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Benchmarking the performance of water companies for regulatory purposes to improve its sustainability

Engineering and Technology

Benchmarking the performance of water companies for regulatory purposes to improve its sustainability

R. Sala-garrido, M. Mocholí-arce, et al.

This groundbreaking study, conducted by Ramon Sala-Garrido, Manuel Mocholí-Arce, Alexandros Maziotis, and Maria Molinos-Senante, unveils a common set weights data envelopment analysis model specifically for benchmarking the performance of Chilean water companies. The findings reveal superior discriminatory power over traditional methods, enhancing regulatory decisions and ensuring greater transparency.

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Playback language: English
Abstract
This study proposes and applies a common set weights (CSW) data envelopment analysis (DEA) model to benchmark the performance of Chilean water companies (WCs) for regulatory purposes. The DEA-CSW approach demonstrated greater discriminatory capacity than traditional DEA, providing a reliable ranking of WCs based on efficiency scores and facilitating regulatory decision-making. The allocation of weights to input and output variables differed significantly between the traditional DEA and DEA-CSW models, highlighting the advantages of the latter for regulatory transparency and acceptance.
Publisher
npj Clean Water
Published On
Jan 04, 2023
Authors
Ramon Sala-Garrido, Manuel Mocholí-Arce, Alexandros Maziotis, Maria Molinos-Senante
Tags
data envelopment analysis
Chilean water companies
efficiency scores
regulatory decision-making
transparency

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