EuroMed J. of Management   »   2017 Vol.2, No.2



Title: The cost of political interference in the public sector: the case of 'Electricité Du Liban'


Author: Maher Al Sayah


Address: USEK School of Business, Holy Spirit University of Kaslik, P.O. Box 446, Jounieh, Lebanon


Abstract: No matter how developed a society is, there will always be a certain corruption shadowed rate that accompanies it. Investing in energy is internationally known to be a highly profitable and advantageous business. Ironically, the energetic situation in Lebanon is far from this truth with yearly deficits lately exceeding the 2 billion US dollars. Electricité Du Liban 'EDL', the administration of energy in Lebanon represents a living example of corruption and political manipulation. By relying on the following four parameters 'The situation of the Lebanese electrical Plants and grids, The situation of employment and qualifications, The situation of the Lebanese private electrical grids and The cost of not upgrading to alternative resources' we managed to quantify the minimum economic losses generated by corruption in EDL for the year 2014. To lessen the political influence over the private sector, societies should turn to BOT contracts and even privatisation policies.


Keywords: public administration; energy; corruption; political influence; politicians; power plant.


DOI: 10.1504/EMJM.2017.10006860


EuroMed J. of Management, 2017 Vol.2, No.2, pp.119 - 140


Submission date: 19 Apr 2017
Date of acceptance: 27 Apr 2017
Available online: 04 Aug 2017



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