In
developing countries non-technical transmission and distribution
(T&D) losses are of ten high. The World Bank reported that T&D
losses in developing countries are two to four times higher than in
OECD countries. In 1997, Malaysia’s T&D losses were 9 per cent
compared with 4 per cent in Japan and Singapore . Thus,
electricity consumption fi gures are underestimated. However,
except for technical losses, all electricity generated contributes to
GDP. Thus, it makes more sense to employ electricity generation as the appropriate proxy for electricity