Efficiency Analysis for Peruvian electricity distribution sector: Inefficiency’s explicative factors. A study for 2000 – 2008
"This paper estimates the inefficiency of Peruvian electricity distribution companies to determine if the expected results from the 90’s reform were met. To do this, we used data for 19 distribution companies for the period 2000 – 2008 using a Cost Stochastic Frontier approach and estimating inefficiency in a one-step procedure. The analysis suggests that private utilities are less inefficient than public Utilities because of better management practices. In other words, private management and investments had been favorable in terms of efficiency for the period studied. Also, regulation changes, especially in 2005, have increased distribution costs and geographical characteristics impact negatively on efficiency, especially in public Utilities. This can be explained by the fact that State investment in difficult areas, with public Utilities operating, imposes additional costs (management and operational) that makes them inefficient. Future investigations should focus in a Region Analysis, for the sake of a bigger Panel sample."
|Date of creation:||May 2010|
|Date of revision:||Oct 2010|
|Contact details of provider:|| Web page: http://www.up.edu.pe/|
More information through EDIRC
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.:
- Gian Carlo Scarsi, 1999. "Local Electricity Distribution in Italy: Comparative Efficiency Analysis and Methodological Cross-Checking," Working Papers 1999.16, Fondazione Eni Enrico Mattei.
- Battese, G E & Coelli, T J, 1995. "A Model for Technical Inefficiency Effects in a Stochastic Frontier Production Function for Panel Data," Empirical Economics, Springer, vol. 20(2), pages 325-332.
- Reifschneider, David & Stevenson, Rodney, 1991. "Systematic Departures from the Frontier: A Framework for the Analysis of Firm Inefficiency," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 32(3), pages 715-723, August.
- Kodde, David A & Palm, Franz C, 1986. "Wald Criteria for Jointly Testing Equality and Inequality Restriction s," Econometrica, Econometric Society, vol. 54(5), pages 1243-1248, September.
- 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.
When requesting a correction, please mention this item's handle: RePEc:pai:wpaper:10-04. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Rocío Pacheco Sotil)
If references are entirely missing, you can add them using this form.