An integrated multivariate approach for performance assessment and optimisation of electricity transmission systems

Abstract

This article introduces an integrated approach based on data envelopment analysis (DEA) and principal component analysis (PCA) for efficiency assessment, and optimisation in transmission systems that have been responsible for the transmission of electricity in Iran to show its applicability and superiority. Performance of 16 regional electricity companies was evaluated using the non-parametric technique of DEA. The result indicates that the performance of several companies is sub-optimal, suggesting the potential for significant cost reduction and reduction in employee number. The optimisation procedure in this article is followed from two different viewpoints, i.e. input efficiency and -cost. The result of DEA model is verified and validated by PCA through Spearman correlation experiment. Moreover, the proposed approach uses the measure-specific super-efficiency DEA model for sensitivity analysis to determine the critical inputs based on efficiency and cost allocation super-efficiency DEA model to determ...