19-1jesa.qxd

Abstract The investigation of electrical energy management (EEM) in the industrial and commercial sector determines how energy management affects electricity consumption and what makes its potential for being used to reduce peak demand of utility industries. The aim of this paper is to analyze the contribution of electrical energy management in the industrial and commercial sector and highlight its challenges to the Tanzanian utility industry. Energy efficiency technology analyzed in this paper includes energy efficiency lighting and power factor improvement. The analysis found that, if EEM is properly implemented, a significant amount of energy could be saved and could be converted to monetary benefits which might facilitate the development of other activities. The utility industry can benefit from saving considerable amounts of energy as well as the reduction of peak demand which can minimize the race of stumbling on new energy sources and construction of new power plants. The saved energy can be distributed to other consumers so as to improve accessibility or reliability of the electrical system and consequently minimize the impact of environmental pollution