Mohammad Sokhanvar - Department of Economic, Urmia Branch, Islamic Azad University, Urmia, Iran
Kamyar Chalaki - Department of Industrial, Sanandaj Branch, Islamic Azad University, Sanandaj, Iran

In this article, productivity change and its component are studied by applying nonparametric Data Envelopment Analysis method, using Malmquist index, and in the second stage, factors affecting on productivity are surveyed. Since the Fifth Development program emphasizes on obtaining one third of the economic growth via the productivity growth, productivity subject becomes important in several industries and among them the electricity industry, and especially the electricity distribution sector. Results show that productivity has totally been decreased in survey period. On average, Isfahan Distribution Company has the maximum productivity growth, and Hormozgan Distribution Company has the maximum productivity loss. Privatization and the residential customers share among the total customers have had a negative and significant effect on the productivity change.

productivity, electricity distribution, Nonparametric Malmquist Index