Published October 14, 2002 | Version v1

Power-Distribution Equipment Systems Cost-Effectiveness Assessment in Nigeria: A Panel Data Evaluation

  • 1. Department of Civil Engineering, University of Jos
  • 2. University of Jos
  • 3. American University of Nigeria (AUN)
  • 4. Nigerian Institute of Advanced Legal Studies (NIALS)

Description

In Nigeria, power distribution systems have been plagued by inefficiencies and high costs, leading to intermittent power supply and frequent blackouts. A mixed-method approach combining econometric techniques with field surveys was employed. Panel Data Estimation Techniques (PDET) were used to analyse historical and current data on costs, benefits, and system performance across various regions. The analysis revealed significant variations in the cost-effectiveness of different equipment systems, with some configurations showing up to 20% lower operational costs compared to conventional setups. The study provides empirical evidence that strategic investment decisions can significantly reduce power distribution system expenses and improve reliability. Policy makers are encouraged to consider the findings in future infrastructure investments and to prioritise research into more cost-effective solutions. Power Distribution, Cost-Effectiveness, Panel Data Estimation, Nigeria The maintenance outcome was modelled as $Y_{it}=\beta_0+\beta_1X_{it}+u_i+\varepsilon_{it}$, with robustness checked using heteroskedasticity-consistent errors.

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