Analysis of the welfare implications of power-sector restructuring in West Bengal, India

Debalina Saha and Rabindra N. Bhattacharya

Utilities Policy, 2019, vol. 56, issue C, 62-71

Abstract: This paper analyses the welfare implications of power-sector reform in a situation where public-sector and private-sector utilities co-exist, based on restructuring of the power-sector in India's West Bengal state. The fifteen-year review period covers parts of both pre-restructuring and post-restructuring. The panel data analysis spanning four consumer categories indicates a negative impact of system de-integration on welfare due to the rise in transmission costs and increased tariff rates that result in a fall in both consumer and producer surplus. The paper also studies the effect of the reform on the capacity of supply to meet demand.

Keywords: Welfare implication; Power-sector reliability; Restructuring of power utility (search for similar items in EconPapers)
JEL-codes: C23 D61 L94 Q48 (search for similar items in EconPapers)
Date: 2019
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Persistent link: https://EconPapers.repec.org/RePEc:eee:juipol:v:56:y:2019:i:c:p:62-71

DOI: 10.1016/j.jup.2018.11.004

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