Environmental Performance Assessment of Iranian Gas Refineries: A Non-Parametric Approach

Abstract

Gas refineries are an important part of the energy supply in the world but they may produce byproducts like emissions too. Thus, both technical performance and environmental execution are important and need to be analyzed. Iran is the third-highest producer of natural gas in the world. It produces 6.5% of the natural gas in the world. This paper rummages the environmental and technical performance of Iranian gas refineries through data envelopment analysis (DEA), which is a strong frontier analysis approach is used in this study. Although the primary result shows a rather good performance of Iranian gas refineries overall, more potentials are found for improvement. We find 6% technical potential and 8% environmental potential for improvement which is still a considerable amount. Thus, national and international policymakers should consider this potential for better production and supply of natural gas. We also provided an empirical robustness check to enrich our findings.