Privatization of electricity distribution in the Northeast of Brazil: The good, the bad, the ugly or the naïve?
AbstractThis paper analyzes the evolution of five electricity distribution companies in the Northeast of Brazil using technical and financial indicators. Three privatized and two public firms were analyzed between 1997 and 2008. The financial indicators are used as proxies for the capacity of the business to generate value for shareholders, while the technical indicators are used as proxies for service quality provided to consumers. We observed that the privatized firms had their financial indicators improved after privatization, increasing the value of the firm for the shareholders. However, there is no evidence that privatization affected the quality of service provided to consumers.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Bibliographic InfoArticle provided by Elsevier in its journal Energy Policy.
Volume (Year): 38 (2010)
Issue (Month): 11 (November)
Contact details of provider:
Web page: http://www.elsevier.com/locate/enpol
Brazilian energy policy Electricity distribution deregulation Privatization;
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- LaCommare, Kristina Hamachi & Eto, Joseph H., 2006. "Cost of power interruptions to electricity consumers in the United States (US)," Energy, Elsevier, vol. 31(12), pages 1845-1855.
- Antonio Estache & O. Chisari & C. Romero, 1999.
"Winners and Losers from the Privatization and Regulation of Utilities: Lessons from a General Equilibrium Model of Argentina,"
ULB Institutional Repository
2013/44005, ULB -- Universite Libre de Bruxelles.
- Chisari, Omar & Estache, Antonio & Romero, Carlos, 1999. "Winners and Losers from the Privatization and Regulation of Utilities: Lessons from a General Equilibrium Model of Argentina," World Bank Economic Review, World Bank Group, vol. 13(2), pages 357-78, May.
- Ajodhia, Virendra & Lo Schiavo, Luca & Malaman, Roberto, 2006. "Quality regulation of electricity distribution in Italy: an evaluation study," Energy Policy, Elsevier, vol. 34(13), pages 1478-1486, September.
- Chirarattananon, Surapong & Nirukkanaporn, Supattana, 2006. "Deregulation of ESI and privatization of state electric utilities in Thailand," Energy Policy, Elsevier, vol. 34(16), pages 2521-2531, November.
- Bagdadioglu, Necmiddin & Waddams Price, Catherine M. & Weyman-Jones, Thomas G., 1996. "Efficiency and ownership in electricity distribution: A non-parametric model of the Turkish experience," Energy Economics, Elsevier, vol. 18(1-2), pages 1-23, April.
- Jamasb, Tooraj & Pollitt, Michael, 2007.
"Incentive regulation of electricity distribution networks: Lessons of experience from Britain,"
Elsevier, vol. 35(12), pages 6163-6187, December.
- Jamasb, T. & Pollitt, M., 2007. "Incentive Regulation of Electricity Distribution Networks: Lessons of Experience from Britain," Cambridge Working Papers in Economics 0709, Faculty of Economics, University of Cambridge.
- Kumbhakar, Subal C. & Hjalmarsson, Lennart, 1998. "Relative performance of public and private ownership under yardstick competition: electricity retail distribution," European Economic Review, Elsevier, vol. 42(1), pages 97-122, January.
- Andrei Shleifer, 1998.
"State Versus Private Ownership,"
NBER Working Papers
6665, National Bureau of Economic Research, Inc.
- Andrei Shleifer, 1998. "State Versus Private Ownership," Harvard Institute of Economic Research Working Papers 1841, Harvard - Institute of Economic Research.
- Erdogdu, Erkan, 2007.
"Regulatory Reform in Turkish Energy Industry: An analysis,"
19100, University Library of Munich, Germany.
- Erdogdu, Erkan, 2007. "Regulatory reform in Turkish energy industry: An analysis," Energy Policy, Elsevier, vol. 35(2), pages 984-993, February.
- Erdogdu, Erkan, 2005. "Energy market reforms in Turkey: An economic analysis," MPRA Paper 26929, University Library of Munich, Germany.
- Ghisi, Enedir & Gosch, Samuel & Lamberts, Roberto, 2007. "Electricity end-uses in the residential sector of Brazil," Energy Policy, Elsevier, vol. 35(8), pages 4107-4120, August.
- Gabriele, Alberto, 2004. "Policy alternatives in reforming energy utilities in developing countries," Energy Policy, Elsevier, vol. 32(11), pages 1319-1337, July.
- Tiago B. Correia & Elbia Melo & Agnes M. da Costa & Adriano J. da Silva, 2006. "Trajetória das Reformas Institucionais da Indústria Elétrica Brasileira e Novas Perspectivas de Mercado," Economia, ANPEC - Associação Nacional dos Centros de Pósgraduação em Economia [Brazilian Association of Graduate Programs in Economics], vol. 7(3), pages 607-627.
- Rocha, Katia & Camacho, Fernando & Braganca, Gabriel, 2007. "Return on capital of Brazilian electricity distributors: A comparative analysis," Energy Policy, Elsevier, vol. 35(4), pages 2526-2537, April.
- Geller, Howard & Schaeffer, Roberto & Szklo, Alexandre & Tolmasquim, Mauricio, 2004. "Policies for advancing energy efficiency and renewable energy use in Brazil," Energy Policy, Elsevier, vol. 32(12), pages 1437-1450, August.
- Atkinson, Scott E. & Halvorsen, Robert, 1986. "The relative efficiency of public and private firms in a regulated environment: The case of U.S. electric utilities," Journal of Public Economics, Elsevier, vol. 29(3), pages 281-294, April.
- Jannuzzi, Gilberto De Martino, 2005. "Power sector reforms in Brazil and its impacts on energy efficiency and research and development activities," Energy Policy, Elsevier, vol. 33(13), pages 1753-1762, September.
- Pousa, Gabriella P.A.G. & Santos, Andre L.F. & Suarez, Paulo A.Z., 2007. "History and policy of biodiesel in Brazil," Energy Policy, Elsevier, vol. 35(11), pages 5393-5398, November.
- Kalay, Avner & Singhal, Rajeev & Tashjian, Elizabeth, 2007. "Is Chapter 11 costly?," Journal of Financial Economics, Elsevier, vol. 84(3), pages 772-796, June.
- Fumagalli, Elena & Garrone, Paola & Grilli, Luca, 2007. "Service quality in the electricity industry: The role of privatization and managerial behavior," Energy Policy, Elsevier, vol. 35(12), pages 6212-6224, December.
- Jeffry M. Netter & William L. Megginson, 2001. "From State to Market: A Survey of Empirical Studies on Privatization," Journal of Economic Literature, American Economic Association, vol. 39(2), pages 321-389, June.
- Reichl, Johannes & Kollmann, Andrea & Tichler, Robert & Schneider, Friedrich, 2008. "The importance of incorporating reliability of supply criteria in a regulatory system of electricity distribution: An empirical analysis for Austria," Energy Policy, Elsevier, vol. 36(10), pages 3862-3871, October.
- Parker, David & Kirkpatrick, Colin, 2003.
"Privatisation in Developing Countries: A Review of the Evidence and the Policy Lessons,"
Centre on Regulation and Competition (CRC) Working papers
30623, University of Manchester, Institute for Development Policy and Management (IDPM).
- David Parker & Colin Kirkpatrick, 2005. "Privatisation in Developing Countries: A Review of the Evidence and the Policy Lessons," Journal of Development Studies, Taylor & Francis Journals, vol. 41(4), pages 513-541.
- de Lucena, André Frossard Pereira & Szklo, Alexandre Salem & Schaeffer, Roberto & de Souza, Raquel Rodrigues & Borba, Bruno Soares Moreira Cesar & da Costa, Isabella Vaz Leal & Júnior, Amaro Olimpio, 2009. "The vulnerability of renewable energy to climate change in Brazil," Energy Policy, Elsevier, vol. 37(3), pages 879-889, March.
- King, Michael R. & Segal, Dan, 2008. "Market segmentation and equity valuation: Comparing Canada and the United States," Journal of International Financial Markets, Institutions and Money, Elsevier, vol. 18(3), pages 245-258, July.
- Megginson, William Leon, 2005. "The Financial Economics of Privatization," OUP Catalogue, Oxford University Press, number 9780195150629.
- Focacci, Antonio, 2005. "Empirical analysis of the environmental and energy policies in some developing countries using widely employed macroeconomic indicators: the cases of Brazil, China and India," Energy Policy, Elsevier, vol. 33(4), pages 543-554, March.
- Tolmasquim, Mauricio Tiomno & Cohen, Claude & Szklo, Alexandre Salem, 2001. "CO2 emissions in the Brazilian industrial sector according to the integrated energy planning model (IEPM)," Energy Policy, Elsevier, vol. 29(8), pages 641-651, June.
- Williams, Greg & Robinson, Andrea R., 2006. "The Energy Policy Act's Reliability Provisions: Uncontroversial, Yes, but Doomed to Ineffectiveness?," The Electricity Journal, Elsevier, vol. 19(1), pages 10-17.
- Antonio Estache & Eduardo Bitrán & J.L. Guasch, 1999. "Privatizing and Regulating Chile's Utilities, 1974-2000: Successes, Failures and Outstanding Challenges," ULB Institutional Repository 2013/44074, ULB -- Universite Libre de Bruxelles.
- Giannakis, Dimitrios & Jamasb, Tooraj & Pollitt, Michael, 2005. "Benchmarking and incentive regulation of quality of service: an application to the UK electricity distribution networks," Energy Policy, Elsevier, vol. 33(17), pages 2256-2271, November.
- Cavaliere, Christianne & Larsen, Erik R. & Dyner, Isaac, 2007. "The privatization of EEB: From cash drain to major contributor," Energy Policy, Elsevier, vol. 35(3), pages 1884-1895, March.
- Cohen, Claude & Lenzen, Manfred & Schaeffer, Roberto, 2005. "Energy requirements of households in Brazil," Energy Policy, Elsevier, vol. 33(4), pages 555-562, March.
- Mendonca, Augusto F. & Dahl, Carol, 1999. "The Brazilian electrical system reform," Energy Policy, Elsevier, vol. 27(2), pages 73-83, February.
- Sanford Berg & Chen Lin & Valeriy Tsaplin, 2005. "Regulation of State-Owned and Privatized Utilities: Ukraine Electricity Distribution Company Performance," Journal of Regulatory Economics, Springer, vol. 28(3), pages 259-287, November.
- Karahan, Hatice & Toptas, Mehmet, 2013. "The effect of power distribution privatization on electricity prices in Turkey: Has liberalization served the purpose?," Energy Policy, Elsevier, vol. 63(C), pages 614-621.
- Devkar, Ganesh A. & Mahalingam, Ashwin & Deep, Akash & Thillairajan, A., 2013. "Impact of Private Sector Participation on access and quality in provision of electricity, telecom and water services in developing countries: A systematic review," Utilities Policy, Elsevier, vol. 27(C), pages 65-81.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Zhang, Lei).
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 references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link 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 profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.