Proceedings of the 32nd International Academic Conference, Geneva

MANAGERIAL DECISION MAKING AND COST REDUCTION FOR WIND DEPLOYMENT AS AN ALTERNATIVE ENERGY

NEMANJA BACKOVIĆ, BOJAN ILIĆ, VESNA MILIĆEVIĆ

Abstract:

This paper analyses the modern aspect and framework of business decision making related to investments and cost reduction in wind energy companies. It describes different strategies of measuring the efficiency level of installed wind capacities. The research is presented with consideration to the methodology approach specific for wind energy. Special attention is given to the cost-effective business operations of contemporary systems of energy accumulation and the process of optimal decision making in the course of energy distribution. The focus is on the framework for sustainable business in compliance with complex external environment. The impact of unpredictable market and climate circumstances show the importance of the strategy mix and its role in creating value for the end-users of electrical energy. The dynamics of exploitation of the preferential conditions for wind energy companies is also important in the context of return on investment. The perspective of investing in wind energy projects is also given, along with the specificities of their implementation according to the principle of creating positive energy balance. The paper also points out the significance of government incentives and their variations. It also provides useful guidelines for successful business decision making for managers in wind energy.

Keywords: business decisions, alternative energy sources, wind energy, investment, cost reduction, efficiency, market, tariff system.

DOI: 10.20472/IAC.2017.032.006

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