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Investment in wind power and pumped storage in a real options model

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  • Reuter, Wolf Heinrich
  • Fuss, Sabine
  • Szolgayová, Jana
  • Obersteiner, Michael

Abstract

Promoting renewable energy has been a key ingredient in energy policy seeking to de-carbonize the energy mix and will continue to do so in the future given the European Union's high ambitions to further curb carbon emissions. A wide range of instruments has been suggested and implemented in various countries of the EU. A prominent policy promoting investment in renewable technologies is the use of feed-in tariffs, which has worked well at large scale in, e.g. Germany, but which has only been implemented in a very limited way in countries such as the UK.

Suggested Citation

  • Reuter, Wolf Heinrich & Fuss, Sabine & Szolgayová, Jana & Obersteiner, Michael, 2012. "Investment in wind power and pumped storage in a real options model," Renewable and Sustainable Energy Reviews, Elsevier, vol. 16(4), pages 2242-2248.
    • Handle: RePEc:eee:rensus:v:16:y:2012:i:4:p:2242-2248
    DOI: 10.1016/j.rser.2012.01.025
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    References listed on IDEAS

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