Political Reasons Behind the Electricity Dilemma in Haiti
What it will take to have electricity in Haiti
Cost is one of the significant factors that contribute significantly to the development of electricity in Haiti. Since the investment in the sector of electricity has been extremely slow, combining the aspects inclusive of the non-payment culture for electric services, low-based metered customers, and fair consumer tariffs contributes significantly to electricity accessibility. The consideration of relative cost within the electricity production, distribution, and consumption should result into the efficient electricity network with higher levels of financial gains in Haiti
In Haiti, there is a need for the investment through donor finances to enable the generation, transmission and the distribution of electricity. This with estimation will cost up to U.S.$395 million with the inclusion of the hydroelectricity medium-term projects with distribution and transmission costing up to U.S.$55 million
. The investment in the network of electricity transmission will enable Haiti to have accessibility to electricity between consumption and production centers with the establishment of lines to enable the transmission of the generated electricity to potential consumers.
As part of the significant strategy in the development of electricity subsector as a major aspect in the improvement of electricity, in Haiti, the government is considering undertaking the rehabilitation and the respective renovation of the major system in the various capitals of some of the main departments. This involves an estimated cost of up to U.S.$42 million as one of the significant projects meant to boost electricity distribution and consumption in Haiti. The electricity prices in Haiti will reflect on the cost of building, finance, maintenance, managing, and operation of the power plants to be set up with the electricity grids. The setting of the complex power system is to cost the government heavily to enable the transmission and distribution of the generated electricity
Operating and administering the set up utilities that are to supply electricity to consumers will also be costly. Some of the utilities are to profit Haiti as a country with the prices including the owners and shareholders return
. Some of the factors that will affect the cost of generating, distributing, managing, and consumption of electricity in Haiti include:
Fuel, coal production, and use are relatively inexpensive compared to the natural gas, which will be costly.
Power plants, the construction, and maintenance general cost will be greater for some of the power plants compared to the rest.
Distribution and transmission lines, maintenance with the use of the transmission system in delivering electricity contributes to the relative cost of Haiti electricity.
Weather conditions in Haiti, the consistency of rains provide the water meant for the hydropower generation. Extreme heat will also enable the increment of electricity demand for cooling.
Regulations, the prices under the regulation by the set up departments will enable sufficient distribution and consumption of electricity in Haiti.
The cost of having electricity in Haiti has variances following the difference in consumption. The cost of electricity is high for the commercial and residential consumers since the cost of distribution is more. The industrial consumers also contribute to the utilization of electricity as higher voltages to make the price of electricity closer to the wholesale price
Time factor in the generation, distribution, and consumption of electricity in Haiti has a higher degree of certainty. Following the aspect of Haiti as a destination for energy investment, the political and regulatory environment considers time with stability to open and progressive development through the provision of high degree certainty and confidence duration to make investment. The time dedicated to the stabilization of the electricity distribution system enables companies to consider investing heavily in the production of electricity to benefit the stable environment
Since Haiti host, a growing economy, time factor in the business environment is significant to enable the skilled and multi-lingual production workforce to show competitive service delivery in the development of the country. This will enable the provision of sophisticated market framework to enable innovation and drive technology in infrastructure development.
Stable political environment
Stability in the Haiti political system forms the strength of electricity investment destination stemming. This involves an effective response to the challenges on policy direction to enable electricity generation, distribution, and consumption success. The adaptability of the Haiti government policies within the system enables the aspect of electricity generation, distribution, and consumption possibility. The transparency and effectiveness of the framework system is also a significant factor in having electricity in Haiti. The lower levels of corruption in the country as attributed to the strong system of balances and checks. This is with the respected law and judicial enforcement system contributing to the successful accessibility of locally produced electricity.
The stability of the government has enabled the private sector to make investments through the opportunities of bidding for the rights of running successful energy utility for the pre-defined period. The environment stability has also enabled the aspect of capitalization through the private investment share of ownership in the public electricity generating companies. This enables the generation of resources for investment in systems and infrastructure expansion. The government has also considered the act of developing improved regulatory and legal framework for the energy sector. This is with necessary actions of making implementations of strategies for the modernization of the energy sector
II. Solving Electricity Dilemma in Haiti
Electricity issues are disturbing Haiti and affecting its development extensively since electricity makes work easier and reduces the usage of human power that is slow and not perfect. Electricity promotes the use of machines that lessen, fasten and perfects the work done. For instance, the use of machines such as computers that can perform more than one task at a time compared to man who only performs one work at a time. The non-governmental organizations contributed in the development of the electricity in Haiti in that they knew the importance of the electricity and had to spread the same across for the good of their own country
The most common non-governmental organization in Haiti is the USAID. USAID has provided the Haiti government with investments after the massive hit by the earthquake that swept all the country. The government remained poor in the sense that the government lacked organizations and only survived on relief aid. The non-governmental organization participated a lot in the helping the Haitians. The NGO contributed in the development of the government by providing food, shelter, medicines and other donations such as finances to the government to stabilize mostly in the electricity area. This was so because the NGO knew the importance of electricity therefore they had to contribute towards the success of Haiti in the energy sector.
The USAID helped in the contribution of the funds to restore electricity since it knew the importance and consequences of electricity. The USAID contributed in the development of the electricity by financing the repair and restoration of a five power plant in the metropolitan of Haiti. This contributed to the growth of the electricity in Haiti. USAID contributed to the spreading of electricity through the rural electrification in order to reach numerous people that should also enjoy the electricity and at least make use of the resources. Rural-electrification in Haiti led to the development of the internal regions for internal purposes
The neighboring countries led to the development of the people since the restoration of electricity in Haiti. Most neighboring countries to Haiti contributed majorly in the surviving Haiti's company. For example, most of the refugees went to the neighboring countries in order to obtain help and medical attention. This made the Haitians feel that they had a place to call home that made them feel comfortable among g the rest citizens. The neighboring countries also provides materials things and help such as providing relief food and coming up with help such as provision of ambulances and other help by the doctors.
America offered majority aid to the Haitians because they were the potential neighbors who were capable of rescuing the Haitians without any pressure. The neighboring countries contributed to the development of electricity in Haiti because most of the electricity tapped or had its origin in other countries. The other nations of the world in the period when most of the people came in the development due to the manufacturing sect people who changed the entire written appliances in the group. The neighboring countries of Haiti majorly depended on America on lighting but the security and other details done by other smaller countries
. The electricity cables from the United States of America to Haiti mostly placed under the ground. This prevented the cables from hurting the people and preventing the cables from vandalism.
Figure 1: Total Per Capita Energy Consumption for a group of selected countries, based on the EIA's International Energy Statistics (1980-2006)
Figure 1 shows the energy consumption rate of selected world countries namely Afghanistan, Haiti, India, Dominican Republic, China, and Jamaica. According to the statistics, Haiti's total energy consumption per capita is below the consumption rate of…