Estimating the Impact of Restructuring on Electricity Generation Efficiency: The Case of the Indian Thermal Power Sector

Kabir Malik, Maureen Cropper, Alexander Limonov and Anoop Singh

No 17383, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: We examine the impact of electricity sector restructuring on the operating efficiency of coal-fired power plants in India. Between 1995 and 2009, 85 percent of coal-based generation capacity owned by state governments was unbundled from vertically integrated State Electricity Boards into state generating companies. We find that generating units in states that unbundled before the Electricity Act of 2003 experienced reductions in forced outages of about 25% and improvements in availability of about 10%, with the largest results occurring 3-5 years after restructuring. We find no evidence of improvements in thermal efficiency at state-owned power plants due to reform.

JEL-codes: L43 L94 O13 O25 Q4 (search for similar items in EconPapers)
Date: 2011-09
New Economics Papers: this item is included in nep-eff and nep-ene
Note: EEE
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Citations: View citations in EconPapers (23)

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