Elaboration of ecology management strategy of power generating companies based on data envelopment analysis

This paper demonstrates a possibility of a CCR Data Envelopment Analysis (DEA) model to be applied to elaboration of ecology management strategies in power generating companies. The literature review of data envelopment analysis in environmental and energy studies is provided. The methods of including undesirable outputs in the model are analyzed. The two-stage algorithm of construction of a DEA-model with undesirable outputs is presented. The DEA-model is applied to statistical data for main Russian electric power generation companies. The scores of ecological efficiency are calculated and possible practical implementations of the results are discussed.