Abstract
The objective of this research is uncover some of the factors associated with electricity theft in Mexico. Econometric models of ordinary least squares with state and metropolitan information are carried out in order to know the determinants of energy theft. The models showed that there is a significant and positive relationship between electricity’s theft and crime, government inefficiency, population, and population density.
Highlights
Increasing efficiency in the generation, transmission, and distribution of electricity must be a goal of permanent improvement in the different cities of the world in order to reduce emissions and achieve more sustainability; undoubtedly, part of these improvements should be the decrease in electricity losses.Electricity losses can be of two types: technical or non-technical losses (NTL’s)
Derived from the findings found in the literature review and shown in Table 1, we can conclude that electricity theft does depend on the price of it or the efficiency of the systems
The coefficient of determination R2 is 0.67, which means that 67% of the changes in electricity theft are determined by changes in crime, inefficiency, and population
Summary
Increasing efficiency in the generation, transmission, and distribution of electricity must be a goal of permanent improvement in the different cities of the world in order to reduce emissions and achieve more sustainability; undoubtedly, part of these improvements should be the decrease in electricity losses.Electricity losses can be of two types: technical or non-technical losses (NTL’s). Increasing efficiency in the generation, transmission, and distribution of electricity must be a goal of permanent improvement in the different cities of the world in order to reduce emissions and achieve more sustainability; undoubtedly, part of these improvements should be the decrease in electricity losses. Obafemi and Ifere (2013) indicate that NTL’s are generated by man and include theft, illegal connections, alteration of meters and inadequate measurements. Jamil (2018) notes that electricity theft is the major part of NTL’s and is carried out by dishonest consumers who take it directly from the distribution network or with the complicity of some employees of the utility. According to Smith (2004), “the financial impacts of theft are reduced income from the sale of electricity and the necessity to charge more to consumers” Even if the stolen energy is low in terms of the percentage of production, the monetary impact is usually significant due to the quantity of energy that could be sold (Smith, 2004)
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