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Non-Payment in the Electricity Sector in Eastern Europe and the Former Soviet Union

Description

This report reviews the non-payment problems in the electricity sector in Eastern Europe and the Former Soviet Union during the period 1990-1997. In addition, the review also covers the problem of low cash collections and the preference in some countries for the use of cash substitutes such as barters, offsets, and promissory notes. It is supplemented by eight brief country studies containing the field data on the non-payment crisis in Albania, Bulgaria, Hungary, Armenia, Lithuania, Georgia, Russia, and Kazakhstan. The objective of this study is to identify successful policies and measures that were employed to address the problem of non-payments, although failures are also examined. The authors intended to present a wide range of data and practical suggestions that could be applied in different countries of the region when the political will is lacking, rather than a comprehensive analysis of the causes and nature of the non-payment problem