is relatively less costly. The prepayment system helps me to save some money IC card interface protecting circuitagainst high electrostatic voltage andunauthorized hardware impact. Thecredit value will be stored into thecard. For new customer, the meterdetails and customer details areentered into the master terminallocated ate the regional office.

After inserting the card into themeter, all information includingcredit and parameters wi l l beautomatically loaded. The server is the core ofrevenue collection where allthe back-end applications arem a n a g e d a n d c u s t o m e r s information is continuouslyupdated. In case of each credit transaction, the meterwrites status information, available credit,power consumption data, etc. With the IC card to purchase creditnext time, the sales terminal will acquire allinformation and transfer it to the regionaldatabase.

Owing to periodical improvements of our productsThe supplied products can differ in some details from the data stated in the prospectus material. Postcode: Home Documents Prepayment Metering System of energy meter. Post on Dec views. Category: Documents 3 download. Security levels protection against fakeand copy. Authentication against data write andread. Large storage capacity, as well as datarewriting and deletion.

Offline usage, reduced communicationcost Long life, anti-static and ultravioletproof Relay test card: relay status test Inspect card: meter status record Test card: meter function test andparameters initialization Registrat ion card: New customerregistration Credit card: transfer credit from energysale department.

Automatic disconnection -- when theavailable energy is exhausted, thepower will be cut. Remain energy alarm, remindingcustomers of buying energy in time. Load control, protecting the circuit ofpower supply. Energy data and other informationdisplay on LCD. Optical and Rs communicationport available. Data memorizat ion during poweroutage.