Efficiency and productivity of China's thermal power generation

In China, the State Power Corporation (SPC) dominated the electric power sector. Our results from the data envelopment analysis (DEA) approach show that the total factor productivity (TFP) growth between 1995 and 2000 is 2.1 percent per year on average. Technological change accounts for almost all the TFP growth. Municipalities and coastal provinces have achieved higher technical efficiency and TFP growth during the period under study. Fuel efficiency and capacity utilization rate are significant factors affecting technical efficiency of power generation. Provinces and autonomous regions not dominated by SPC have achieved higher levels of technical efficiency.