Use coal or invest in renewables
- This paper aims to analyze the comparative attractiveness of either investing in various renewable energy sources or continue using coal for electricity generation in the Philippines. Using real options approach, this research evaluates the investment value and trigger prices of coal for switching technologies with some scenarios in coal price uncertainty and social discount rate. The results find that investing in renewable energy is a better option than continue using coal for electricity generation. Among renewable energy sources, geothermal is the most attractive to invest to, followed by wind, hydroelectric, and solar photovoltaic.
| Author: | Casper Boongaling AgatonORCiDGND |
|---|---|
| URN: | urn:nbn:de:hbz:294-60046 |
| DOI: | https://doi.org/10.1186/s40807-018-0047-2 |
| Parent Title (English): | Renewables: Wind, Water, and Solar |
| Subtitle (English): | a real options analysis of energy investments in the Philippines |
| Document Type: | Article |
| Language: | English |
| Date of Publication (online): | 2018/07/20 |
| Date of first Publication: | 2018/01/25 |
| Publishing Institution: | Ruhr-Universität Bochum, Universitätsbibliothek |
| Tag: | Open Access Fonds Dynamic optimization; Investment under uncertainty; Real options; Renewable energy |
| Volume: | 5 |
| Issue: | 1 |
| First Page: | 1 |
| Last Page: | 8 |
| Note: | Article Processing Charge funded by the Deutsche Forschungsgemeinschaft (DFG) and the Open Access Publication Fund of Ruhr-Universität Bochum. |
| Institutes/Facilities: | Institut für Entwicklungsforschung und Entwicklungspolitik (IEE) |
| Dewey Decimal Classification: | Sozialwissenschaften / Wirtschaft |
| open_access (DINI-Set): | open_access |
| Licence (English): |  Creative Commons - CC BY 4.0 - Attribution 4.0 International |
