Peakload electricity demand in Kuwait

This paper examines demand for electricity in Kuwait. As, given the climatic conditions, the planning for electricity generating capacity is based on peak-load, the main focus of the paper is peak-load demand. The analysis in the paper is based on annual time series data, and generalized least square procedure is used to estimate the demand model. The model takes account of some of the key features of Kuwait’s electricity consumption patterns, e.g., unchanged nominal price for electricity, non-payment of electricity bills, air-conditioning load, etc. The estimated model was used to project future electricity demand under alternative scenarios and determine future capacity requirements.