MEASURING COST EFFICIENCY OF ELECTRICITY DISTRIBUTION COMPANIES IN KHORASAN PROVINCE

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FALAHI M.A.; AHMADI V.

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Journal: Iranian Journal of Economic Research Year:2006 | Volume:8 | Issue:28 Page(s): 123-138

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Information Journal Paper

Title

MEASURING COST EFFICIENCY OF ELECTRICITY DISTRIBUTION COMPANIES IN KHORASAN PROVINCE

Author(s)

FALAHI M.A. | AHMADI V. | Issue Writer Certificate

Keywords

STOCHASTIC FRONTIER FUNCTIONQ2

ECONOMIES OF SCALEQ3

COST EFFICIENCYQ2

ELECTRICITY DISTRIBUTION COMPANIESQ2

KHORASAN PROVINCEQ4

Abstract

Using Battese and Coelli (1992) Error Component Frontier Model, the cost function of four ELECTRICITY DISTRIBUTION COMPANIES in KHORASAN PROVINCE is estimated by maximum likelihood method for the period 1372-1381. The results indicate that load factor and customer density are negatively whereas number of distributed electricity is positively correlated with costs of the companies. In addition, based on estimated coefficients of cost model, there is diseconomies of scale in the ELECTRICITY DISTRIBUTION COMPANIES. Estimated average efficiency cost is 3.98 which denotes high inefficiency in cost allocation of the companies.

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APA: Copy

FALAHI, M.A., & AHMADI, V.. (2006). MEASURING COST EFFICIENCY OF ELECTRICITY DISTRIBUTION COMPANIES IN KHORASAN PROVINCE. IRANIAN ECONOMIC RESEARCH, 8(28), 123-138. SID. https://sid.ir/paper/2694/en

Vancouver: Copy

FALAHI M.A., AHMADI V.. MEASURING COST EFFICIENCY OF ELECTRICITY DISTRIBUTION COMPANIES IN KHORASAN PROVINCE. IRANIAN ECONOMIC RESEARCH[Internet]. 2006;8(28):123-138. Available from: https://sid.ir/paper/2694/en

IEEE: Copy

M.A. FALAHI, and V. AHMADI, “MEASURING COST EFFICIENCY OF ELECTRICITY DISTRIBUTION COMPANIES IN KHORASAN PROVINCE,” IRANIAN ECONOMIC RESEARCH, vol. 8, no. 28, pp. 123–138, 2006, [Online]. Available: https://sid.ir/paper/2694/en

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