Measuring water utility performance using nonparametric linear programming

Güngör‐Demirci, Gamze; Lee, Juneseok; Keck, Jonathan

doi:10.1080/10286608.2018.1425403

Cited by 25 publications

(15 citation statements)

References 34 publications

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“…Refs [15][16][17][18][19] provide a detailed literature review on the topic of efficiency in water resource management. Moreover, some studies are also focused on Spain [20][21][22][23][24][25].…”

Section: Introductionmentioning

confidence: 99%

Achieving Sustainable Development Goals. Efficiency in the Spanish Clean Water and Sanitation Sector

2020

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In recent years, achieving the Sustainable Development Goals (SDGs) is becoming a major challenge for local governments. This research focuses on the role of Spanish local governments in the fulfillment of SDG-6, which aims to ensure the availability and sustainable management of water and sanitation for all citizens. Specifically, this study analyses the evolution of the efficiency of Spanish local governments, and its determining factors, in the achievement of the SDG-6. The results indicate that the taxes associated with water supply and sanitation services, the private management of these services, population density, local government budget revenues, the income of the inhabitants of the municipality and the fragmentation of local governments are factors that can improve the evolution of the efficiency of Spanish local governments in achieving the SDG-6.Sustainability 2020, 12, 3015 2 of 13 debate on the efficiency in the management of water resources, which has become even more relevant with Agenda 2030 and, in particular, in relation to SDG-6. In this regard, measuring the evolution of the efficiency in the provision of water supply and sanitation services, and identifying how it can be improved to achieve SDG-6, is a further step towards the prosperity of the planet and people. However, despite the relevance of the topic, previous studies have investigated the efficiency of local governments in the provision of drinking water through Data Envelopment Analysis (DEA) and regression models. These approaches do not allow the measurement of inter-annual efficiency. In light of this, there is a clear need for more advanced methodologies capable of enabling a better understanding of the phenomenon. In this regard, our study aims to fill this important gap by using a different approach, represented by the Malmquist index (inter-annual evolution of efficiency) and a truncated regression model. In fact, this methodology allows an assessment of the inter-annual evolution of the efficiency of Spanish local governments in relation to the resources used to achieve SDG-6.Regarding the analysis of the determinants, this study investigates the impact of the characteristics of the service and the demographic, economic, and political factors of the municipality represented by taxes, type of management, population density, level of tourism, citizens' income, political ideology and political strength of the government.The structure of this study is organized as follows. After this introduction, we review the literature analyzing the relevance of SDGs and the determinants of efficiency in water supply and sanitation. Section 3 presents the methodology, referring to the sample, variables, and econometric model. Section 4 presents the results and discussion. Finally, in Section 5, we draw the main conclusions and implications of our findings, the limitations of the study, and the directions for further research. Literature Review

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Section: Introductionmentioning

confidence: 99%

Achieving Sustainable Development Goals. Efficiency in the Spanish Clean Water and Sanitation Sector

2020

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“…These enhanced saving are expected to be largely linked to greater avoided infrastructure failures, improved water loss reductions, and energy savings through improved materials and (re)sizing. It is also noted, this type of water main integrity management is in close alignment with the managerial elements of effective utility management (Güngör‐Demirci, Lee, & Keck, ).…”

Section: Resultsmentioning

confidence: 91%

Spatiotemporal and deterioration assessment of water main failures

García¹,

Lee

Keck³

et al. 2019

AWWA Water Science

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Many water utilities are experiencing high failure rates in their drinking water distribution water mains, and the consequence of these failures can be severe in terms of social, economic, environmental, and reputational outcomes. This study analyzed clustering‐based spatiotemporal failure patterns in six selected water service areas in California. Water main failure hot spot zones that are of concern were identified, and a time‐dependent Poisson process was further used to assess associated deterioration patterns. These findings can help water utilities make more informed strategic, tactical, operational, and contingency decisions regarding asset management activities in the global pursuit of providing higher levels of service to customers.

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“…Hence, accounts with on-time payment is the third input and is a proxy of the ratio water-sold/target-population reported by Mbuvi et al [39]. Since account with on-time payment is the source of income, it is a proxy for revenues [42,43,[47][48][49] and capital [21,23,24,38].…”

Section: Inputsmentioning

confidence: 99%

“…Ananda [40], Carvalho and Marques [41], Guerrini et al [42], lo Storto [43], Marques et al [44], Molinos-Senante et al [45], Pinto et al [46], Pointon and Mathews [21], and Zschille and Walter [47] investigate the performance of water utilities in a specific country. Finally, Güngör-Demirci et al [48], Güngör-Demirci et al [49], and Renzetti and Dupont [50] focus their studies on the water utilities of one state.…”

Section: Bootstrap Deamentioning

confidence: 99%

“…However, Carvalho and Marques [41] concluded that the water utilities' performance is lower when drinking water supply and wastewater services are offered. Güngör-Demirci et al [48] determined that precipitation had a negative impact on efficiencies; but in a second different study, Güngör-Demirci et al [49] concluded a positive and negative impact of precipitation in a financial and production model respectively. Ananda [40], Güngör-Demirci et al [49], and Molinos-Senante et al [45] highlighted the positive impact of customer density; however, the results of Guerrini et al [42] showed the opposite.…”

Section: Bootstrap Deamentioning

confidence: 99%

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Operational Efficiency of Mexican Water Utilities: Results of a Double-Bootstrap Data Envelopment Analysis

Ablanedo-Rosas

Campanur

Olivares-Benítez

et al. 2020

Water

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The objective of this paper is to estimate the operational efficiency of Mexican water utilities and identify the context variables that impact their efficiency. In particular, a bootstrap data envelopment analysis (DEA) and a bootstrap truncated regression analysis are combined in a two-stage research method. In the first stage, an input-oriented DEA model is used to determine bootstrap efficiency scores. Then, the corrected distribution function of the efficiency scores is used to estimate a truncated regression which is aimed to identify the significant influential context variables. Three categorical and two continuous context variables are considered in the analysis. Results show that only one context variable has a significant impact on the water utilities efficiency scores. Managerial recommendations are drawn from the analysis. It is suggested that water utilities continue or implement wastewater treatment, persist in decreasing and controlling leakage across the distribution network, and maximizing sewer coverage.

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Measuring water utility performance using nonparametric linear programming

Cited by 25 publications

References 34 publications

Achieving Sustainable Development Goals. Efficiency in the Spanish Clean Water and Sanitation Sector

Achieving Sustainable Development Goals. Efficiency in the Spanish Clean Water and Sanitation Sector

Spatiotemporal and deterioration assessment of water main failures

Operational Efficiency of Mexican Water Utilities: Results of a Double-Bootstrap Data Envelopment Analysis

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