IMPROVING THE EFFICIENCY OF MANAGEMENT DECISION-MAKING WITHIN THE SELECTION OF ENERGY INVESTMENT PROJECTS

Anzhelika KARAEVA, Elena MAGARIL, Ramona GIUREA, Liliana Georgeta POPESCU, Anca TULBURE

Abstract


At the half-time point of the 2030 Agenda, it became obvious that the set goals for climate conservation and environmental protection would not be achieved on time: 2024 was the warmest year in recorded history and this trend is likely to continue. The energy sector plays a fundamental role in achieving the environmental and climate goals, which increases the need to improve the efficiency of management decisions, especially at the stage of selecting investment projects especially in the traditional energy sector. At present, management decisions should be environmentally responsible, i.e. the implementation of the project should be aimed at achieving both the economic and environmental goals. The purpose of this study is to improve the framework for investment projects assessment considering the previously developed system of environmental and economic indicators. The paper presents a modified version of the efficiency assessment for two project selection options: (i) "with a project" and "without a project"; (ii) a comparison of alternative investment projects with subsequent selection. The updated framework increases the objectivity of the assessment, while maintaining the parity of economic and environmental indicators.

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References


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