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A multi-criteria decision analysis method for regulatory evaluation of electricity distribution service quality

Ailson de Souza Barbosa, Rafael Amaral Shayani and Marco Aurélio Gonçalves de Oliveira

Utilities Policy, 2018, vol. 53, issue C, 38-48

Abstract: This study aims to evaluate the performance of electricity distribution utilities with the use of a single global index based on a Multi-Criteria Decision Analysis (MCDA) method. The proposed approach allows the ranking of service quality according to three dimensions: supply continuity, voltage conformity and customer satisfaction. The challenge of aggregating various indicators into a single global index was overcome with the Analytic Hierarchy Process (AHP) and Preference Ranking Organization Method for Enrichment Evaluations (PROMETHEE) methods. This ranking facilitates regulatory assessment of the distributors' performance, and thus improves the quality of services offered by utilities.

Keywords: Incentive regulation; Service quality; Electricity distribution (search for similar items in EconPapers)
Date: 2018
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DOI: 10.1016/j.jup.2018.06.002

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