Abstract
Due to the scarcity of fossil fuels in the future, the optimal use of these products can not only increase the efficiency of power plants, but it can also be effective in reducing the production of pollutants. To deal with these situations, optimal resource allocation and reallocation was studied using the data envelopment analysis (DEA) models. The current study adopted a resource allocation model in DEA framework when undesired outputs are produced in production process. This alternative resource allocation model is, however, sensitive to uncertainty of the data. In this contribution, we, therefore, introduce a stochastic resource allocation model when there are random data and undesirable products. An applied illustrative study to the power industry consisting 21 electricity production & distribution companies for eight years (2011–2019) is performed to compare the resource reallocations and their efficiencies. The important findings are: First, if we decide to deactivate two companies, the fuel consumption, employees and net electricity generation must be reduced. These reductions will lead to a reduction in pollutants. Second, the low price of electricity in Iran leads to excessive consumption of this product, which in turn leads to the inefficiency of many companies. In order to improve the performances of the companies, the amount of sold-out electricity must significantly be increased.
Published Version
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
