Efficiency evaluation of China's provincial power systems based on the dynamic network slacks-based measure model

A power system contains generation, transmission, and distribution divisions. Policy reforms and management mechanisms may affect the environmental efficiency of certain divisions or the integrated power system. This study applied the dynamic network slacks-based measure (DNSBM) model to analyze the environmental efficiency of both the power systems and their divisions of provincial administrative areas in China and investigated the effects of the external environmental factors. It employed scenario analysis to further explore the feasibility of separating the distribution from the transmission division. The results indicate that: 1) The DNSBM model takes the internal structure of the power system into account and provides a new perspective to seek the sources of the system and division efficiencies. 2) Customer density and energy consumption intensity have significant impacts on the system and division efficiencies, while the power generation structure only affects the environmental efficiency of the generation division. 3) The scenario analysis shows that the policy of “separating power plants from grids” improved the system efficiency to which the improvement in generation division is the main contributor and “separating distribution from transmission” may have great potential for enhancing the efficiencies of power systems.