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Efficiency Analysis of East European Electricity Distribution in Transition: Legacy of the Past?

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Author Info
Astrid Cullmann
Jürgen Apfelbeck
Christian von Hirschhausen

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Abstract

This paper provides a cross-country efficiency analysis of electricity distribution companies in East European transition countries (Poland, Czech Republic, Slovakia and Hungary). We compare the relative technical efficiency of East European regional distribution companies (RDCs) among themselves, as well as with German RDCs. We use the nonparametric DEA, and also apply bootstrapping techniques and the FDH-estimator; in addition, we carry out parametric analyses, mainly SFA (stochastic frontier analysis) and COLS (corrected ordinary least squares). The results suggest that the Polish distribution companies are still inefficiently small. The Czech Republic and Slovakia feature the highest efficiency.

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Paper provided by DIW Berlin, German Institute for Economic Research in its series Discussion Papers of DIW Berlin with number 553.

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Length: III, 18 p.
Date of creation: 2006
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Publication status: Published in: Journal of Productivity Analysis 29 (2008), No.2, 155-167
Handle: RePEc:diw:diwwpp:dp553

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Related research
Keywords: Efficiency analysis; Econometric methods; Electricity distribution; Transition; Eastern Europe;

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Find related papers by JEL classification:
L51 - Industrial Organization - - Regulation and Industrial Policy - - - Economics of Regulation
P31 - Economic Systems - - Socialist Institutions and Their Transitions - - - Socialist Enterprises and Their Transitions
C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: General - - - Semiparametric and Nonparametric Methods
C67 - Mathematical and Quantitative Methods - - Mathematical Methods and Programming - - - Input-Output Models

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References listed on IDEAS
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  2. Simar, Leopold & Wilson, Paul W., 2002. "Non-parametric tests of returns to scale," European Journal of Operational Research, Elsevier, vol. 139(1), pages 115-132, May. [Downloadable!] (restricted)
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  13. Kneip, Alois & Park, Byeong U. & Simar, L opold, 1998. "A Note On The Convergence Of Nonparametric Dea Estimators For Production Efficiency Scores," Econometric Theory, Cambridge University Press, vol. 14(06), pages 783-793, December. [Downloadable!]
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  18. Dr. Peter Kenning & Hilke Plassmann, 2004. "NeuroEconomics," Experimental 0412005, EconWPA. [Downloadable!]
  19. Hjalmarsson, Lennart & Veiderpass, Ann, 1992. " Productivity in Swedish Electricity Retail Distribution," Scandinavian Journal of Economics, Blackwell Publishing, vol. 94(0), pages S193-205, Supplemen.
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Cited by:
(explanations, 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.)

  1. Astrid Cullmann & Hélène Crespo & Marie-Anne Plagnet, 2008. "International Benchmarking in Electricity Distribution: A Comparison of French and German Utilities," Discussion Papers of DIW Berlin 830, DIW Berlin, German Institute for Economic Research. [Downloadable!]
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