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A data-driven approach to reduce electricity theft in developing countries

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  • Nadeem, Ahmad
  • Arshad, Naveed

Abstract

Theft of electricity is a problem in many developing countries. But AMI is paving the way for data-centric architecture to help in theft detection. However, a smart grid or even AMR is a long shot for many developing countries due to the costs involved in its large-scale deployment. This paper presents a technique to detect outliers among electricity users that further investigates electricity theft using data analytics on monthly usage data available to every utility company. Using this technique, we have reduced the search space for theft identification to as low as 3.4% of the total customer base.

Suggested Citation

  • Nadeem, Ahmad & Arshad, Naveed, 2021. "A data-driven approach to reduce electricity theft in developing countries," Utilities Policy, Elsevier, vol. 73(C).
  • Handle: RePEc:eee:juipol:v:73:y:2021:i:c:s0957178721001387
    DOI: 10.1016/j.jup.2021.101304
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    References listed on IDEAS

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    1. Yurtseven, Çağlar, 2015. "The causes of electricity theft: An econometric analysis of the case of Turkey," Utilities Policy, Elsevier, vol. 37(C), pages 70-78.
    2. Faisal Jamil & Eatzaz Ahmad, 2014. "An Empirical Study of Electricity Theft from Electricity Distribution Companies in Pakistan," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 53(3), pages 239-254.
    3. Jamil, Faisal, 2018. "Electricity theft among residential consumers in Rawalpindi and Islamabad," Energy Policy, Elsevier, vol. 123(C), pages 147-154.
    4. Zhou, Kaile & Fu, Chao & Yang, Shanlin, 2016. "Big data driven smart energy management: From big data to big insights," Renewable and Sustainable Energy Reviews, Elsevier, vol. 56(C), pages 215-225.
    5. Mwaura, Francis M., 2012. "Adopting electricity prepayment billing system to reduce non-technical energy losses in Uganda: Lesson from Rwanda," Utilities Policy, Elsevier, vol. 23(C), pages 72-79.
    6. Jamil, Faisal & Ahmad, Eatzaz, 2019. "Policy considerations for limiting electricity theft in the developing countries," Energy Policy, Elsevier, vol. 129(C), pages 452-458.
    7. Kazmi, Hussain & Mehmood, Fahad & Tao, Zhenmin & Riaz, Zainab & Driesen, Johan, 2019. "Electricity load-shedding in Pakistan: Unintended consequences, opportunities and policy recommendations," Energy Policy, Elsevier, vol. 128(C), pages 411-417.
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    Cited by:

    1. Babar, Zainab & Jamil, Faisal & Haq, Wajiha, 2022. "Consumer's perception towards electricity theft: A case study of Islamabad and Rawalpindi using a path analysis," Energy Policy, Elsevier, vol. 169(C).

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