Mapping service quality in electricity distribution: An exploratory study of Brazil

Resende, Marcelo; Cardoso, Vicente

doi:10.1016/j.jup.2018.08.009

Cited by 17 publications

(19 citation statements)

References 27 publications

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“…The Malmquist DEA‐based approach allows us to consider multiple dimensions of quality from a dynamic comparative perspective and reinforces the initial descriptive mapping of the sector advanced by Resende and Cardoso (), who had highlighted the significant heterogeneity and nonnegligible quality underperformance.…”

Section: Resultssupporting

confidence: 59%

“…After initial consideration of a few firms, the rules were gradually extended as different review cycles contact dates evolved. The related norms are discussed in ANEEL () and summarized by Resende and Cardoso (). Initially, the criteria focused on more direct technical quality indicators pertaining to the duration and frequency and to service interruption (respectively the DEC and FEC indicators described in the next section).…”

Section: Electricity Distribution In Brazilmentioning

confidence: 99%

“…These efforts may include the consideration of synthetic indicators that portray the multivariate nature of service‐quality and yet embody a relative‐efficiency perspective, as discussed in the current study. An exploratory multivariate analysis of different indicators was undertaken by Resende and Cardoso (); however, clearly more work is needed; (c)Integrate quality into efficiency frontiers for usual inputs and outputs in electricity distribution, as provided an overview by Yang and Pollitt () who addressed the incorporation of undesirable outputs and uncontrollable variables in DEA models. This approach may provide a more accurate assessment of the evolution of productive efficiency that incorporates service‐quality aspects.…”

Section: Final Commentsmentioning

confidence: 99%

“…Nevertheless, the debate on how to measure quality and then devise adjustment factors in the PCR rule is by no means settled. Resende and Cardoso () undertook a large‐scale study that explored the multivariate patterns of different service quality indicators in electricity distribution in Brazil and suggested salient quality heterogeneities that, in principle, do not have a clear regional pattern and yet indicate quality deterioration between 2010 and 2014.…”

Section: Introductionmentioning

confidence: 99%

“…Resende and Cardoso () provide a descriptive assessment of a broad set of service‐quality indicators in electricity distribution in Brazil.…”

mentioning

confidence: 99%

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Service Quality in Electricity Distribution in Brazil: A Malmquist Approach

Marinho

Resende

2019

Ann Public Coop Econ

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The paper undertakes a dynamic analysis for service quality in the electricity distribution in Brazil between 2010 and 2014 based on Malmquist indexes constructed upon Data Envelopment Analysis (DEA) distance functions. The motivation for the less usual consideration of efficiency frontiers for service quality, that does not rely on traditional inputs and outputs but rather on quality indicators, builds on previous static applications in the context of telecommunications. The analysis considers undesirable technical indicators for quality as inputs and desirable consumer satisfaction indicators for quality as outputs in the efficiency frontier analysis. The bootstrap-corrected Malmquist indexes indicated service quality deterioration in 38.1 per cent, quality stagnation in 40.5 per cent and quality improvement only in 21.4 per cent of the cases. When one decomposes the Malmquist index, the evidence does not suggest relevant frontier shifts and indicates a dominant role for the catch-up effect. Finally, Malmquist indexes are regressed against variables that may portray heterogeneities, such as firm size, service area, density, ownership and regional dummies in terms of a well-known two-stage procedure. The mostly weak significance results reinforce the plausibility of the initial analysis.

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Section: Resultssupporting

confidence: 59%

Section: Electricity Distribution In Brazilmentioning

confidence: 99%