Friday, February 11, 2011

Administrative Losses

The figure below presents the administrative loss percent of each electric cooperative considering the number of employees for each cooperative.


In this post, I consider the administrative loss to be proportional to the number of employees.

In this terms, the more employees, the more electricity usage within their facilities. So less usage means less employees working for the cooperative. The efficient electric cooperative would have less administrative loss given more employees.

With this premise, Tarlac I looks like an efficient operated cooperative since it has more employees yet they incur less power losses for their facilities. On the other hand, Davao Sur has less employees but has spent more administrative losses.

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