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Performance Assessment of Brazilian Power Transmission and Distribution Segments using Data Envelopment Analysis

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Listed:
  • L sara Fabr cia Rodrigues

    (Department of Production Engineering, Federal University of Ouro Preto, Minas Gerais, Brazil,)

  • Matheus Alves Madeira de Souza

    (Department of Production Engineering, Federal University of Ouro Preto, Minas Gerais, Brazil,)

  • Thamara Paula dos Santos Dias

    (Department of Production Engineering, Federal University of Ouro Preto, Minas Gerais, Brazil,)

Abstract

In this study, we conducted efficiency analyzes of both power transmission and distribution segments in Brazilian electricity sector. In order to accomplish these analyzes, data envelopment analysis-variable returns to scale models, cost analysis and window analysis approaches were carried out. The results showed that overall efficiency and stability in the distribution sector are higher than in transmission sector, which suggest that distribution companies are better managed regarding their operational costs compared to those within transmission segment. Moreover, it was accounted that approximately R$ 21 billion could have been saved if decision making units (within distribution and transmission systems) analyzed had operated with maximum level of efficiency from 2008 to 2014. Consequently, energy tariff prices paid by each consumer could have also been lower.

Suggested Citation

  • L sara Fabr cia Rodrigues & Matheus Alves Madeira de Souza & Thamara Paula dos Santos Dias, 2017. "Performance Assessment of Brazilian Power Transmission and Distribution Segments using Data Envelopment Analysis," International Journal of Energy Economics and Policy, Econjournals, vol. 7(3), pages 14-23.
    • Handle: RePEc:eco:journ2:2017-03-02
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    More about this item

    Keywords

    Data Envelopment Analysis; Window Analysis; Power Transmission and Distribution Segments;
    All these keywords.

    JEL classification:

    • C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Semiparametric and Nonparametric Methods: General
    • C38 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Classification Methdos; Cluster Analysis; Principal Components; Factor Analysis
    • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products

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