Featured USAID Sector Reform and Utility Commercialization Projects

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USAID works to help developing country partners upgrade their electricity sectors and transform their electric utilities into effective, financially healthy companies that provide reliable power to citizens. The following projects illustrate how USAID is promoting smarter utilities around the world. Click on the links below to learn more about each project.

   

Pakistan: Power Distribution Program: Improving distribution company operational performance

USAID assisted the Pakistani Ministry of Water and Power to develop a National Power Plan. Specifically, USAID worked with electric utilities to reduce unscheduled load shedding by introducing the use of modern technologies for tracking near real time power production levels in power distribution companies (DISCOs) and Pakistan’s National Electrical Power Regulatory Authority (NEPRA). USAID also engaged DISCOs in technology system upgrades, health and safety training, and business process and workplace advisory assistance. This helped the nine public sector DISCOs increase their revenues by $39.5 million between September 2010 and March 2015 through reduced electricity losses and improved revenue collection.

Haiti: Caracol Industrial Park: Expanding access to customers who previously lacked power in Northern Haiti

The Caracol Industrial Park (CIP) in the North of Haiti was developed to create a center of economic development outside of Port-au-Prince. USAID funded the construction of a 10MW HFO/diesel power plant and corresponding distribution infrastructure that provides uninterrupted electricity to the tenants of the CIP and surrounding communes.  Expansion of electricity service to customers in areas surrounding the CIP is being implemented through the Pilot Project for Sustainable Electricity Distribution (PPSELD), which is also reviewing the operational and financial position of the CIP utility and developing recommendations for achieving cost recovery and long-term sustainable commercialization. The CIP utility is now providing electricity to over 7,250 households, and plans are underway to develop a public-private partnership for sustainable management of the Caracol Power Utility.

Kosovo: KEDS - Incentivizing the private sector to help reduce losses

USAID worked with the Kosovo Energy Corporation (KEK) to enhance networks and reliability, improve energy sector governance, normalize environmental assessments, and privatize its distribution assets. The program resulted in operational improvements and efficiencies, which enhanced the reliability of electricity in Kosovo. Beneficial impacts of this project include: the successful, transparent privatization of KEK’s distribution services into an independent company - Kosovo Electricity Distribution Services, J.S.C. (KEDS), and the establishment of the Energy Regulatory Office (ERO) and the Kosovo Electricity Transmission, System and Market Operator (KOSTT) as self-sufficient and sustainable oversight bodies. Also, increased collection rates of billed energy have improved cash flow and lowered the subsidy burden for the Government of Kosovo. Overall, the program has had a positive impact on the energy sector by building the capacity of the Government of Kosovo to prepare for further commercialization of the power sector.

Last updated: August 13, 2021

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