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PROBLEMS AND PROSPECTS OF MAREKTING ELECTRICITY SERVICES IN ENUGU STATE

(A CASE STUDY OF NEPA HEADQUARTERS ENUGU)

 

ABSTRACT

 

This research is on problems and prospects of marketing electricity services in Enugu state.  A case study of NEPA headquarters, Enugu.  It is made up of five chapters, each of the chapters dealt with a particular aspect of the research work.

          The research work aimed at identifying the extent which marketing strategy is applied for effective and efficient NEPA services to customers.  Four research questions were set.  The instruments used for data collection was a questionnaire containing fourteen questions relating to the study

          The sample size used was determined by the Nwana (1981) postulation as such 131 persons were used.  The persons were NEPA staff which are also users.  Response from the respondent were presented in tables and analyzed using simple percentage method only.

Finally, some recommendations and suggestions in some areas for further research were made.  Among these recommendations are

1. NEPA should adopt the philosophy of marketing concept in its daily activities.
2. Government should discourage the monopolistic syndrome practiced by NEPA
3. NEPA should create room for effective bill distribution and meter reading.

These and more are the recommendations advanced to NEPA to assist them in the marketing of the electricity services.

NEPA is now known as Power Holding Company of Nigeria (PHCN).

 

CHAPTER ONE

1. INTRODUCTION

1.1     BACKGROUND TO THE STUDY

 

          This research titled problems and prospects of marketing electricity services in Enugu state using the NEPA headquarters Enugu as a case study will slightly take our minds back to the parameter or yardstick for proper and genuine development of a nation especially Nigeria to be precise.

          There is now an increasing realization of the need for effective electricity supply in the country as a result of rapid growth in all sectors of the economy and expansion in the use of electricity appliances.  National Electric Power Authority (NEPA) is a public enterprise established to provide electricity services to its numerous both in the urban and in the hinterland.  As a public corporation, it is essentially a non-profit making organization, it is therefore expected to exploit its consumer (the uses) in the name of profit maximization.  However, it is expected to be financially self-supporting, and therefore should be able to regard its customers as the central focus of its action.

According to Henson (1959) the country is anxious to develop economically has no alternative but to use public enterprise on a considerable scale, at the very lest in order to get things going.

Bearing the development of Nigeria economy in mind NEPA was established with the objective of supplying energy at the lowest possible cost, seeing to the effective distribution and rendering services to the consumer.  Unfortunately, consumers whom the establishment were meant to serve has not derived the expected satisfaction from its services.  Although NEPA is inefficient, the criticism stems either from ignorance of what it takes to supply electricity efficiently in a rapid development environment or in some cases, some knowledgeable section of the public here have made up their minds never to see anything good effort for the NEPA.

Marketing has been variously defined; one of the definitions is that which looked at marketing as “all the important set of creative human activities aimed at identifying, anticipating and satisfying human needs and wants through exchange as efficiently and as effectively as possible (Adirika 1990 : 3).  In other words, all activities that are taken to facilitate the flow of goods and services come under marketing.

Another notable definition is that which viewed marketing as the social and managerial process by which individuals and groups obtain what they need and want through creating and exchanging products and values with other (Kotler 1980:9).  The definition places the customer at the fore front, it also places emphasis on achieving the firms goal.  For the purpose of this study, therefore the definition given by McCarthy is more appropriate.  With regard to these problems and prospects of marketing electricity, marketing is defined as the application of marketing strategy in the electricity industry with the view to satisfying the consumer efficiently.  The service industries are generally behind the rest of other business in adoption of marketing philosophy.  Realizing the importance of marketing in economic growth and electricity supply as a social amenities/symbol of industrialization and economic progress, it is therefore important to integrate marketing philosophy in service industries.