6533b82dfe1ef96bd1291bb9

RESEARCH PRODUCT

Impact of external costs of unplanned supply interruptions on water company efficiency: Evidence from Chile

Ramón Sala-garridoAndres VillegasMaría Molinos-senanteAlexandros Maziotis

subject

Sociology and Political Sciencebusiness.industry020209 energyWater supply02 engineering and technologyBenchmarkingWater industry010501 environmental sciencesManagement Monitoring Policy and LawDevelopmentEnvironmental economics01 natural sciencesWater company0202 electrical engineering electronic engineering information engineeringData envelopment analysisBusinessBusiness and International ManagementExternality0105 earth and related environmental sciences

description

Abstract Conventional performance assessments of water companies ignore the external costs due to water supply outages. To overcome this gap, we evaluate the impact of external costs of unplanned supply interruptions on the efficiency of water companies. Two efficiency metrics, internal technical efficiency (ITE), and total technical efficiency (TTE), were estimated based on data envelopment analysis (DEA). The results evidence that the external costs of unplanned water supply interruptions impact, on average, 7.9% of the efficiency of water companies. We also explored the impact of a set of environmental variables on water company efficiency.

yearjournalcountryeditionlanguage
2020-10-01Utilities Policy
https://doi.org/10.1016/j.jup.2020.101087