Tag: R5

RENEWABLE ENERGY PROJECT APPRAISAL USING THE REAL OPTIONS METHODOLOGY

Vasileios PAPADIMITRIOU

Researcher, Department of Regional Development and Planning, University of Thessaly, Volos, Greece

vasil.papadimitriou@gmail.com

Serafeim POLYZOS

Professor, Department of Regional Development and Planning, University of Thessaly, Volos, Greece

spolyzos@uth.gr

Dimitrios TSIOTAS

Assistant Professor, Department of Regional and Economic Development, School of Applied Economics and Social Sciences, Agricultural University of Athens, Amfissa, Greece

tsiotas@aua.gr

Abstract

Renewable energy sources (RES) are characterized as clean forms of energy and come directly or indirectly from the impact of solar energy on the environment. The overall process of planning, designing, constructing, and operating renewable energy projects involves complex uncertainties and risks, which are difficult to analyze and evaluate effectively through traditional investment appraisal methods. Each RES project presents different types of uncertainties, which are categorized as external and internal. The Real Options (RO) theory for evaluating investments in RES projects can provide additional investment options at different stages of the projects, enhancing flexibility and improving the decision-making ability of a company’s management.

This paper summarizes the specifics governing RES projects, the main characteristics of the RO methodology, and an overall framework for its application to RES projects. This framework is used to evaluate an investment in a 500kWp photovoltaic (PV) park in Greece. The uncertainties selected for the analysis of the RO methodology are the electricity sales price and the production from the specific PV project. In addition, the options/rights of the investor that are considered, are to continue or abandon the investment in each phase of the project implementation. The results, based on the current data and have included the possible fluctuation in the values of the two aforementioned uncertainties, show that investing in a PV project of similar size and technology in Greece is advantageous and worth undertaking. The intention to finance a large proportion of the investment by the banks plays an important role in this.

Keywords: project appraisal methods, real options theory, renewable energy projects, risk and uncertainty analysis, construction project management

JEL classification: R3, R5, R38,

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BALI AND THE NEXT PROPOSED TOURISM DEVELOPMENT MODEL IN INDONESIA

Setiawan PRIATMOKO

PhD Doctoral School of Economics & Regional Sciences,Hungarian University of Agriculture and Life Sciences/MATE, Hungary and Lecturer at STIE Pariwisata API Institute, Indonesia

eraynesance@gmail.com

Moaaz KABIL

PhD Doctoral School of Economics & Regional Sciences Hungarian University of Agriculture and Life Sciences/MATE, Hungary and Lecturer at Cairo University, Egypt

moaazkabil@cu.edu.eg

Róbert MAGDA

Prof. Dr. Ηabil., Doctoral School of Economics & Regional Sciences Hungarian University of Agriculture and Life Sciences/MATE, Hungary

Magda.Robert@szie.hu

Edit PALLAS

Dr., Institute of Sustainability and Farming Hungarian University of Agriculture and Life Sciences/MATE, Hungary

pallas.edit@mate-uni.hu

Lóránt Dénes DAVID

Prof. Dr., Doctoral School of Economics & Regional Sciences Hungarian University of Agriculture and Life Sciences/MATE, Hungary

David.Lorant.Denes@szie.hu 

Abstract

The Indonesian government is currently boosting its tourism by using the success of the island of Bali as a model, the project is called Ten New Balis. This article examines previous studies and statistical data to presents a deep analysis of macro-environmental factors of tourism in Indonesia related to Bali as a development model. The study is based on Scopus articles associated with Indonesia and Bali tourism development articles and statistical data collected from the statistics bureau’s Indonesian office, BPS-Statistics. The thematic framework analysis and descriptive analysis describe complementary insight of tourism planning and development issues. Proposed future tourism development planning could be seen clearer by using mixed-method analysis. Extending different research articles databases will give a good result comparison.

Keywords: priority destinations, tourism planning, tourist account, tourism development, rural tourism

JEL classification: L83, O500, O21, O180, R1, R5

 pp. 161-180

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TRENDS, PROBLEMS, AND MECHANISMS OF THE DEVELOPMENT OF NORTHERN RURAL TERRITORIES IN THE EUROPEAN RUSSIA

Nikolai VOROSHILOV

PhD in Economics, Senior Researcher, Federal State Budgetary Institution of Sciences “Vologda Re-search Center of the Russian Academy of Sciences”, Russia

niks789@yandex.ru

Abstract

The article presents the results of the analysis of trends and issues of socio-economic development of the Russian Federation’s rural territories and subjects, situated in Russia’s European North. It reveals that the key problems of territorial development are unfavorable demographics; poor housing improvement regarding all improvement types; high share of the population provided with bad-quality drinking water; noticeable income difference between rural and urban population, etc. The authors propose a typology of rural territories according to the size of rural population, periphery, and their economic specialization. We reveal that the territories adjacent to large and major towns, as well as ones having agro-industrial and extractive specialization, are developed the most. We substantiate a mechanism for managing Russia’s rural territories in current conditions and propose recommendations for updating their state development policy: 1) to ensure a complete implementation and achievement of goals of the RF state program “Integrated development of rural territories”; 2) to provide an equal availability of state support measures to rural developers; to help provide state support measures for the development of small- and medium-sized businesses in rural areas; 3) to create conditions for attracting non-budget financing investment sources to socio-engineering countryside infrastructure; 4) to develop different forms of agricultural cooperation; 5) to establish professional teams of experts, specialists, and activists, interested in developing rural territories, in each subject of the Russian Federation, etc.

Keywords: rural territories, European North of Russia, socio-economic development, typologiza-tion, control mechanism.

JEL classification: R1, R5

The author declares that this article is original, its materials have not been published anywhere before.

 pp. 93-108

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