Journal of Korean Society of Water and Wastewater (상하수도학회지)

The Korean Society of Water and Wastewater (대한상하수도학회)
권호 표지
DOI QR코드

DOI QR Code

Economies of Scale in the Sewerage Treatment Sectors of Cheonla Province Area

전라남북도 하수처리시설 운영에 대한 규모의 경제성 분석

  • 김경학 (서울과학기술대학교 에너지환경대학원) ;
  • 유승훈 (서울과학기술대학교 에너지환경대학원)
  • Received : 2012.08.24
  • Accepted : 2012.12.22
  • Published : 2013.02.15
Download PDF
⟨ Previous Next ⟩

Abstract

This Study includes the information of integrated discussion and economies of scale on local governments' sewerage treatment plant through translog function based on the reality reports of sewerage treatment plant operation published by Ministry of Environment and sewerage statistics data from 2005 to 2010. Based on analysis results from the data of 35 local governments in Jeollanamdo and Jeollabukdo, which are selected as pilot project areas of sewerage facility integration by Ministry of Environment and have low percent of sewered population, it shows the existence of economies of scale. The economies of scale on sewerage treatment show the loss of approximately 22,211 thousand ton/day in sewage treatment, it is 1.7 times compared to the average treatment amount of 35 local governments as of 2010. It means the economies of scale can be achieved by lowering operation cost along with large scale integration in installation, operation and maintenance due to the features of sewerage industry as one of network industry.

Keywords

References

  1. Kim, E.J. (1997) Regional economic effects by the spatial integration of local water supply services in Korea, The Korea Spatial Planning Review, Vol. 26, pp. 73-84
  2. Kim, C.W. (2012) Economic incentives for the promotion of wide area integration of water supply and sewage system, Journal of Water Policy & Economy, 18, pp. 95-106
  3. Shin, S.Y, Lee. J.D, Kim, T.Y and Heo, E.Y. (1998), A study on the economies of scale in the Korean LNG industry, Journal of The Korea Resources Engineering, Vol. 35, pp. 137-142
  4. Lee, J.D, Shin, S.Y and Kim, T.Y. (1998) Economies of scale in electricity generation sector and Its implication for industrial policy, Journal of The Korea Association for Policy Studies. Vol 7(3), pp. 331-352
  5. Ju, H.C. and Lee, C.K. (2010) Measuring economies of scale in Korean transmission and distribution electric sector with fourier flexible functional form, Productivity Review, Vol. 24, No.2, pp. 5-29
  6. KRISHS (2011) Advanced water r source management of green growth.area wide.integration period(I)
  7. K-water (1997) An analysis study on the economic effects of SOC investment for the development of water resources
  8. K-water (2006) A Feasibility study on sewerage projects participation
  9. K-water (2008) The impact of the wide-area and local water and sewerage integrated operating in the national economy
  10. Korea Ministry of Environment (2005-2010) Sewerage statistics
  11. Korea Ministry of Environment (2005-2010) Annual report of public sewerage system
  12. Korea Ministry of Environment (2008) Research report of water and sewerage integrated operational feasibility Study
  13. Antonioli B. and M. Filippini (2002) Optimal size in the waste collection sector, Review of Industrial Organiztion 20, pp. 239-252
  14. Bottasso Anna and M. Conti (2009) Scale economies, technology and technical change in the water industry: Evidence from the English water only sector, Regional Science and Urban Economics 39, pp. 138-147 https://doi.org/10.1016/j.regsciurbeco.2008.05.017
  15. Carvalho P, R. C. Marques, S. Berg (2012) A meta-regression analysis of benchmarking studies on water utilities market structure, Utilities Policy, 21, pp. 40-49 https://doi.org/10.1016/j.jup.2011.12.005
  16. Christ ensen, L.R., and W. H. Greene (1976) Economies of scale in U.S. Electric Power Generation, Journal of Political Econommy, 84, pp. 665-675
  17. Kim E. J. and H. Lee (1998) Spatial integration of urban water services and economies of scale, Review of Urban and Regional Development Studies, 10(1), pp. 1-18
  18. Kim H. Y. and R. M. Clark (1988) Economies of scale and scope in water supply, Regional Science and Urban Economics, 18, pp. 479-502 https://doi.org/10.1016/0166-0462(88)90022-1
  19. Abbott M and B. Cohen (2009) Productivity and efficiency in the water industry, Utilities Policy, 17, pp.233-244 https://doi.org/10.1016/j.jup.2009.05.001
  20. Zellner A. (1962) An efficient method of estimating seemingly unrelated regressions and tests for aggregation bias, Journal of the American Statistical Association, 58, pp. 992-997

Cited by

  1. 트랜스로그 비용함수를 이용한 참치연승어업 규모의 경제성 분석 vol.51, pp.3, 2013, https://doi.org/10.12939/fba.2020.51.3.017