Volume 2: Innovative Solutions for Energy Transitions: Part I

International Review of Regulatory Aspects Related to Electricity Loss in Distribution Sector Murilo Miranda , Carlos Ruffin, Guilherme Dantas, Nathalia Pedreira, Matheus Guerra, Lucca Zamboni, Priscila Mendes, Jairo Alvares

Abstract

Electric Distribution Loss is a problem in many countries, but some have managed to incentivize the distribution companies to combat these losses effectively. Thus, in order to broaden the debate on the topic, this article develops a mapping of different experiences in the regulatory treatment of distribution losses, focused on commercial losses. A comparison of experiences in 13 countries shows six major innovative approaches: individualized treatment, efficient company model, treatment based on companies’ similarity, specific treatment based on companies’ individual performance, and specific treatment for areas with high criminality.

Keywords Non-technical Losses, Economic Regulation, Electricity Distribution