AEIC website 2005 electricity production. 3 Soucre: MEW Power Sector Strategy. The total cost of losses and subsidies equaled $128.5 million in 2005. The actual cost to the economy is greater! What this highlights is that continuing to operate on a business as usual basis is unsustainable. The number one priority in the energy sector must be on efficiency: commercialization of DABM, investments in transmission and distribution to reduce losses, repair and maintenance of all power assets. Changing business as usual also means changing how subsidies are provided. For example, if DABM provided each connection with one CFL to replace one incandescent bulb at the manufacturers cost of $5, it would save 38.8 thousand mwh per year in generation and reduce its losses by $US 3. million per year. It would cost DABM only $1.2 million to change out the bulbs, a rate of return of 17% and the bulb program would pay for itself in 2.5 years. Beyond the financial rewards, this is the easiest way to reduce commercial losses and make more power available. This is equivalent to a 38.8 MW boost in power with no additional investment and in a very short time frame. A 38.8 MW power plant would cost on the order of $40 million. ure 2. Annual Impact of poor commercial operations and subsidies