Productivity growth in electric energy retail in Colombia. A bootstrapped malmquist indices approach
AbstractThis paper offers a productivity growth estimate for electric energy commercialization firms in Colombia, using a non-parametric Malmquist bootstrap methodology. The estimation and methodology serve two main purposes. First, in Colombia commercialization firms are subject to a price-cap regulation scheme, a non-common arrangement in the international experience for this part of the industry. Therefore the paper’s result suggest an estimate of the productivity factor to be used by the regulator, not only in Colombia but in other countries where commercialization is a growing part of the industry (renewable energy, for instance). Second, because of poor data collection from regulators and firms themselves, regulation based on a single estimation of productivity seems inappropriate and error-prone. The nonparametric Malmquist bootstrap estimation allows an assessment of the result in contrast to a single one estimation. This would open an opportunity for the regulator to adopt a narrower and more accurate productivity estimation or override an implausible result and impose a productivity factor in the price-cap to foster the development of the industry.
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.
Bibliographic InfoPaper provided by UNIVERSIDAD DEL ROSARIO in its series DOCUMENTOS DE TRABAJO with number 009152.
Date of creation: 29 Nov 2011
Date of revision:
Contact details of provider:
This paper has been announced in the following NEP Reports:
- NEP-ALL-2011-12-13 (All new papers)
- NEP-EFF-2011-12-13 (Efficiency & Productivity)
- NEP-ENE-2011-12-13 (Energy Economics)
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.:
- Leopold Simar & Paul Wilson, 2000.
"A general methodology for bootstrapping in non-parametric frontier models,"
Journal of Applied Statistics,
Taylor and Francis Journals, vol. 27(6), pages 779-802.
- Simar, L. & Wilson, P.W., 1998. "A General Methodology for Bootstrapping in Nonparametric Frontier Models," Papers 9811, Catholique de Louvain - Institut de statistique.
- Simar, L. & Wilson, P.W., 1999. "Statistical Inference in Nonparametric Frontier Models: the State of the Art," Papers 9904, Catholique de Louvain - Institut de statistique.
- Léopold Simar & Paul W. Wilson, 1998.
"Sensitivity Analysis of Efficiency Scores: How to Bootstrap in Nonparametric Frontier Models,"
INFORMS, vol. 44(1), pages 49-61, January.
- SIMAR, Léopold & WILSON, Paul, 1995. "Sensitivity Analysis to Efficiency Scores : How to Bootstrap in Nonparametric Frontier Models," CORE Discussion Papers 1995043, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
- Larsen, Erik R. & Dyner, Isaac & Bedoya V., Leonardo & Franco, Carlos Jaime, 2004. "Lessons from deregulation in Colombia: successes, failures and the way ahead," Energy Policy, Elsevier, vol. 32(15), pages 1767-1780, October.
- Garcia, Alfredo & Arbelaez, Luis E., 2002. "Market power analysis for the Colombian electricity market," Energy Economics, Elsevier, vol. 24(3), pages 217-229, May.
- Laure Latruffe & Sophia Davidova & Kelvin Balcombe, 2008. "Productivity change in Polish agriculture: an illustration of a bootstrapping procedure applied to Malmquist indices," Post-Communist Economies, Taylor and Francis Journals, vol. 20(4), pages 449-460.
- Carlos Pombo & Rodrigo Taborda, 2004.
"Perfomance and Efficiency in Colombia's Power Distribution Sistem: Effects of the 1994 Reform,"
BORRADORES DE INVESTIGACIÃN
006942, UNIVERSIDAD DEL ROSARIO - FACULTAD DE ECONOMÍA.
- Pombo, Carlos & Taborda, Rodrigo, 2006. "Performance and efficiency in Colombia's power distribution system: Effects of the 1994 reform," Energy Economics, Elsevier, vol. 28(3), pages 339-369, May.
- Odeck, James, 2009. "Statistical precision of DEA and Malmquist indices: A bootstrap application to Norwegian grain producers," Omega, Elsevier, vol. 37(5), pages 1007-1017, October.
- Carlos Pombo, 2001.
"Regulatory reform in Colombia's electric utilities,"
BORRADORES DE INVESTIGACIÃN
003448, UNIVERSIDAD DEL ROSARIO - FACULTAD DE ECONOMÍA.
- Pombo, Carlos, 2001. "Regulatory reform in Colombia's electric utilities," The Quarterly Review of Economics and Finance, Elsevier, vol. 41(5), pages 683-711.
- Kelvin Balcombe & Sophia Davidova & Laure Latruffe, 2008.
"The use of bootstrapped Malmquist indices to reassess productivity change findings: an application to a sample of Polish farms,"
Taylor and Francis Journals, vol. 40(16), pages 2055-2061.
- Balcombe, Kelvin George & Davidova, Sophia & Latruffe, Laure, 2006. "The Use of Bootstrapped Malmquist Indices to Reassess Productivity Change Findings: An Application to a Sample of Polish Farms," 2006 Annual Meeting, August 12-18, 2006, Queensland, Australia 25793, International Association of Agricultural Economists.
- Simar, Leopold & Wilson, Paul W., 1999.
"Estimating and bootstrapping Malmquist indices,"
European Journal of Operational Research,
Elsevier, vol. 115(3), pages 459-471, June.
- Jamasb, T. & Pollitt, M., 2001. "Benchmarking and Regulation of Electricity Transmission and Distribution Utilities: Lessons from International Experience," Cambridge Working Papers in Economics 0101, Faculty of Economics, University of Cambridge.
- Emrouznejad, Ali & Parker, Barnett R. & Tavares, Gabriel, 2008. "Evaluation of research in efficiency and productivity: A survey and analysis of the first 30 years of scholarly literature in DEA," Socio-Economic Planning Sciences, Elsevier, vol. 42(3), pages 151-157, September.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Publicaciones Economía).
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.