Efficiency Evaluation of Energy Saving & Emission Reduction: Application of DRF and the SE-DEA Model

Data Reduction Factor (DRF) and the Super Efficiency DEA (SE-DEA) model are employed to study the energy saving and emission reduction efficiency of Shanxi Province. Based on Shanxi’s 2003~2010 panel data, firstly the public factors with economic significance are selected from many input and output indices by means of DRF; secondly the efficiency values during 2003~2010 are estimated by plugging the public factors, which are nonnegative after transformation by threshold method, in the input-oriented SE-DEA model; finally the DMUs are sorted and the efficiency value and scale returns of each unit are analyzed in details.