A novel network data envelopment analysis model for performance measurement of Turkish electricity distribution companies

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Abstract

Electricity distribution companies have a significant role for
both households and industries. Benchmarking of the electricity
distribution companies in the energy sector has become a subject that is
studied widely nowadays due to the effect of privatization policies for
developing countries. Since there are multiple production stages
regarding the generation and supply procedures of electricity power,
Network DEA technique is used.Directional Distance Function is also
integrated into Network DEA technique. Electricity distribution companies
aim at maximizing profit while minimizing the expenses. The main problem
is how the profit idea can be integrated into the evaluation process. The
aim of the proposed model is to evaluate profit efficiency of electricity
distribution companies while taking into account expansion cost for
additional energy supply. This two stage approach is applied to Turkish
electricity distribution companies. Results are presented based on radial
and profit efficiency measures. The proposed model is effective as
provides realistic results considering the expenses and incomes of
distribution companies.

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  • A novel network data envelopment

    Rights statement: © 2019, Elsevier. Licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International http://creativecommons.org/licenses/by-nc-nd/4.0/

    Accepted author manuscript, 1 MB, PDF-document

    Embargo ends: 5/02/20

    Licence: CC BY-NC-ND Show licence

Details

Original languageEnglish
JournalEnergy
Early online date5 Feb 2019
DOIs
Publication statusE-pub ahead of print - 5 Feb 2019

Bibliographic note

© 2019, Elsevier. Licensed under the Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International http://creativecommons.org/licenses/by-nc-nd/4.0/

    Keywords

  • Network DEA, Profit efficiency, Directional distance function, Electric distribution, C6, Q4

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