Efficiency analysis: a comparison of state and private companies in the electrical sector in Brazil - DOI: http://dx.doi.org/10.16930/2237-7662/rccc.v15n46p9-23

Abstract

The electric power industry in Brazil has been through uncountable changes throughout the years, especially due to the privatizing of many state power industries in the 90's. This fact made the regulators of the sector act in the sense of trying to guarantee quality, continuity and access of these services to all population. Having in mind the massive participaton of private power companies in the electric power generation, this research has as its objective to verify whether there is difference in terms of economical and financial efficiency among private and state power companies from this sector. The methodological procedures used in this study are bibliographic and documental, with a quantitative approach on data. For that, after the construction of the accounting and the financial indicators, an analysis on the power company efficiency was carried out based on Data Envelopment Analysis (DEA). The results have shown that in spite of existing a differentiated oscillation in the efficiency coefficients in state power companies when compared to the private ones, such difference does not have any statistical significancy, indicating that state power companies as well as private power companies in Brazil show similar economical and financial efficiency.