regulatory reforms including privatization, yardstick competition and profit regulation were also seriously considered, we … utilities before and after the introduction of the sunshine regulation. As during the period 1992-2006 several alternative … decomposing profit change into its economic drivers (quantity effect, price effect, operating efficiency, technical progress …

Data Envelopment Analysis (DEA) based cost norms have attractive properties in the regulation of natural monopolies … that the regulation will induce socially optimal output levels. In this paper, we analytically and numerically examine the … that the eight-year catch-up period allowed in this regulation gives strong incentives to reduce costs since the firms can …

investigate the incentives of a DEA based regulation when some of the demand dimensions, the cost drivers, can, in fact, be … controlled by the monopoly. In such cases, the classical DEA based regulation may lead to suboptimal incentives. Specifically, we … used to regulate Danish water firms. We show that the catch-up period allowed in this regulation gives strong incentives to …

This paper investigates the determinants of profit change over the period 1991-2008 for the Water and Sewerage … Companies (WaSCs) in the English and Welsh water and sewerage industry. We firstly apply an input oriented profit decomposition …, by decomposing the output effect into high quality and low quality output effect. We decompose profit changes into …

effectiveness of regulation and companies to identify the determinants of profit change and improve future performance, even if … sample sizes are limited. -- Profit Decomposition ; Productivity ; Price Performance ; Panel Index Numbers ; Regulation …The purpose of this paper is to assess the impact of regulation in the financial performance of the Water and Sewerage …