Resource Efficiency and the Sustainability of Electricity Generation Systems: A Parallel Network DEA Approach with Non-Homogeneity

This paper examines the sustainability and resource efficiency in electricity production of some European countries. As electricity is generated concurrently from different generation sources, performance assessment of electricity generation should incorporate the differences in the generation portfolios of states. A model is introduced to examine the performance of the electricity generation systems of different European countries while recognising the differences in their generation portfolios. Specifically, a parallel network optimisation model which deals with the non-homogeneity in the production portfolio of units under investigation is proposed. The aim is to allow cross-country benchmarking and overview of the capabilities of different countries in generation using different sources in line with the planned transition unto a single, smart European electricity grid. This study, therefore, provides insights into the overall production performance as well as the generation source-wise performance of each EU country compared to its peers.