PRIVATIZATION POLICY ON THE SATISFACTION OF ELECTRICITY CONSUMERS
TABLE OF CONTENTS
CHAPTER ONE    .
INTRODUCTION    
1.1    Background to the Study    .
1.2     Statement of the Research Problem    .
1.3    Aim and Objectives of the Study    
1.4     Research Questions    
1.5     Research Hypotheses    .
1.6    Scope of the Study    
1.7    Significance of the Study    .
CHAPTER TWO    
LITERATURE REVIEW    
2.1    Introduction    
2.2    The Concept of Customer Loyalty    
2.3    Theories of Customer Loyalty    
2.4    Determinants of Customer Loyalty    .
2.5    Factors Influencing Customer Loyalty    
2.6    Empirical Review    
2.7    Theoretical Framework    
CHAPTER THREE    
METHODOLOGY    .
3.1    Introduction    
3.2     Research Design    
3.3    The Population of the Study    
3.4    The Study Sample    
3.5    Model Specification    .
3.6    Sources of Data    
3.7    Data Collection Instrument and Validation    
3.8    Method of Data Analyses    
3.8    Limitations of the Methodology    
REFERENCES    
APPEDICES    
CHAPTER ONE
INTRODUCTION
1.1    BACKGROUND TO THE STUDY
There is little exaggeration in the statementthat consumers are to the business firms,what the church square was to the medievalcivilization. In this era of alternativewindows of opportunity, the customers’satisfaction has become an importantvariable in service delivery. This explainswhy the psychology of the consumers carrieda deep thrust in the behaviour of serviceproviders; even those who enjoy statemonopoly frequently make concerted effortsto see the consumer as the king. Althoughthere is little or no competition in theprovision of electricity, effective monitoringof customer satisfaction is a precondition forwinning market competition and gainingcustomers acceptance. Available evidenceattests to the fact that the customers of thePower Holding Company of Nigeria (PHCN)have not had it any better in spite ofthe enormous public investment in the powersector.Industry players have attributed the dismalperformance of the sector to bundling of thesector and have accordingly called for itsunbundling. Others have attributed it to theenjoyment of state monopoly and haveaccordingly called for privatization. Inresponse to the clarion calls the governmentnot only unbundled but also privatized.
There is therefore the need to identify thecustomers, their experiences with servicesatisfaction, evaluate the problems and usethe result of the evaluation to assess theperformance of service providers.All over the world customers’ satisfactionhas become a veritable tool for measuringorganizational performance and relevance.
This explains why many countriesestablished customers’ satisfaction degreeotherwise known as Customers SatisfactionIndexes (CSI). The customers’ satisfactiondegree is established for trade, commerceand industry from the view point ofconsumers as different from the producers’measure of consumer loyalty and acceptance.For instance in America, we’ve AmericaCustomers Satisfaction Index (ACSI) whilein Sweden we’ve Swedish CustomersSatisfaction Index (SCSI). In Europe we’veEuropean Customers Satisfaction Index(ECSI).
In Nigeria it is unlikely that such indexesexist and where it exists, it has not receivedadequate relevance and may be at firmmarketing level to determine saleperformance through customer re-purchase.Expectedly, government regulatoryinstitution, such as Standard Organization ofNigeria (SON), Nigeria CommunicationCommission (NCC) and the NigeriaElectricity Regulatory Commission (NERC)similar public regulatory institutions aresupposed to come up with such indexes.This is the driving force for this paper. Themain focus of this paper is therefore todetermine the indicators of electricityConsumers Satisfaction in selectedelectricity distribution zones in Nigeria, Benin-City in particular.
    STATEMENT OF THE RESEARCH PROBLEM
While acknowledging the desirability of enhanced efficiency and better service delivery in the management of national resources, the extension of wholesale privatization program to the utility sector and had of recent become a source of concern to development analyst and other groups of stakeholders. This amounts to the creation of capitalism to the detriment of the poor in our society. This research work seeks to evaluate the privatization process, its fallout and the effects it has on consumer satisfaction.
1.3    RESEARCH QUESTIONS
In view of the stated objectives, the researcher tends to find out the following:
What are the causal factors of the satisfaction of the electricity consumers?
What is the level of awareness of the electricity consumers about the privatization policy?
What is the reaction of electricity consumers to the fall out of the privatization policy?
What is the economic impact of privatization policy on electricity consumer satisfaction?
What is the average perception of electricity consumers about the characteristics of the present electricity supplier services?
    OBJECTIVES OF THE STUDY
The broad objectives of this research work are to evaluate the impact of privatization policy on the satisfaction of electricity consumers. We can put it has thus:
To determine the causal factors of the satisfaction of electricity consumers in Ugbowo, Benin-city.
To ascertain the level of awareness of electricity consumers in Ugbowo about the fall outs of privatization policy.
To determine the reaction of electricity consumers in Ugbowo to the fall out of the privatization policy.
To ascertain the economic impact of privatization policy on electricity consumers in Ugbowo, Benin-City.
To ascertain the perception of the average electricity consumer about the characteristics of the present services of electricity suppliers.
1.5    SIGNIFICANCE OF THE STUDY
Privatization of the private sector enterprises is not new in Nigeria. Indeed, privatization was a key element of the structural adjustment programme adopted by the Nigerian government in 1986 to stabilize the economy and position it for sustainable growth. What is new in the on-going privatization process is the courage and determination of the governments to extend to the utilities (power), airways, petroleum refineries, and petrochemical plants in order for consumers of these utilities to enjoy adequate service quality.
It is a statement of fact that the private sector is profit driven and this would undermine the rights of the populace to basic amenities in the absence of adequate protection. This study shall not only evaluate the success of the privatization process, but also examine how consumers benefits from this on-going privatization policy.
1.6    SCOPE OF THE STUDY
The scope of this study is limited to the activities of privatization and consumers satisfaction of Power Holding Company of Nigeria (PHCN) which was enhanced as a result of the inadequacy and failure surrounding its activities and programmes to the public who are the major benefactors of the services been rendered by this public corporation.
Quite unlike the first privatization exercise, which was fairly simple in scope and design due to the nature of the enterprises involved, the peculiarity of the on-going exercise suggests that its design and implementation must meet certain international standards if the exercise is to be successful. The scope of this research work shall be restricted to the electricity consumers of Power Holding Company of Nigeria (Ugbowo, Benin-city).
1.7    LIMITATIONS OF THE STUDY
In the process of undertaking this study certain hindrances were encountered. This included: reluctance on the part of despondence to fully disclose information, Inability to cover all localities in Benin-city, due to time and funding constraint. Nonetheless strenuous effort where made to overcome these limitation, so as to make meaningful contributions to existing knowledge.