2011
DOI: 10.1007/s10479-011-0856-9
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Abstract: This paper presents how to apply a decision-making tool based on real options to assess the investment in a wind energy plant.The work shows six case studies where the main model's parameters are analyzed. The uncertainty coming from wind regimes is simulated by using Weibull distributions and the volatility of market prices is obtained from the mean reverting process of the OrnsteinUhlenbeck type, also known as Geometric Mean Reversion (GMR). From these and other values, such as investment and maintenance cos… Show more

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Cited by 43 publications
(21 citation statements)
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“…Die jüngste Literatur empfiehlt jedoch auch die Verwendung der Realoptionsanalyse als Bewertungsmodell für EEP (Lee und Shih 2010;Fernandes et al 2011;Muñoz et al 2011;Martínez-Cesena und Mutale 2011;Santos et al 2014). Im Unterschied zur Kapitalwertmethode ist die Realoptionsanalyse in der Lage, die Interaktion der wichtigsten Einflussfaktoren -Unsicherheit der Zahlungsströme, Management-Flexibilität und Irreversibilität der Investitionskosten -eines Projektes zu berücksichtigen.…”
Section: Introductionunclassified
“…Die jüngste Literatur empfiehlt jedoch auch die Verwendung der Realoptionsanalyse als Bewertungsmodell für EEP (Lee und Shih 2010;Fernandes et al 2011;Muñoz et al 2011;Martínez-Cesena und Mutale 2011;Santos et al 2014). Im Unterschied zur Kapitalwertmethode ist die Realoptionsanalyse in der Lage, die Interaktion der wichtigsten Einflussfaktoren -Unsicherheit der Zahlungsströme, Management-Flexibilität und Irreversibilität der Investitionskosten -eines Projektes zu berücksichtigen.…”
Section: Introductionunclassified
“…Liu and Nagurney (2011) consider supply chain outsourcing under exchange rate risk and competition when decision makers have different risk attitudes. Recently, the real options approach has also been applied in several investment decision analyses, such as a power generation project (Munoz et al 2011), mobile telecommunications networks (Franklin 2015), and carbon capture and sequestration technology (Heydari et al 2012). More examples of real options application can be found in, for example, Amram and Kulatilaka (1999) and Dixit and Pindyck (1994).…”
Section: Introduction and Literature Reviewmentioning
confidence: 99%
“…Under uncertainty, investment decisions can significantly benefit if real option strategies were adopted (Chrisiansen and Wallace 1998;Munoz et al 2011). In this work, we utilize real option theory to model microgrid investment taking into account several sources of uncertainty.…”
Section: Introductionmentioning
confidence: 99%