Multi-Criteria versus Data Envelopment Analysis for Assessing the Performance of Biogas Plants

Abstract

This paper compares multi-criteria decision aiding (MCDA) and data envelopment analysis (DEA) approaches for assessing renewable energy plants, in order to determine their performance in terms of economic, environmental, and social criteria and indicators. The case is for a dataset of 41 agricultural biogas plants in Austria using anaerobic digestion. The results indicate that MCDA constitutes an insightful approach, to be used alternatively or in a complementary way to DEA, namely in situations requiring a meaningful expression of managerial preferences regarding the relative importance of evaluation aspects to be considered in performance assessment.Multi-criteria decision analysis; DEA; Renewable energy; Biogas