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Performance analysis of electricity distribution sector post the implementation of electricity act 2003: empirical evidence from India

机译:电力分配部门的绩效分析在2003年电力法案实施中:来自印度的经验证据

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Purpose - The objective of the present study is to evaluate and analyse the performance of Indian electricity distribution utilities post the implementation of landmark Electricity Act 2003. Design/methodology/approach - Stochastic frontier analysis (SFA) that incorporates exogenous influences on operational efficiency is adopted in the present study. Specifically, a stochastic frontier production function model with a technical inefficiency effects model (Battese and Coelli, 1995) is chosen as a preferred model. In this model, the function that explains the inefficiency scores is estimated in a single stage with the production technology. This avoids the problem of inconsistency which is possible in the two-stage approach. Findings - The sample involved 52 Indian electricity distribution utilities for seven-year period from 2006 to 2013. Major findings of SFA show that Indian electricity distribution utilities post the implementation of Electricity Act (2003) had, on average, experienced efficiency improvement during the observed period. The overall mean technical effciency score is estimated as 78.5% which indicates that there exist wide scope for effciency improvement in the sector. Further, the empirical findings also indicate that publicly owned distribution utilities obtain average technical efficiencies of 71.3%, which is lower than privately owned distribution utilities, which achieve average technical efficiencies of 85.7%. Research limitations/implications - Power supply quality indicators such as SAM, SAIDI, CAM, etc. and unobserved heterogeneity also influence the efficiency analysis of electricity distribution utilities. Hence, these parameters as explanatory variables can be incorporated in the future work. Practical implications - The results obtained from this empirical study would likely be helpful for utility managers and policymakers to know how well they are performing, and how a better corporate strategy a particular utility can formulate to improve its operational efficiency and also its position in the marketplace. Originality/value - This paper is amongst the first significant attempts that implement SFA approach to the panel dataset over a longer period of time - 2006 to 2013, so, as to evaluate and analyse the operational efficiency of Indian electricity distribution utilities in a single framework after the enactment of Electricity Act (2003). Unlike previous studies, this study investigates the degree to which various exogenous (or environmental) factors influence efficiency levels in these utilities.
机译:目的 - 本研究的目的是评估和分析印度电力分配公用事业的绩效,该案件在2003年实施重型电力法案的实施中。采用设计/方法/方法 - 包括外源性对运营效率影响的随机前沿分析(SFA)在目前的研究中。具体地,选择具有技术效率效应模型(Battese和Coelli,1995)的随机前沿生产功能模型作为优选模型。在该模型中,解释了低效率分数的功能在单一阶段与生产技术估计。这避免了在两阶段方法中可能的不一致问题。调查结果 - 该样品涉及52个印度电力分配公用事业从2006年至2013年的七年期间。SFA的主要结果表明,印度电力分配公用事业局(2003年)的实施平均而言,在观察期间的效率改善时期。总体均值的技术效率分数估计为78.5%,表明该部门存在很多范围的效率改善。此外,实证调查结果还表明,公布的分销公用事业的平均技术效率为71.3%,低于私人拥有的公用事业,达到平均技术效率为85.7%。研究限制/影响 - SAM,SEDI,CAM等等电源质量指标以及不可观察的异质性,也影响了电力分配公用事业的效率分析。因此,这些参数作为解释变量可以包含在未来的工作中。实际意义 - 从这个实证研究获得的结果可能有助于公用事业管理人员和政策制定者知道他们的表现如何,以及如何更好的企业战略,特定的实用程序可以制定,以提高其运营效率以及其在市场的位置。原创性/值 - 本文是在更长的时间内实现SFA方法的第一次重大尝试,即在较长时间内实现SFA方法 - 2006年至2013年,因此,评估和分析一个框架中印度电力分配公用事业的运营效率颁布电力法案(2003)后。与以往的研究不同,本研究调查各种外源(或环境)因素影响这些公用事业效率水平的程度。

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