IDEAS home Printed from https://ideas.repec.org/a/eco/journ2/2016-02-18.html
   My bibliography  Save this article

An Empirical Analysis for Technical Efficiency of Bioenergy Industry in EU28 Region Based on Data Envelopment Analysis Method

Author

Listed:
  • Mohd Alsaleh

    (Faculty of Economics and Management, Universiti Putra Malaysia, 43400 UPM Serdang, Selangor, Malaysia)

  • A.S. Abdul-Rahim

    (Faculty of Economics and Management, Universiti Putra Malaysia, 43400 UPM Serdang, Selangor, Malaysia)

  • H.O. Mohd-Shahwahid

    (Faculty of Economics and Management, Universiti Putra Malaysia, 43400 UPM Serdang, Selangor, Malaysia)

  • Lee Chin

    (Faculty of Economics and Management, Universiti Putra Malaysia, 43400 UPM Serdang, Selangor, Malaysia)

  • Fakarudin Kamarudin

    (Faculty of Economics and Management, Universiti Putra Malaysia, 43400 UPM Serdang, Selangor, Malaysia)

Abstract

Over the last few years concerns have enhanced about the bioenergy industry as main source for renewable and sustainable energy in many countries. These concerns have been major magnitude for countries with joint green energy legislation such as European Union (EU) member states. A significant aspect to be considered when selecting a provided bioenergy is the efficiency involved in its production. In this context, the current study analyzes the technical efficiency (TE) components in bioenergy industry in EU28 region between 1990 and 2013. To this end, parametric and non-parametric frontier models are applied, where both are particularly appropriate in this special context due to their treatment of undesirable outputs. Results are presenting higher means for TE and pure TE in developing countries in compare with developed countries. In the other hand, scale efficiency mean presenting high value in developed countries in compare with developing ones

Suggested Citation

  • Mohd Alsaleh & A.S. Abdul-Rahim & H.O. Mohd-Shahwahid & Lee Chin & Fakarudin Kamarudin, 2016. "An Empirical Analysis for Technical Efficiency of Bioenergy Industry in EU28 Region Based on Data Envelopment Analysis Method," International Journal of Energy Economics and Policy, Econjournals, vol. 6(2), pages 290-304.
    • Handle: RePEc:eco:journ2:2016-02-18
    as

    Download full text from publisher

    File URL: http://www.econjournals.com/index.php/ijeep/article/download/2055/1380
    Download Restriction: no
    File URL: http://www.econjournals.com/index.php/ijeep/article/view/2055/1380
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Kythreotou, Nicoletta & Tassou, Savvas A. & Florides, Georgios, 2012. "An assessment of the biomass potential of Cyprus for energy production," Energy, Elsevier, vol. 47(1), pages 253-261.
    2. B. Sudhakara Reddy & Gaudenz Assenza, 2007. "Barriers and Drivers to Energy Efficiency - A new Taxonomical Approach," Development Economics Working Papers 22348, East Asian Bureau of Economic Research.
    3. Evans, Annette & Strezov, Vladimir & Evans, Tim J., 2010. "Sustainability considerations for electricity generation from biomass," Renewable and Sustainable Energy Reviews, Elsevier, vol. 14(5), pages 1419-1427, June.
    4. Charnes, A. & Cooper, W. W. & Rhodes, E., 1978. "Measuring the efficiency of decision making units," European Journal of Operational Research, Elsevier, vol. 2(6), pages 429-444, November.
    5. Fadzlan Sufian & Muzafar Shah Habibullah, 2011. "Opening the Black Box on Bank Efficiency in China: Does Economic Freedom Matter?," Global Economic Review, Taylor & Francis Journals, vol. 40(3), pages 269-298, September.
    6. Donsyah Yudistira, 2004. "Efficiency of Islamic Banks: an Empirical Analysis of 18 Banks," Finance 0406007, University Library of Munich, Germany.
    7. Fadzlan Sufian & Razali Haron, 2008. "The sources and determinants of productivity growth in the Malaysian Islamic banking sector: a nonstochastic frontier approach," International Journal of Accounting and Finance, Inderscience Enterprises Ltd, vol. 1(2), pages 193-215.
    8. Scarlat, N. & Dallemand, J.F. & Motola, V. & Monforti-Ferrario, F., 2013. "Bioenergy production and use in Italy: Recent developments, perspectives and potential," Renewable Energy, Elsevier, vol. 57(C), pages 448-461.
    9. Sufian, Fadzlan, 2009. "Determinants of bank efficiency during unstable macroeconomic environment: Empirical evidence from Malaysia," Research in International Business and Finance, Elsevier, vol. 23(1), pages 54-77, January.
    10. Yudistira, Donsyah, 2004. "Efficiency In Islamic Banking: An Empirical Analysis Of Eighteen Banks," Islamic Economic Studies, The Islamic Research and Training Institute (IRTI), vol. 12, pages 2-19.
    11. Fadzlan Sufian, 2009. "Assessing the impact of mergers and acquisitions on bank profit efficiency: empirical evidence from Malaysia," International Journal of Decision Sciences, Risk and Management, Inderscience Enterprises Ltd, vol. 1(3/4), pages 258-285.
    12. R. D. Banker & A. Charnes & W. W. Cooper, 1984. "Some Models for Estimating Technical and Scale Inefficiencies in Data Envelopment Analysis," Management Science, INFORMS, vol. 30(9), pages 1078-1092, September.
    13. Fadzlan Sufian & Muzafar Shah Habibullah, 2014. "The impact of forced mergers and acquisitions on banks’ total factor productivity: empirical evidence from Malaysia," Journal of the Asia Pacific Economy, Taylor & Francis Journals, vol. 19(1), pages 151-185, January.
    14. Fadzlan Sufian, 2009. "Mergers and acquisitions and the determinants of bank total factor productivity: empirical evidence from Malaysia," World Review of Entrepreneurship, Management and Sustainable Development, Inderscience Enterprises Ltd, vol. 5(4), pages 407-427.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Ni-Ni Yin & Ke-Liang Wang & Zhen Yao & Li-Li Ding & Zhuang Miao, 2022. "Total-factor air environmental efficiency and its influencing factors in the areas along the Belt and Road in China: A spatial spillover perspective," Energy & Environment, , vol. 33(4), pages 663-695, June.
    2. Ighball Baniasad Askari & Hossein Ghazizade-Ahsaee & Alibakhsh Kasaeian, 2023. "Investigation of an ejector-cascaded vapor compression–absorption refrigeration cycle powered by linear fresnel and organic rankine cycle," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 25(9), pages 9439-9484, September.
    3. Alsaleh, Mohd & Abdul-Rahim, A.S. & Mohd-Shahwahid, H.O., 2017. "Determinants of technical efficiency in the bioenergy industry in the EU28 region," Renewable and Sustainable Energy Reviews, Elsevier, vol. 78(C), pages 1331-1349.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Alsaleh, Mohd & Abdul-Rahim, A.S. & Mohd-Shahwahid, H.O., 2017. "Determinants of technical efficiency in the bioenergy industry in the EU28 region," Renewable and Sustainable Energy Reviews, Elsevier, vol. 78(C), pages 1331-1349.
    2. Fakarudin Kamarudin & Bany Ariffin Amin Nordin & Junaina Muhammad & Mohamad Ali Abdul Hamid, 2014. "Cost, Revenue and Profit Efficiency of Islamic and Conventional Banking Sector: Empirical Evidence from Gulf Cooperative Council Countries," Global Business Review, International Management Institute, vol. 15(1), pages 1-24, March.
    3. Fadzlan Sufian & Fakarudin Kamarudin, 2013. "Efficiency of the Bangladesh Banking Sector: Evidence from the Profit Function," Jindal Journal of Business Research, , vol. 2(1), pages 43-57, June.
    4. Alsaleh, Mohd & Abdul-Rahim, A.S., 2018. "Determinants of cost efficiency of bioenergy industry: Evidence from EU28 countries," Renewable Energy, Elsevier, vol. 127(C), pages 746-762.
    5. Serhat Y ksel & Shahriyar Mukhtarov & Elvin Mammadov, 2016. "Comparing the Efficiency of Turkish and Azerbaijani Banks: An Application with Data Envelopment Analysis," International Journal of Economics and Financial Issues, Econjournals, vol. 6(3), pages 1059-1067.
    6. Ikram Ullah Khan & Sadaqat Ali & Habib Nawaz Khan, 2018. "Market Concentration, Risk-taking, and Efficiency of Commercial Banks in Pakistan: An Application of the Two-Stage Double Bootstrap DEA," Business & Economic Review, Institute of Management Sciences, Peshawar, Pakistan, vol. 10(2), pages 65-96, June.
    7. Fadzlan Sufian & Junaina Muhamad & A.N. Bany-Ariffin & M.H. Yahya & Fakarudin Kamarudin, 2012. "Assessing the Effect of Mergers and Acquisitions on Revenue Efficiency: Evidence from Malaysian Banking Sector," Vision, , vol. 16(1), pages 1-11, March.
    8. Rosman, Romzie & Wahab, Norazlina Abd & Zainol, Zairy, 2014. "Efficiency of Islamic banks during the financial crisis: An analysis of Middle Eastern and Asian countries," Pacific-Basin Finance Journal, Elsevier, vol. 28(C), pages 76-90.
    9. Abdus Samad, 2021. "Bootstrap DEA Efficiencies of the GCC Islamic Banks: Sources and Comparison During 2014-2016," International Journal of Economics and Financial Issues, Econjournals, vol. 11(1), pages 157-166.
    10. Fadzlan Sufian & Muzafar Shah Habibullah, 2010. "Bank-specific, Industry-specific and Macroeconomic Determinants of Bank Efficiency," Margin: The Journal of Applied Economic Research, National Council of Applied Economic Research, vol. 4(4), pages 427-461, November.
    11. Fadzlan Sufian & Muzafar Shah Habibullah, 2012. "Developments in the efficiency of the Malaysian banking sector: the impacts of financial disruptions and exchange rate regimes," Progress in Development Studies, , vol. 12(1), pages 19-46, January.
    12. Imad Bou-Hamad & Abdel Latef Anouze & Denis Larocque, 2017. "An integrated approach of data envelopment analysis and boosted generalized linear mixed models for efficiency assessment," Annals of Operations Research, Springer, vol. 253(1), pages 77-95, June.
    13. Sang, Nguyen Minh, 2017. "Income Diversification and Bank Efficiency in Vietnam," OSF Preprints 9x2yz, Center for Open Science.
    14. Dipasha Sharma, 2018. "Stock Market Performance and Efficiency of Banks in a Developing Economy: Evidence from the Indian Banking Sector," IIM Kozhikode Society & Management Review, , vol. 7(2), pages 178-193, July.
    15. Fadzlan Sufian, 2016. "Financial Crisis, Exchange Rate Regimes, Organizational Forms, and Bank Efficiency: Does Globalization Matter?," Emerging Economy Studies, International Management Institute, vol. 2(1), pages 27-71, May.
    16. SGHAIER Asma & LAHDHIRI Manelle, 2014. "The Efficiency’s Analysis of Islamic Banks in Mena Countries: Trends and Perspectives," Indian Journal of Commerce and Management Studies, Educational Research Multimedia & Publications,India, vol. 5(1), pages 36-46, January.
    17. Carmelo Algeri & Luc Anselin & Antonio Fabio Forgione & Carlo Migliardo, 2022. "Spatial dependence in the technical efficiency of local banks," Papers in Regional Science, Wiley Blackwell, vol. 101(3), pages 685-716, June.
    18. Fadzlan Sufian, 2016. "Determinants of Efficiency in the Malaysian Banking Sector: Evidence from Semi-parametric Data Envelopment Analysis Method," Studies in Microeconomics, , vol. 4(2), pages 151-172, December.
    19. Alves, André Bernardo & Wanke, Peter & Antunes, Jorge & Chen, Zhongfei, 2020. "Endogenous network efficiency, macroeconomy, and competition: Evidence from the Portuguese banking industry," The North American Journal of Economics and Finance, Elsevier, vol. 52(C).
    20. Muhammad Afaq Haider & Qasim Raza & Soniya Jameel & Khansa Pervaiz, 2019. "A Comparative Study of Operational Efficiency of Pakistani and Malaysian Islamic Banks: Data Envelopment Analysis Approach," Asian Economic and Financial Review, Asian Economic and Social Society, vol. 9(5), pages 559-580, May.

    More about this item

    Keywords

    Bioenergy Industry; Technical Efficiency; EU28 Region;
    All these keywords.

    JEL classification:

    • Q4 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy
    • D61 - Microeconomics - - Welfare Economics - - - Allocative Efficiency; Cost-Benefit Analysis

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eco:journ2:2016-02-18. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Ilhan Ozturk (email available below). General contact details of provider: http://www.econjournals.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.