2023 Volume 79 Issue 4 Article ID: 22-00255
In recent years, the number of cases of comprehensive private consignment for sewage treatment plant management has been increasing. For continuous improvement of asset management of sewage treatment plants, it is important to quantitatively evaluate the effects of comprehensive private consignment on reducing maintenance and management costs and increasing management efficiency, as well as to identify best practices and to improve management and operation methods. This study therefore quantitatively assesses the effectiveness of comprehensive private consignment of sewage treatment plants based on cost efficiency. Specifically, a methodology is proposed to quantify the comprehensive private consignment effect by non-parametric testing of the distributions of cost efficiency parameters estimated using a stochastic cost frontier model. The methodology is applied to a national database consisting of the maintenance and management costs of sewage treatment plants and the volume of treated water, to quantify the effects of comprehensive private consignment in practice.
