March 6, 2011

Efficiency, Productivity and Environmental Policy: A Case Study of Power Generation in the EU

by Jurate Jaraite and Corrado Di Maria

- This study uses the EU public power generating sector as a case study to investigate the environmental efficiency and productivity enhancing performance of the European Union’s CO2 Emissions Trading Scheme (EU ETS) in its pilot phase. Using Data Envelopment Analysis methods, we measure the environmental efficiency and the productivity growth registered in public power generation across the EU over the 1996-2007 period. In the second stage of our analysis we attempt to explain changes in productivity and efficiency over time using state-of-the-art econometric techniques.

Jaraite, J. and C. Di Maria (2011). "Efficiency, Productivity and Environmental Policy: A Case Study of Power Generation in the EU." FEEM Note di lavoro No. 2011.019, Feb 2011.