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Efficiency of the electricity sector in Mexico 2008-2015

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The purpose of this paper is to determine the level of efficiency in the Mexico electricity industry during the 2008-2015 period.,A data envelopment analysis (DEA) network model is proposed, where… Click to show full abstract

The purpose of this paper is to determine the level of efficiency in the Mexico electricity industry during the 2008-2015 period.,A data envelopment analysis (DEA) network model is proposed, where technical efficiency is calculated. A factorial analysis using the principal components method was carried out first. Later, latent dimensions were calculated through the variance criterion and sedimentation graph, where four components were presented. After performing factor rotation, the nodes were grouped: generation, transmission, distribution and sales. It proceeded later to structure a DEA network model.,From the calculations made, the most efficient node was the transmission, while the North Gulf and East Center divisions were the only efficient.,The limitations presented in this study were data collection.,The implications that were observed were that through the results obtained, proposals can be made to the Mexican electricity sector to improve each of the nodes, and have a better operation and reduce energy losses.,The social impact of this type of study is that based on the results obtained, they present the basis for improving energy policy and users can have a better service that has better quality and coverage.,The originality of this study consists in the use of two methodologies, factor analysis methodology and DEA network model.

Keywords: electricity sector; electricity; 2008 2015; dea network; efficiency

Journal Title: International Journal of Energy Sector Management
Year Published: 2020

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