Power Sector

Turkey
Following in the steps of other developing countries, many reforms have
been undertaken in the Turkish electric sector. (Erdogdu, 2007) Discussed the
political and institutional barriers to privatization faced by Turkish authorities
and provided that there are three major problems. The first issue was the
bureaucratic opposition from government owned utilities or labor unions,
second issue pointed out by the authors was the importance of government
and central control of electricity and third problem was the subsidization of
electricity.
(Sarca & Or, 2007) Used DEA models to study the performance of 65 Turkish
thermal, hydro and wind power plants, owned by the private and public
sectors and found that investment and operational performance of private
thermal power plants is significantly better than public ones.
According to (Polemis, 2016),
Privatization in the electricity sector is negatively associated with its
performance activity since in all of the specifications (static and dynamic
ones) the relevant coefficients regarding the labor productivity and installed
capacity come with the negative sign and in some cases are statistically
insignificant. This means that the transfer of the ownership of the vertically
Integrated state-owned utilities into a more competitive and privatized
scheme decreases or leaves unaffected the electricity performance at least
in the short-run.
Nigeria
(Aminu & Peterside, 2014) Studied the impact of privatization of power
sector in Nigeria based on political economy approach and found that
privatization has badly affected Nigerians. Although the country experienced

higher profits and service delivery post-privatization yet the negative

impacts outweigh the positive ones.
Chile
(Pollitt, 2004) Looked at the privatization of electricity industry in the case of
Chile and found that Chilean reform was a successful one.
Britain
The cost-benefit analysis done in the case of 12 private regional electricity
companies responsible for the distribution and supply of electricity in
England and Wales revealed that even though prices, profits and costs
increased initially, the overall impact of privatization was beneficial for the
industry. (Domah & Pollitt, 2001)
Another study conducted a cost-benefit analysis for the privatization of
Central Electricity Generating Board (CEGB) and concluded that it was worth
it and the overall net benefit of the privatization is substantially positive.
(Newberry & Pollitt, 1997)
Developing Countries
An econometric analysis was done for the case of 36 developing and
transitional countries for the period 1985-2003 and it was found that
privatization on its own does not lead to higher output, improved labor
productivity, higher capital utilization or higher generating capacity. In order
for the privatization reform to work it needs to be coupled with an
independent regulator or competition. (Zhang, Parker, & Kirkpatrick, 2005)

Latin America
(Balza, Jimenez, & Mercado, 2013) Empirically analyzed the private sector
participation and increase in performance in the electricity sector for Latin

American Countries and it was found that privatization leads to an increase

in quality and efficiency, but does not improve accessibility to the service.
Properly functioning sectoral institutes are required to increasing
performance.