Proposed Study

in
“Electric Power Interruptions; Impact to Member- Consumer- Owners and

Electric Cooperatives.”

Presented to:

Christian Paul S. Moyon, DBM, RFP

ED 203 (Methods of Research)

Submitted by:

Babes Kirsty D. Tamine

Student ID No: 521474

February 27, 2021

 Introduction

The interruption of electric power refers to the loss of electrical power in a

particular region (NGCP, 2017). It is a depletion of an end user's supply of the electrical

power network. Uninterrupted power supply is a desire for electricity from a consumer,

but it is not realistic. The electric power interruption, however, can result in a substantial

loss to a customer (Q. Ahsan, 2004). The everyday routine is crippled in the event of an

interruption. In a certain area, the frequency of power interruption will have a major

effect on the end-user and the electric cooperative. Electricity is one of the most

significant blessings science has offered to mankind, according to Lekshmi S. in 2010.It

has also become a part of modern life and one cannot think of a world without it. Our

everyday life is dependent on electricity from the moment we wake up in the morning

until we reach the pillow at night. Electricity has rendered the economy active. Large

devices are used with the aid of electricity in factories. The development and progress

of each country, which is closely linked to the sectors of power and energy. For all

indications of growth, it has been recognized as an integral commodity. The quality of

productivity and energy supply to the final consumer is one of the distinct variables of

the electricity sector.

On the other hand, with all the things going on around us in the world, energy

plays an unbelievably important role. But before we enjoyed it, the structure and

operation of the electric power system across the globe has changed considerably.

Many nations have incorporated traditional systems of generation, transmission, and

distribution. In this way, the system has been split up into different and distinct bodies

that fulfill only a single function of the entire power system. A new and built electric
power system's primary objective is to provide consumers with more affordable, more

sustainable and more reliable electricity (S. Küfeoğlu, 2015).

Africa, meanwhile, is much better today than it was at the beginning of the

century. Power interruption is undeniably a major obstacle to development and growth

of many countries in Africa. A lot of studies have discussed Africa in the past. A

research in the Niger Delta, Nigeria, for instance, revealed that Nigeria is suffering from

the worst energy crisis in its history, resulting in major daily power outages in its rural

communities. Power outages have a significant negative effect on people's social and

economic lives. Some of the key effects of rampant power outages among rural

households in the Niger Delta have been found to be stunted economic growth,

decreased leisure time, as well as increased crime and insecurity (H. Amadi, 2015). And

the poor quality of the electricity supply in Cameroon has caused substantial losses for

the industry, with output losses of up to 60% of the direct method outage costs (T. Tamo

Tatie, 2013). In many African countries, the supply of power is widely known for its

unreliability and high cost of disruption, affecting production efficiency, long-term growth

and competitiveness. Unreliable energy results in manufacturing delays, loss of

perishable goods, damage to critical equipment, and loss of orders (Oshikoya and

Hussain, 2001).

These outages have a wide-ranging effect on the economy in the Philippines:

households would not have electricity for a few minutes or even hours, causing great

inconvenience; companies would incur higher costs by lost sales and decreased

productivity; and investors would be reluctant to do business, leading to lower

investment (M. Amoguis, 2019).

 In Sarangani Province, particularly in the municipalities of Maasim, Kiamba and

Maitum, experienced a frequent power interruption. The need for this study emerged

from each member-consumer with its own distinct consumption of electric power. This

reality suggests the need to independently evaluate the reliability of the power.

Statement of the Problem

In order to assess the impact of electric power interruption on member-

consumers and Electric Cooperative within the territorial jurisdiction of Maasim, Kiamba,

Maitum Sarangani Province, this study endeavors to find answer on the following

questions:

1. The profile of the member-consumers

1.1 Type of Consumer

1.2 Electricity Consumption

2. What are the possible impacts of power interruptions to the member-

consumers

2.1 Decreased Productivity

2.2 Damaged Inventory, Supplies, and Equipment

2.3 Decreased Revenue

3. What are the possible impacts of power interruption to the Electric

Cooperatives

3.1 Trust of Member-consumers to the EC’s

 3.2 Income generation

3.3 Quality Service

4. What are the cause of Power Interruption

4.1 Scheduled Interruption

4.2. Unscheduled Interruption

Review of Related Literature

In general, the basic need for a country's economic growth is electricity.

Many functions are expected to stop when the energy supply is disrupted

(Waseem Khan, 2018). In modern societies, electricity has become a vital

component. The everyday routine is paralyzed in the event of an interruption, due

to the use of electrical equipment in almost every aspect of life (Sinan Küfeoğlu,

2015).

If electricity is momentarily inaccessible, an interruption is referred to as

(T. Tamo Tatietse). According to the Institute of Electrical and Electronics

Engineers (IEEE) guidelines, an interruption is characterized as a complete loss

of supply voltage or load current (IEEE, 1995). There are numerous types of this

phenomenon: scheduled, and unplanned. For the purposes of preventive

maintenance, line clearing and other associated maintenance, a planned

interruption is a reasonable temporary outage of services. Unplanned interruption

or accidental outage, on the other hand, may trigger line-related faults, dirty lines,

sabotage and pilferage, and natural calamities.

Providing safe and stable electricity is still a difficult job, even under

normal circumstances, for utilities and the authorities. Natural disasters such as

flooding, hurricanes, ice storms, thunder storms and so on are likely to be caused

by severe weather conditions. These incidents pose a great threat to the safety

of the energy supply (S. Küfeoğlu, 2015). According to (Frost and Sullivan, 2015)

Severe weather is the leading cause of power outages in the US. Some

consumers are willing to pay to stop unwelcome power outages. Utilities are

increasing their investments in vegetation management and storm-hardening

facilities. Some utilities are considering whether there is economic justification for

undergrounding. The US is interested in the efficiency and resiliency of

electricity. A National Electric Grid Security and Resilience Action Plan was

issued by the White House, which describes the country's activities at the federal

level to strengthen the security and reliability of the power system (Executive

Office of the President).

In addition, according to UNFPA, Philippines is ranked the third in the

2018 World Risk Index of most disaster-prone countries in the world. Every year,

the country is hit by a slew of natural disasters, including typhoons, earthquakes,

and volcanic eruptions, as well as a slew of complex emergencies brought on by

armed conflict. Each year, an average of 20 tropical storms or typhoons affect

the Philippines. After the Yolanda typhoon of 2013, the area of Visayas suffered

catastrophic damage. Yolanda causes Coops P4.92B power loss. Due to total or
partial damage to distribution lines, substations and sub-transmission lines, the

super typhoon left 34 electric cooperatives in 20 provinces with around P4.92

billion losses (NEA). This horrible event has big impact to the EC’s.

(Q. Ahsan, 2004) notes that a consumer loses every electric power

interruption. The fact that a device can be entirely uninterrupted is not possible,

but the frequency and length of power interruptions should be reduced to an

acceptable level. A consumer might be able to measure the consequences of

power interruption in monetary terms of the real loss incurred on him. The

residential and industrial customers due to the interruption of electricity. In

monetary terms, the loss of a customer due to electrical power interruption is

based on the identification of the types of losses that a customer may face.

Normally, a residential user faces the following: The regular power outage

causes significant harm to some of the electrical/electronic equipment due to

damage to electrical appliances. This can also shorten the life of the appliance.

Some of the damage is repairable and some of it is not. Alternative energy cost

to meet emergencies, alternative sources, which the consumer may use during

power outage, are of various forms, including charger light, IPS, UPS, generator,

candle, petroleum lamp, etc. During power outage, the use of an alternate source

entails capacity cost and fuel cost. There are just power costs for some of the

alternate sources. Harm to perishable goods is a result of the power interruption

period. For a brief time of power interruption, some objects are destroyed in a

fridge or oven, but some items can stay longer without being destroyed. And,

loss due to inconvenience, the inconvenience to a residential user may arise

from the study, dinning, machine works, cooking, sewing, accounting,

amusements etc (Q. Ahsan).

Moreover, in several rising developing countries, the household sector is a

big electricity user. For a variety of utilities such as cooking, washing, information

and communication, lighting, indoor cooling or heating, and in many cases for

running a home business, electricity is used by residential consumers (Ayesha

Ali, 2016). When the power interruption occurred the effect of this would change

result to cost of household time.

In addition, energy is an integral part of any phase of development,

according to Abotsi (2015). The World Bank survey of companies has stated over

the years that electricity is a big barrier to their operations. Since energy is an

integral part of most production processes, its shortcomings have the potential to

adversely affect the production process, leading to inefficiencies in production

and low performance. Power outages have the potential to impact business

processes, contributing ultimately to adverse productivity results. Channels by

which power outages influence industries include; the impact on the

manufacturing process (efficiency channel), the increased costs to businesses

finding alternative energy sources, and the costs associated with replacing or

fixing damaged machines and equipment as a result of power outages, and

ultimately the impact on the quality of the goods or services produced (quality

channel) (Cissokho and Seck, 2013).

Power outages can affect business operations across a variety of

channels, leading ultimately to adverse productivity effects. The efficiency

channel by which the provision of discontinuous power is associated with

disturbance in the production process, causing idle production resources,

resulting in a lower level of output. The cost of replacing or fixing defective

machinery and equipment, on the one hand, and the cost of spoiling finished

goods or inventory, on the other hand. In addition, power shortages contribute to

increased costs for companies, since they often have to rely on alternative

energy sources, such as leased or self-owned generators. The quality channel

that is connected to the rush to meet deadlines due to planned power outages,

inventories ruined or machines malfunctioning (Lassana Cissokho1 and

Abdoulaye Seck, 2013).

 Conceptual Frame work

INDEPENDENT
DEPENDENT VARIABLE
VARIABLES
The impact of power
Profile of Member-
Consumers interruption to Member-

 Types of Consumer Consumer and Electric

 Electricity Cooperative

Consumption
 Reference

Ngcp.ph

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(https://www.thehindu.com/features/kids/Importance-of-

electricity/article16544961.ece)

Waseem Khan (April 22, 2018): Importance of Electricity in our Daily lives and

its impact on Modern Society.

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daily-lives-and-its-impact-on-modern-society.html)

Q. Ahsan: Evaluation of Power Interruption Cost for Residential and

Industrial Sectors. Journal of Energy & Environment 3 (2004) 119 – 131

Sinan Küfeoğlu (2015): Economic Impacts of Electric Power Outages and

Evaluation of Customer Interruption Costs

T. Tamo Tatietse: Power interruption costs to industries in Cameroon.

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