Ustun, F S; Bilgin, G and Akcay, E C (2024) Real options valuation of solar energy projects: A systematic review. In: Thomson, C (ed.) Proceedings of 40th Annual ARCOM Conference, 2-4 September 2024, London South Bank University, UK.
Abstract
Energy plays an essential role in the development of countries, addressing the basic needs of people, and advancing technological progress. As the world's population and the energy demand in the industrial sector increase rapidly, the limited non-renewable energy resources prove insufficient to supply this demand. Consequently, both developed and developing countries are shifting towards renewable energy sources to meet their energy needs. As a result, the number of renewable energy projects in the world has been increasing day by day. Solar energy technology stands as an exemplar within the realm of renewable energy resources, playing a pivotal role in contributing to their overall share. Assessing the economic feasibility of solar energy projects is crucial to ensure their success. Traditional economic analysis methods often disregard managerial flexibility, leading to prefer the real options valuation for analysing the economic feasibility of solar energy projects. Therefore, the objective of this research is to review the application of the real options valuation for valuing solar energy projects in the existing literature. The findings of this study may provide a roadmap for future research efforts.
| Item Type: | Conference Paper (Paper) |
|---|---|
| Uncontrolled Keywords: | economic feasibility; real options valuation; project; solar energy; sustainability |
| Index terms: | renewable energy source, economic analysis, systematic literature review, renewable energy, population, solar energy, real option, renewable energy resource, energy demand, developing country |
| Subjects: | energy systems, development economics, economic analysis, demography, design analysis, research evaluation and metrics |
| Topics: | Business Strategy, Design Practice, International Construction, Urban Studies, Sustainability, Research Practice |
| Descriptive scope: | 3 CEA |
N.B. Descriptive scope is a count of how many of the five facets of empirical research are indicated by the words used in title, abstract and keywords. It is not intended as a judgement on the research; merely a count of the kind of word we would expect to indicate Phenomenon, Concepts, Theoretical framing, Empirical techniques, Analytical techniques. If all five are present, then a code of “5 PCTEA” will indicate this. If you feel the coding for this record is questionable, we welcome discussion around the terms we matched or the way we categorized them. The facet you would expect may not be coded, or a facet may be coded inappropriately. This can also bear on a larger question, of which facets should be treated as defining in construction management research. Please get in touch, and we will look at it. More details here