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Performance of the Tunisian Water Utility: An input-distance function approach

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  • Mellah, Thuraya
  • Ben Amor, Tawfik

Abstract

The main objective of this paper is to analyse the performance pattern in the Tunisian drinking water industry. The industry is a state monopoly, administered by the Tunisian Water Utility (TWU) since 1968. We apply the stochastic distance frontier method to TWU data over a period of 11 years, from 1999 to 2009. This approach is used to estimate water production technology, to measure technical efficiency levels and total factor productivity growth, and to investigate the factors influencing efficiency levels and those driving productivity growth. The results suggest that performance-based regulation can improve efficiency and enhance productivity in the Tunisian water industry.

Suggested Citation

  • Mellah, Thuraya & Ben Amor, Tawfik, 2016. "Performance of the Tunisian Water Utility: An input-distance function approach," Utilities Policy, Elsevier, vol. 38(C), pages 18-32.
    • Handle: RePEc:eee:juipol:v:38:y:2016:i:c:p:18-32
    DOI: 10.1016/j.jup.2015.11.001
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    More about this item

    Keywords

    Efficiency; Tunisian Water Utility; Productivity growth;
    All these keywords.

    JEL classification:

    • C16 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Econometric and Statistical Methods; Specific Distributions
    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
    • L95 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Gas Utilities; Pipelines; Water Utilities

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